Business diplomacy: companies on the global stage

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In the current context of firm political positions, polarization and an unstable economic reality, business diplomacy assumes an even more important role than it would already play in a scenario of economic growth.


Any variable of influence that arises from politics is decisive for the success or failure of a business. In the case of companies or organizations with international activity, being aware of the political and regulatory context of each location is an essential condition for the good results of the activities.


Recently, Congress approved the Economic Freedom Provisional russia mobile database Measure, while at the same time proposing — although it was not approved — to limit the percentage charged by mobility apps, that is, divergent positions. This shows us that understanding and monitoring parliamentary activity are already complex activities at the national level, let alone at the global level.


It is in light of this reality that business diplomacy assumes its proper role: seeking to predict and minimize the effects of political variables on business in the global scenario. In this article, we will better understand this activity and reflect on how to apply it.


What is business diplomacy?
Imagine the case of an internationalized chemical company. It uses an active ingredient in its products that is at risk of being banned in a certain country. Who in the company's organization chart is directly responsible for eliminating or minimizing the effects of this threat?


A production employee would certainly not have all the information and autonomy to resolve this issue in the best way, as well as the ability to articulate a solution within the time frame necessary to avoid damage to the company's business.


Business diplomacy is an activity that serves as a bridge between those involved in this type of situation. It represents the company in the external scenario and develops a medium and long-term strategy to consolidate the organization in this market.


It is a multidisciplinary activity that requires knowledge of management, politics, international legislation and dealing with various agents involved, such as NGOs , regulatory agencies, development agencies and global partners.

In other words, in addition to resolving crises, such as the one we mentioned in the example, business diplomacy has the function of representation, with the aim of improving the organization's positioning in the international market.