CHAPTER 8
The Agenda CARVE
IT IN
STONE
upon all aspects of the agenda for the negotiations is the first step in the long process of the relationship building so necessary for a successful deal. Even when both parties are experienced and comfortable with the legal obligation of a contract, there’s still an essential human element in play. This is true even when negotiations are conducted via phone, fax or email. In fact, sometimes the quality of the deal becomes secondary to that relationship.
CONFERRING AND AGREEING
Taking a Proactive Role One of the surest ways to waste time and money during international negotiations is to proceed without a fixed agenda. Because the greatest expense will be generated by the visiting team, it’s essential that they take a proactive role in crafting the meeting agenda. Hosts in many business cultures may resist the efforts to work by a fixed agenda, as it goes against the grain of their society’s view of time. Some hosts also like to “run the clock out” as a means of forcing concessions. Clearly, it works in the visiting negotiator’s favor to arrive in-country with a clearly delineated agenda. Experienced negotiators also recognize that it works well for hosts to abide by an agenda as much as possible. Although their expenses may be fewer, hosting companies (buying or selling) are still tying up managerial and staff time. Neither dragging out the negotiating process nor proceeding in a haphazard manner are productive approaches. Many practitioners of the running-out-the-clock ploy find that their efforts have come to naught as savvy visitors leave, never to return. Even vastly promising economies like China have seen investments take a downturn as their negotiators gained a reputation for being “time wasters.”
Time Is Money Keeping discussions on track may require a brief breaking-in period for counterparts unfamiliar with, or disdainful of, the process. While the agenda may have been addressed and detailed well in advance, setting the tone at the first meeting is essential. Visitors wishing to keep to a schedule must arrive promptly and be prepared to get right to work, regardless of their hosts preparation. Selling-mode visitors will appear eager, while those in the buying mode will give the impression of being prepared to make immediate decisions. Hosts who are ill-prepared for the arrival of guests will be put on the defensive, at least temporarily. Host/buyers who intentionally create a let-them-wait atmosphere may be hard to hold to an agenda. Sellers must recognize this for what it is and decide whether
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