...parties influence the negotiation process and its outcome? The parties involved in the Frasier negotiations are; Paramount Television Group, National Broadcasting Company (NBC), and the actor Kelsey Grammer (Owner) . Marc Graboff (ExecutiveVice President) led the NBC negotiation team which included Scott Sassa (President of NBC West Coast) and Jeff Zucker (President of NBC entertainment). Kerry McCluggage (Paramount’s Chairman) led the negotiation team for Paramount and was sometimes joined by Gary Hart, president of Paramount. 2) What are NBC’s BATNAs? What are Paramount’s BATNAs? Of these BATNAs, which is the best option for each entity? NBC had two BATNA’s: keep Frasier regardless of the increased cost (take a financial hit) in hopes to keep it as a “tent pole” to draw in its viewers to the new shows line-ups after Frasier, or buy a comparable comedy show from another network (such as Dharma and Greg) that will bring in the same audience group 18 to 49. The only downfall was that could cause a bidding war that could increase programming expenses. Paramount’s BATNA’s were to either sell the sitcom to CBS (sister company) or agree to keep the show at NBC for less money. The best option for each group would be to keep Frasier at NBC because it would guarantee Kelsey Grammer (Frasier actor) and Paramount the three year run that they wanted and also provide NBC with the “tent pole” to launch new shows following Frasier at 9:30pm. 3) What is your best estimate of...
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...Negotiations Frasier case A. Who are the parties in the Frasier negotiation and what are their interests? (Viacom, CBS, Paramount, Kelsey) – (NBC, NBC West Coast ((Graboff)), ABC) The parties involved in the Frasier negotiations consist of NBC, Paramount, and actor Kelsey Grammar. Paramount and Kelsey had personal interest to extend the show 3 years. Kelsey Grammar wanted to rank in history as being an actor with having the record for the longest-running primetime television character in TV. Without Kelsey Grammar (Frasier), Paramount, and NBC would not have a TV series. NBC did not view the show Frasier as having another 3 years of life and did not want to invest in another 3 years. Additionally, NBC deemed Paramount’s price per episode to high and wanted to minimize what they saw as a loss of revenue. B. What is Paramount’s BATNA? What is your estimate of their reservation price? Paramount was banking on the fact that Frasier was the flagpole show of NBC and its success in the time slot. If they quit NBC, both Paramount and NBC would suffer while Paramount would have suffered the most. Paramount best alternative would have been to shop the show around to other networks in the case that the negotiations with NBC broke down. Paramount however was limited in networks to promote the show to due to the shows high overhead cost and industry consolidation. Due to these circumstances I would estimate Paramount’s reservation price around 5.25 million as Paramount...
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