Canadian Business Law

EXERCISE #1 – NEGOTIATION.
This exercise has two parts:
INSTRUCTIONS FOR ASYNCHRONOUS NEGOTIATION EXERCISE
Part 1 – Video on Videos Watched In-Class (6 marks)
•
I need to record a 3-4 minute video answering questions about the three videos. I
just need the script.
o For the video with the two women, explain what you learned about the role
emotions play in resolving disputes
o https://youtu.be/CcW5A1c3-Fc?si=4sBDLBFC9cy6rAYo
o For the video with the naval ship, explain what you learned from it and how the
issue could have been avoided
o https://youtu.be/tYv44wQYePg?si=jdZ8qndlvBEDKGNX
o For the third video, what did the orange example teach you?
o https://www.youtube.com/watch?v=fZ2gUeYOslI
Part 2 – Video on Negotiation (14 marks)
• I need to record a 3-5 minute video addressing the following:
o Read both sets of confidential instructions, and then address the following
questions:
▪
How would you resolve the conflict between what the Pine Needles want
for the dressing rooms, and Ontario Place’s refusal to make any change –
what do you think the two parties would have ultimately negotiated that
met both parties’ needs (2 marks)
▪
If you were negotiating for the Pine Needles, explain how you would initiate
the negotiation on the ticket price. What number would you start at? What
number would you expect them to start at? How would you get Ontario
Place to go higher? (2 marks)
▪
What is one thing, one out of the box thing, that you can add to the
negotiations to help reach a deal? Explain what that is, who would initiate
that idea, and why and how is it helpful? (4 marks)
▪
Identify what you think would be the hardest part of the negotiation and
explain why (and it cannot be a specific item that must be negotiated (for
example it cannot be negotiating the price) – instead think back to the
videos we watched in class today), and identify how you would attempt to
resolve that issue (6 marks)
Page 1 of 3
EXERCISE #1 – NEGOTIATION
.
RUBRIC
COMPREHENSION
OF NEGOTIATION
VIDEOS
COMPREHENSION
OF NEGOTIATION
PRINCIPLES
Exceptional
(negligible errors)
Fully and
completely
understood and
explained the
implications of the
negotiation videos
(5-6 marks)
Strong
(minor errors)
Comprehension of
the negotiation
videos is mostly
demonstrated
(3.5-4.5 marks)
Capable
(intermittent errors)
Some comprehension
of the negotiation
vidoes is demonstrated
(2.5-3 marks)
Developing
(numerous errors)
Limited
comprehension of
the negotiation
videos is
demonstrated
(0-2 marks)
Fully and
completely
demonstrated and
applied negotiation
principles to the
facts (11-14
marks)
Comprehension of
negotiation principles
as applied to the
facts is mostly
demonstrated
(8-10.5 marks)
Some comprehension
of negotiation
principles as applied to
the facts is
demonstrated
(5-7.5 marks)
Limited
comprehension of
negotiation principles
as applied to the
facts is
demonstrated (0-4.5
marks)
SUB-TOTAL
/20
DEDUCTIONS
•
•
•
Failed to meet video length requirements – 15 marks
Significantly exceeded video length requirements – 15 marks
Unprofessional conduct – up to 15 marks
TOTAL
/20
Page 2 of 3
EXERCISE #1 – NEGOTIATION
FACTS AND CONFIDENTIAL INSTRUCTIONS FOR EACH SIDE
The music group “The Pine Needles” has a hit album that is very popular with teens and
pre-teens. They are planning a summer cross-country concert tour, and hope to perform
three concerts over the Canada Day weekend in Toronto, at Ontario Place.
Like many music groups, The Pine Needles are somewhat demanding and they have
some specific needs for the concert in Toronto. Ontario Place wants the group to perform
on Canada Day because the concert will bring in a lot of revenue and build up the
reputation of Ontario Place with young fans. While Ontario Place is willing to try to
accommodate reasonable requests, it is a busy venue. Many demanding musicians
perform there, and management cannot spend too much time catering to the whims of a
single group.
The manager of The Pine Needles and the manager of Ontario Place are going to meet
to negotiate the terms of a contract for the concerts.
In order to preserve the integrity of the synchronous negotiation exercise, I will post the
confidential `instructions for the Pine Needles and Ontario Place at the end of class.
Page 3 of 3
MGS350 – NEGOTIATION EXERCISE1
Instructions for Ontario Place
The music group “The Pine Needles” has a hit album that is very popular with teens
and pre-teens. They are planning a summer cross-country concert tour, and hope
to perform three concerts over the Canada Day weekend in Toronto, at Ontario
Place.
Like many music groups, The Pine Needles are somewhat demanding and they
have some specific needs for the concert in Toronto. Ontario Place wants the
group to perform on Canada Day because the concert will bring in a lot of revenue
and build up the reputation of Ontario Place with young fans. While Ontario Place
is willing to try to accommodate reasonable requests, it is a busy venue. Many
demanding musicians perform there, and management cannot spend too much
time catering to the whims of a single group.
