Pacific oil company Essay Example for Free

peace-loving oil company EssayThe Pacific Oil Company went into dialogs with Reliant Manufacturing, and its goal was to sign a more long-term agreement. Pacific assumed that the new contract would be signed with no major hurdles or objectives, and that the dominant point of negotiation would be price. Jean Fontaine, who is the selling vice president for Pacific Oil, went into a negotiation process with Reliant. Jean started the process several years before Reliant Manufacturings contract was up, hoping to discombobulate her competition to the lower price offers and leave with a contract extension of 5 years. Unfortunately, Jean did not properly research her clients unavoidably or adequately project what the outcome might be. Because of this, Pacific Oil Company was not prepared to address the concerns and requests that Reliant brought up during the negotiation. Though twain parties wanted to move quickly toward signing a contract, Pacific Oil Company elongated this process because it did not have a thorough negotiation strategy that included a contingency plan or best alternatives.Pacific oil also neglected to draw out its best alternatives or bottom line in advance. Staying on the Same Page in Business Negotiations Pacific believed that other elements of the contract might be discussed, but that no dramatic changes would be expected. Because of Pacifics lack of strategic planning, they wasted valuable time, money, emotional stress and energy. They also risked losing other opportunities that could have been more lucky for them. Adding to the problem was Pacifics assumption that Reliant would sign a new contract quickly.Because of the time and money spent on traveling and negotiating certify and forth, and the potential need for new technology development, which would be based on the contracts outcome, Pacific Oil Company became increasingly desperate to descend a contract with Reliant. As a result, Reliant obtained the advantage needed to make more demands during negotiations. Additionally, Reliant was aware of Pacific Oils colony on its business, and took full advantage of these opportunities.