présentation international contract negociation (1)
DESCRIPTION
presentation agreementTRANSCRIPT
Charles DAY
Thomas VISAN
David DERHY
INTERNATIONAL CONTRACT
NEGOCIATION
FR
AN
CE
ISR
AE
L
MEETING :
December, 1st 2014, 4:00 pm, Paris
Volumic 3D (France)
vs. Re/max Israël Real Estate
(Israël)
Mediator: CMAP Paris
TABLE OF CONTENT
I- PresentationII- Culture in NegotiationIII- Strategy of NegotiationIV- Negotiation TechniquesSources
I- Presentation
A- French CompanyB- Israeli CompanyC- C.M.A.PD- Video of the MeetingE- Investigations
Company: VOLUMIC 3D - Founded in 1986
Headquarters: Nice, FRANCEWorkshops: Nice, FRANCE
Industry: Graphic and PrintProducts: 3D Printers
Story: Volumic was doing 3Dimensions Virtual Conceptions for architecture and communication. They recently created their first 3D Printer especially designed for performance. New Objective :
Export the French 3D Printer in the World
A- French Company
THOMAS VISAN
Chief Executive Officer
A- French Company
Company: Re/Max Israel - Founded in 1995
Headquarters: Shoham, ISRAEL
Industry: Real Estate
Number of Real Estate Agencies in Israel : 250 AgenciesNumber of Real Estate Agencies in the world: 7000 Agencies
Ranking: N°1 Real Estate Network in Israel
Objective: Be the first to
propose innovative offers to its customer
B- Israeli Company
DAVID DERHY
Shareholder and Purchasing Director
B- Israeli Company
Centre for Mediation and Arbitration of Paris (CMAP)Founded in 1995 by the Paris Chamber of Commerce and Industry as a non-profit organization under the Law of 1901.
Leading French, one of the leading European center for the management and resolution of commercial disputes.
Offers : Mediation and Arbitration, Technical expert advice and Rapid decision services.
Objectives : - Resolve disputes at a reasonable cost.- Manage conflicts and determine the best way to resolve them quickly and permanently.
C- C.M.A.P.
Business Mediator – Charles DAY
Neutral mediator engaged between two business parties that have required the services of the other and are deadlocked in an acrimonious debate.
To avoid this, the business mediator will seek the necessary information from both individual parties and attempt to come to a resolved agreement on both parties' behalf.
C- C.M.A.P.
D- Video of the Meeting
References in Specialized Magazines
Research on social networks Profesionnal and Personnal
Connections Education (High School, University) Experience Domain of Expertise Personality
E- Investigations
Example Maslow Pyramid : ISRAELI’S PERSONNALITY
E- Investigations
NAMESDavid DERHY
Thomas VISAN
Charles DAY
MBTI RESULTS
ExtravertSensingFeeling
Percieving
ExtravertIntuitiveThinkingJudging
ExtravertIntuitiveThinkingJudging
Personality Results: Myers–Briggs Type Indicator
E- Investigations
David DERHY Thomas VISAN
Charles DAY
ESFP’s Caracteritics ENTJ’s Carateristics
- Outgoing, friendly, accepting.- Exuberant lovers of life, people,
and material comforts. - Enjoy working with others to
make things happen. - Bring common sense and a
realistic approach to their work, and make work fun.
- Flexible and spontaneous, adapt readily to new people and environments.
- Learn best by trying a new skill with other people.
- Frank, decisive, assume leadership readily.
- Quickly see illogical and inefficient procedures and policies.
- Develop and implement comprehensive systems to solve organizational problems.
- Enjoy long-term planning and goal setting.
- Well informed, well read, enjoy expanding their knowledge and passing it on to others.
- Forceful in presenting their ideas.
Personality Results: Myers–Briggs Type Indicator
E- Investigations
II- Culture in Negotiation
A- Risks to Care AboutB- Main Cultural
DifferencesC- Video Cultural Analysis
A- Risks to Care About
Cross Cultural Risk - Religious parctices- Cultural differences
- Body Language
Commercial Risk
-
French Culture:
French Corporate Culture:
France: Dining and entertainment:
Israeli Culture:
Israeli Corporate Culture:
Israeli: Dining and entertainment:
B- Main Cultural Differences
Common points
Differences France/Israel
C- Video Cultural Analysis
III- Strategy of Negotiation
A- Product’s Presentation
B- Negotiation’s Preparation
C- Tree of NegotiationD- Points to Negotiate
A- Product Presentation
3 Dimensions Printer : Machin that prints 3 Dimensions objects such as architectural structures.
Features : For profesional use, Fast printing, New printing technology, Made in France.
Cartridges : Multiple choice of color cartridges
Best alternative to negotiation (BATNA):
ExampleIsraeli ExW minimum Price : 2500€ / Unit at beginning for 250-320 units (Maximum ?)French ExW minimum Price : 3000€ / Unit at beginning for 300 units (Minimum ?) Agreement : 2850€ / Units
B- Negotiation’s Preparation
Zone of possible agreement (ZOPA) : the range or area in which an agreement is satisfactory to both parties involved in the negotiation process.
