Trust in international business is low and keeps getting lower. This is evident in how we speak of doing business with foreigners and the recent fallout between the European Union and the United Kingdom; no American wants to do business with an Iranian, just like no South African wants to do business with a Kenyan.
Business owners are worried about working with foreign companies or individuals because they don’t trust them, which creates more problems in the international space.
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Why Is Trust Important
Trust is the firm belief in a person. When you trust someone, you strongly believe in their actions, abilities, and integrity. To determine how important trust is, you need to retrace your steps and evaluate your relationship with someone you trust, and compare it with your relationship with someone you don’t trust.
You will notice the productivity in your relationship with trust is higher than that of the relationship built without trust. A similar scenario is the case of airport security around the world. Before the 9/11 attack, you could pass through the security checks within a few minutes, but after the attack, all countries have increased their security checks at airports.
Lack of trust makes business slow; if you’re doing business with a foreigner, you keep having thoughts of whether you can trust them, if they will fulfill their promise as said, and this affects decision making.
Contrarily, trust increases the pace of doing business since you believe in the business partner’s integrity.
Tips To Create Trust In International Business
Build Your Credibility With Global Business Partners
If you are new to international business, it might be difficult to secure a partner due to credibility. To build your credibility in the international market, you should consider partnering with a PEO company that offers the best PEO services in the country.
Partnering with PEO for business shows you have legal operations there, which count as creditable integrity, and people who patronize your business can also vouch for you.
Develop Interpersonal Relationships
A business deal between two strangers might go well, but there will be a lot of negative thoughts and fear behind the scenes, while a relationship between friends will go smoothly due to the trust between them. When embarking on any international business, don’t limit your relationship to work only.
Of course, you have to respect boundaries, but that doesn’t stop you from developing a formal relationship with your partner to build trust. Take time to invite them to dinner, and discuss families, goals, and motivation.
Doing all these will pave the way for more trust and bolster your partnership.
Pay Attention To Your Partner’s Expectations
Two business persons going into a business relationship know what they expect from each other; it could be time, respect, or sincerity. Whichever one it is, it is incumbent to pay attention to your partner’s expectations and duly act on them.
For instance, Asians are known to be more polite and time-conscious than other people, so if you have an Asian as a partner, do your best to keep to time to boost the trust he has in you.
Share Knowledge That Will Help Your Partner Grow
The more you equip your partners with the knowledge, the more they trust you. If there is any latest investment that could fetch you both more income, share the information and watch the trust grow.
Similarly, If there are any changes on your end concerning the business endeavor, inform your partners as soon as possible so that they are always motivated to work with you.
It is human nature to trivialize the way a foreigner does his thing. When you understand your partner’s culture, you stand a chance of earning his trust. However, you should know that culture is a thing for some while some foreigners don’t see it as a big thing.
Eastern countries value their culture, and they trust anyone who values their culture. Just make sure it is sincere as the world is full of insincerity hence the need for more trust.
The importance of trust cannot be overemphasized, as we have seen with countries going to war. The recent action of Russia on Ukraine is due to a lack of trust, and the stringent security protocols at airports are due to the lack of trust.
Trust can make or mar a business, so it is important you build your credibility first before considering establishing a partnership with any foreigners. This will help boost your business in the international market beyond doubt.