The coronavirus pandemic is a human tragedy, affecting hundreds of thousands of people globally. It is also having a growing impact on the global value chain, hence the global economy. All serious companies around the world have therefore found innovative ways of keeping business going nonetheless. One of such notable companies is Ghanas Kantanka Inc. The company has established a dedicated team to ensure a simple but well- managed set of processes that maximize the health and safety of colleagues and customers. This team is led by the CEO of the company. The focus of the team has been broken down into five distinct work streams:

Employee management and wellbeing

Financial stress-testing and contingency planning

Supply chain monitoring

Marketing and sales

Any other business

Kantanka Inc. is a car manufacturing company originating from Ghana which produces low-end vehicles. The companys competitive advantage stems from its unconventional but effective and energy efficient technology which is not found in most vehicles around the world. The dashboard and other interior parts of the vehicles are made from wood, and the vehicles are powered by car batteries and solar energy.

Recently, they have added on aircrafts and mechanized farming technologies. The company is set to take the African market by storm. The company decided in 2015 to enter Nigeria and Germany. With the backing of the government of Ghana, negotiations with both countries succeeded as negotiators from Nigeria and Germany were in natural sync with the Ghanaian lobbyist contracted.

Once the company has gone international, it was only natural that value chain activities of the company would have to be rationalized to deal with the expansion, as well as all forms of risk with respect to exchange rate fluctuations. Speaking of financials, in this coronavirus pandemic period, companies such as Kantanka Inc. that entered into future contracts and used currency options as hedging instruments would have less to worry about since excuses from business partners would almost be non-existent.

Recently in 2017, a company from So Tome and Princip, called PreZi contacted Kantanka Inc. to obtain permission to use its technology. As to whether to agree or not to the agreement is still under scrutiny by Kantankas international expansion team.

a) Discuss five (5) ways the two negotiators can get along in order for their cultural backgrounds not to affect the outcome of their bargaining process. [5 marks]

b) Explain three (3) financial risks Kantanka Inc would definitely encounter. [3 marks]

c) What five (5) benefits is Kantanka Inc likely to gain from entering the German market?

[5 marks]

d) Explainfive(5)problemsKantankaIncsinternationalexpansionteamshouldanticipatebeforeentering the German market. [5 marks]

e) Explain the contractual strategy that would best characterize the Kantanka-PreZi agreement once agreed

to. [2 marks