In the fiery red era of the heavens, refrigerators are refreshed daily.

Yang Guangming felt somewhat surprised, yet it was also within reason.

He never expected that the first thing to attract the attention of industry giants would be this bottled water improvement patent, which he considered to be relatively low in technical content but with extremely wide application scenarios and a huge market base.

This precisely confirms the correctness of his multi-channel promotion strategy—different patents attract buyers from different fields.

He responded quickly, his voice remaining as calm as ever: "I understand. You will coordinate and determine the time and place; I will attend on time."

"Okay, I'll arrange it right away. Also..."

Larson's tone became more cautious, "I strongly suggest that we also form a negotiation team on our side."

You, as the patent holder and ultimate decision-maker, must attend. I will act as your principal representative and legal counsel. Additionally, I intend to urgently hire a seasoned expert with exceptional expertise in technology licensing and commercial negotiations as a special advisor for these negotiations.

These kinds of negotiations with giants involve a lot of complex business terms, price negotiations, risk allocation, and contractual traps. Having an experienced professional on the side can greatly increase our chances of success and avoid unnecessary mistakes.

Regarding fees, they can be handled in accordance with the stipulations in our agreement concerning 'significant external expert fees'.

“Agreed. Professional matters should be left to the most professional people.” Yang Guangming had no objection to this suggestion. He knew very well that in critical moments, the value of professional support often far outweighed its cost.

The meeting was held in a penthouse conference room at a high-end business hotel in San Francisco’s Financial District.

With its expansive views overlooking the entire bay, this luxurious yet private setting is an ideal venue for important business negotiations.

Yang Guangming, along with lawyer Larson and the temporary negotiation consultant named Richard Lewis, arrived half an hour early.

Mr. Lewis was around fifty years old, with his hair neatly combed, now half gray and half white. He wore a perfectly tailored dark blue suit, with exquisite platinum cufflinks peeking out from the cuffs. His demeanor exuded a composure and sophistication born from years of experience in the business world.

He has over 25 years of practical experience in technology licensing, cross-border transactions, and negotiating with large corporations.

During this precious half hour, Advisor Lewis and Yang Guangming conducted their final pre-battle simulation.

He didn't dwell too much on the technical details, but quickly and accurately reaffirmed the core value proposition of the patent portfolio, Yang Guangming's preferred commercialization approach, and the absolute bottom line and ideal goal of this negotiation.

Lewis emphasized: "Mr. Yang, your role at the negotiating table is crucial. You need to remain calm and observe the reactions of the other party, especially during price negotiations."

Unless Mr. Larson or I directly ask for your opinion with our eyes, we should try to handle things on our own.

Your composure and final decision-making power are themselves a powerful force.

At 2 p.m. sharp, the five-person team from Coca-Cola arrived on time.

Leading the group was Ms. Jennifer Morris, a middle-aged woman around forty years old, dressed in a sharp dark suit with her hair neatly styled.

Behind her were four team members: a serious-looking intellectual property lawyer carrying a thick stack of documents; a bespectacled, composed packaging technology expert; a sharp-eyed financial analyst with a calculator in hand; and a young assistant responsible for recording the entire meeting.

The two shook hands, exchanged pleasantries, and traded business cards.

The atmosphere was polite and courteous, but it also carried the subtle sense of distance and pressure inherent in large corporations negotiating with foreign parties.

At the start of the meeting, Ms. Morris made no unnecessary pleasantries and directly stated Coca-Cola's position, demonstrating an efficient and pragmatic strong style.

“Mr. Larson, Mr. Yang.”

Her gaze swept over the three people, finally lingering for a moment on Yang Guangming's face. "Our company has carefully studied the technical summary and related renderings of the plastic water bottle improvement you provided."

Admittedly, these design improvements, especially the leak-proof and secondary sealing design of the bottle cap's internal structure, are indeed ingenious and address some of our key concerns.

