Anyone who has done business with the chinese knows that it always comes down to a haggle at the end. The western belief that you should be a 'man of your word' is absent when it comes to business dealings - there is always a negotiation just like in a fruit and vege market. That there may not be a negotiation is so far removed from the chinese mindset that to them it is absurd that we dont haggle.
Knowing all that it is in my mind completely expected that Hanlong would haggle and I am surprised that this has caught people off guard. I hope it has not caught GJ and the board of guard as well. IMO that is also the reason for the placement (to extract value from the transaction without chinese influence and probably as a result of knowing they will haggle and the price will be lower than 57 cents) and for the resource upgrade (to add a bargaining chip).
- I dont believe we have a right to be annoyed at a chinese company for it following the chinese norm rather than western culture
- People should know who they are getting into bed with more intimately before signing up to a deal with a different culture
- From their perspective we are the unreasonable ones if we refuse to haggle over the price. 'We' SHOULD HAVE KNOWN THAT IS WHAT WOULD HAPPEN
- sit tight. They want the resource and I think a deal will be reached.
Everything IMO - not investment advice
SDL Price at posting:
33.5¢ Sentiment: None Disclosure: Held
