Post Mortem #3

In preparation to negotiate a merger between AAA HotelCo and Lambert Hotels, my team and I determined that both party’s interests complemented one another. For example, Lambert desired a presence in Brazil and AAA wished to gain access to the lucrative tourist market in the United States. Therefore, we were confident we could strike a deal and achieve these interests. However, due to the significant risks associated with the investment, both parties had several issues they wanted to settle in their favor. As a result, my team and I determined not only AAA’s principal interests, but also our secondary interests, so that we could successfully negotiate a win-win with Lambert. Despite our confidence in striking an integrative negotiation, we next determined our BATNA; AAA HotelCo would not merge with Lambert Hotels, but instead purchase a U.S.-based franchise, Excellent Hotels. Then, accounting for each issue, my team and I determined our reservation point as 300, our target point as 500, and our aspiration point as 750. Next, as suggested by the case, we decided to make an aggressive f...