Henry:I'd like to talk about the problem of price with you.
Jack:I'd be happy to answer any questions you may have.
Henry:Your products are very good.But your price seems a little high.I'm wondering if you would agree to make a concession by allowing us a discount of 10 percent.
Jack:That seems to be a little high.1don't know how we can make a profit with that number.
Henry:Well,if we promise future business-volume sales-that will slash your costs,right?
Jack:Yes,but it's hard to see how you can place such large orders.How could you turn over so many?Besides,even with volume sales,our costs won't go down so much.
Henry:Just what are you proposing?
Jack:We could take a cut on the price. But 10% would slash our profit. We suggest a compromise-5%.
Henry:That's a big change from 10% ! 5% is beyond our negotiating limit. Any other ideas?
Jack:A 5% discount is already substantial.
Henry: If that's the case, business is almost impossible.
Jack: How about 5% the first six months, and the second six months at 10%,with a guarantee of 3,000 units? It's the best we can do.
Henry:OK. Let's call it a deal.