Negotiation Memo [Moms.com– Seller] gsb635 PDF

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Negotiation Memo [Moms.com - Seller]MGMT E-4225: Spring 2017Gundeep S. Bindra and Mohammed Farag

The purpose of this memorandum is to analyze the position of the two sides, identify issues as well as our approach. In preparation for tomorrow’s meeting, following is our analysis:

Analysis Self-assessment (Seller) Role Strengths

Weakness

Reservation Price (RP)

Assessment of the other side (Buyer)

Syndicated Sales Representative for Hollyville, Inc One of the potential buyer of the show  For the last three years, WCHI parent  Proposing one year in advance. company, MULTIMED Inc., placed severe  HOLLYVILLE is one of the top 7 producers. buying restrictions on the station.  Syndication of its top ten network hits,  The placed restrictions stabilized WCHI's Moms.com. financial position.  HOLLYVILLE excels in transactions in the syndication market.  We already have an offer for 2.5 million (Moms.com) + 1 million (Juniors) = 3.5 million.  Desperately needs strong new programs for  With the fiscal year ending next month, this is the upcoming season. of a concern to you as your performance  They had an unsuccessful buying strategy in evaluation is based on year-end booked sales. the past.  Your attempt to sell the program to the  The station lost its independent audience network stations was unsuccessful. leadership to WWIN and is now a poor second with weak demographics.  Maximum Program Revenue (Moms.com):  Minimum Program Revenue (Moms.com): 2.5...