She then shifted her focus to the core issue: "We at Coca-Cola have always been open to innovative technologies and designs that can genuinely improve the end-consumer experience and optimize our own operational efficiency, and we are willing to pay reasonable fees for them."

After preliminary internal evaluation, we believe that the design concepts embodied in these patented technologies are in line with our future strategic direction in the packaging field, especially in water bottle packaging.

Therefore, we have come here with sincerity.

We prefer to acquire all ownership of these patents in a single transaction, including all subsequent rights to use, modify, and redesign them globally.

This opening remark was not unexpected for Yang Guangming and the others.

For a global giant like Coca-Cola, buying out patents is the cleanest and most thorough solution.

It can eliminate the complexity of subsequent licensing, potential legal disputes and competitive uncertainties once and for all, and it also makes it easier for companies to carry out globally unified supply chain management and product deployment. It can even be redeveloped by incorporating its own technology as needed.

From Yang Guangming's perspective, he actually prefers a buyout.

A one-time buyout would provide him with a substantial, certain, and freely disposable sum of money, which is far more convenient and useful than a lengthy and uncertain installment payment of licensing fees.

But at the negotiating table, he must not easily reveal his bottom line or his urgency. He needs to make the other party believe that the authorization model is also an attractive and worthwhile option to consider.

As the lead negotiator, Attorney Larson calmly took over the conversation after receiving a barely perceptible glance from Advisor Lewis.

"Ms. Morris, thank you for your initial recognition of the value of these patents and for your efficient work style."

He first offered a polite affirmation, then changed the subject, saying, "Regarding the specific methods of commercialization, we believe that, based on the broad application prospects and long-term value of these patents, a licensing model may be a more effective way to demonstrate their continued value."

We can segment licensing based on different geographical regions and product lines. This approach not only provides your company with more flexible strategic adjustments but also allows these technologies to benefit the market more broadly, maximizing their value.

He paused deliberately, creating a small suspense, before throwing out his prepared "competitive" bargaining chip:
"In fact, based on our confidence in the market potential of these patents, we are prepared to make initial contact with several other global beverage companies, including PepsiCo, that also have a strong interest in packaging innovation in the near future."

We believe that only in an environment of moderate competition and comparison can we more comprehensively and accurately assess the true market value of these patented technologies, thereby securing the fairest possible price for our clients.

These words, while seemingly gentle, also subtly implied the existence of other equally capable potential competitors, thus exerting psychological pressure on the opponent.

Ms. Morris and her team members exchanged quick glances, their expressions perfectly controlled, showing little change, but the air in the meeting room seemed to suddenly tighten.

"Buying out remains our first choice and what we consider the most efficient cooperation solution."

Ms. Morris reiterated her position without hesitation and then made her first tentative offer: "Based on our internal technical assessment, market value forecast, and considering that this is, after all, a set of improved patents rather than a disruptive fundamental invention, we are willing to offer $800,000 to buy out all global ownership of the relevant patents and all derivative rights."

Eight hundred thousand dollars!
In the United States in 1979, this was undoubtedly a huge sum of money that could enable an ordinary person to achieve financial freedom.

For a seemingly “trivial” improvement to the bottle cap and body design, this price can even be considered quite sincere, showing that Coca-Cola is not trying to deliberately lower the price, but rather genuinely sees its value.

A brief, almost frozen silence fell over the conference room. Only the faint noise of the city from afar outside the window reminded everyone of the passage of time.

Neither Attorney Larson nor Consultant Lewis spoke immediately. They subtly glanced at Yang Guangming, a negotiation tactic intended to emphasize that the final decision rested with the client.

Yang Guangming's face was calm as still water, but his mind was like a computer running at high speed.

Eight hundred thousand is still quite a distance from his bottom line, but it's a good starting point.

He cannot personally negotiate; this requires his agents and advisors to step in. He needs to maintain detachment and final authority in crucial moments.

He met Larson's questioning gaze and gave a barely perceptible, very slight gesture, conveying a clear signal that "we can start negotiating."

