Product details

This exercise is one part of a nine-party simulation of concession contract negotiations for a large infrastructure project. The simulation is based on a real situation, but the roles, interests, issues, and process have been modified for educational purposes. In the simulation the governments of Argentina and Uruguay are, in cooperation with the Interhemispheric Development Bank (an IDB analogue), negotiating with two competing consortia of private sector companiesùAlpha and Omegaùover the financing, construction and operation of a bridge linking Buenos Aries, Argentina and Colonia, Uruguay.; The simulation is suitable for use in courses on infrastructure development, negotiation, and business-government relations. It explores concepts in the design and conduct of bidding/negotiation processes in a realistic multi-party, multi-issue context. Although complex and challenging, the exercise has been carefully designed to be manageable for students. This was accomplished by (1) organizing the nine parties into three groups of three to simplify coordination; (2) carefully delimiting the issues; (3) providing participants with a common spreadsheet model for evaluating the (uncertain) economics of the project; and (4) parsing the process into several stages of negotiation within and between groups.; The simulation requires roughly six hours of elapsed time to conduct, including one hour of same-role preparation, three and one-half hours of negotiation, and one and a half hours for in-class debrief and discussion. As such, it represents a substantial investment in time, but delivers a powerful experience. It is especially useful as a program capstone.