D. Lavelli Argumentative Essay
Your Role: D. Lavelli —Buyer….. Time: today
You own a car repair garage and a large field abutting a regional landing strip for single engine planes, are a very good mechanic and as a former Navy pilot you continued your flying as a civilian. You recently purchased your first plane, a 20 year old Wright Wingaway, for only $8500. This is a classic model and highly regarded. The engine, unfortunately, was in disrepair but the body was basically sound although scratched; you could fix it yourself. You are thinking very seriously about starting a new chartering business as a side business to your garage.
While working on the plane, you concluded the engine was far worse than expected; many engine parts needed replacing or reconditioning. Factory parts are no …show more content…
longer available although recondition parts are available although expensive. Second hand parts can often be obtained although considerable time is often needed to find the right part. You estimate you could obtain all the parts for $12,000. This doesn’t count your time which is limited. This figure could be reduced by $3000 to $5000 if you can find second hand parts. You would prefer not to take the time and would prefer not to use second hand parts. However, getting the money will be very hard.
Last week, you were at the Bedford Airport and noticed a sign indicating that a M. Graham was offering a damaged 10 year old Wright Flyabout for sale on a best offer basis. The Flyabout replaced the Wingaway fifteen years ago; the planes are very similar, with several major design improvements in the Flyabout. Virtually all of the engine parts are interchangeable between the two models. The engines are interchangeable.
You examined Graham's Flyabout last weekend. The plane had been vandalized recently. While the wing and body damage was severe, you were pleased to see the engine had been very well maintained and in excellent (mechanic certified) condition. You are certain the parts from it that you need would be as satisfactory as those you could get reconditioned or second-hand. You also found other parts you could cannibalize to improve your Wingaway. Of particular interest is the 3 year old Supercrafter 507XB two way radio. This lists for $1000 new. Overall, purchasing the Flyabout seems a very good idea if you can get it for a reasonable price. The logbook is available.
Graham said very little when you inspected his Flyabout.
He mentioned that the engine was in excellent condition and suggested that if you were able to do the body repairs on his plane yourself, his plane could be put in flying condition for only $5000 or $6000 in parts and equipment. You know that a ten year old Flyabout in flying condition is worth from $30,000-$35,000. Graham refused to give you a price, asking instead for an offer. You told him that you would have to think about it and said you would contact him shortly. He agreed to let you know before he decided to sell the plane elsewhere.
Earlier today Graham called to tell you that he had received an interesting offer for his Flyabout and promised to make a decision tomorrow. You told him you'd stop by today. It is important to you to be able to strike a bargain as you are anxious to get your Wingaway flying, and don't like the prospect of having to search out the replacement parts. However, you have concluded that there is no way you could put your hands on more than $12,000 cash immediately. Adding pressure is the fact that you the time is about up for you to have this plane ready for the charter season.
Key points to
remember:
You need to either buy an engine or repair your engine on your Wingaway
Parts would cost $7,000-$9,000 used or about $12,000 new; your time is limited
You only have access to $12,000 cash now
You would like a deal; you need to get your plane going for charter season.
Instructions: After reading this role play, fill out the Negotiation Plan and the questions below and prepare for the negotiation with O. Graham
1. What is your target price-desired price $__________________
2. What is your walk away(reservation price-the most you will pay) $__________________ This is your BATNA (Best Alternative to a Negotiated Agreement)
3. What will be your initial price $_______________________
(answer after the negotiation) 4. ______Final Price Terms (if any)
5. if you deadlocked what was your last offer?___________ seller's last offer before the impasse $_______ (26.wright1) This role play was originally written by Professor Philip McDonald and revised by Professor Edward Wertheim, Northeastern University, 1992
You own a car repair garage and a large field abutting a regional landing strip for single engine planes, are a very good mechanic and as a former Navy pilot you continued your flying as a civilian. You recently purchased your first plane, a 20 year old Wright Wingaway, for only $8500. This is a classic model and highly regarded. The engine, unfortunately, was in disrepair but the body was basically sound although scratched; you could fix it yourself. You are thinking very seriously about starting a new chartering business as a side business to your garage.
While working on the plane, you concluded the engine was far worse than expected; many engine parts needed replacing or reconditioning. Factory parts are no …show more content…
longer available although recondition parts are available although expensive. Second hand parts can often be obtained although considerable time is often needed to find the right part. You estimate you could obtain all the parts for $12,000. This doesn’t count your time which is limited. This figure could be reduced by $3000 to $5000 if you can find second hand parts. You would prefer not to take the time and would prefer not to use second hand parts. However, getting the money will be very hard.
Last week, you were at the Bedford Airport and noticed a sign indicating that a M. Graham was offering a damaged 10 year old Wright Flyabout for sale on a best offer basis. The Flyabout replaced the Wingaway fifteen years ago; the planes are very similar, with several major design improvements in the Flyabout. Virtually all of the engine parts are interchangeable between the two models. The engines are interchangeable.
You examined Graham's Flyabout last weekend. The plane had been vandalized recently. While the wing and body damage was severe, you were pleased to see the engine had been very well maintained and in excellent (mechanic certified) condition. You are certain the parts from it that you need would be as satisfactory as those you could get reconditioned or second-hand. You also found other parts you could cannibalize to improve your Wingaway. Of particular interest is the 3 year old Supercrafter 507XB two way radio. This lists for $1000 new. Overall, purchasing the Flyabout seems a very good idea if you can get it for a reasonable price. The logbook is available.
Graham said very little when you inspected his Flyabout.
He mentioned that the engine was in excellent condition and suggested that if you were able to do the body repairs on his plane yourself, his plane could be put in flying condition for only $5000 or $6000 in parts and equipment. You know that a ten year old Flyabout in flying condition is worth from $30,000-$35,000. Graham refused to give you a price, asking instead for an offer. You told him that you would have to think about it and said you would contact him shortly. He agreed to let you know before he decided to sell the plane elsewhere.
Earlier today Graham called to tell you that he had received an interesting offer for his Flyabout and promised to make a decision tomorrow. You told him you'd stop by today. It is important to you to be able to strike a bargain as you are anxious to get your Wingaway flying, and don't like the prospect of having to search out the replacement parts. However, you have concluded that there is no way you could put your hands on more than $12,000 cash immediately. Adding pressure is the fact that you the time is about up for you to have this plane ready for the charter season.
Key points to
remember:
You need to either buy an engine or repair your engine on your Wingaway
Parts would cost $7,000-$9,000 used or about $12,000 new; your time is limited
You only have access to $12,000 cash now
You would like a deal; you need to get your plane going for charter season.
Instructions: After reading this role play, fill out the Negotiation Plan and the questions below and prepare for the negotiation with O. Graham
1. What is your target price-desired price $__________________
2. What is your walk away(reservation price-the most you will pay) $__________________ This is your BATNA (Best Alternative to a Negotiated Agreement)
3. What will be your initial price $_______________________
(answer after the negotiation) 4. ______Final Price Terms (if any)
5. if you deadlocked what was your last offer?___________ seller's last offer before the impasse $_______ (26.wright1) This role play was originally written by Professor Philip McDonald and revised by Professor Edward Wertheim, Northeastern University, 1992