Universidad de La Sabana

CASE STUDY: Barcelona and PSG Football negotiation

PRESENTED BY:

FRANCISCO JAVIER VARGAS

PRESENTED TO:

STEPHAND LANGDON

FOR THE INTERNATIONAL NEGOTIATION COURSE

EICEA

Chía, Cundinamarca

2021
Content
Introduction...................................................................................................................................3
Background of FC Barcelona and PSG...........................................................................................3
Negotiation between FC Barcelona and PSG club.........................................................................4
Conclusion......................................................................................................................................6
References.........................................................................................................................................7
Introduction

The objective of this case study is to explain how the integrative type of negotiation strategy can
be evidenced and how it works, explaining and observing, how was the negotiation of the transfer
of the young promise Neymar Da Silva, who played for FC Barcelona in the year 2013, after being
sold to the French team PSG in the year 2017. Therefore, it is necessary and important to
contextualize to understand how this type of negotiation works in this type of environment as it is
a football transfer season in the European market in a concrete way.

According to the EJKM article, it mentions how the focus of integrative negotiations is that the
agreement must be fair and positive for both parties so that both are satisfied because the set
objectives have been achieved. With this, good results can be achieved, with both getting a benefit
in part to their interests.

As mentioned above, in integrative negotiation the results go hand in hand with the interests of
both parties, in our case, the financial part of the player and in the other growth both financially
and as a soccer institution, by bringing to the team a player with unique characteristics and
essential skills.

In integrative negotiations, they allow negotiators to achieve greater utility, allow negotiators to
avoid possible deadlocks, are more stable over time, promote harmonious relations between the
parties and contribute to the welfare of the community in general. (Thompson, 1990, p. 717).

Background of FC Barcelona and PSG

Barcelona is a Spanish club from the city of Barcelona, a club with a history of titles and glory, with
world-class players such as Romario, Ronaldo, among others. Standing out as a team with a lot of
history, obtaining Neymar Jr. from Santos of Brazil in 2014, managing to maintain a recession
clause for 222 million euros in case any European club wished to obtain him for his characteristics
on the field.

With the arrival of José María Bartomeu, he would become the president of the Barcelona club in
2014, during his time as president, he achieved the second treble achieved in its history 2014/15,
winning the league, the king's cup, the UEFA Champions League. Although, on the other hand,
would be developing an increase in both financial and communication problems by the
organization with the team, and thus increasing the financial deficit that would be having the club.
(FC Barcelona, 2021)

Paris Saint-Germain a French team bought by the current President Nasser Al-Khelaifi would arrive
in an unknown way thanks to the purchase of the club by the emir of Qatar in 2011, giving
confidence to Qatar Sports Investments (QSI), with its objective to make the French team grow
and show it at the world level as a high-class team. (El Mundo, 2021).

Its ambitions and its high monetary capacity would make it a rich team excelling in the transfer
market of the current year 2017-18, managing to purchase outstanding players such as Kylian
Mbappé coming from A.S Monaco and aiming to buy a player with similar characteristics and thus
being able to fulfil its expectations leaving being a small team, but entering to be one of the best in
the world.

Negotiation between FC Barcelona and PSG Football club.

In the year 2017, jumped the bomb of the summer which was nothing more and nothing less than
the purchase of Neymar Jr. by the Parisian club by the payment of the recession clause that had
the club for the sum of 222 million euros, this negotiation took place due to the mandatory
payment of this clause for the purchase in a direct way of the Brazilian player. The president
together with the directors of FC Barcelona had to accept this negotiation by PSG, to comply with
the interests of the club to be able to have Neymar Jr. in their squad.

On the other hand, the interests that both the president and the board of directors of the French
club had, were due to the purchasing power that this club has and the potential that this player
could give to the club and thus have greater chances of becoming champions not only of the Ligue
1 but also of other international titles, for example, the title of winning the Champions Cup.

This negotiation between the management of both teams would meet the interests of both teams
for decisions taken this year. The happiness of the French club is to be able to show in its squad a
team of world-class players, such as Cavani, Di Maria, Dani Alves, among others.

