Business success lies in mastering the subtle, yet potent power of reciprocation. At its core sits the principle of the ‘Agreement on Exchange of Value’, an understanding vital to building sustainable business relationships. This principle underscores the essence of collaboration and provides a framework for growing trust.
Agreement on Exchange of Value
The principle of Agreement on Exchange of Value forms the backbone of business interactions. Whether it’s retaining an employee, making a sale, forging a strategic partnership, or negotiating with suppliers, an up-front understanding of the exchange of value is essential.
Building Trust through Reciprocation
Trust is the lifeblood of any successful business relationship. One of the simplest, yet most potent ways to engender trust is through the act of reciprocation. Reciprocation involves the mutual exchange of value, favours, or services. When we follow through on promises or return favours, we signal our trustworthiness and reliability. These are active demonstrations of, “I do what I say I will do.”
Reciprocation builds not just trust, but also goodwill, another vital ingredient for business success. Simply put, people like to help those who help them. When we reciprocate, we generate a positive cycle of mutual support and collaboration. We expand success by looking for opportunities to reciprocate…and act promptly.
The Power of Reciprocation
Understanding others’ wants and needs provides the starting point for Agreement on Exchange of Value. The ‘valued deliverables’ are known up-front and exchanged over time. The actions that follow the initial agreement are reciprocated actions. Each party receiving expected value. This exchange of value expands when one party goes the extra mile, delivering extra value. Relationships and businesses grow as reciprocation grows.