TỔNG LIÊN ĐOÀN LAO ĐỘNG VIỆT NAM

TRƯỜNG ĐẠI HỌC TÔN ĐỨC THẮNG

KHOA QUẢN TRỊ KINH DOANH

NEGOTIATION IN BUSINESS

GROUP – EXERCISE 03
Group Number: 4
LECTURER: MBA. Trần Khánh

Nhóm sinh viên thực hiện:

1. Nguyễn Vũ Hoàng Phương----------B20i0093

2. Lê Phi Trường-------------------------720I0489
3. Ngô Lê Quốc Bảo---------------------719D0011
4. Vũ An Phong---------------------------721D0018

HCMC, DATE 24/03/2024

 EXERCISE 3
In this exercise 3, students work in group together and think about you are going to
buy a coffee shop from the other. Here is the link of this coffee shop place so that
you can have a look at all the design there. ( Crowded People ( 15 customers
usually ) | 20 millions for the current tenant | 40 millions for the next tenant
The Seller wants to sell to You with the price at 700 millions VND | located in
Nguyen Thai Son Street, Go Vap District, HCMC )
1) Define how many parties involved in this case ?
Transferor:
Current Owner: The current owner of the café who has the authority to decide to transfer
the ownership to another party.
Employees: If the café has employees, they are also stakeholders in the transfer process.
The transfer may affect their rights and obligations, such as employment contracts, social
insurance, etc.
Transferee:
Café Buyer (you): The individual receiving the transfer of ownership and operation of the
café from the current owner.
Investor (if applicable): If the café buyer utilizes investment capital from another party,
the investor will also be a stakeholder in the transfer process.
Other Relevant Parties:
Landlord: If the current café owner is renting the premises for business operations, the
landlord becomes involved in the transfer of the lease contract.
Government Authorities: The transfer of the café must comply with legal regulations.
Therefore, government agencies such as the Department of Planning and Investment, Tax
Department, etc., are involved in this process.
Since this is a negotiation for distribution, the focus is on dividing a fixed resource (the
café) and reaching the best possible agreement.
2) How would You make the DISTRIBUTIVE Negotiation with them ?
Research:
Market Research:
While exploring relevant websites regarding café transfers in the Nguyen Thai Son Street
area, Go Vap District, I observed that the price offered by the seller, 700 million VND,
appears to be relatively high. Despite its prime location on Nguyen Thai Son Street, the

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café's size seems smaller compared to others, with the average price falling around 450-
500 million VND.
Regarding the café's structure, I believe it is somewhat outdated and may require
renovation due to some infrastructure deterioration. Therefore, refurbishing the café upon
acquisition might pose a significant challenge. As far as I know, there are quite a lot of
cafes on Nguyen Thai Son street and the daily number of customers is almost very large.
According to some information, at the busiest time there are about 25-30 people, and
often there are about 20 people.
Financial Report: Here, I will discuss with the current café owner regarding the financial
situation of the café. For example, the café currently generates daily sales of 2 million
VND, and we will compare it with other cafes to determine the value of the café.
Overview of the café:

Final Conclusion: Based on our assessment and evaluation of all aspects of the café, we
have determined that the value of transferring the café ownership falls within the range of
400 million VND.

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Reasoning:
Strengths of the café:
 Prime location on Nguyen Thai Son Street with heavy traffic flow.
 The café attracts a decent number of customers, although not as much as other
cafes.

Weaknesses:
In our opinion, the café's design and structure are outdated and may require a
considerable amount of renovation.
Negotiation and Transfer Procedures:
 Agreement between parties: Both the seller and the buyer need to agree on the
terms of the purchase contract. These terms include price, payment conditions,
transfer date, and other conditions related to the café's transfer.
 Legal Due Diligence: The buyer typically conducts legal due diligence to ensure
that the café being sold has no legal issues, and all relevant documents are
complete.
 Signing the Purchase Contract: Once all terms are agreed upon and legal issues are
resolved, the purchase contract will be signed between the seller and the buyer.
 Payment and Transfer: The buyer usually pays the agreed amount to the seller, and
the café will be transferred to the buyer. This may include signing transfer
documents and other related paperwork.
 Completing Administrative Procedures: After the café has been transferred, the
buyer needs to complete necessary administrative procedures to ensure that the
café is operating legally and complying with local business regulations.

Note: BATNA will be our option, as if we cannot finalize the price with the seller, we
can always choose another café with better conditions and a lower price

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