Report on Role-Play Scenario: Shark Tank Negotiation on the AeroBrella

Title: Shark Tank Negotiation Role-Play - The Launch of AeroBrella

Group Members:

 Pranav: Founder 1
 Kshitij: Founder 2
 Shubhayan: Shark 1
 Abraham: Shark 2
 Asmee: Shark 3

Introduction:

The role play was focused on modeling a negotiation similar to a Shark Tank pitched around
a new product: the AeroBrella-an umbrella with holes drilled into it in strategic locations
where wind resistance is made available while keeping the user dry. The negotiation could be
used to demonstrate essential negotiation skills, including persuasive communication,
strategic offers, and collaborative decision-making. The two founders, Pranav and Kshitij,
pitched the product before three Sharks: Shubhayan, Abraham, and Asmee, in an effort to get
an investment for it through the best deal that they could try to negotiate.

Product Overview

The product pitched was AeroBrella, which solves the many problems concerning the
conventional umbrellas that tend to flip inside out with the blowing winds. The small
perforations on the umbrella would enable the wind to pass through it while remaining
rainproof. The founders stated how the product provides value practically as well as
emotionally because it keeps customers dry, yet others complain about the breaking
umbrellas. The product had already secured ₹5 lakhs worth of pre-orders while thereby
further amplifying the demand in the market.

Pitch and Offer:

Founders, Pranav and Kshitij, were quite confident about pitching the product as much as in
making a case of its necessity and the potential market available. They presented the
innovative design while talking about the wind-resistant feature which will be solving a mass
pain point for the umbrella users. After presenting the product to the Sharks, they made their
offer for shares in the company as follows:

Offer: ₹30 lakhs for 10% equity in the company.

The negotiation approach of the founders was based on the outcome-based selling strategy
whereby the product was positioned as a solution to a universal problem, weathering storms
without hassle with a traditional umbrella.

Shark Responses and Negotiation Process:

Shubhayan:
The founders had explained how the umbrella worked, and he was beginning to understand
the value of it. Shubhayan offered ₹30 lakhs in exchange for 20% of the equity, stating it's
risky and they could scale the product.

Abraham:
Abraham bargained very carefully and decided on ₹30 lakhs for 15% equity. His key concern
was the perceived risk of the market adopting the product and getting it distributed. He
wanted to have a better handle on the control mechanisms for distribution to decrease that
risk factor, as he said global scale would demand resource loads that are very high.

Asmee:
Though Asmee was soft-spoken, she felt an opportunity was in marketing AeroBrella as the
"green" product to the eco-aware consumers. She quoted ₹10 lakhs for 5% and underlined
that the product could command an extra premium in the eco-market.

The co-founders cleverly pushed back against these proposals, holding the line on valuation
and turning the discussion into the very real outcomes-the market share gains and customer
satisfaction-that the product would bring.
Negotiation Highlights:

It became very hot when the Sharks were competing to outbid one another in buying a larger
portion of the company. The founders remained very composed and held on to their valuation
while explaining the market potential of the product.

The Sharks then deliberated over the possibility of a joint deal; however, it finally concluded
in taking the deal by one Shark. This was a dynamic negotiation environment because each
Shark had to push for control while balancing out the risk and the reward of the deal.

Final Deal: ₹40 lakhs for 15% equity secured by Shubhayan, who has placed the condition
that the investment would come with active involvement to scale the company.

Important Negotiation Skills:

Clarity and Persuasiveness:

Both of the founders were clear in pitching, expecting objections, and emphasizing the results
that would come through the product. They found a way back to the profit pitch of the
product when one of the Sharks seemed skeptical about something.

Active Listening:
The founders listened to every concern by every Shark and developed counteroffer answers
that focused on countering the concerns of the Shark and giving up very little on their terms.

Strategic Flexibility:
The founding team was prepared to haggle on their original terms from their very first offer,
based on the commentary of the Sharks, but only in terms that still clearly represented value
to the product.

Competitive Bidding:
The Sharks indicated their willingness to engage in competitive bidding by making a
counteroffer and attempting to negotiate the best offer to themselves while the founding team
maintained a strong bargaining position.

Worklog:

Pranav: Founder 1
Role: Lead speaking and principal negotiator for the founders.
Main Take-Aways:
Pitches the product with confidence and explains value generated.
Owns the negotiation and asserts himself confidently against Sharks proposals and keeps the
outcome-oriented.
Uses persuading language for message to show true world benefits of the product and shifts
the locus of conversation back on reliability and consumer attraction.
Closes the final deal with Shubhayan in favor of the founders.
Skills Used: Communication, leadership and assertiveness in negotiations.

Kshitij :
Role: Co-founder and technical contributor to the pitch .
Key Contributions:
Clarified the working of AeroBrella in terms of functionality. This set the working out in
front of the Sharks about what newness it brought to the market .
Helped Pranav deal with the Sharks' technical questions and to dispose of objections
confidently.
Kept negotiation bent on the need for scalability and sheer market demand.
Technical knowledge, clarity in expression, and outcome-based selling were the skills
showcased here.

Shubhayan (Shark 1):

Role: Skeptical Shark sealed the last deal.
Major Contributions:
Questions made as challenges to test the mettle of the founders and the preparedness of more
stake in the company.
Aggressive negotiation skills where he would raise more money for a bigger share of equity
in the company
Sealed the deal by telling the founders that his network will dominate the market
Skills demonstrated: Critical thinking, aggressive negotiation, and strategic bidding.

Abraham (Shark 2):

Role: The cautious investor with the motive of minimizing risk.
Brokered a conservative deal based on market scalability risks.
Emphasized the point of distribution control as well as mitigating risk in the negotiations.
Negotiated calmly to find a middle ground; Skills Hinted: Risk assessment, delicate
negotiation, and silent self-confidence.

Asmee (Shark 3):

Role: Quiet but interested in marketing the product as eco-friendly.
Essential Contributions:
Promised a low stake but introduced an understanding of marketing the product to eco-
friendly customers.
Gave me an input that hopefully positioned AeroBrella as a green product, bringing yet
another dimension to this conversation.
Though softly spoken, was highly meaningful in the negotiation.
Some Takeaways: Niche Market Identification, Creative Thinking, and Soft Negotiation.

Conclusion:

This role-play exercise was a fantastic chance for the team to showcase their negotiation
skills in a high-stakes environment. The Founders certainly came in with some good
persuasive techniques, outcome-based selling and flexibility at strategic times. The Sharks
came forth and flashed out competitive instincts as well as careful thinking and came together
when necessary. The exercise placed emphasis on effective communication, listening, and the
ability to think on one's feet-as essential competencies for the conduct of successful
negotiation.