Trust
Sam Palmisano, CEO of IBM remarked that globally integrated enterprises and their leaders will need to reinforce trust. He writes in FT, "We need new ways of establishing trust based on shared values that cross borders and formal organizations." As companies increasingly partner for competitive advantage, the trust issue arises time and again between them.
About ten years ago I was a banker to a fast growing semiconductor company; their motto was "Say what you do, Do what you say". Take the words you say as commitments. This is the foundation of trust and as you enter or continue your business career you may find this hard to do. I say this having worked in two of the most "hyped" industries, technology and investment banking. Not easy to do but you need to stay on this course as it works in the long run.
posted by Stan Sakai @ 4:10 PM
2 Comments:
It is difficult to do what one said. It gives you good reputation in business to be honest.” Doing what one said" is not only gives you good reputation among the business partners, but also gives good brand about the company among the customers.
You raise a good point on international law. And here is the technical answer. Each contract is ruled by a given law: in the international context it is usually the State of NY or English Law. The reason is that Japanese and Korean law do not have enough court precedents (i.e., court cases that test and interpret the law). Thus, in a contract dispute that results in a suit you need to go to court in the jurisdiction under which the contract is written. You get a judgement there, and then take that judgement to the court of the country where the Company operates (or has assets) and seek enforcement. If they have assets in the jurisdiction where the law resides then you can seek enforcement action there as well. It is complicated. So ultimately you have to base your business decision on the contract on the power relationship"--i.e., the respective parties' leverage and trustworthiness.
Post a Comment
<< Home