Part 1: Interests
- Achieving a salary similar to or above that of a similarly ranked employee within the United States ($90,000 a year, plus $15,000 bonus and another $15,000 with each new product released). In order to ensure a similar standard of living as similar employees within the United States.
- Through proper remuneration, I will be able to achieve a higher status to other managers at a similar level, putting me in a better position to negotiate and carry out my duties.
- Recovering the income my wife is going to lose, and therefore, suffering no financial loss with the move, or a loss in purchasing power. Currently, I earn $60,000, while my wife earns $50,000. The main goal will therefore be to ensure the standard of living remains the same, regardless of the decision to move. Considering that based on statistics from xtrapulator.com, that it is more expensive to live in Seoul than in New York
- Enjoying perks similar to those of employees of the same level within South Korea. These may include enrollment of the children in private schools, the employment of at least 2 housekeepers, 2 security guards, and 1 chauffer.
- The provision of at least a five year contract, with the option of returning to the United States.
- A guarantee of further career development, in terms of opportunities for further growth promotions.
- Provision of overtime compensation, as negotiations within the Korean culture tend to take much longer than normal. Further, a business negotiation usually involves a number of trips, making the establishment of a kitty to fund such meetings necessary.
Part 2: Approach I would normally use
Normally, I would simply go into the negotiation prepared to negotiate the highest payment package possible. My main objective would also be influenced by the need to achieve compromise and realize a quick resolution of the problem.
Part 3: Approach to be used in this negotiation
The approach I will employ will be the model suggested by Movius, Matsuura, Yan and Kim (392), one which entails an adaptation of the MGA model that best suits negotiations within my culture as well as within Stefanos’ culture. Cultural context will therefore, play a central role in negotiations on my part.
Part 4: Steps involved in the negotiation process
The steps will mostly mirror those of the Mutual Gains Approach:
- Preparation
- Value Creation
- Value Distribution
- Follow Through
Preparation: Will start with the definition of the relationship between the negotiating partners, me and Stefanos, more so through a conversation aimed at preparation with no discussion or mention of serious business. Prior to such a conversation, research into Stefanos’ culture, demeanor, beliefs, values, attitudes and behaviors will be done. The conversation will therefore, serve as the opportunity to confirm findings.
Creation of Value: Knowledge that Nalleys is also entering the South Korean market, will provide ample room for the creation of value. At this stage, my interests will be made known, first through an intermediary, then as part of negotiations. Research into how I will best fit into the strategy to be adopted by Frito Lay will also be done.
Distribution of Value: Concessions will be made hopefully on both sides, without any loss of value, with the main concerns expressed above being met. With proper completion of the 2nd step, distributing the ample value created should not pose too much of a problem
Follow Through: Keeping in contact with Stefano will be quite necessary, more so considering that my new task will involve operating within unchartered territory, and will occur outside the United States.
