What is the strategic value of relationships?


Morton, a Sales Manager from Maine, knows how important relationships are;  he studied at an Ivy League school; his class mates are in key positions in many industries and on several occasions, doors have been opened and introductions made which enabled big bucks to be made. (Morton’s boss pays big bucks to lobbyists in Washington. Morton loathes corruption he often encounters in Russia, the Mid East and South East Asia.)

Chan (m), a scientist turned entrepreneur now living Beijing, maintains a vast network of relationships with people he knows, knows of, and trusts to different degrees. Into these trustful relationships, he plugs in his business and personal decisions. Relationships are the key and almost sole enabler of doing business and getting things done. (Chan looks at his relationships like Morton looks at his net worth.)

Neta (m), a Head of a large Business Unit from Tel Aviv, knows that the dreaded Israeli bureaucracy and red tape surrounding purchasing and supply chain, can kill his business. Luckily, Neta has a very strong relationship with Elad, supply chain/procurement manager. Elad and Neta studied in the same high school and run together at the gym. Neta and Elad trade “do me a favour-s” all the time,using relationships to work around the system. (Neta does not trust the Americans who “work-to-system” since systems fail more than relationships).

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One thought on “What is the strategic value of relationships?

  1. These points are very important – I wonder if people realize this. There relationships very in nature and expectation and context considerably.

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