case study

Topics: Case study, Scientific method Pages: 3 (458 words) Published: October 16, 2014
RMG909 Advanced Buying Process II
Case Study Analysis Form

Student Name: Carolina Antonio

Date: April 1, 2014

Case Study #/Title: Case Study # 45 - Celebrity Fragrances: The art of negotiation

1. Defining the Issue(s)- The Major Question:
Jackson’s buyers didn't want to be in an overstocked positions They want to be in a position to reorder the merchandise if it began to sell well Vendor could not accept the order because it was below the minimum level Jackson could not return the dated products

They have been working together for more than 20 years

2. Analyzing case data (if applicable): n/a

3. Generating Alternatives:

Alternative Solution 1: Ask the senior buying to negotiation with them

Advantages
Disadvantages

Senior buyer had been working with them for 20 years, the vendor probably will change their mind or find a better solution that will benefit vendors and Jackson Jackon doesn't have to find a new vendor

Buyer and vendor relationship is maintained
Doesn't have to find another vendor
Save time
The quality of the products is known

If the negotiation doesn't work, the relationship between senior buyer and the vendors might be in trouble Senior buyer might lose his reputation

Alternative Solution 2 : Take the risks by ordering the minimum level

Advantages
Disadvantages
They can still work together with that vendor
They don't have to find another vendor
Senior buyer have been working together for more than 20 years, so they can trust them Maintain the vendor and buyer relationship

If the products don't sell well, it will cause a big problem for Jackson They will lose the opportunity to find a better deal from other vendor They still cant return the dated products

Alternative Solution 3 – find another vendor

Advantages
Disadvantages

Jackson can order the quantity that they want
Probably will get the ability to return the dated products
Get a better deal

Hard to...
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