Read the situation about Textafabrik, a clothing manufacturer. Then imagine, you are a member of the company’s top management. Follow the instructions below and try to show your leadership skills.

MANAGING DIRECTOR

You made the first contact with the Forbes Corporation and the Chairman of Forbes has now become almost a personal friend. Therefore, you are the obvious choice to conduct these vitally important negotiations. However, you are not used to negotiating this kind of contract. Normally you leave contract negotiations to your Overseas Sales Manager or the Financial Director. You spend most of your time on organization and labour relations. But you do have a degree in company law, however, which you obtained many years ago. Unfortunately, at the moment you have a problem in your personal life. Your husband/wife has just left you and is asking for a divorce, so you are very upset.

OVERSEAS SALES MANAGER

You usually negotiate contracts with overseas agents and distributors. However, in a few days’ time, you are due to start a six-week European sales trip, which you do at this time every year. This trip helps you to keep in touch with the firm’s important customers, and you generally come back with some large orders. You feel that, because of your experience, you are the ideal person to handle the negotiations with Forbes. Besides, you are not confident that any of the others could do the job properly. Unfortunately, you are rather worried at the moment about your daughter, who is having difficulties at school. In fact, the headmaster has suggested that she ought to be seen by a psychologist.

FINANCIAL DIRECTOR

You have always accompanied the Overseas Sales Manager when he/she negotiates contracts with agents and distributors. Therefore, you know a great deal about this kind of work. However, you have a reputation for being slow at negotiating, and are known to worry too much about small details. Also, some people in the firm consider you too frank, and lacking in tact. If you could negotiate a good contract with the Americans, you would gain a lot of respect from your colleagues. At the moment your wife is suffering from bad health. She gets upset when you are away, which makes it difficult for you to concentrate on the job. This means that you spend a lot of time phoning her when you are away on foreign trips.

GENERAL MANAGER

You think you are a sharp, shrewd negotiator – most of your colleagues would agree with you. You are used to negotiating because you deal with the unions a lot. Also, you are an honest person, with a strong personality, and everyone in the company respects you. You know the United States well because you spent three years there after university. You are a qualified engineer and have a master’s degree in Business Administration. You have not been overseas for the company very often because you have to spend most of your time at the factory. You are a very busy man – you have not had a real holiday for five years. Recently you have been feeling under stress. ‘Take it easy,’ advised the company doctor.