Economic Diplomacy and Business Negotiation- managerial approach

Economic Diplomacy and Business Negotiation- managerial approach

Amra, Nušinović
ERGÜN, Uğur

Economic Diplomacy explains how states conduct their external economic relations in the 21st century: how they make decisions domestically; how they negotiate internationally; and how these processes interact. Economic diplomacy in the global environment has become essential for all countries. The contemporary world is painted with constant changes, where the key of economic success lies in their ability to understand and a good adjustment to the new business environment. This newly created environment is nothing more than globalization. If we bear in mind that the global economy is characterized by high levels of competitiveness, the question is how the economic operators of small countries, such as Bosnia and Herzegovina, can gain market share and how they can achieve competitive advantage. Research shows that a very important role may be played by effectiveness and efficiency of diplomacy, or more precisely its economic component, relatively economic diplomacy. It is a fact that highly-educated and motivated diplomacy is indispensable to every nation which ties its economic prosperity to constant and fruitful exchange on the world market, to the free circulation of people, goods, and capital, and to its successful economic performance in the world. In today's world of global world economy, it is especially necessary. Negotiation is constantly present in our lives, and according to some, it represents one of the skills necessary for survival. Regardless if the aim of the negotiation is victory over an opponent, compromise, or the development of good mutual international relations, a manager must know competitive tactics to be able to achieve the best negotiation results. Possession of negotiation skills is crucial in the interaction of the manager with the employees, the head manager, or with stockholders outside of the company. Business negotiation is the very essence of diplomacy, that is its basic activity. Diplomacy and negotiation are terms which always appear together. Keywords: Economic diplomacy, global economy, business negotiation, global environment, international relations, Economic diplomacy in Bosnia and Herzegovina.

Conference or Workshop Item
PeerReviewed

2012-05-31

1336