/45Negotiations Course
Name:
Planning Document (Simple Version)
Negotiation Exercise: The Player
Role: Director
1. What issues are most important to you? (list in order of importance).
A. Editorial Control
F. Directors Base Salary
B. Post Production Schedule
G. Female Lead
C. Location
H. Child Star
D. Directors Bonus: % Gross
I. Personal Location Budget
E. Male Lead
J. Pre-Production Budget
k. Production Designer
I am a well-known director, so I need complete control on editing the film to make sure the film
is in my style and high quality.
2. What is your BATNA?
There are other studios I can deal with.
3. What is your Reservation Point for each issue and overall? Why do you think so?
Issue
Directors Base Salary
Pre-Production Budget
Post Production Schedule
Directors Bonus: %Gross
Reservation Point
600
150
200
500
Child Star
0
Issue
Male Lead
Location
Female Lead
Personal Location
Budget
Production Designer
Editorial Control
Reservation Point
300
550
300
350
0
100
Overall reservation point will be 3050 which is at least 3000 points. I will go for another
Producer if it is lower.
4. What is your Target Price for each issue and overall? Why do you think so?
Issue
Directors Base Salary
Pre-Production Budget
Post Production Schedule
Directors Bonus: %Gross
Target Price
1200
300
1000
2100
Child Star
400
Issue
Male Lead
Location
Female Lead
Personal Location
Budget
Production Designer
Editorial Control
Target Price
1500
1225
750
1000
250
2000
Overall target price will be 11725.
5. What issues do you suspect are most important to your opponent? (list in order of importance)
A. Directors Bonus: %Gross
G. Editorial Control
B. Directors Base Salary
H. Production Designer
C. Male Lead
I. Female Lead
D. Personal Location Budget
J. Child Star
E. Location
K. Post Production Schedule
F. Pre-Production Budget
6. What do you think are your opponent’s BATNA, Reservation Price and Target Price for each
issue?
- Opponent’s BATNA
Cooperate with another director
- Opponent’s reservation point for each issue
Issue
Directors Base Salary
Pre-Production Budget
Post Production Schedule
Directors Bonus: %Gross
Reservation Point
$700,000
$400,000
6 months
10%
Child Star
Daniel
- Opponent’s target point for each issue
Issue
Target Price
Directors Base Salary
$500,000
Pre-Production Budget
$300,000
Post Production Schedule 2 months
Directors Bonus: %Gross 5%
Child Star
Daniel
Issue
Male Lead
Location
Female Lead
Personal Location
Budget
Production Designer
Editorial Control
Reservation Point
Denzel
1 exotic location
Cameron
800
Issue
Male Lead
Location
Female Lead
Personal Location
Budget
Production Designer
Editorial Control
Target Price
Tom Cruse
Hollywood sets
Jennifer
500
7. What is your opening offer for each issue? Why?
Issue
Opening offer
Issue
Directors Base Salary
$750,000
Male Lead
Pre-Production Budget
$500,000
Location
Post Production Schedule 6 months
Female Lead
Directors Bonus: %Gross 15%
Personal Location
Budget
Child Star
Dakota
Production Designer
Editorial Control
Open a higher offer to compromise easier for the future offer.
Rebecca
Very limited rights
Anita
Shares equally
Opening offer
Tom
2 sets
Angelina
800
Sandra
NA has no say
8. What is your overall strategy (e.g., competitive, collaborative, compromising, accommodative,
or avoiding)? Why?
Collaborative. Making a film will be a win-win situation if both parties, the producer and the
director can come up a final solution on selecting the suitable actors and editors and the other
things. The box office performance is the outcome for them. The higher the revenue the better
results.
9. Who are the opposing negotiators? What is their preferred negotiating style (if you know their
reputation)? Why do you think so?
The opposing negotiators are the producers. They are also preferring a collaborative negotiating
style. They want to take the advantage on me to make a high revenue film. That’s why they will
not make very low offer to me.
10. What protocol (process issues) needs to be followed in conducting this negotiation and
enforcing its resolution? Why? Please list at least three issues on protocol.
Group the issue together and discuss. Do not negotiate it one by one. It will make the issue very
complicated. Tell all the target price to the opponent first before negotiate in detail.
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