9.2 Negotiating Reading 1 Reading the following extract from Getting past no by Willam Ury. How could the AT&T negotiator have avoided this breakdown in communication?An AT&T sales team was negotiating to sell Boeing a new telecommunications system valued at $150 million. The sales team made a persuasive pitch on the kind of service to be delivered, the companys prompt response to problems, and the speed of repairs.Then the Boeing purchasing director said,“Fine. Now put each one of your promises in writing. And we want guarantees that if the system isnt fixed on time, youll pay us damages.”Well make our best efforts, replied the AT&T sales chief, but we cant be held liable for all the things that can go wrong. Lightning can strikeYoure fooling around with us! interrupted the Boeing negotiator, losing his temper. First you tell us about your servicesnow youre not willing to commit yourself to what you promised!Thats not true! protested the sales chief, aghast at the turn in the negotiation. Let me see if I can explain But the Boeing negotiator refused to listen. Youre not negotiating in good faith! he complained. We cant deal with you.2Read the advice that William Ury gives following this story. Do you agree with it? Are there situations where you simply cannot continue negotiating?To break through your opponents resistance you need to reverse the dynamic. If you want him to acknowledge your point, acknowledge his first. To get him to agree with you , begin by agreeing with him wherever you can.3Study the following phrases. Which do you think would have been a good response to the Boeing executives request tp put all his promises in writing? A That would be no problem for us. B I think we both know that in practice that would be almost impossible to work out. C I think thats fair request and Ill see what we can do. D In principle, that sounds OK, but I would have to speak to my people before agreeing the details. E OK, but what would you be able to do for us in return? F Interesting question, but just put yourself in our shoes and I think you know the answer.4Write your own response.SPEAKINGBusiness angels : a negotiation 5This is a negotiation between entrepreneurs who have a new product to develop and business angels who are looking for investment opportunities. Work in groups of four(two entrepreneurs and two business angels). Read the instructions for your group below and decide which aspects of the product each of you is going to present(entrepreneurs)or to ask about(angels). Prepare for the meeting.Entrepreneurs The product You have developed a lightweight paper parasol. It has a telescopic cardboard handle so that it can be carried or planted in the ground to give protection from the sun. It is cheap to manufacture($1per unit) and could retail at just $6. The design has an international patent.The market It can be used at all types of outdoor summer events: prices, garden parties, music festivals, porting events, etc. It can be printed in one of four standard designs or with a custom-made design. So an event sponsor could have his own corporate logo and message printed on it. You expect to sell 50,000 units in the first year.You needs You are looking for an investment of $120,000 to build a management team and to market the product. You are prepared to sell 20%of the company for this investment. You would also welcome the advice of the business angels in how best to bring the product to market.Business angels You each invest on average $2 million per year in new product innovations and start-ups. Of these only 15%are successful. You always try to protect your investment by: either selling the business quickly if the products do not take off, or by investing with another business angel. the value of the product at the moment(parents, any sales or contracts to date). the potential size of the market for the product. the ability of the entrepreneurs to sell their idea. the ability of the entrepreneurs to manage the company.6Did you reach an agreement? Which factors were most important when reaching your decision? What did you think of the negotiating style of the other side?9.3 Reading and Listening Tests: Part ThreeEXAM FORMAT Part Three of the Reading Test and Listening Test practice the same skill: our ability to interpret the main ideas being communicated and to find an answer which paraphrases what is actually written or said.Part Three of the Reading Test is a long business-related article or text (500-600 words) followed by six 4-optin multiple choice questions. Part Three of the Listening Test is a dialogue with two or more speakers followed by eight 3-option muitiple choice questions.This section uses the Reading Test as an example.APPROACH Follow these steps. Reading the instructions twice and make sure you understand the context of the passage and what you are being asked to do. Skim read the tex