Establishing and maintaining successful international business relationships with Libya

Libya

Individual question (summary for all companies) plus short analysis at end of table see below and write in the tables please.

Pre-Contact Stage

DO NOT WRITE THE QUESTION.

Summary for all companies: The nine companies mention many of the same ideals on replacing business partners that are important to them and they are: good relationships with partners, a high quality of service, financial strength, a strong reputation and knowledgeable.

Short analysis: Everyone is in agreement on many of the characteristics they seek in new business partners- quality, knowledge, and reputation. One company mentioned financial strength and another mentioned geography. A third company likes a partner to establish the first communication.

Question 2: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine businesses describe in general terms what their aims and objectives are during this stage. Most of them mention self-improvement in their own business and finding the right partner.

Short analysis: Everyone mentions that their aims and objectives at this stage are in improvement and strong partnerships in one way or another. One company mentions improving customer service and another mentions moving expanding to new areas.

Question 3: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine businesses typically would do this type of search via the Internet and doing research about specifics. They mention contacting them by both e-mail and the phone.

Short analysis: All nine companies agreed upon how they would search for partners, which is mainly via the internet and by subject expertise. It is also universal to contact them via e-mail and with the phone. Most said these avenues have had direct correlation to future meetings.

Question 4: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine companies mentioned important characteristics when looking for a new business partner were: reputation, experience, trust, location, knowledge, and success.

Short analysis: All nine companies are thinking alike in this category. This is not a surprising finding because these are many of the characteristics that help determine future success.

2. Initial Interaction Stage

Question 1: DO NOT WRITE THE QUESTION.

Summary for all companies: Generally all nine businesses try to establish building blocks at this stage.

Short analysis: All nine of the organizations mentioned good first steps, building rapport, or something close to those ideas.

Question 2: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine businesses all contact their new business by phone and e-mail; most of the conversations are in English.

Short analysis: Multiple forms of communication are used by the nine companies; many of them use English as the medium for communication, but Arabic was mentioned as well as speaking the language the new partner does.

Question 3: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine companies talked about setting up meeting by organizing times, dates, locations, etc. When establishing a working relationship with new partners the terms body language and flexibility came up. The form of communication is usually in English and the meeting can last two hours and beyond.

Short analysis: Everyone was in agreement with setting up times and destination on specific dates. The meeting can go anywhere from two to four hours and the most common form of communication is English.

Question 4: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine businesses discussed communicating with business partners via phone or e-mail. Some prefer weekly communications and others as often as it is necessary. The length of establishing variables brought back the terms depends on size and cost.

Short analysis: This question had some different responses by the nine businesses. Some prefer to communicate with new partners often; whereas others only want to communicate when it is necessary. The variables question did not have much difference; many said depends on the size, project, money involved, etc.

Question 5: DO NOT WRITE THE QUESTION.

Summary for all companies: All nine companies were in agreement on the characteristics in developing a relationship with a new partner.

Short analysis: The terms that they used were experience, knowledge, credibility, and reputation.

Question 6: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine organizations all thought very similar in the thoughts behind stopping the partnership/development at this stage.

Short analysis: The terms they used lack of interest by the partner, poor finance, poor management, breaking agreement, credit crunch. One individual used the term "war" as a breaking point for new partnerships.

Question 7: DO NOT WRITE THE QUESTION.

Summary for all companies: When asked what would cause the partner to break a relationship with them all nine businesses mentioned many of the same items.

Short analysis: The terms disagreements, breaking agreements, poor finance were used. One individual used the term "war" as a breaking point for a new partnership.

Question 8: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine companies were in agreement here as well; most of them discussed effective partnerships, good communication, and customer satisfaction in the successful relations they have had with new partners. When working with foreign companies they mention communicating clearly and remaining flexible.

Short analysis: Success in new partnerships hinges on working well together, a strong line of communication, and customer satisfaction on both ends. It is also important that communication and flexibility are used when working with foreign companies.

3. Development Stage

Question 1: DO NOT WRITE THE QUESTION.

Summary for all companies: The objectives for the development stage are important for all nine businesses. They mention improvements in the relationship and business and developing the team concept.

Short analysis: The idea of working on improving relationship and business with your partners is the key finding here.

Question 2: DO NOT WRITE THE QUESTION.

Summary for all companies: During the developmental stage all nine companies have discussed communicating via e-mail and with the phone. All mention English as the primary form of communication.

Short analysis: All nine companies stay in contact with their partners as often as possible usually through e-mails and phone calls. Most did mention meeting from time to time depending on where their partner was located.

Question 3: DO NOT WRITE THE QUESTION.

