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Blue Star: The Compressor Conundrum
內容大綱
Blue Star, based in Mumbai, was one of India’s leading multinational companies and manufacturers of air conditioning and refrigeration systems. It faced a key challenge to reduce the cost of compressors, a major component of air conditioners. Its supplier was Beijing Cooling Systems (BCS), one of the world's largest manufacturers of compressors. Blue Star’s need for cost reduction was pivotal to the negotiation, but BCS also had a position of strength as a seemingly-indispensable supplier of compressor technology. This created a complex scenario where the Blue Star team had to negotiate skillfully to achieve the desired cost reduction without compromising its crucial partnership with BCS.
學習目標
The case was created with a graduate-level business negotiation and pricing course in mind. It offers participants practical insights into the complexities of real-world procurement negotiations, honing their negotiation skills and strategic thinking for future business scenarios. Upon completion of the case and assignment questions, students will be able to do the following: <ul><li>Understand the importance and process of a price negotiation, including determining the best alternative to a negotiated agreement (BATNA).</li><li>Use the Lewicki and Hiam negotiation model to understand different approaches.</li><li>Navigate intercultural challenges sensitively in a high-stakes negotiation.</li></ul>