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In this video, the negotiation process for a typical merger is outlined step by step. The process begins with the initial approach, which can be initiated by either the buyer or the seller. Buyers express interest in acquiring a company by contacting the target's management. Alternatively, sellers may proactively seek potential buyers, possibly hiring an investment banking firm like Goldman Sachs to identify interested companies. Sellers might aim to attract interest from multiple bidders to enhance their chances of a successful sale. The video emphasizes the strategic considerations involved in each approach to the merger negotiations.