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  • Essay / Negotiation: NBA Salary Cap - 2158

    Negotiation is a fundamental process used to resolve conflicts, reach business agreements, and manage working relationships with others. Negotiations take place for two reasons: (1) to resolve a problem or dispute between the parties, or (2) to create something new that neither party could do alone. Negotiation is an essential everyday skill that is essential whenever necessary. to create short or long term agreements. For example: In 1996, Juwan Howard signed a contract worth over $100 million with the Miami Heat and almost became the highest-paid NBA player during the 1996-1997 NBA season. However, his contract was canceled by the NBA, claiming the Heat was over their salary cap. On August 5, 1996, Howard returned to the Bullets fold and the Miami Heat went to court to challenge the NBA's decision. The outcome of the case proved to be a “colossal windfall for the Bullets” (Brubaker and Asher, 2007, p. 45). In the following article, we will briefly summarize the analysis of the “power play for Howard” case study. Additionally, the team will evaluate the benefits (tangible and intangible), costs and risks associated with negotiating Juwan Howard's free agent contract from the perspective of Juwan Howard and the general managers of both teams. A Power Play for Howard Summary The following case is a review of Juwan Howard, a star basketball player playing for the Washington Bullets. The case study details the ins and outs of the high-stakes world of professional basketball, as well as the deals and huge sums of money that are the primary concern of owners, agents, players, players' union, managers and the NBA league each year during the draft and free agent phases. agency.The case begins by explaining how Juwan Howard got to the Washington Bullets with less...... middle of paper ......iations reps must define what the real problem is and what each side expects actually a negotiated agreement. Howard implemented value by comparing and contrasting team offers against his personal value. Howard conducted integrative negotiation procedures to produce a "win-win" situation for all parties involved, including himself.Works CitedBasketball, (2010). In Encyclopædia Britannica. Retrieved June 29, 2010 from Encyclopædia Britannica Online: http://www.britannica.com/EBchecked/topic/55245/basketballBrubaker B. and Asher M. (2007). A power play for Juwan Howard. Lewicki-Barry-Saunders: Negotiation: Readings, Exercises, and Cases, Fifth Edition. The McGraw-Hill Companies, 2007Simbajon, C. (2009). A power play for Juwan Howard. Retrieved from http://dept.lamar.edu/industrial/Underdown/Eng_Mana/Howard_Case_HW.htm