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Luna Pen - A Puzzling Request Assignment Help
Situation 1:
Imagine you are Erika Graeper. What would be your initial approach to the negotiation with Alven Feng?
Please read the alternative approaches listed below. Although none of the alternatives may be exactly what you would do, circle the letter (A, B, etc.) of the approach that you would be most likely to take if these were your only options. Next, select the one you would be least likely to take.
After you select both, support and justify both your answers separately with notes from class, theory of negotiation, communication and conflict management. Minimum requirement for each answer is 750 words.
Question 1. Fax Feng requesting a meeting with him in Taipei next week. Outline your understanding that Global Service Company has built a considerable business using the Luna name without DGG?s permission. Raise the issue of back payments for past misuse of the name, and a possible license or sale for future use.
Question 2. Write Feng that his company must cease its unauthorized use of the Luna name, and that DGG is prepared to file lawsuits if necessary. Unless your company asserts its rights, Feng has no reason to negotiate.
Question 3. Contact other companies in Southeast Asia that might be potential buyers of the Luna name, in order to determine their possible interest. Also, write Feng and tell him DGG is planning on selling the rights to the Luna name. Request that he come to Frankfurt in the near future to discuss the settlement of this matter.
Question 4. Fax Feng, introduce yourself, and tell him that you will be in Taipei next week. Ask if there is any convenient time to discuss your recent discovery that the Luna pen is selling well in the Far East, under his company's marketing strategy. Let him know that DGG is interested in some form of partnership with Global Services.
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In this case, two companies were involved including DGG and Global Service and out of this; DGG was attempting to receive the intended payment for trademark infringement of a pen currently being manufactured by the company Global Service. In the bargaining process, it can be said that Erika did not possessed a strong BATNA, which was enforcing other potential companies to produce the pen after the approval of a lawsuit that would likely influence Global Service to finish the manufacturing of the pen. The main interest of the DGG Company was to earn the payment for the extensive utilization of the trademark because they made no plans and considerations of continuing their business of the pen but they wanted to receive the payment for forming a potential partnership or collaborating gaining opportunities and benefits. However, the main interest of the Global Service Company was to pay complete attention and divert its focus towards the production and distribution operations of the product because the pen held a record of representing 25% of the organization's total income.
For instance, if there comes a situation when Global Service could not bargain with the DGG Company and the manufacturing or production process of the pen stops in the specific lawsuit, then Global Service Company would have acquired just one specific BATNA, which is to explore another specific pen for production instead of paying attention towards Luna pen.
Option D is considered as the best and most appropriate option for Erika to progress forward in order to initiate a pleasant and friendly communication or conversation with the Global Service Company and Feng. The consideration of this option will enable Erika to gain the potential regarding forming a alliance or partnership that could eventually provide enormous benefits and advantages to both the companies. This specific approach will help Erika to not begin on a negative aspect by approving a possible lawsuit but this would develop a valuable opportunity for both the potential companies to ignore the legal aspect of the specific business and form an alliance over the utilization of the trademark concerning Luna.
Option B is the option that appears to have initiated the conversation on the wrong track, suddenly acquiring a suit against both the companies and stopping the negotiation against the possible cross-continent alliance or partnership between the two potential companies. It is also proposed that Feng has no factors or reasons to bargain; hence this effectively closes the progress of the negotiation. This is because Feng can ignore the email and this would be possible especially if Erika and DGG Company do not emphasize its own rights. However, the various approaches adapted by Erika in terms of negotiation or bargaining have been positive, but still the approaches needed some changes and hence, would have been beneficial. The first two specific approaches was strong as Erika displayed a friendly and accommodating attitude towards the CEO and asserted herself appropriately when the CEO was brushing her off the moment. The first message that she delivered was likely to be courteous and concerning as Erika had never seen the individual and she wanted to initiate the conversation on a good note.
Additionally, Erika threatened the CEO with lodging a lawsuit with the legal bodies when the CEO was paying no attention towards her intentionally and the main thing is that instead of carrying out her frustration on the CEO, Erika implemented the strategy of "Use the Power to educate". According to the approaches, this proved to be an excellent strategy because the CEO finally admitted that he intentionally took their product without their approval and was willing to pay a large amount of money for their trademark or utilizing their name. It is necessary that the strategy of negotiation start on good terms because this would hamper the brand name of the fountain pen Luna. Any legal cases or legal conflicts prove to be adverse for the brand name of the organization that in turn affects its sales as well as profitability of the organization. It is of utmost importance that Erika Graeper first fixes an appointment with the CEO Alven Feng of Global Service. Since the permission of manufacturing Luna pen was not given to Alven Feng in a legal way, it is necessary that he is confronted and discuss that he must collaborate with the organization Deutsche Grusskarte Gesellschaft (DGG).
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This will make sure that both the companies flourish together. It has been observed that the market and sales of Luna pen is incredible in Southeast Asia and the market is growing day by day. The increased demand of Luna pens in the market indicates that the pen is very popular among the customers thus it is recommended that instead of directly threatening Mr. Feng on the basis of lawsuit it is necessary that Erika discusses every detail of the matter with him adequately. This will ensure that the matter is resolved properly as it is necessary to let Mr. Feng know that the use of the name "Luna" without signing any paper with reference to the manufacture of pens is a subject of copyright. It is necessary that Erika is able to explain the matter properly with clarity. In case, Mr. Feng refuses to listen to anything that Erika proposes then a legal action must be taken with respect to the name of the pens manufactured.