Larson understood, lightly interlacing his fingers on the table, his tone firm yet calm, carrying an undeniable persuasiveness: "Ms. Morris, thank you for your offer. However, the offer of eight hundred thousand dollars is likely quite different from our understanding, and the market's potential feedback, of the true value of these patents."

He casually picked up a prepared document in front of him, which contained meticulously crafted renderings, market pain point analysis, and rough cost-saving calculations. However, he didn't read it aloud; instead, he spoke eloquently, as if stating an obvious fact:

"Please allow me to emphasize again, and I hope your technical experts can re-examine this, that this is by no means a simple, commonplace improvement to the bottle cap or bottle body."

It precisely solves the long-standing problem of minor leakage in plastic bottled water products that affects brand reputation, as well as the industry pain point of significant decrease in sealing after opening. This directly and effectively improves consumers' user experience and their brand favorability and loyalty.

Its seemingly simple yet extremely ingenious bottle structure design, according to preliminary calculations, is expected to increase filling efficiency by 5% to 8%, or even higher, on your company's vast global production lines.

For a global industry leader like yours, with hundreds of high-speed production lines and an annual output of billions of bottles, this translates to an astronomical figure in annual savings on production, time, and logistics costs—a figure that would be of paramount importance to the CFO!

He put down the documents, his gaze calmly sweeping over each member of the group, especially the financial analyst and the technical expert, before finally returning to Ms. Morris:

"More importantly, its core design concept is very ingenious, and it has applied for multiple protections, making it difficult for competitors to bypass our patent protection scope through simple design modifications that do not touch the core."

This means that it can help your company, as a first adopter, establish a sufficiently significant technological and brand image barrier in the highly competitive bottled water market.

I reiterate that we prefer patent licensing to a one-time buyout, as this would yield higher returns.

If you insist on a buyout, then you need to show some sincerity.

Taking into account its potential strategic value, market influence, and long-term commercial returns to your company, we believe that a more reasonable global buyout price that better reflects its value should be around two million US dollars.

"Two million dollars?" The financial analyst on the Coca-Cola team, who had been silent all along, finally couldn't help but exclaim in a low voice, his face filled with disbelief.

Immediately, under a slightly warning and sharp glare from Ms. Morris, he quickly composed himself, but his surprise was clearly conveyed.

Ms. Morris shook her head firmly, her tone remaining calm, but her pace quickening slightly to reveal her disagreement:

“Mr. Larson, this asking price is really… too high, far exceeding our valuation of a set of improved patents.”

"A hundred thousand US dollars is a very fair price we've given after fully considering its market prospects, taking into account multiple factors such as its technological content, R&D replacement costs, and market application scale." For the next hour or so, a fierce, albeit silent, price tug-of-war ensued in the meeting room.

The Coca-Cola team demonstrated the professionalism of a world-class enterprise, proceeding step by step and attempting to undermine the basis of Sunshine's demands from multiple dimensions.

Their technical experts pointed out that there may be other alternative designs with similar ideas on the market, but they have not yet been patented or put into commercial use, suggesting that their technology is not unique.

Financial analysts then presented a complex discounted cash flow model, attempting to argue that even with some cost savings, the investment return period was too long at a buyout price of two million dollars, which did not comply with the company's financial standards.

Ms. Morris herself has repeatedly emphasized that this is merely an "improved" patent, not a groundbreaking fundamental patent, and its value should be limited.

Meanwhile, lawyer Larson and consultant Lewis, like experienced defenders, calmly responded and argued their case logically.

Larson was responsible for repeatedly emphasizing the uniqueness, innovativeness, and insurmountable design barriers of patents from both legal and technical perspectives.

Lewis, on the other hand, focuses more on business logic. He constantly guides clients to think about the implicit value that these improvements can bring, beyond direct cost savings—enhanced brand image, increased consumer satisfaction, potential subtle changes in market share, and the strategic significance of seizing market opportunities.