Example: Isreali wanted between 250-300 3D printers (250 for Israel and 70 more maybe for other agencies).French needed to sell 300 3D printers to be profitable and to fill a 20 feet container. Agreement : 300 3D Printers
B- Negotiation’s Preparation
INFORMATIONSISRAELI COMPANY FRENCH COMPANY
• Turnover• Project objectives• Company’s needs• Budget allowed to
the project
• Notoriety• Export experience• Production Capacity• Margin applied• Delivery conditions
B- Negotiation’s Preparation
DECISION TREE OF NEGOCIATION
Product
Model
Stream 20
Stream 20 PRO
ExW
Price
2500€/unit
3000€/unit
2850€/unit
Quantity
250-320
units
300
units
Transport
ETD - ETA
ETD : mid june ETA : end of
june
ETD: mid
october ETA: end of
October
ETD: Mid
August ETA: Sept
INCOTERM
DDP Shoha
m
ExW Nice
CIF Haïfa
Quality Control
Exporter’s Costs
Importer’s Costs
Importer’s Costs + 20%
Penalty on CIF price of each
defect. product
Warranty – Staff Training – Cartridges
Warranty 4 years- Cartridge 18 euros- Staff Training Free
Warranty 2 years- Cartridge
26€-Staff Training 10000€
Warranty 3 years- Cartridge
20€/3years then 25€-Staff Training 3000€
PaymentPayment Terms
90 days after shipping
50% prepaymt – 50% after shipping
20%prepayment – 80% after shipping
Payment Method
Bank Check SWIFT
CREDOC
CurrencyUS Dollar
Euro
Penalties
0,5% CIF /Week
C- Tree of Negotiation
• Product : Model, ExW Price, Quantity
• Supply chain : Incoterm, ETD/ETA, Penalties
• Quality Control : Importer’s/Exporter’s Costs, Penalties
• Warranty / Cartridge / Staff Training
• Payment : Payment Terms, Payment Method, Currency, Penalties
D- Points to Negotiate
IV- Negotiation Techniques
a- Examples of Techniques
b- Techniques used in the video
c- Analysis
• Door in the Face : Outrageous demand to reach an acceptable point
• Foot in the Door : Make to the other party accept a small point to make it accept a more important
• Reach a Win-Win Situation
• Split the difference: agree on a price that is halfway between what you want and what the other person wants. (50/50)
A- Examples of Techniques
• Being Cutsomer Oriented
• Dealing with Objections
• Discussion which is not Price Focused
• Make Concessions and Discounts
• Pressure : Time available or Deadlines
• Threat
A- Examples of Techniques
• Being Cutsomer Oriented
• Dealing with Objections
• Set-aside: resolve many of the little issues first to establish before leading up to the big issues.
Ex : Quantities Transport Quality Warranty PRICE
• Make Concessions and Discounts
• Non-negotiable Demands
Ex : Currency : EURO
FRANCE
B- Techniques Used in the Video
• Door in the Face : Outrageous demand to reach an acceptable point
Ex : Price of 2500€ / unit
• Reach a Win-Win Situation
• Deadline pressureEx : Needs the product for the high season
• ThreatEx : On the quality of the product
• Body Language
ISRAEL
B- Techniques Used in the Video
• Pressure : on time available for example
• Create available options
• Reformulation to validate each point negociated
• Reach a Compromise offering something else
Ex : Warranty + Staff Training + Discount on Cartridges
MEDIATOR
B- Techniques Used in the Video
GOOD POINTS BAD POINTS• Each Parts were
prepared for the Negociation
Ex: French and Israeli talked on the phone and Mediator was well-informed of the situation.
• Deal concluded
• Intercultural problemsEx: French and Mediator didn’t really adapt to the Israeli
• Mediator was to much in a hurry
C- Analysis
The negotiation presented or others always contains common interests and conflictual subjects.
We need to cooperate, compromise, accept and refuse demands, but…
Main Objective : Focus on creating value from the negotiation before to share the benefits.
“Negotiation Cake”
CONCLUSION
Thank you for your attention
Bureau Veritas : http://www.bureauveritas.fr/wps/wcm/connect/bv_fr/localhttp://www.bureauveritas.fr/wps/wcm/connect/bv_fr/local/home/searchResults?keyWord=israel&submit=+&selectedSource=1017
COFACE :http://www.coface.com/fr/Etudes-economiques-et-risque-pays/Israelhttp://www.coface.fr/france.html
Centre de Médiation et d’Arbitrage de Paris :http://www.cmap.fr/WHO-WE-ARE/Introducing-CMAP-114-en.htmlhttp://www.cmap.fr/WHO-WE-ARE/Our-Mediators/Who-are-our-mediators-122-en.html
Geert-Hofstede :http://geert-hofstede.com/http://geert-hofstede.com/france.htmlhttp://geert-hofstede.com/israel.html
SOURCES
Humanmetrics : http://www.humanmetrics.com/cgi-win/jtypes2.asphttps://prezi.com/xnle1v-r23es/comparative-analysis-of-israel-culture-versus-american-culture/
Manuport Marseille :http://www.manuport-marseille.com/
Re/max : http://www.remax.co.il/fr-fr/about/about.asp
Ubifrance :http://www.ubifrance.fr/default.html
Volumic 3D : https://www.imprimante-3d-volumic.com/fr/volumic-3d.cfmhttps://www.imprimante-3d-volumic.com/fr/vente-imprimantes-3d-volumic-stream.cfmhttps://www.imprimante-3d-volumic.com/fr/filaments-imprimante-3d.cfmhttps://www.imprimante-3d-volumic.com/fr/pieces-detachees-imprimante-3d-volumic-stream.cfm
SOURCES