According to me, Erika must first start discussing with Mr. Feng concerning the increasing demand of pen in the market and the fondness people have for the pen. This will initiate the conversation on a positive vibe or note, as Mr. Feng will feel comfortable. However, in case at the very beginning Mr. Feng is threatened with respect to the name of the pens "Luna" without giving Mr. Feng any chance of negotiation will have adverse affect on its sales in the market as the growth in its demand will decrease. Moreover, the process will take a long time to take place and until the case is over, the Luna pens cannot be manufactured or made available in the market.
This long process will give a chance to other organizations to take the position of Luna pens in the market and serve as a better alternative in the market therefore it is better to negotiate with Mr. Alven Feng and invite him for collaboration with Deutsche Grusskarte Gesellschaft (DGG). In case, Mr. Alven Feng does not agree with the proposal of collaboration then Mr. Alven Feng must be asked to change the name of the pens he is manufacturing or distributing in the market. This is necessary because the name of the pen is a matter f copyright and using the name by another organization is a legal offence. Moreover, as there was no documentation regarding the use of the name by other organization other than Deutsche Grusskarte Gesellschaft (DGG). Even in this case, if Mr. Alven Feng does not agree or he does not agree to change of the name of the pen then legal actions can by taken against him and his company by filing lawsuit.
The next move that Erika should consider is to progress forward keeping the conversation process intact as it can provide Erika with the opportunity to arrange a meeting with the top-ranking executive of the Global Services Company. It can be incidental that DGG Company is attempting to file a lawsuit if required and mandatory via the main aspect of the move option. It has not been mentioned explicitly in the case study, but the utilization of the specific Luna trademark is an indication that the company of DGG would be thriving to bring the lawsuit into the particular equation.
According to the understanding of the case study, it can be said that culture has played a key role in this negotiation case as initially both the parties belonged to different cultures having different types of traditions and rituals. In this case, Erika belonged from a German culture whereas Feng belonged from a Chinese culture and both of these cultures have their own way of negotiation and doing business and this is evident with the presence of the various characteristics of both of their cultures in the case study (case study).
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Situation 2:
This background material brings Erika Graeper to the point where she had to make some key decisions. Going forward, this case asks you to step into her shoes and deal with the issues as they develop.
Outline a Negotiation Strategy. In other words; 634 212
1. What Conflict Resolution Method would you prefer to use, and WHY?
Conflict resolution methods can be defined as the process of collaboration of two parties under conflict. However, this requires creativity as well as the patience to listen to others such that the issues of conflict can be solved adequately. The procedures that are adopted in order to put an end to the issues of conflict so that the parties under conflict can be brought in terms with each other and the burning issues can be pacified. In order to resolve the issue as described in the case study of Erika Graeper it is recommended that the strategy of collaborating is used and applied in order to solve the issue ethically (Blog.hubspot.com, 2019).
In the strategy of collaborating, the parties under conflict arrive to solution that will be favorable for both the parties under conflict. This method is useful as in this case either of the parties neither loses nor wins. In this case, both the parties under conflict face advantages as well as disadvantages of conflict together. This method of solving conflict will be used in case related to Luna pens so that the brand image of the pen is maintained and both the organization Global Services and Deutsche Grusskarte Gesellschaft (DGG) is benefitted in this way. It will result in a joint venture for both the organizations thereby benefitting both the organizations.
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2. Which Conflict Management Style should be adopted by Erika, and WHY?
In the case study of Luna Pens and the conflict between Erika Graeper and Alven Feng it is necessary to understand the concept aptly in order to figure out the most apt and applicable solution for the issue that has emerged with reference to the case study. In order to resolve the issue with respect to manufacture, distribution and sales of Luna pens in the market it is necessary that Erika approach Mr. Alven Feng with a proposal of collaboration. This will prove to be advantageous for both the organizations as both the organization can take advantage of the popularity and demand of the pen in the market (Hrpersonality.com, 2019).
This will also aid the organization be in good terms with each other and come up with innovative strategies in order to enhance the marketing and strategies of pen in market and expanding the distribution of pens other parts of the world as well. This in turn will aid both the organizations to earn profit and develop even more. The collaborating style of managing conflicts is the best and the most suitable style of managing conflict among the organizations as it will aid to create healthy relationship between the organizations by leading both the organizations to share their responsibilities and increasing the level of trust between them.
3. What further information might you need before contacting Feng, and how might you realistically obtain it?
In order to gain apt information regarding Alven Feng the CEO of the organization Global Services it is necessary that Erika Graeper gain more information regarding the organization he is leading. Proper information regarding the organization will aid Erika Graeper to learn about the style of leadership and management Alven Feng uses. This can give her some idea regarding the kind of a person Alven Feng is that in turn can aid Erika Graeper to know or have an idea the style of making decisions used by Mr. Feng. To obtain further, realistic information regarding Mr. Feng, Erika Graeper must find out the organizations with which the organization Global Services has collaborated or the clients the organization has.
This will aid Erika Graeper to know more about Mr. Alven Feng in case a common link or partner comes up then Erika can find out more about Mr. Alven Feng. In case, common clients are found even then Erika can discuss regarding the same with them and collect data or information regarding r. Alven Feng. However, nothing common is found among the organization with respect to their partners or clients then Erika can make connection with the partners or the clients of Global services such that apt information can be gained regarding Alven Feng.
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