Question: Please summarize the following; Associate Yourself With Recognized Organizations: Become a Recognized Player To increase their negotiating power, smaller firms seek to associate themselves with
Please summarize the following; Associate Yourself With Recognized Organizations: Become a Recognized Player To increase their negotiating power, smaller firms seek to associate themselves with better known enterprises who already enjoy international status. Furthermore, it is essential in todays market for smaller firms to obtain certification from recognized standard organizations. For instance, large enterprises that outsource part of their requirements insist on doing business only with firms certified as having ISO 9000. In the case of food products and pharmaceuticals, the U.S. Food and Drug Administration certification is essential because of its international recognition. Similarly, firms obtaining the appropriate European Union standards are allowed to do business in any of the member states. With the enlargement of the European Union to 25 members, smaller firms can now access a greater market potential than ever before. Relying on a world-renowned inspection agency to guarantee that the goods being shipped are in accordance to the pro forma invoice adds bargaining strength. Remember, in most cases, going alone in a negotiation with a larger party is a daunting task unless you are already certified by a recognized world body or already part of a coalition or associating with firms with an international reputation. This can also include dealing with an internationally renowned bank or contracting ones advertising and transportation to a reputable firm.
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