He skillfully shifted the topic from "cost" to "value investing".

Yang Guangming remained silent for most of the time, like an observer detached from the matter, attentively listening to every word of the debate between the two sides, and meticulously observing the subtle changes in facial expressions, body language, and tone of voice of each member of the opposing side.

He noted that although Ms. Morris appeared tough and her words were firm, some details allowed Yang Guangming to judge that they genuinely wanted to reach an agreement as soon as possible to avoid complications and allow competitors to gain the upper hand.

This is an important psychological signal.

In the game between the two parties, the price climbed slowly and laboriously, like rowing against the current.

Nine hundred thousand, one million, one million one hundred thousand, one million two hundred thousand...

Two days later, when the price had barely reached the $1.4 million threshold, the negotiations once again reached a suffocating stalemate.

Coca-Cola seems to believe that this is the biggest concession they can make, their final psychological defense.

Ms. Morris's tone became unusually firm, indicating that this was "the final and only offer."

The atmosphere in the meeting room had almost reached freezing point.

Both sides silently gathered their strength, contemplating their next move.

At this moment, Attorney Larson and his advisor Lewis exchanged a few words in hushed tones.

Then, Attorney Larson took a deep breath, looked at Ms. Morris, and spoke in a seemingly casual tone, as if merely mentioning a well-known fact:
“Ms. Morris, out of respect for the good faith cooperation we are currently engaged in, and to avoid any potential misunderstandings, I feel it is necessary to disclose a message to you.”

He paused to make sure everyone's attention was on him, "Just yesterday, we had an initial phone conversation with the relevant person in charge at PepsiCo through a reliable intermediary."

They showed considerable interest in these patents, especially the bottle cap designs, which could bring a differentiating advantage to the brand and enhance the consumer experience.

Based on the feedback we've received, their technical assessment and business negotiation teams are expected to arrive in the Bay Area early next week, hopefully to arrange similar meetings.

He paused again, carefully observing the facial expressions of each member of the opposing team, noticing the intellectual property lawyer's tightly furrowed brow, before continuing:
“We are well aware of Coca-Cola’s leading position in the global industry and sincerely prefer to establish long-term and stable partnerships with industry leaders.”

However, business is business, and rational decision-making is fundamental.

If the final price cannot reach a level that makes us feel we no longer need to wait or compare.

Therefore, in order to be in the best interests of our clients, we are afraid, and regretfully, that we must arrange a necessary meeting with the Pepsi team.

I believe you will understand our position.

This was a key strategy agreed upon beforehand, and also a carefully calculated risky attempt to exert pressure.

In fact, Larson's lawyer did try to contact Pepsi through connections, but the response was far less positive and swift than that from Coca-Cola, let alone the confirmation that a negotiation team would be sent.

However, this does not preclude its use as an effective tactic to break the deadlock during the heated phase of negotiations.

The interplay of truth and falsehood, reality and illusion, is an inherent part of business negotiations.

The air in the conference room seemed to freeze completely. You could hear a pin drop.

Ms. Morris and the main members of her team instantly became extremely serious and solemn.

Ms. Morris immediately halted the negotiations, intending to hold closed-door discussions before providing a further response.

After a long two hours, negotiations resumed.

Ms. Morris's gaze bypassed that of lawyer Larson and consultant Lewis, and landed directly on Yang Guangming, who had been silent but had a strong presence, as if trying to read the final answer from his face.

She took a deep breath, as if making a momentous decision, and announced in an unusually calm tone, but with every word crystal clear:
"Based on the potential contribution of these patented technologies to our company's future packaging strategy, and..."

She deliberately emphasized her words here, "In order to avoid unnecessary market competition and time delays, and to ensure that we can be the first to acquire these valuable technologies, we are willing to raise the buyout price to $1.6 million."

This is the final, absolute, and highest offer we can make in this negotiation.

