Bullard Houses

Topics: Price, Stock market, Maxima and minima Pages: 2 (299 words) Published: March 18, 2012
PLANNING DOCUMENT FORM
Negotiation: Role: Seller

What issues are most important to you? (list in order of importance)

1. Keep houses intact
2. Commercial uses only if tasteful as Grouse´s proposal
3. Avoid bad press
4. Generate good press
5. Maximize sale price

What is your BATNA? Reservation Price? Target?

BATNA: $ 13 million for 100% of Downtown´s shares or proportional with a minimum of 70% of its shares while commercial uses tasteful as Grouse´s proposal

Reservation price: $ 15 million for 100% of Downtown´s shares or proportional with a minimum of 60% of its shares with residential purpose only.

Target: $ 19,5 million for 100% of Downtown´s shares or proportional with a minimum of 60% while keeping houses intact.

What are your sources of power?

Having the last word (accept or reject), owners of the place, well-known family (reputation) tied to politics.

What issues are most important to your opponent? (list in order of importance)

1. Make profits out of the project
2. Buy the houses
3. Buy them at a reasonable price
4. Minimum use of cash
5. Keep a good relation with Downtown realty (all interested parties value their reputation and political implications as well)

What is your opponent’s BATNA? Reservation Price? Target?

BATNA: $ 19,5 million for 100% of Downtown´s shares
Reservation price: $ 15 million for 100% of Downtown´s shares Target: $ 13 million for 100% of Downtown´s shares.

What are your opponent’s sources of power?

No urgency to buy, can walk out without a deal, ability to make a leveraged buy (use of credit).

What is your opening move/first strategy? Other important information?

-No deal without the explicit compromise of keeping the houses untouched or making and maintaining the shops and restaurants under a tasteful manner.
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