When negotiating, creating value for both parties will give each party an understanding how working together will create success for both companies. Negotiation don’t stop once the deal …show more content…
has been executed, it continues throughout the term of the contract. Many things happen in 2008 with Adcock Ingram, Tiger Brands and Adcock Ingram split ties because the vision was longer there for both parties. Jonathan Louw knew all too well about being successful in executing many acquisitions under his belt, departing from Tiger Brands was only a stepping stone. With self-determination, he wanted more, expanding into South Africa was the next best move for Adcock Ingram. Surprisingly, in 2008 speculators stated Ciplamed want to expand its pharmaceutical firm, His chance had presented itself or so he thought. Strategically making a proposal for Ciplamed, Louw focuses mainly on expanding the business and nothing more.
When acquiring an acquisition with a company, you have to know their mission, values and their portfolio background.
Present more than what you bring to the table. Showing that both parties are equally important will effectively help gain some momentum in the right direction. Dr. Jonathan Louw was very persistent about executing the acquisition with Ciplamed. He knew gaining the contract would strengthen his organization against his competitor Aspen Pharmacare, which whom Ciplamed was already partner with. Even though Ciplamed withdrew from the meeting with Louw, he still was relentless about achieving Ciplamed as a partner. A meeting of the minds must be present in order to continue …show more content…
negotiations.
When creating the ultimate business deal, building trust is essential to executing the deal.
Meanwhile, Dr. Louw continue to work, without discussing any other key elements with Ciplamed. Louw believe he had the deal. Throughout this time Ciplamed interest no longer existed. Without any more discussions with Ciplamed, Louw continue to move forward setting meeting up with his shareholder to discuss the shares and price offer. With the offer on the table Ciplamed did not respond. Shocked, Louw wanted answers, reaching out to Ciplamed he needed a response. Going back and forth with correspondents both parties were addressing their many issues the other. Basically Ciplamed was not please how things were going and make their choice a longer time ago. Without meeting of the minds any deal can be
terminated.
In my opinion, Louw focus was strictly on expanding Adcock and nothing more. Louw was more focus on with his company brought to the table, and that merging with his company would be the best thing for Ciplamed. Building a relationship with Ciplamed was not in the cards. I think Louw should have invested more time in knowing how Ciplamed operated and their future goals. I think somewhere along the line Ciplamed did want to expand their company but, without selling majority of their shares to do so. Being effective in negotiating takes more effort than knowing the figures, you have to build trust, because what works for you may not work for them.