Real World Negotiation - A Family Vacation
All Inclusive, 7 night vacation in the Mayan Riviera; heaven… with family! A total of 15 people decided to plan a vacation. Throw a few people that are extremely stubborn with a few that are picky and some that are price sensitive and you have a messy multiparty negotiation. Luckily we all agreed on the location quickly as most of the group has not travelled there before.
Out of the 15 people, 7 were the decision makers / negotiators – those are the ones that had to agree on date, price and hotel. In addition, one couple was unable to join us until a few days later so some people wanted a date that is closest to them and others were deciding strictly on price. The parties negotiating are my husband and I and some of my sisters / brothers in law. For most of the group, price was a big deciding factor. However, a few parties did not view price as an issue and were willing to pay more for a 5 star hotel with excellent food and service.
To prepare for the negotiation, I visited various travel agency and review websites. I researched price, the type of hotel, the star rating, the amenities, the restaurants, distance from the airport, flight times, etc. I had a good understanding of the different options available.
My BATNA was to not join this group for vacation and to go with my husband instead to a cheaper hotel. Although it would be fun to join the family (I think), we would still have fun going alone. My reservation price is $1000 for a 7 night All Inclusive vacation to the Mayan Riviera, Mexico in a 4 ½ start resort that has excellent service and food. My target price for the same expectations was $850 - $900. The reservation prices for other parties involved is approx $1200 as they had more funds available and have spent that amount on a similar vacation before.
The main issue was the hotel and the price that goes with it. The parties that were not sensitive to price justified their point...