/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.
