Question

When Whitney took over her father's sporting goods store, she evaluated some of her father's vendor relationships. She found that Rodney's Exercise Wear wasn't particularly profitable for the store. Although committed, his products were expensive, and he seemed inflexible. Whitney tried to work out a more amicable relationship with him by discussing her sales goals and new ideas for the coming year, but Rodney seemed uninterested. Which of the following elements crucial for maintaining strategic relationships is absent in the given example?
A. Long-term gains

B. Poor leadership

C. Fulfilled obligations

D. Open communication

E. Credible commitments

Answer 1

Answer:

The answer is D. Open communication is key in building lasting relationships whether in business or in personal relationships.

Explanation:

For two companies to maintain a strategic relationship, there must be open communication.  Whitney displayed correct understanding of this ingredient for strategic relationships.

That was why she was open enough to work out a more amicable relationship with Rodney.  She discussed her sales goals and new ideas for the business.  On Rodney's part, he showed no interest.  He was not ready to discuss his own sales goals.

Rodney lost a golden opportunity offered by Whitney by opening up communication.  He should have embraced the chance to bring up his concerns and discuss his goals openly, unless he is hiding something.  He could be deliberately overcharging on price.  These comments remain mere guesses as Rodney failed to open up.