Negotiation of US Constitution Essay
Today, the process of negotiations affects consistently business development of modern companies because negotiations define the overall success of the steady development of organizations and their ability to maintain positive relations with their business partners, customers, and public. In this regard, negotiations are particularly important when organizations are involved in the process of merger or acquisition. In this respect, many companies attempt to use effective negotiation strategies to succeed in their business. At this point, it is possible to refer to the negotiation process involving Southwest Airlines and Frontier Airlines. Even though the merger failed but Southwest Airlines demonstrated its ability to negotiate with the target company and its top executives, but the company failed the negotiations with union leaders.
In actuality, the aviation industry faces a considerable downturn but many companies still attempt to develop their business internationally. In such a way, they attempt to improve their position to compensate losses provoked by the downturn in the industry development. The current problems in the aviation industry are provoked by several factors, including the threat of international terrorism, high fuel price, the recent economic recession and low buying power of customers. In such a situation companies operating in the industry face considerable problems and they view the international market expansion as the solution of their problems. Therefore, many companies, including Southwest Airlines view mergers and acquisitions as the strategic tool that helps them to maintain their competitive position. However, to complete negotiations successfully, they need to conduct the negotiation process successfully.
In this regard, it is possible to refer to the case of negotiations conducted by Southwest Airlines and Frontier Airlines. In fact, Southwest Airlines attempted to acquire Frontier Airlines. The latter needed a reliable investor and the top executives of the company agreed on conditions of Southwest Airlines but the company did not involve union leaders in the negotiation process that led to its failure. However, in regard to parties involved in negotiations, they have proved to be very efficient.
The effectiveness of Southwest Airlines’ negotiations with top executives of Frontier Airlines was, to a significant extent, grounded on the effective negotiation tactics and strategy. In fact, Southwest Airlines conducted negotiations in the framework of the Face Negotiation Theory, according to which negotiations should be conducted face to face and negotiating parties should establish positive relationships to come to agreement on major points of negotiations. It is worth of mention that the introduction of new styles was basically the result of Stella Ting-Toomy and John Oetzel. These styles are as follows: emotional expression, passive aggression, and third-party help. In this respect, it should be said that now the Face Negotiation Theory tends to locate avoiding and compromising near to obliging as other-face strategies. In relation to the newly identified styles, collectivist and individualist cultures use integrating and third-party help. However, it is necessary to point out that collectivist and individualist cultures interpret these styles in different ways.
In such a way, it is possible to estimate that the recent researches and studies contributed to the enlargement and improvement of conflict management styles but the new findings have not changed the essence and basic postulates of the theory. This means that in the course of time the theory has proved to be quite reliable since, in spite of the criticism of the theory from the part of its opponents, the Face Negotiation Theory pertained its positions and is still quite popular and many specialists argue that this theory may be quite perspective though the further researches are needed to make the theory even more reliable.
Furthermore, the introduction of the concept of power in the theory is apparently a progressive step that increases the support of this theory by specialists. In this respect, it should be said the modern Face Negotiation Theory focuses on the power distance. In fact, third-party mediators in large power distance cultures are usually people highly regarded by disputing parties. This means that these mediators should be highly respectable by all participants of the conflict. Otherwise, the contribution of the mediator in the process of the conflict resolution as well as his effectiveness would be insignificant.
Also, it should be said that, according to the today Face Negotiation Theory, the complex interaction that results from the above mentioned fact demonstrates the difficulties of combining power distance with the collectivist-individualist distinction. This fact shows certain difficulties that the contemporary Face Negotiation Theory has faced because the power distance does not really match the existing collectivist-individualist distinction, but the further researches may reveal probably some alternative type of culture that would be between individualist and collectivist. Anyway, nowadays, this is the point of discussions that is quite natural because not a single theory can develop smoothly without any enigmas.
Obviously, the Face Negotiation Theory may be widely applied in the modern world which is characterized by the wide spread of conflicts. In this respect, it is necessary to underline that the theory could be effectively applied on both individual and social level. It is necessary to underline that the understanding of the concept of face and the impact of culture on the conflict management is very important because it provides ample opportunities to develop effective strategies of prevention or solution of existing problems on both social and individual level. In other words an individual could get prepared to communication, life and work in a specific community being conscious of the fact that he/she should adapt his/her actions to the socio-cultural environment. As for the social level, it should be said that the society, being quite a complex structure, possess mechanisms, such as educational system, to develop the model of conflict management that meets the best the particular socio-cultural background of the local community or society at large.
In fact, Southwest Airlines used the Face Negotiation theoretical framework successfully. The company focused on the negotiations with the top executives of Frontier Airlines. At first, representatives of Southwest Airlines attempted to establish positive relations with the top executives of the target company. To meet this goal, they established a series of face to face meetings, where they discussed the current position of both companies and prospects of their close cooperation. Representatives of Southwest Airlines attempted to create friendly ambiance and shifted from the highly formal to rather informal ambiance. In such a way, parties involved in the negotiation process felt being relaxed that naturally contributed to the high effectiveness of negotiations.
Furthermore, the parties involved in the negotiation defined accurately their needs and requirements. The point was to conduct the negotiations and to agree upon the key issues. At this point, representatives of Southwest Airlines suggested the top executives of Frontier Airlines to define, which points in their merger plan they were ready to refuse from and which one they would never refuse from. To encourage the response from Frontier Airlines, representatives of Southwest Airlines stated clearly what they were ready to negotiate and what they would never refuse from. As a result, they met their goal and conducted negotiations successfully. In fact, it was only the opposition of unions that led the acquisition to failure.
Thus, it proves beyond a doubt that the Face Negotiation Theory is quite effective, while its key ideas can be applied successfully in the contemporary business environment. In this regard, the experience of Southwest Airlines’ negotiations with the top executives of Frontier Airlines proves the effectiveness of the Face Negotiation framework. On the other hand, the negotiation process should be carefully planned and involve all stakeholders. Otherwise, the risk of failure is likely to persist and even the most skillful negotiators will be unable to succeed of important stakeholders are left aside.
