Skip to content
PMPMedium

PMP Practice: Analyze the bounds of the negotiations for agreement

Cedar Reyes is the project manager for Delightful Chaos Labs, an AI startup developing a natural language processing API for healthcare applications. The team is negotiating a partnership agreement with a major hospital system that would provide both funding and real patient data for model training. During negotiations, the hospital's legal counsel insists on a clause requiring all API features to be fully tested and certified by their security team before any sprint deployment, which would add 3-4 weeks to each release cycle. The product owner argues this defeats the purpose of iterative development and would delay market entry by six months. The hospital representative states they cannot compromise on security review timelines due to HIPAA compliance concerns, but they are willing to increase funding by 30% to support the extended timeline. The product owner privately tells Cedar that a six-month delay would likely cause two key venture capital investors to withdraw. What should Cedar do to negotiate an agreement that addresses both parties' core concerns?

Key Concept

This question covers Analyze the bounds of the negotiations for agreement under Negotiate Project Agreements (People).

This is 1 of 100 free PMP questions

Unlock 6,300+ PMP practice questions with detailed explanations, progress tracking, and exam readiness prediction.

Unlock All Questions