1. Read the following Case Study and review the provided background information 1, 2, 3, and their associated links for additional information.

Case Study

Roger Brown, marketing vice president for a Canadian Lumber company, flew into Tokyo for a sales presentation to a wood wholesaler. Roger had been very busy and didn't have time to prepare for the meeting. Having never been to Japan, he found himself lost between the hotel, restaurants and ultimately the meeting location. He went into the meeting without market data and understanding of cultural norms.

Roger arrived late to his meeting, placed his belongings on the chair beside him, and sat down without greeting the panel/introducing himself. His entire informal presentation included a few minutes about his short time in Tokyo and a proposal to purchase eastern 2 x 4 spruce-pine-fir for $1600 CAD per thousand board feet from his company.(See Note A for Current Prices). Much to his amazement, the three Japanese executives did not respond immediately, but rather sat across the table with their hands folded and their eyes cast downward, saying nothing. Fifteen seconds passed, then 30, and still no response. Finally, Roger became so exasperated that he said with a good deal of irritation in his voice, "Would you like for me to repeat the offer?" From that point onward, the talks were stalled.

What went wrong?

Note A:

Current lumber, pulp and panel prices: https://www.nrcan.gc.ca/our-natural-resources/domestic-international-markets/current-lumber-pulp-panel-prices/13309#fn4a

(Adapted from Ferraro, G. P., & Elizabeth, B. K, p.153)

Background Information 1 - Government of Canada

https://www.international.gc.ca/trade-commerce/trade-agreements-accords-commerciaux/agr-acc/cptpp-ptpgp/countries-pays/japan-japon.aspx?lang=eng

The following information is from the Government of Canada web site:

Why Japan Matters

Japan is the world's third largest economy, with a significant consumer market and is a key participant in global value chains.

Canada and Japan share common science, technology and innovation objectives. These include facilitating commercialization of new technologies, fostering publicprivateacademic collaboration, and supporting small- and medium-sized enterprises.

Japan is Canada's fourth largest trading partner with $29.3 billion in bilateral merchandise trade (in 2017).

Japan is also Canada's largest source of foreign direct investment ($29.1 billion, 2016) from Asia and sixth largest globally.

Japan is Canada's second largest global market for wheat ($598.6 million) and second largest market for canola seeds and pork (2016).

(Government of Canada, 2019)

Background Information 2 - Government of Canada

(What does the CPTPP mean for the forestry sector?)

https://www.international.gc.ca/trade-commerce/trade-agreements-accords-commerciaux/agr-acc/cptpp-ptpgp/sectors-secteurs/forestry-foresterie.aspx?lang=eng

The following information is from the Government of Canada web site:

How the CPTPP Benefits Exporters

The CPTPP will create new export opportunities in key markets such as Japan, Malaysia and Vietnam through the elimination of tariffs and the establishment of clear and transparent trading rules. This will allow Canadian businesses to capitalize on growing demand in the region for forest and value-added wood products.

Canada is currently the fourth-largest supplier of forest and value-added wood products to Japan, with average annual exports of $1.7 billion from 2014 to 2016.

Under the CPTPP Agreement, Canada's forestry exports will have an advantage over exports of competitors outside the CPTPP free trade area, such as Russia and China.

By generating opportunities for Canadian forest and value-added wood products, the CPTPP will bring benefits for both Canadian businesses and workers.

Trade Snapshot

Canada is one of the world's largest producers and is the world's largest exporter of lumber. By value, Canada is also the world's leading exporter of newsprint and the third-largest exporter of wood pulp.

In 2016, Canada's forestry sector contributed close to $21.6 billion to Canada's GDP and employed about 210,000 Canadians, including many in highly skilled jobs.

Annual Canadian Forestry Exports to CPTPP Countries (2014-16 average, $CAD)

(Government of Canada, 2018)

Background Information 3 - Forest Economic Advisors

https://getfea.com/timber/canadas-lack-of-log-exports-to-japan-could-be-first-documented-violation-of-the-trans-pacific-partnership

Canada's lack of log exports to Japan could be the first documented violation of the trans-pacific partnership.

Assignment Tasks:

Now that you have familiarized yourself with the case study and the associated background information.

• Identify what went wrong and how you would have done things differently.
• Your task is to re-present what Roger couldn't successfully do.
  • Pay particular attention to the price of the lumber. Reading the research will provide some clues.
  • No prior preparation was done before Rogers's presentation. You must do what he didn't do to successfully convey your sales pitch.
  • Use content, videos and links provided in the course material to help you prepare for an outstanding presentation.

Please cite any information you used and add videos and links to help for the presentation

A two-page (5oo word) report in MS Word detailing what went wrong and the changes you propose to his presentation.

Report Requirements:

Suggest what he should have done to introduce himself.

Introduction - the value of Japanese market.

Detail the preparation that needs to be done prior to a negotiation.

Address the time perspective.

Discuss what he should have offered with respect to pricing.

Describe the tone he used in the meeting.