The manager of The Pine Needles and the manager of Ontario Place are going to
meet to negotiate the terms of a contract for the concerts.
Information/Instructions only for Ontario Place
You are the manager at Ontario Place who is responsible for negotiating the
contract with The Pine Needles. Your boss, the owner of Ontario Place, expects
you to make the best deal possible for Ontario Place, while booking The Pine
Needles to play over Canada Day weekend. Your boss also expects you to keep
their instructions to you a secret. Your boss expects these instructions to be kept
confidential so that way their ability to negotiate the best deal with music groups is
not compromised.
Your goal is to negotiate a contract with The Pine Needles that meets owner’s
instructions as set out below, without disclosing your instructions to the manager
of the Pine Needles.
The owner of Ontario Place is not impressed by the stars that perform at his venue
– he just wants Ontario Place to be profitable, and does not want to spend money
on something if he doesn’t have to. He is not even much of a music fan, but is a
big collector of concert memorabilia. In fact, at times he has given in on certain
issues if he can get rare souvenirs for his collection.
While the owner is stubborn about spending money on what he sees as silly
requests, he does understand that sometimes you have to spend money for the
sake of the business. Changes to the dressing room are out of the question,
however, because they take too much time and money, especially since the next
performer is going to want something else.
1 based on an exercise by The New Hampshire Bar Association
The owner expects to net at least $30 per ticket and he knows that the most he
can charge for a ticket is $75, no matter how big the star is. The venue holds
10,000 seats. The owner wants to hold a contest in connection with the Canada
Day concerts, in order to encourage advance ticket sales. The contest would allow
every ticket holder to get a chance to win dinner with The Pine Needles before the
show. In total, the owner would like there to be 5 winners for each show, so The
Pine Needles would have to agree to dinner with 5 fans before each show.
The manager knows that the owner does not like to spend money to meet a
performer’s demands and that he will not change the dressing room. However, he
may be willing to spend some money on decorations for the room (if it does not
require actual change), and other items to keep the performers happy. The
manager cannot agree to any terms of a contract without checking with the owner.
MGS350 – Negotiation Exercise1
Instructions for The Pine Needles
The music group “The Pine Needles” has a hit album that is very popular with teens
and pre-teens. They are planning a summer cross-country concert tour, and hope
to perform three concerts over the Canada Day weekend in Toronto, at Ontario
Place.
Like many music groups, The Pine Needles are somewhat demanding and they
have some specific needs for the concert in Toronto. Ontario Place wants the
group to perform on Canada Day because the concert will bring in a lot of revenue
and build up the reputation of Ontario Place with young fans. While Ontario Place
is willing to try to accommodate reasonable requests, it is a busy venue. Many
demanding musicians perform there, and management cannot spend too much
time catering to the whims of a single group.
The manager of The Pine Needles and the manager of Ontario Place are going to
meet to negotiate the terms of a contract for the concerts.
Information/Instructions only for The Pine Needles
You are the manager for The Pine Needles, who is responsible for negotiating the
contract with Ontario Place. The Pine Needles expect you to make the best deal
possible for them, while booking them to play at Ontario Place over Canada Day
weekend. The Pine Needles also expect you to keep their instructions to you a
secret. They expect their instructions to be kept confidential so that way their ability
to negotiate the best deal with Ontario Place and other concert venues is not
compromised.
Your goal is to negotiate a contract with Ontario Place that meets The Pine
Needles instructions as set out below, without disclosing your instructions to the
manager of Ontario Place.
The Pine Needles have become very popular and are enjoying living the lives of
pop stars. They have gotten used to people doing whatever they ask. While on
tour, the members of the group expect a high level of service.
The band is inspired by the outdoors and wants their dressing room to reflect their
love of nature. Specifically, they require the walls to be painted to resemble a
forest of pine trees, and they want the room to be decorated with lots of natural
wood and to smell like a forest. They are also very specific about the food that
they like in their dressing rooms – they want a chef make pizzas and chocolate
chip cookies on demand. Finally, they would like an outdoor area where they can
1 based on an exercise by The New Hampshire Bar Association
relax in the fresh air, but they do not want to come in contact with any fans when
they go outside.
In terms of money, the band wants to receive between $30 – $40 from each ticket
sold. In the past, the band has agreed to less money to get the dressing room that
they want. Also, the band does not want any contact with fans until their last
concert is over; therefore, they usually insist on only one autograph session after
the final concert.
As the manager, you know that the band might not get everything that it asks for.
The most important things are the money from ticket sales, the décor of the
dressing room, a private outdoor area and limited contact with fans. The manager
cannot agree to anything else, without checking with The Pine Needles.