STRATEGIC PARTNERSHIPS IN ACTION: A STARCH SUPPLY NEGOTIATION

This case study explores a real-world negotiation challenge faced by a corrugated cardboard packaging company in renewing its annual starch supply contract. Two suppliers have proposed significant price adjustments, citing increased costs and new formulation expenses, as it balances between its need to control costs and the importance of maintaining strong partnerships with its suppliers. With a maximum acceptable price adjustment of 4.3%, the company has explored creative options to manage conflict and achieve a successful outcome. Will the company be able to secure a favorable deal, or will the negotiation break down? The outcome hangs in the balance, as the company works to find a solution that meets the needs of all parties involved.