Negotiations and Profit
Journal Entry 6-1-12
I learned that its not always about immediate profit. The purpose of business is to prolong your business while making a solid profit each year. If you make 100,000 dollars for 3 years that does not exceed what your profits would be if you made 75,000 dollars a year for 25 years. The peace of mind alone knowing you have a trust worthy business partner as well as a set in stone job/business for your lifetime and retirement is often a lot more rewarding than a quick buck. I have been taught by my father as well as several other mentor's that a quick buck never takes your as far as you want to go.
Journal Entry 6-4-12
The G Tech taught me that you must do research in order to know your counter parts BATNA so that you and obtain some form of leverage. This gives you an advantage in the negotiation process. For example I did not know that the SELLER I was buying from deal had fallen threw. If I would of known all the information I would have been able to get a better deal. In the real world scenario like our class activity I would have done research and hopefully found the information somewhere that showed me that G tech was actually unable to come to a deal with the Swiss company. This would have given me the leverage and allowed me to reach my optimum price. I needed to perform a RIP to get the best
I learned that its not always about immediate profit. The purpose of business is to prolong your business while making a solid profit each year. If you make 100,000 dollars for 3 years that does not exceed what your profits would be if you made 75,000 dollars a year for 25 years. The peace of mind alone knowing you have a trust worthy business partner as well as a set in stone job/business for your lifetime and retirement is often a lot more rewarding than a quick buck. I have been taught by my father as well as several other mentor's that a quick buck never takes your as far as you want to go.
Journal Entry 6-4-12
The G Tech taught me that you must do research in order to know your counter parts BATNA so that you and obtain some form of leverage. This gives you an advantage in the negotiation process. For example I did not know that the SELLER I was buying from deal had fallen threw. If I would of known all the information I would have been able to get a better deal. In the real world scenario like our class activity I would have done research and hopefully found the information somewhere that showed me that G tech was actually unable to come to a deal with the Swiss company. This would have given me the leverage and allowed me to reach my optimum price. I needed to perform a RIP to get the best