Thursday, 15 December 2016

Tips for Brexit Negotiators #2 - Negotiate the Negotiation

If you’ve ever worked in sales, you are probably familiar with the scenario where you think you have the deal done (and possibly already cut your margin to the bone to get there) only to hear your customer say “Great – but now I need approval from my boss”. Your heart sinks as you realise the boss will need to demonstrate his superior negotiating ability and drive an even harder bargain.

This is a classic case of failing properly to agree the process in advance of the negotiation. Sometimes this is done intentionally by less ethical players to drive a lower price from their suppliers (usually a short-sighted tactic that ignores the long-term value of the relationship) but just as often it arises through negligence. This pitfall is particularly relevant to the Brexit negotiations.

Although the various EU leaders have so far been united in refusing to negotiate before the triggering of Article 50, there is a good case for both sides to work constructively on the process in advance...

The full article can be found on BrexitCentral.

Monday, 12 December 2016

Is Europe United?

Guy Verhofstadt has declared that, while he welcomes Theresa May's end-of-March timeline for Article 50, “there can be no pre-negotiations. Negotiations can only start after the trigger of article 50.”

The negotiation, of course, has already begun, with each side attempting to anchor the other with speeches, leaks and private briefings to the press. The "Four Freedoms", he mentioned for example, are not a law of nature but an aspiration and one which isn't even strictly applied. But they are an excellent anchor.

Thursday, 8 December 2016

Brexit Breakfast - The Truth About Clearing

We're excited to announce our inaugural Brexit Breakfast on Wednesday 14th December, where we shall be discussing the much-reported topic of clearing.

Thursday, 1 December 2016

Tips for Brexit Negotiators #1 - The Endowment Effect

By Richard Ayres

We humans have a range of shortcuts (or heuristics) built into our decision making process. Usually these rules of thumb are useful (like not eating food that smells funny). Sometimes these shortcuts are not so useful (like that time you doubled down on red at the roulette table after five blacks in succession).

The interesting thing is that all these heuristics are somewhat systematic, so we can account for them if we make ourselves aware of them (and take advantage of them in others who aren't).