On the other hand, Neymar's manager put in part of his interests, so that this negotiation would
be more effective, looking for both monetary benefits and recognition on the field.
Neymar Santos Sr, father of Neymar Da Silva is the current manager of the Brazilian star, who has
maintained continuity in control and football management of his son since his beginnings in
soccer, from his arrival to Santos of Brazil, his arrival to FC Barcelona and finally to PSG.

Neymar Sr more than just offering his son the opportunities to grow in soccer, he gave him
support in the various negotiations that have taken place throughout his professional career,
Neymar Jr has achieved most of the professional titles such as the Champions League, the
American Cup, among others.

The following graphs show how the Brazilian star managed to improve his income thanks to the
negotiation of Barcelona with PSG and how were the interests of both teams.

By my authorship
 By my authorship

As seen in the graph, as the common interests of both parties are related to achieving a better
agreement, it is seen how the financial problems of Barcelona and the purchasing power of PSG,
help them to find the interest that both have "Money". With this, they achieve that the
negotiation is developed so that both parties get what they are looking for.

In addition, create resources by identifying additional value, benefits, and additional resources,
making integrative negotiation possible. Additional resources making integrative bargaining
possible. Pruit and Rubin (1999). This was the case considered by both clubs and Neymar's
manager.

Signing a contract for five years, thus earning around €30 million after taxes, thus managing to
improve his income concerning the €25 million he earned at the Catalan club. These benefits were
achieved thanks to the interests of PSG, FC Barcelona, and the player's manager, who helped
organize his interests as a player for the development of the contract with the club.
Conclusion

To conclude, the agreement of both organizations was the result of how an integrative negotiation
can be established. In which both clubs achieved their interests although in a certain way FC
Barcelona was the one that achieved the least value because of its financial deficit that was
managing in these years, was in a way to reduce this deficit. In any case, it would remain with
financial problems, while PSG would get the dream player. They were looking for improving their
roster and thus stand out internationally as an outstanding team.

This type of negotiation also shows how both parties seek to satisfy their interests, in an effective
way, fulfilling both their wishes and making the process the most appropriate one. Achieving as a
goal, in this case, the money is a quick way out of both financial problems and obtaining a high-
class player.

This sort of negotiation can be seen in this type of scenarios, this search of interests makes the
teams make different negotiations to meet both the wishes of the players and the club. Seeing
how most teams change prices or modify them so that they can reach this coveted agreement to
obtain the player that promises so much for the benefits of the sports club.
References

 Nasser Al-Khelaifi, presidente del PSG: el hijo tenista de un pescador de perlas de Doha

que ha fichado a Messi. (2021, August 11). Retrieved August 20, 2021, from Elmundo.es

website:

https://www.elmundo.es/loc/famosos/2021/08/12/6113ffcffdddff654f8b4674.html

 Lopez-Fresno, P., Savolainen, T., & Miranda, S. (2018). Role of Trust in Integrative

Negotiations. Electronic Journal of Knowledge Management, 16(1), 13–22.

 Dévényi, M. (n.d.). The role of integrative strategies and tactics in HR negotiations.

Retrieved August 20, 2021, from Ceon.rs website:

https://scindeks-clanci.ceon.rs/data/pdf/1821-3448/2016/1821-34481602032D.pdf

 Neymar firma por 5 años con el PSG tras pagar el club francés más de US$260 millones por
la rescisión del contrato del jugador con el Barcelona. (2017, August 3). BBC. Retrieved
from https://www.bbc.com/mundo/deportes-40820647

 Benetti, S., Ogliastri, E., & Caputo, A. (2021). Distributive/integrative negotiation strategies

in cross-cultural contexts: a comparative study of the USA and Italy. Journal of

Management & Organization, 1–23.

 Lewicki, R., Barry, B., & Saunders, D. (2015). Negotiation.

 Essa, S. A. G., Dekker, H. C., & Groot, T. L. C. M. (2018). Your gain my pain? The effects of
accounting information in uncertain negotiations. Management Accounting Research, 41,
20–42. https://doi-org.ez.unisabana.edu.co/10.1016/j.mar.2018.02.002
 Presidentes del Barça. (n.d.). Retrieved August 18, 2021, from Fcbarcelona.es website:

https://www.fcbarcelona.es/es/club/historia/presidentes

 Sitio Oficial del Paris Saint-Germain. (n.d.). Retrieved August 18, 2021, from Psg.fr website:

https://es.psg.fr/