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BusinessNegotiationEnglish
ModulesofBusinessNegotiationBusinessNegotiationEnglish
M1ObjectivesAcceptance&ConclusionofaContractSimulatedNegotiationObjectivesAcceptance&Conclu2Acceptance&ConclusionofaContractAnacceptanceistheunconditionalagreementtoanoffer.Adealisconcludedwhenthebuyeracceptstheseller’sfirmoffer/softoffer.Inmostofthecases,anacceptanceismadeintheformofanotice;acceptancecanalsobemadebyacts.Acceptance&ConclusionofaC3TheContractLawAnofferorisinanunfetteredpositiontorequiretheformofacceptance.Anacceptancebecomeseffectiveuponreachingtheofferor;Inthecaseofacceptancebyacts,itcomesintoforceupontheoffereehavingtakentheacts.TheContractLawAnofferoris4NecessaryanalysisaftertheacceptanceThestatementofacceptancemustbemadebytheofferee.Noresponseorsilenceisnolongertreatedasaformalacceptance.Theacceptancemustbeinfullagreementwiththeformaloffer.Reservedassent,additionorreductionoftheformalofferisnotarealacceptance.Theacceptancemustbemadewithinthedateofvalidityoftheoffer.Necessaryanalysisafterthea5WrittenContractTheirrightsandobligationThepriceTermsConditionsforthesaleofgoods/equipment/otherproductsWrittenContractTheirrightsa6CurrentPracticeinChinaPlacingthecompany’schoponthecontractSignatureConfirmationsignedifacontractisconcludedthroughcorrespondenceCurrentPracticeinChinaPlaci7GuidelinesforclosingthenegotiationprofessionallyKeepinmindthataproperclosingofnegotiationisneverdoneinahurry.Askyourselfthequestion:WHOgetsHOWMUCH,ofWHAT,WHEN?Keyelements:paymentterms,obligationsofthepartiesrepresentations,warranties,conditionstoclosingthedeal,liabilityissues,remedies,terminationrightsGuidelinesforclosingtheneg8Guidelinesforclosingthenegotiationprofessionally3.Besidespaymentobligations,abusinesscontractusuallyspellsoutvariousobligationsofeachparty.*Whatiseachpartyobligatedtodo?*Bywhatdatemusttheobligationsbeperformed?*Whatqualitystandardsmustbemetfortheobligationstobedeemedfullycompleted?Guidelinesforclosingtheneg9Guidelinesforclosingthenegotiationprofessionally4.Unresolvedissuesshouldnotbe“fudged”byproducingvagueorambiguouswordinginordertoachieveapparentagreement.5.Anagreementisnotsuccessfuluntilithasbeeneffectivelyimplemented.Animplementationprogramwilldefinewhathastobedone,whenandbywhom.Guidelinesforclosingtheneg10ManagingTimeTwocommonpatterns:*Theagreementcomestogetheratthelastminute.*Bothpartiesreachagreementonsomeoftheeasierissuesearlyonintheprocesswhiletheremainingdifficultissuesareresolvedatthelastminute.ManagingTimeTwocommonpatter11ConfirmwhatisnegotiatedWe’regoingtodrawupthecontractaccordingtowhatwehavediscussed.Toavoidanymistakes,shallwereviewthepointswehaveagreedon?Beforetheformalcontractisdrawnup,we’dliketorestatethemainpointsoftheagreement.ShipmentmustbemadewithinonemonthafterreceiptofourL/C.Isthatright?ConfirmwhatisnegotiatedWe’r124.Arbitration,ifnecessary,willbeheldinSweden.That’swhatwe’veagreedupon,isn’tit?5.You’regoingtopackthemachinesinstrongnewwoodencases,aren’tyou?6.Let’sgooverthetermsandconditionsofthecontracttoseeifeverythingisallright.4.Arbitration,ifnecessary,13Reviewthetermsinthecontract1.We’llpreparethecontractaccordingtotheresultsofourdiscussion.Toavoidanypossiblemistakes,mayIrepeatwhatwehaveagreedupon?2.Wehavereachedanagreementonthetermsforthecontractingeneralandwearegoingtopreparethecontractaccordingtowhatwehaveagreedupon.Buttoensurethatnomistakesaremade,shallwerepeatallthetermswehavediscussed?Reviewthetermsinthecontra143.Shallwegooverthetermsandconditionsofthecontracttoseeifweagreeonalltheparticulars?4.Beforewesignthecontract,let’scheckthetermsandconditionsofthecontractoncemoresoastoavoidanydisputeoversomeminordetailsinthefuture.3.Shallwegoovertheterms15Asktheotherpartytogothroughthecontract1.We’llhavethecontractsenttoyourhotelforyoutogothrough.2.Hereisthecontractwehaveprepared.Pleasetakealookatitbeforeyousign.3.Here’sthesalescontractwedraftedaccordingtotheresultsofournegotiation.Pleasehavealookatthecontracttoseeifthere’sanythingmissing.Asktheotherpartytogothro164.We’vemadeadraftofthecontractaccordingtowhatwehavediscussed.Pleasegothroughthecontracttoseeifthere’sanythingthatshouldberevised/modified/rewritten.4.We’vemadeadraftofthec17Asktomodifysomeoftheterms1.Everythingseemstobesatisfactoryexceptthatonepointismissing.2.Ithinktheshipmentclauseshouldbemodified.3.Ithinkonemoreprovisionshouldbeaddedregardingcommodityinspection.4.MayIsuggestthatyouputdowninthecontract“Shipmentistobemadein2equallotsduringJuneandJulyrespectively,2014”?Asktomodifysomeoftheterm18CloseanegotiationWe’regladthatthedealhascomeoffnicelyandhopetherewillbemoretocome.I’mgladthatwehavebroughtthistransactiontoasuccessfulconclusion.Ihopethiswillbetheforerunnerofothertransactionsinfuture.I’mgladournegotiationhascometoasuccessfulend.Let’shopeit’sthebeginningofarichandfruitfulcooperation.CloseanegotiationWe’reglad194.I’mgladthatourtalkisveryfruitful.Let’shopeit’sthebeginningofalong-termrelationship.5.Congratulations!Ihopethiswillbethepreludetobettercooperation.6.Let’shopethateverythingwillgosmoothlyduringtheexecutionofthecontract.7.I’mlookingforwardtomorecooperationinfutureandfurtherexpansionofourtraderelation.4.I’mgladthatourtalkisv20Congratulations1.Let’scongratulateourselvesonhavingbroughtthistransactiontoasuccessfulconclusion.2.I’mgladthatournegotiation/talkhascometoasuccessfulconclusion.3.Ihopeeverythingwillbesatisfactoryduringtheexecutionofthecontract.Congratulations1.Let’scongra214.I’msogladthatournegotiationhasbeenveryfruitful.5.Ithinkthesuccessofthisfirstdealwillpavethewayforfuturebusiness.4.I’msogladthatournegoti22SamplenegotiationL:Goodmorning,MrSmith.S:Goodmorning,Mr.Li.L:Anygoodnewsforus?S:Yes,Ihavesucceededinpersuadingmybosstogiveyoua15%discount.Hemadeanexceptioninthiscasewithaneyetofuturebusiness.L:Thankyouforyourefforts.S:Nowletmerepeatouroffer:30setsofXS307toposcope,specificationsasshowninthesalesliterature,at25000USdollars,FOBNewYork.SamplenegotiationL:Goodmorn23L:Quiteright.Ifthere’snothingelse,Ithinkwe’vesettledeverything.S:I’mverygladwehavebroughtthistransactiontoasuccessfulconclusion.Ihopethisisthebeginningofalongandprosperousrelationship.L:Beforepreparingthecontract,shallwegoovertheothertermsandconditionsagaintoseeifthere’sanymisunderstandingorifthereisanythingmissing?L:Quiteright.Ifthere’snot24S:That’sjustwhatI’mthinkingof.L:AsIunderstandit,paymentwillbemadebyconfirmed,irrevocableL/CpayableagainstshippingdocumentsandtheL/Cistobeopened30daysbeforeshipment.AmIright?S:Yes.Andwewouldliketomakeitclearthattheletterofcreditmustbevaliduntilthe15thdayaftershipment,becauseweusuallyneedaweekorsotogetalltheshippingdocumentsreadyforpresentationandnegotiation.S:That’sjustwhatI’mthinki25L:Noproblem.S:Astodelivery,wehaveagreedthatthemedicalinstrumentswillbedeliverednotlaterthantheendofJune.Andyouwillinformus15daysbeforeshipmentoftheship’snameandthesailingdate.L:Absolutely.Whataboutpacking?S:Themedicalinstrumentswillbepackedincartons.L:Cartons?I’mafraidcartonsmaynotbestrongenoughforsuchaheavyloadandtheymaynotstandshockandroughhandling.L:Noproblem.26S:Oh,youdon’thavetoworryaboutthat.Weusemetalanglestoreinforcethefourcornersofeachcartonandreinforcethemwithmetalstrapsoutside.Insidethecartons,weusehardfermentedplasticpaddingstofixtheinstruments.SoIthinkthey’llbequiteseaworthy.L:Thenpleaseseetoitthatthecartonsarestenciledwith“Fragile”and“handlewithcare”.S:Youcanrestassuredofthat.Asforinspection,itistobecarriedoutbyoneofoursurveyors.Theirreportwillbepartofthedocumentstobepresentedfornegotiation.S:Oh,youdon’thavetoworry27L:Thebuyerhastherightofreinspection.Iftheyfindthequalityorquantityofthegoodsnotinconformitywiththosestipulatedinthecontract,theywilllodgeaclaimagainsttheseller.S:Yes,buttheclaimmustbelodgedwithin30daysafterthearrivalofthegoodsattheportofdestination.L:Andanydisputes,ifunsettled,willbereferredtotheForeignTradeArbitrationCommissionoftheChinaCouncilforthePromotionofInternationalTrade.S:Yes,butIhopetherewillbenooccasionforarbitrationatall.L:Thebuyerhastherightof28L:Well,wehaveagreedonallthemajorpoints.Whenshallwesignthecontract?S:Howabouttomorrowafternoonat5?I’llhaveacopysenttoyoutomorrowmorningforyoutogothrough.Aftersigningthecontract,we’llhavedinnertogether.L:That’sfine.Youhavebeenveryconsiderate.Seeyoutomorrowafternoon.S:Seeyou.L:Well,wehaveagreedonall29SimulatedNegotiationOffer:XCI120machinetools,50sets,atUS$4500perset,CIFLouisPaymentDeliveryPackingInspectionDisputesClaimSigningthecontractSimulatedNegotiationOffer:XC30Simul
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