Wednesday, July 24, 2024

What do you value in business deals? The hard issue vs soft issues? Bottom line numbers or/relationship

It is about getting better...

In our recent business negotiation all went well when the other party acted oddly in a impolite way,  Not once but twice.  They dared us not to go with the deal.  This end wanting no more headaches and resolving of personal issues, having been given an  ultimatum  yes or no, opted for the latter.

Lately we are into a deal.  The other party wants us to give an offer although he has not furnished us a document.  Although his property is nice, this post posits that we cant go into a long term relationship.  An outright purchase is out of the question, his property being untitled.  We feel he does not trust us, and he too for us.   Thus we cant work together for a long time in a joint project

So we are ready to drop the deal and look for another.  As in Leron leron sinta......"humanap ng iba"

Thus many mergers and acquisitions fail.  Analysts and decision makers look at the number and find them to be superb without factoring in the socio cultural aspects.  Cultures positions clash, workers fear threatened -  do not cooperate.  Key personnel leave, leaving the surviving company without talent.

How many M & A failed because of this.   I have heard many bad stories about local acquisitions and merger.   

Warren Buffet was thus a genius of buying shares of stocks.  He bought shares not companies thus let the existing managers and just watch managers produce results. 

Most colonial imperialists conquered successfully not through hard means but by soft means.  Spain conquered Philippines via word rather than sword.  They used religious means founding of schools vs. armed struggles.  The quelling of uprisings were few and far in between.   Alexander the Great conquered many nations by letting the locals run their govt and let his soldiers intermarry the natives.  

What are your thoughts on these:    numbers of relationship, hard vs soft issues?


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