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STRATEGIC STRONG POINTS

Real Aramco (“Aramco”)


 Experience: Aramco being one of the biggest investors in sustainable products has a
enormous experience in developing green machinery and innovative technologies.
 Business Reach: The company has been dominating the middle-east Asian, North
American and European markets with a diverse range of services in petrochemical
products.
 Capital: Being a profitable multinational conglomerate, it is one of the richest
petrochemical companies in the world and has significant cash reserves to explore
growing fields.
Jioliance Industries (“Jil”)
 Diverse Business: Being a multinational conglomerate and a major beneficiary of the
changing commercial dynamics of Vindia, it has a diverse business structure.
 Attractive Business Model: Being one of the dominating leaders in the petrochemical
market and having established position in other fields of business, it attracts major
investments.
 Petrochemical Business: Jil’s major success is linked to its strong hold in
petrochemical exploration, refining and marketing.
STRATEGIC WEAK POINTS
Aramco
 Market Reach: Though the company successfully dominates major markets in the
world, but it hasn’t yet stepped into many growing markets like Vindia and Africa.
Jil
 Failure to meet demand: The company has been facing issues in meeting the demand
owing to the inadequate supply of raw materials.
 Obsolete Methods: Jil heavily relies on obsolete techniques in its petrochemical
business, which is against the growing demands for the use of sustainable and green
technologies.
NEEDS AND INTERESTS
Aramco
 Expansion of Business: The company wants to utilise its cash reserves and resources
to expand its business to new markets and fields.
 Invest in Green Tech: As Aramco is one of the major investors in sustainable and
environment friendly products, it wants to pursue the same while expanding its
business.
Jil
 Introduce Green Tech: The company wants to renovate its outdated machinery and
introduce green and sustainable technology in Vindian petrochemical market.
 First Movers Benefit: Functioning in a highly competitive market like Vindia, Jil
wants to close the deal in the current fiscal year and take the first movers’ benefit.
BEST ALTERNATIVE TO NEGOTIATION AGREEMENT (BATNA)
Aramco
 Should the negotiation fail, the best alternative for Aramco would be to invest in a
government company and introduce green technologies in Vindian petrochemical
market.
Jil
 Should the negotiation fail, the best alternative for Jil would be to obtain license to the
green technologies of Aramco. In return, Jil would pay a share of the total revenue
from its petrochemical business, for a period as agreed by the parties.
WORST ALTERNATIVE TO NEGOTIATION AGREEMENT (WATNA)
Aramco
 Should the negotiation fail and Aramco is unsuccessful in investing in a
petrochemical company in Vindian market, it can explore to invest in other Asian
markets.
Jil
 Should the negotiation fail, the best alternative for Jil would be to collaborate with a
green technology firm, so as to renovate its technology and machinery.
OBJECTIVES AND GOALS
Aramco
 Business Expansion: Aramco would further like to invest in new markets and
collaborate with various synergies.
 Invest in Green Tech: The company wants to further pursue its sustainable model and
innovate new green technologies in different fields.
Jil
 Business Expansion: The multinational would like to expand its business and explore
business opportunities in different markets, such as Africa.
 Tech Advancement: The conglomerate wants to renovate its aging machinery and
introduce sustainable technology in Vindian market, so as to ramp up its production
and meet the growing demand.

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