9.6. RISK AS A NEGOTIABLE
The rate of change in business results in uncertainty in that even if a partnership relationship existed, based on an aligned strategy, how do you reasonably ensure that you remain continuously aligned as both your companies continue to reassess their strategies?
In other words, when considering the future and the contract you are about to sign, never assume a constant state. Things will always change over time. Performance, reliability, the market and the consumer can all change, and will challenge your assumptions about how profitable the deal is, or will be, or has been.
It is these very issues driven by change which you need to factor into your planning, and your attitude towards accounting for these risks can often provide a means of attracting more valuable and more robust agreements. The concept of getting a great price but a lousy deal comes from an agreement where the price is good but the conditions or exposure you have accepted is so wide open, that it was worth the other party providing you with the better price given the security it had brought them.
The value to you of a guarantee which protects you against change, the value of accountability and responsibility are often not the same as the cost of accepting them.
In a similar way, the price or value of a flexible airline ticket will mean different things to you and the airline in the transaction; for example, the convenience of being able to switch and change can provide tremendous value ...
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