Negotiations and strategy Essay Example | Topics and Well Written Essays - 1750 words

Negotiations and strategy - Essay Example Due to this increase, News Corporation is currently liquid with an estimated cash flow of approximately $2.4 billion. Analysts believe that the cash flow of operations will increase to $3 billion within the next 2 years. This cash flow allows News Corporation to have greater flexibility to invest in capital-oriented projects as well as to prepare for the upcoming challenges it might face. On the downside, News Corporation has a large outstanding debt amounting to $11 billion. It is speculated that inflation of interest rates would increase its debt and cause a negative impact on its operating income. However, history tells us that the company was able to survive the largest bankruptcy restructuring in history when it suffered major setbacks in the 1990s. Not only did it survived the restructuring, it also bounced back to generate a 315% increase in its net profits in the mid-90s. 4. Under the license permit, the creative team of the Neighborhood obtains the total freedom of all necessary decisions included but not limited to the cast selection, crewmembers, cutting and editing. At this point in the negotiation, we would like to discuss further the creative issues involving the format of the show. We feel uncomfortable with Fox Entertainment’s proposal to change the format of the show to suit their Fox Sports Network programming. The fact that the is no clear showing that the focus on the lives of purely high school athletes in the inner city might prove to be quite limiting on our part. Furthermore, there are no current bases that will give us some ideas of whether or not such change would prove to be profitable. The current format of the neighborhood is analogues to the plot of Laguna Beach: The Real orange County, which is gathering huge following at the moment. To recall, Laguna Beach revolves around the lives of upper class