One million six hundred thousand US dollars!

It's double the initial asking price of 800,000!
This is only $50,000 less than the $1.65 million offer previously made by Sunshine Ming.

This price has far exceeded Yang Guangming's most optimistic psychological expectation of one million before the negotiations!
Attorney Larson and consultant Lewis exchanged a subtle glance, both seeing a signal of satisfaction and "acceptance" in each other's eyes.

This price is undoubtedly a huge victory.

Larson did not immediately agree, but instead followed etiquette, turning his questioning gaze to Yang Guangming, and returning the glory and power of the final decision to the true decision-maker.

Yang Guangming knew perfectly well that the time was right. There was no need to argue about the $50,000 difference anymore.

This should be the limit that the other party can withstand.

Continuing to apply pressure, especially for the uncertain $50,000, could very well lead to a breakdown in negotiations, resulting in more harm than good.

He met Larson's gaze and nodded very clearly and affirmatively, indicating his agreement.

“Okay.” Attorney Larson’s face showed the first truly relaxed and satisfied smile since the negotiations began.

He extended his hand to Ms. Morris, saying, “Although this price is still some distance from the highest value we initially expected, we accept it given the great sincerity, professionalism, and efficient decision-making ability shown by your company.”

We believe this is a fair decision for both parties and a good start to cooperation.

"It was a pleasure working with you, Ms. Morris."

"It's a pleasure to work with you, Mr. Larson, Mr. Yang, Mr. Lewis."

Ms. Morris also showed a relieved smile, her first relaxed and even slightly appreciative smile since the negotiations ended. She shook hands firmly with Attorney Larson and then nodded to Yang Guangming and Advisor Lewis.

The atmosphere became noticeably more relaxed and harmonious afterward.

The legal teams of both sides—primarily Larson and Coca-Cola's accompanying lawyers—began to refine and negotiate the specific legal terms of the patent buyout agreement.

The first thing to discuss was the specific payment method.

80% of the down payment will be paid to a third-party escrow account within ten business days after the agreement takes effect. The remaining 20% ​​will be paid after all intellectual property rights certificates have been fully transferred and confirmed to be correct.

Key topics for discussion also included: the list and procedures for the transfer of intellectual property rights, whether Sunshine should provide a short period of technical support, detailed confidentiality clauses, and the dispute resolution mechanism for any future disputes related to the patents themselves.

These detailed issues, though tedious, progressed smoothly thanks to the efficient handling of professionals from both sides.

The meeting that afternoon lasted for nearly four hours before the two parties finally reached a complete agreement on all legal and commercial terms and signed a legally binding formal patent transfer agreement on the spot.

When Yang Guangming signed his name at the end of the agreement, he couldn't help but feel excited.

As we left the hotel where the negotiations were taking place, the San Francisco Bay Area was already bathed in the glow of evening lights, with twinkling stars reflecting the city's dazzling lights.

The cool evening breeze, carrying the scent of the Pacific Ocean, caressed my face. I felt an unprecedented sense of ease and invigoration, as if a heavy burden had been lifted from my shoulders.

Attorney Larson couldn't hide his excitement. This usually serious lawyer couldn't help but pat Yang Guangming on the shoulder forcefully, his voice filled with excitement:
"Yang! We did it! 1.6 million! This is absolutely a glorious, textbook victory! I am so proud to have been a part of it and to have witnessed it all!"

Advisor Lewis smiled and extended his hand to Yang Guangming, sincerely congratulating him: "A very good negotiation result, Mr. Yang. Through our joint efforts, the value of your patent has been realized as it should have been, or even exceeded. It has been a pleasure working with you."

According to the agency agreement, Larson will receive a 10% commission, or $160,000, from the $1.6 million transaction.

This was undoubtedly a substantial reward for him, fully proving that his decision to actively seek the agency rights was correct.

Yang Guangming, on the other hand, will receive a huge sum of $1.44 million after deducting commissions! (End of Chapter)