Preparation

For this negotiation, I had prepared my BATNA (Best Alternative or a plan B in case my plan A failed) as mentioned by Fisher, Ury, and Patton (1991, p. 100), since every negotiator has a BATNA including the opponent. As a station owner, I was very clear about my interests in selling the gas station, I had done my market research, and I also knew “why” Taxoil was interested in the station and that they were looking to expand. As stated by Sebinus in his article, I was trying to understand the other side’s perspective.
Based on all the calculations, I had come up with a target and reservation point. I knew that I needed at least $553 K (reservation price) to meet my expenses including all taxes that I had to pay on capital gains and some money in reserve that I will need when I came back from the trip since I will not have any job and I will need money for house, car, insurance etc. For meeting all the expenses I needed at least $75K in the bank for myself and my spouse on our return from our boat trip after 2 years.
I knew that “not” all negotiations will result into an agreement; I had come up with a list of potential negotiating points and tried to place a value on each of these issues and thinking about what value the Taxoil representative will place on these issues. I knew that property value had been soaring high due to the activity in the port area. I had an estimate that it would cost Texoil at least $650 K to build a new gas station. Since I had the gas station opened for only 18 hours, Texoil could keep it opened for 24/7 (3 shifts a day) and add a mini mart which will increase the sales. Based on the market research, my gas station was the only one in that neighborhood that was up for sale.
In their book Getting to Yes, Fisher, Ury, and Patton argue that with creativity, disputants can almost always work together to "expand the pie"