ABSTRACT

In this simulation the clothing manufacturer needs a price increase in a situation where the fashion buyer, which ultimately sells on the products in a highly competitive and sluggish market, is keen to hold prices steady. This chapter discusses a case study of High Class Fashions which is used for negotiation training. The financial windfall gain to High Class Fashions from favourable currency movements is also an irritant, although not a financial loss to Fosdean which is likely to feel aggrieved that its supplier also wants a price increase for the coming year and has a quality issue hanging over its head. Packaging is associated with the proposal and bargaining phases of the negotiation. It involves linking issues to search for the acceptable combination of proposed solutions without going beyond the exit points of the negotiators. Variations in the combinations of issues can help produce acceptable solutions while keeping the interests of each party intact.