Negotiation is an interpersonal decision-making process necessary whenever we cannot achieve our objective single-handily’ (Thompson, 2005). This post compares two case studies of negotiation and analyses how one has managed negotiation effectively and the other ineffectively.
WHO: Scottish Referendum
WHAT: ‘If you don’t know, then you have to vote No’.
WHEN: Thursday 18 September 2014
RESULT: Scotland remains part of the UK because more people voted No. 55.3% voted No and 44.7% voted Yes. It is said that Gordon Browns speech at the “Love Scotland Vote No” rally in Glasgow swayed the votes towards No to independence. Brown spoke of choosing No because of love for Scotland and love for the future and one point that stood out to many was ‘If you don’t know, then you have to say No.’ The majority of campaigns were targeted at the No or Yes camps and little attention was given for the people who were unsure or had unanswered questions and Brown reaching out to these people is said to have been the tipping point in votes towards No. Political speeches are a great way to negotiate and if done effectively they can make a massive difference, proven by this case study.
WHO: Apple and Samsung
WHAT: Samsung in patent violations of Apple IPhone trial
RESULT: A California jury ruled that Samsung would have to pay Apple more than $1 billion in damages for patent violations of Apple products, particularly its iPhone. However, the negotiation was not handled well and the cost would be further argued until the judge dropped the charge to $600 million. After this the negotiation had still not been settled and in November 2013, another jury ruled that Samsung would have to pay Apple $290 million of the amount overruled by the judge in the 2012 case. Despite the pay-out finally being settled this didn’t resolve the conflict as a court-ordered mediation between the CEOs of the two companies in 2012 ended in impasse and the disputants continue to fight in courts worldwide.
RECCOMMENDATIONS: In terms of Samsung managing to negotiate the cost of the pay-out down lower, there was still the issue that the original negotiation was unsuccessful resulting in the trial lasting longer than necessary. The cost should have been negotiated at the first trial and agreed to by both parties with a coinciding agreement to end the conflict between the organisations to prevent future court cases.
What do you think of these two examples?
What do you think could have been done better to resolve the Samsung vs. Apple negotiation quicker?
Can you think of any examples of negotiation that stand out for being good or bad?
THOMPSON, L. 2005. The mind and heart of the negotiator. Upper Saddle River, N.J.: Pearson/Prentice Hall.
HARVARD LAW SCHOOL, 2015. Top Business Negotiations of 2013: Apple versus Samsung [online] [viewd on 24th February 2015] [Available at: http://www.pon.harvard.edu/daily/business-negotiations/top-business-negotiations-of-2013-apple-versus-samsung/%5D
GOV.UK, 2015. Scottish Independence Referendum Archived [online] [viewd on 24th February 2015] [available at: https://www.gov.uk/government/topical-events/scottish-independence-referendum/about%5D
BROWN, G, 2015. Gordon Brown’s speech at the “Love Scotland Vote No” rally in Glasgow [online] [viewed on 24th February 2015] [available at: http://gordonandsarahbrown.com/2014/09/gordon-browns-speech-at-the-love-scotland-vote-no-rally-in-glasgow/%5D