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Omega Films Ltd. is a case study in negotiation theoretically based on Berne's Transactional Analysis which provides an objective analysis of a failure in a business negotiation situation from real life. It draws attention to the significance of interpersonal, emotional and cultural factors in negotiations. The story takes place in Hungary and the participants are three firms, the (Hungarian) Omega Films Ltd., the Holm PR‐Agency, which is owned by an Austrian citizen and Bau Ltd., an important subsidiary of an Austrian concern in Hungary. The case study can be used in courses relating to either business negotiations or inter‐personal relations and it works well with both MA and MBA students.