Telsys International: ITC Holding Company In Canada
Subject: Case Preparation Assignment: Telsys International
1. For the major negotiating issues below, please determine the ideal outcome and the minimally acceptable outcome for both the TelSys team and VCG:
Determine the equity (ownership) split between Chesney’s team and VCG
ITC British Group 4% shares
Current ITC share holders 20%
Venture Capital Group 46% - 35%
Telsys president Manager 40% - 30%
Who should become president of the ITC holding company in Canada?
I think for his background in financial and his vast experience and deeply involved in the major capital market of the world. Also, his specialty and investment analysis and strategy, the person to consider in this position will be Dr. Nick president and …show more content…
However, this would become and important issue in Negotiation.
2. Based upon your comparison of Telsys’ and VCG’s desired outcomes on the major negotiating issues, is there a basis for a mutually satisfactory agreement?
Even though VCG is looking for liquidity and not to control the Telsys Company, due to Islamic culture issue they are not allowed to lend money to Telsys, so the only way to do business is buying shares out the company. However, the big issue here is that VCG want to have 50% of shares of the company, which will make difficult to make a major decision in regard of the company.
3. Cultural differences between American and Malaysian negotiating styles must be understood and anticipated if negotiation is to be successful. What are the significant differences, as you see them?
Some of the different I have noticed is that VCG is based in financial people and Telsys is based in Engineering personnel. The fact that American culture is base on individualism, and Malasya culture on collectivism. The most importance difference in regards of this case is the religion matter been VCG (Islamic) and the Telsys
1. For the major negotiating issues below, please determine the ideal outcome and the minimally acceptable outcome for both the TelSys team and VCG:
Determine the equity (ownership) split between Chesney’s team and VCG
ITC British Group 4% shares
Current ITC share holders 20%
Venture Capital Group 46% - 35%
Telsys president Manager 40% - 30%
Who should become president of the ITC holding company in Canada?
I think for his background in financial and his vast experience and deeply involved in the major capital market of the world. Also, his specialty and investment analysis and strategy, the person to consider in this position will be Dr. Nick president and …show more content…
However, this would become and important issue in Negotiation.
2. Based upon your comparison of Telsys’ and VCG’s desired outcomes on the major negotiating issues, is there a basis for a mutually satisfactory agreement?
Even though VCG is looking for liquidity and not to control the Telsys Company, due to Islamic culture issue they are not allowed to lend money to Telsys, so the only way to do business is buying shares out the company. However, the big issue here is that VCG want to have 50% of shares of the company, which will make difficult to make a major decision in regard of the company.
3. Cultural differences between American and Malaysian negotiating styles must be understood and anticipated if negotiation is to be successful. What are the significant differences, as you see them?
Some of the different I have noticed is that VCG is based in financial people and Telsys is based in Engineering personnel. The fact that American culture is base on individualism, and Malasya culture on collectivism. The most importance difference in regards of this case is the religion matter been VCG (Islamic) and the Telsys