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Negotiation Team 12
Negotiation Team 12
Nominal price
Payment schedule
Service provision
Delivery date
Service provision
Level two service
Level three service
Level four service
Payment schedule
Front-loaded
Level payments
Back-loaded
Analysis Done
Nominal Price - As put up during the earlier round of
negotiation, the purchase price was $5,000,000. We had
prepared to try and bring that down to $3,500,000 as normal
bargaining.
Schedule of Payments - Initially it was decided to have back
loaded payments. We went with an intention of earning better
discounts by making them front loaded payments or level
payments
Service - Standard service was agreed upon. But as this is
specialized machinery, we would require complete service
coverage, which was a level 4-service level. We needed to
negotiate the service price
$5,000,000
Back-loaded installments
Standard
Six months from date of contr
k-loaded installments
FINAL DEAL
Nominal price
5,500,000.00
Payment schedule
Service provision
Delivery date