Summary for all companies: All nine companies had different views on when to hold meeting with partners. The general responses were once a month depends on how close in proximity, only when required for issues, and for future planning. When the meeting did occur they usually lasted two to four hours and the primary form of communication was English and in several cases Arabic.

Short analysis: Every business has different ideas on when to meet with their partners. Some want to do it monthly, whereas others only want to when issues arise. The meeting are generally two to four hours and English is spoken in most cases.

Question 4: DO NOT WRITE THE QUESTION.

Summary for all companies: To maintain a relationship with their partners the nine businesses shared many of the same characteristics.

Short analysis: The characteristics that were described were friendliness, reliability, trust, flexibility, quality, and confidence.

Question 5: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine businesses all gave many of the same responses to why they would stop a relationship with a new partner.

Short analysis: The responses generated were bad relationships, recession, political problems, credit crunch, and lack of profit. The terms war and personal attitude were mentioned by several.

Question 6: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine businesses all gave many of the same responses to why a new partner would stop a relationship with them.

Short analysis: The responses generated were bad relationships, recession, political problems, credit crunch, and lack of profit. The terms war and personal attitude were mentioned by several.

Question 7: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine companies had a variety of responses when asked if they had recent examples of recently successful developed partnerships. Several said they had none and some mentioned first class partnerships and others described what countries they had success in.

Short analysis: Of the nine companies most had a recent success story with a new partner.

4. Maturity Stage

Question 1: DO NOT WRITE THE QUESTION.

Summary for all companies: At the maturity stage all nine of the businesses answered with improved relations and continued development of the partnership.

Short analysis: After a partnership hits the maturity stage all nine businesses believe that improving the relationship is key.

Question 2: DO NOT WRITE THE QUESTION.

Summary for all companies: At this stage communication is maintained mostly through e-mail and phone. The language all nine companies generally use with their partners is English.

Short analysis: Communication is essential between partners in business; most choose to communicate via e-mail or phone; some other companies have begun to use Skype

Question 3: DO NOT WRITE THE QUESTION.

Summary for all companies: During this stage all nine of the businesses identified many of the same key characteristics for maintaining a strong partnership.

Short analysis: The characteristics that were mentioned most were manners, personal behavior, open level of communication, credibility, trust, confidence, and experience. One company mentioned that it is important for partners to agree on most specific issues.

Question 4: DO NOT WRITE THE QUESTION.

Summary for all companies: Most of the nine businesses mention the same ideas that would cause them to stop the relationship at this stage; many of them point to bad finance and the recession as key forces.

Short analysis: The main factors separating businesses at this stage are financial. The recession and credit crunch are the two mentioned most often. Others mentioned crises and political instability as factors.

Question 5: DO NOT WRITE THE QUESTION.

Summary for all companies: Six of the nine companies shared (recent) examples of how they have managed to successfully maintain relationships with an existing partner.

Short analysis: Three of the companies just flat out said they had no success recently with partners. The other six companies gave emphatic yeses and mentioned extension of contracts, very good summer, and established great contacts.

Question 6: DO NOT WRITE THE QUESTION.

Summary for all companies In this stage all nine companies said that, mutual familiarity, understanding, close psychic distance and communications are needed to maintain existing levels of trust and commitment and to continue to reinforce positive experiences and enhance satisfaction made perfect sense to them.

Short analysis: The answers to this statement were all yes. Yes this is right and yes this is correct were most prevalent among the nine businesses corresponding.

General Questions

Question 1: DO NOT WRITE THE QUESTION.

Summary for all companies: All nine companies were asked about the countries from which many of their business partners hailed from. North Africa, United Kingdom, and Malta were all places in which six of the nine organizations had established partnerships.

Short analysis: Other countries that were mentioned were: Italy three times, Egypt, Tunisia, and Greece twice, Algeria, Spain, Turkey, Libya, all once. Southern Europe and The Far East were also mentioned. This indicates that the nine organizations are establishing partnerships in a variety of countries.

Question 2: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine businesses identified many different key factors that foreign organizations should take into account when doing business with companies in Libya. The main responses were in culture, language, and knowledge.

Short analysis: This indicates that the nine organizations believe that culture, language, and knowledge are the most important factors in doing business with companies in Libya. Other answers that were given included communication, weather patterns, and experience.

Question 3: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine businesses identified important key factors that Libyan organizations should take into account when doing business with foreign companies. The main responses were in culture, language, and knowledge.

Short analysis: This indicates that the nine organizations believe that culture, language, and knowledge are the most important factors for Libyan companies when doing business with foreign companies. Other answers that were given included communication, experience, reputation, flexibility, and prior business experience.

