David Guan

20634302
February 12, 2020
MGMT 6501B
Federated Science Fund Planning Document

1. What are your interests?

My interests are not getting left out of any deal. As the smallest company, I need the money the most
to assure the future success of the firm. Potential critical medical breakthrough in AIDS.

2. What do you think your counterpart's interests are?

Stockman – medium age; largest size; basic research;

interested in improving patents and maybe acquisition and most funding possible; maybe prestige

Turbo – oldest; moderate size; cancer-related technologies; steady output and reliable products;
interested in improving patents and most funding possible

3. Prioritize your interests (most important to least important).

1) Be included in any deal

2) Maximize funding amount allocated to myself

4. Prioritize your counterpart's interests as best you can (most important to least important).

1) Be included in any deal

2) Maximize funding amount allocated to themselves

5. What is your best outside option (if the negotiation ends with “no deal,” i.e., with an
impasse/breakdown)? How much value does it give you?

If no deal/Stockman and Turbo decide to group up, United will get ZERO value.

6. What do you think your counterpart's best outside option is (if the negotiation ends with “no deal,”
i.e., with an impasse/breakdown)? How much value do you think it gives them?

If they are left out of a deal (a two-company deal happens), they receive ZERO value.

7. What is your goal / target / aspirational outcome for this negotiation? (What would you like the
outcome to be?)
 David Guan
20634302
February 12, 2020
MGMT 6501B
My main goal is to be included in any deal. Obviously the more money the better, but don’t want to ruin
reputation by colluding with one other party and then getting backstabbed.

8. What will your strategy be going into the negotiation?

Strategy will be to emphasize United’s innovative technologies and how we are close to a medical
breakthrough in AIDS. Will also suggest that a consortia of all three firms is the most ideal.

9. What do you think your counterpart's strategy will be going into the negotiation?

I believe my counterparts will employ a very similar strategy. However, Turbo has not much incentive to
just group with United because the payout they get from a 2 person deal will always be maximized by
grouping with Stockman. Otherwise, a 3-firm deal should satisfy all parties.