• M.M.

Whom to trust in international trade deals ?

The 2020 pandemic has been unexpected, especially given that the last big world pandemic has happened almost 100 years ago. Certainly who would have remembered that ?

But what happened during the recent history of about 10 years or so has not been forgotten, for example the SARS outbreak in China. The world acted quickly and both, society and business were able to go on with a more or less normal day to day life.

This time it is different and while mankind is struggling with the pandemic, already the smartest have started to align and to adjust themselves and their businesses to the new environment.

New businesses have been established while old traditional businesses are dying, unfortunately.

Well, hey, we are in the digital century and the world has become so small and communications, transactions or decisions are only a mouse click away if not already pre- decided by algorithms, which are part of super computer programs that are constantly changing our world.

And yet, humans are needed more than ever, for discussion, for decision, for business, for trade deals.

While we already learned to use google translate to overcome language hurdles at least for polite introduction in email conversations between for instance a Korean buyer and an Indonesian seller, we still see more and more businesses fail, trade deals, harmed and more virtual walls built than what we expected.

What all parties involved need is trust. Trust is the mother of reliability, honesty, transparency and efficiency. To gain trust from a business partner it can take days, weeks or years. Although it takes that long to build up trust, it can take only a second or a minute to destroy what was build up with much effort and passion.

The COVID pandemic had it's boom in PPE (personal protection equipment) goods and newspapers as well as social media reported about the frauds, the cheatings, the "crooks" and the scandalous price hype.

eMeM Solutions sees it not only as moral and ethical obligation towards the health industry but believes strongly in the sustainability and larger success by establishing the highest level of trust among stakeholders in business, especially in trade deals.

But how do we achieve this ? Thousands of experiences in similar business cases have been analyzed and conclusions drawn, so that we are able to act preventive or warn for example a German buyer about a manufacturer's agent or distributor who violated business rules in the past.

If eMeM Solutions involves directly as a trade partner then transparency and personal relationship are the key to the successful deal.

Despite the need of contracts, payment guarantees and other internationally standardized instruments eMeM Solutions and its partners have felt more importance on a traditional handshake and a personal honor based agreement of business deals. Certainly the necessary paperwork would go hand in hand with that.

Wherever we feel that it is not a good fit, then we advise our partners to refrain from entering into a trade deal, even taking the risk of loosing a fee or other rewards.

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