Unlocking International Joint Ventures

CHAPTER NINEPICKING AN ADVISOR

‘Advisers advise, and ministers decide.’

– Margaret Thatcher

Establishing and then operating an IJV is normally a novel challenge for most Western managers. Managers will be accustomed to dealing with employees, suppliers or customers but dealing with a partner involves a very different dynamic. The relationship will be less deferential, more complex, there will be shifts in alignments and personalities over time and this is before we even consider the myriad of cultural, legal and communication challenges with which to contend.

Many managers will happily proceed smoothly through their career without encountering an IJV – in some cases they will not realize how happy they were pre-IJV until they are pulled into one. As discussed in Chapter 4, although IJVs can make careers, they are in practice more likely to shatter a career than to make one.

However, even the cautious and prudent manager may find it difficult to avoid involvement in an IJV as businesses find they are needing to balance geopolitical demands with opportunities in developing markets. Accordingly, adeptly navigating IJVs will likely be seen as a crucial skill for a manager wishing to have an international career. Also based on experience, most managers have a very healthy ego and while they may agree that IJVs are challenging, they secretly think it is challenging for others but not for them. We have all met the clueless manager who after conducting three days of pointless negotiations ...