Question 4: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine businesses identified important steps can you take to carry on building good relationships between themselves and their business partners. The main responses included culture, culture adaptation, and communications.

Short analysis: This indicates that the nine organizations believe that culture, culture adaptation, and communication are the most essential elements in building good relationships between themselves and their business partners. Other answers that were divulged were recent experience, research area, flexibility, and constant communication.

Question 5: DO NOT WRITE THE QUESTION.

Summary for all companies: The nine organizations made several recommendations that they would give to a foreign company seeking to develop business relationships with Libyan companies and they are culture, culture awareness, culture adaptation, and communication.

Short analysis: This indicates that the nine organizations believe that culture, culture adaptation, and communication are the most essential recommendations that they would give to a foreign company seeking to develop business relationships with Libyan companies. Other answers included flexibility, research, and recent experience in that area.

Part 3

Summary and discussion of part 2

Writers Hallen and Wiedersheim (1984), Dwyer et al. (1987), Wilson (1995) and Brooks (2008) believe that in order to develop a business relationship, it is necessary first and foremost, that the business is ready to give so that the trust-quotient could be proved, and credibility built with a given market scenario. Here are the examples of Dwyer et al. (1987), Wilson (1995), Brooks (2008) and Hallen and Wiedersheim (1984) stages in developing a business relationship. For the purpose of this analysis the Hallen and Wiedersheim's (1984) four broad stages will be used.

Dwyer et al. (1987) suggest five stages in the development of a relationship:

1. Exploration

2. Awareness

3. Expansion

4. Commitment

5. Dissolution

Wilson (1995) also suggests five stages in business relationship development, but with a slightly different focus:

1. Search & selection

2. Defining purpose

3. Setting boundaries

4. Value creation

5. Hybrid stability

Brooks (2008) suggested four stages that businesses follow in the implementation of a relationship building exercise:

1. Emerging - getting know each other with a few test transactions (both financial and non-financial)

2. Growth - increases in size and/or volume of transactions

3. Maturity - steady state: stable size and/or volume of transactions

4. Declining - decreases in size and/or volume of transactions"

Hallen and Wiedersheim (1984) suggest the following four broad stages:

Pre-contact: Given that the parties taking part have not been in contact, the perceptions on both sides rely on the second hand appreciations of the whole nation, thus the initiation of the process is the cultural affinity which is considered a starting variable (Hallen and Wiedersheim 1984). The overall argument at this stage is that there are minimal chances of any other variables getting involved in relationship development, thus the remainder take effect just after making contact.

Initial Interaction:

Prior to carrying out any critical steps the prospective partners must first have a meeting or a series of meetings, which can be said to be initial interaction. This stage is similar to 'exploration' as referred to by (Dwyer et al. 1987), and goes on for an undefined period, but generally between 1-12 months, dependent on the frequency of the contacts made.

Development:

The relationship is developing at this stage and is beyond the initial interaction stage. The emergence of problems is more likely at this stage, as it signifies the end of the 'honeymoon' period and the focus of the partner's moves from relationship development to the core objectives of the business.

Maturity:

A business relationship reaching the maturity stage should be an indicator that the partners involved are sufficiently familiar with each other to the extent of being able to anticipate each others' needs and wants. Synonymous to partners in marriage, the partners in a business relationship should be comfortable with each other, and work in unity of understanding and accepting the operational parameters of the relationship.

Businesses must begin to rely more on relationship building, because in a global market the idea of this is understood to be an important element for success. It is equally important to consider that relationship building happens between people, within organizations, and not between the organizations themselves.

To obtain the necessary information about establishing and maintaining successful international business relationships, a survey must be put assembled to collect and analyze the data for the case study. A test pilot was used in this study and randomly selected five international businesses to do both face-to-face and phone interviewing to ensure that the data collection process is both valid and reliable. After the test pilot was complete, the surveys were sent to the nine businesses from a variety of geographically different locations.

Two test runs were completed prior to implementing the collection plan to be sure that the level of risk is minimized as much as possible. Being that all of the scoring is done via the computer, isolating specific applicants and questions is a feasible task to complete. This has also ensured that the information is coming from the selected sample and that it accurately represents international businesses establishing and maintaining successful relationships.

The focus of the survey will be on the nine companies that participated in the case study and volunteered time to answer questions from five specific categories in dealing with partnerships in business. The stages included the pre-contact, initial interaction, development, maturity, and one that included general questions. The data was collected from surveys electronically with the appropriate measures taken to ensure proper permission is granted. Technology, in this case, was important as well.

