Reference no: EM132860588

Question - An international student who arrived in Canada last fall, has experienced the reality of Canadian winters in New Brunswick. The snow, wind, cold temperatures and freezing rain has made the student realize that, indeed, a good, warm winter coat is required to be happy and warm during the winter months. The student researched, winter coats on-line and in stores to discover that the price range can be from $50 to $200 for a coat. The student has also determined that a $50 coat may only provide minimal warmth while the $200 coat would indeed serve the student's needs very well.

The student has found a coat that would be the ideal coat (right colour, right fit, excellent warming qualities and available immediately). The coat has been handmade by local craftsman, who also has a selection of handmade hats, scarves and mitts. The price of the coat is $180. Since the student discovered the coat at a market, it is anticipated that there would likely be the opportunity to bargain with the vendor.

With money being a significant factor in determining the purchase of this coat, negotiating position for the student, with the hopes of purchasing the coat for the best deal that they possibly can.

1. Identify target price.

2. Identify opening offer.

3. Identify resistance point

4. Identify BATNA.

5. How was BATNA determined?

6. How would justify offer to the craftsman and how would counter an argument from the craftsman?