Iran: Let's Make a Deal!
From ExecutivePlanet.com
What you should know before negotiating
Always come to Iran knowing two things. Your success is defined by your ability to build effective personal relationships, combined with a clearly outlined and well presented proposal.
Business is personal in Iran. Many businesses are family owned and run. Even within government, officials usually work within networks of friends and associates. If you have influential friends in Iran, do not be afraid to call in favours. Just be prepared to re-pay them in the future.
Building a relationship with your Iranian counterpart[s] is critical. The first meeting should be focused solely on getting to know each other. Once a relationship has been established, you can safely move on to business matters.
Iranians are astute businesspeople. They enjoy haggling and getting concessions, so be prepared for long negotiations.
Ensure your proposal clearly demonstrates the mutual benefit and profitability of any agreement or partnership.
Decision making can be slow. It is most likely that you will meet and negotiate with less senior members of a family or state department at first. Once you are seen as trustworthy and your proposal financially viable, you will then move on to meet more senior members.
Implementing decisions is just as slow. Iran's red tape and layered bureaucracy means a lot of waiting. Applying pressure in a non-confrontational way can help speed matters up, although the most effective way to do so is to use people of influence to help you.
When negotiating, Iranians will start at extremes in order to gage your response. Prior to negotiations, know your target figure and work slowly towards it through meaningful concessions. When conceding, ensure you present this as a favour and a decision made out of respect and liking for your counterpart[s]. Try and concede only once you have gained agreement on a reciprocal concession on a separate or related issue.
Do not use deadlines or pressure tactics, as this can backfire. Be patient.
It may not always be necessary to focus on financial benefits when negotiating. It is just as useful to point to areas such as power, influence, honour, respect and other non-monetary incentives.
Submit a Comment on this Article
