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Case Analysis for Pemberton’s Dilemma Case Analysis for Pemberton’s Dilemma Business Negotiating X451.3 UC Berkeley Extension – Business and Technology The Pemberton’s Dilemma was an excellent illustration of team negotiation of solving a problem together as opposed to attacking each other. Once each team realized that their mutual enemy is not each other but the metropolitan shopping mall, then the solution of working together to reach maximize profit becomes quite obvious. Overall, our management team successfully persuaded the other management team to close both stores to be profitable at the end, and most importantly we earned each other’s trust during the negotiating process to develop a long term relationship. After careful examining our options of closing or opening the store during the weekend, our store management team realized that the only mutually beneficial option is to have both stores closed; hence we were naïve to assume that the other store would think and behave as we do. When we saw the other store opened during the first Sunday while we lost $40k for closing the store, we had to change our strategy very quick before the second Sunday arrives. There was a brief chaos; everyone was talking and expressing our opinions at the same time, everyone was eager to offer solutions without listening to each other. We decided that the other store gave us no option; we had to open our shop and lose only $20k vs $40k per weekend. “If the bad news is that you contribute to the vicious cycle of action and reaction, the good news is that you have the power to break the cycle at any time-unilaterally.” (Getting Past No, William Ury, page 36). After week 4 and $120k in the red, our team quickly regrouped and decided to send out team leader to negotiate with the other store manager a win-win
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