Capital Mortgage Insurance Company is a subsidiary of Northwest Equipment Corporation. Though a departure of Northwest's regular business, it is believed by CMI leadership that it can become a much larger full-service financial institution. CMI's current business is focused on offering mortgage insurance to high-ratio mortgages. Dealing primarily with banks and lending institutions, CMI believes they can do much more to build their business in the real estate market.
With interest in expanding its financial offerings, CMI has initiated discussions with Corporate Transfer Services in Chicago. CTS provides relocation services to various companies throughout the country, but highly concentrated in its home town of Chicago. The real estate industry was experiencing high growth "and the trend of relocation services for employers showed no signs of slowing." .
Case Study Analysis: Capital Mortgage Insurance Corporation.
On the majority of occasions, people and organizations negotiate to come to an agreement. There is usually some give and take before decisions are made. In this case, Capital Mortgage Insurance Corporation wants to acquire Corporate Transfer Services. Determining the bargaining stance could be crucial and Capital Mortgage has a few issues to overcome. They must find a way to close the gap concerning the value of the company and their negotiations must bring together four owners with different expectations, but mutual respect for one another. Randall and Dolan have done their homework, and they are trying to determine their approach for successful negotiations. A few things that should concern Capital Mortgage Insurance are that the partners of CTS want to retain partial ownership, and aside from being business partners, they're also social friends who respect and value one another's opinions.
Capital Mortgage Insurance Corporation Summarized.
Capital Mortgage Insurance Corporation (CMI) is a company founded early in the 1970'ops and later purchased by Northwest Equipment Corporation.