The first questioning component used in the survey was the pre-contact stage. Four questions were asked to the nine businesses in this stage. Question number one asked about finding new business partners and the nine organizations were in agreement on many of the characteristics they seek in new business partners such as quality, knowledge, and reputation. The second question asks what the aims and objectives are during this stage and all nine companies mention that their aims and objectives are to improve and strengthen partnerships in one way or another.

Next, the nine businesses are asked about how they searched for partners; 100% of the organizations agreed that they would search for partners via the Internet by looking into subject expertise. Another finding was that contact was often made by using email and the telephone and these avenues have had a direct correlation to future meetings. The fourth question inside the pre-contact stage asked the nine businesses to describe the most important characteristics looked for when choosing a new business partner; the answers divulged that the nine companies were reputation, experience, trust, location, knowledge, and success.

The second questioning component used during the survey was the initial interaction stage. This stage is more complex and asks the businesses eight questions. The first question explores what the aims and objectives are during this stage and the nine organizations mention first steps that include building a strong rapport with a potential future partner. Questions number two and three ask about how the partner is contacted and how a meeting is set up. The nine contact their new partners by telephone and e-mail and set up times and destination on specific dates for a meeting; most of the conversations are in English.

Question number four asks specifics about contacting one's new business partner, and the response was that all nine preferred phone or e-mail communications, but a difference here is that some prefer weekly communications and others as often as it is necessary. The fifth question what the most important characteristics are in developing relations with a new business partner and the terms generated were experience, knowledge, credibility, and reputation. Questions six and seven were structured similar in structure, asking what a partner or the business themselves could do to stop the development of the partnership at this stage. The responses for both questions were similar and mentioned ideas such as lack of interest by partner, poor finances, poor management, breaking agreements, and the credit crunch. Question number eight discusses any recent examples that the nine businesses have been successfully involved with, and the answers are more geared in tips for success with new partners that hinge on working well together, a strong line of communication, and customer satisfaction on both ends.

The third questioning strategy used during the survey was the development stage. This stage was similar to the second stage because it is more complex asking seven questions. The first question what objectives are the businesses looking to accomplish during the development stage and the organizations mention continually improving relationships with the business partners is the key. The second question asks about communicating and what languages are generally used and the nine companies stay in contact with their partners as often as possible usually through e-mails and phone calls primarily in English. Many of them also mentioned the idea of meeting from time to time depending on where their partner was located. Question number three delves into how often they choose to meet with one's partners and what the topics of discussion are going to be. The nine companies had different views on when to hold meeting with partners. Some responded with once a month, others said it depends on how close they are in proximity. The meetings are usually held to discuss issues and for future planning ideas. When the meetings occur they have typically lasted two to four hours and the primary form of communication was English.

The fourth question number asks what are the most important characteristics are in maintain a relationship with one's business partner during the development stage. The nine organizations described many of the same characteristics and they included friendliness, reliability, trust, flexibility, quality, and confidence. Questions five and six were created similar in structure, asking what a partner or the business themselves could do to stop the building of the partnership at the development stage. The replies generated were bad relationships, recession, political problems, credit crunch, and lack of profit. The ideas war and bad personal attitude were mentioned by several of the businesses. Question number seven deals with any recent examples that the nine businesses have been successfully involved in during the development stage. The nine companies had a bevy of responses, several mentioned they had no success and others openly discussed first class partnerships and even described what countries they had success in.

The fourth questioning strategy used during the survey was the maturity stage. The first question asks, what the businesses want to accomplish during the maturity stage and the nine companies answered with two key ideals, improved relations and continued development of the partnership. The second question asks about communicating and what languages are generally used in the maturity stage. The nine organizations all mention that communication is essential between partners in business at the maturity stage; most choose to communicate via e-mail or phone often in English; other companies have branched out and started to use Skype technology. Question number three asks the businesses to discuss the most important characteristics are in maintaining a relationship with their business partners during the maturity stage. The characteristics mentioned most by the companies were manners, personal behavior, and open level of communication, credibility, trust, confidence, and business experience. One company shared that it is important for partners to agree on most specific issues to have continued success.

Questions four and five were developed similar in style, asking what a partner or the business themselves could do to stop the building of the partnership at the maturity stage. The distinctive characteristics were mentioned most were proper manners, personal behavior, and openness in communication, credibility, trust, confidence, and business experience. One company mentioned that it is important for partners to agree on most specific issues and several others mentioned crises and political instability as factors that can stop the building of a business relationship at the maturity stage. Question six makes a statement "as we know by this stage, mutual familiarity, understanding, close psychic distance and communications will now be needed to maintain existing levels of trust and commitment and to continue to reinforce positive experiences and enhance satisfaction" and after reading the statement the business owners ask if that makes sense to them. The answers to this statement were an overwhelming yes as the nine businesses believed this is right.