Foundation Case Study: Negotiations
Ability to gain alignment between internal and external parties, while achieving positive business results
Foundation Level:
Understands potential alignment gaps and determines negotiation guardrails to achieve desired results
This is an interactive activity with a partner. Each will have a role either a buyer or seller. Determine your role and prepare for the meeting. Once you are prepared, set a meeting with your partner to conduct the meeting.
Seller
Background:
You are the sales rep for Proctor and Gamble on the paper desk. Your boss feels that your sales should be stronger in a large national account you call on. He blames the fact that you are under-spaced in the stores and that the retailer is taking space away from P&G and giving it to your competitors. You have been challenged to get 3 additional skus in distribution. You are not allowed to pay any higher than the slotting rate you have funded in the past.
Objective:
If you can achieve distribution on all 3 skus you are authorized to add 5 additional cents scan to each promotion you run throughout the remainder of the year. Also, the brand team has recently sent out a communication allocating $50,000 for every time you can execute a pallet drop within the stores. However, you are only allowed to provide this funding if the retailer asks . The marketing department has a new program in place where they will pay an additional lump sum of $25,000 if retailers use digital coupons on paper towels and tag the digital coupon in their ad. Much like the pallet program these funds should not be provided to the retailer unless they ask .
Conversely, if you cannot achieve the 3 additional skus you have been instructed to pull 3 ads from the back half program.
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