Building a Trusted Relationship With Partners

Honesty and trust is at the heart of any long-lasting relationship and this applies squarely for international business relationships as well. Considering the fact that there exists a considerable physical distance between the two partners, it becomes all the more essential that the relationship has to be taken forward on mutual trust. The advent of internet and intercontinental air carriers has definitely cut down the distance and travel time considerably, but they are no substitute for fostering healthy relations.

Importance of Trust in Business Relationships

One might argue that good relations among partners are essential for domestic businesses as well. We agree wholeheartedly. But, unlike with your domestic partner, you can’t just drive up to your international partner for a one-on-one meeting to sort things out.

There are a few things that you can do to ensure a strong and healthy relationship with your foreign business partner.

Build the relation on credibility: In an international business relation, your partners have no option other than to believe what you say. If there is something about your product or service that your partner needs to know about, even if it is a negative thing,  tell them. They deserve to know. You can’t send them in to a battle with one hand tied behind their back. Once trust is lost, it is very difficult to win it back.

Setting the right expectations: Never promise the ‘best’ if all you are capable of delivering is ‘good’. Never promise to ship the product out in 7 days when it will take at least 10 days to do it. Setting the right expectations is crucial, because it directly determines the credibility factor mentioned above. And even more important is following through on your promises.

Be attentive to their suggestions: Suppose you run a successful business in Canada and now you want to set up shop in a foreign market, say China. There is a very slim chance that the marketing strategies used in Canada will work in China. This is exactly what your partner in China will tell you. Listen to their suggestions and if it makes sense, accept it, even if it means adopting a different strategy than the one that has worked for you in the past.

Regular knowledge-sharing is crucial: Although this may sound basic, you would be surprised to see the number of companies who forget to do this. They might have a well-developed knowledge base back home, but somehow, they fail to share this with their distributor or partner in the foreign market. This essentially prolongs the learning curve of the partner, thereby wasting valuable time.

The key to a successful international business is not just building the perfect relationship with your partner, but maintaining it as well. Studies have shown that having a good relation with your foreign partner can improve your chance for success considerably. The above tips can go a long way in helping you achieve it.