Knowing how to say no: the privilege of sovereign companies
When interviewed about the vaccine and more specifically about the speed with which Israel had been able to obtain it compared to Switzerland, Federal Councillor Alain Berset justified his position in these terms: "In order to receive all the doses from a major company, (…) Israel agreed to hand over all the health data relating to the vaccination of its entire population (…). Do you really think that, for even a second, we could have had a discussion in Switzerland about handing over our population's health data to an American company in exchange for access to a vaccine… I don't think so."
While politicians can sometimes afford to say no, this possibility is harder to imagine in the business world where, as everyone knows, the customer is king. And yet this ability must form an integral part of every entrepreneur's survival kit. Here is why.
A start-up's shortcoming
Every leader and founder who built their company from scratch remembers the phase they went through of taking every commercial proposal, responding to every tender, and accepting every client demand. When starting out in a profession, one does not always know which direction to head in and is prepared to do anything to move forward, whatever the conditions. This is why most young start-up founders put in boundless hours and accept assignments at ridiculously low prices, with the sole aim of getting started and carving out a place in a hyper-competitive market where they still have everything to prove in terms of reputation. The competition is all the tougher because they have yet to establish themselves. Taking such risks is all part of learning the trade. But the strongest are those who gradually earn respect through their expertise — and this inevitably requires, at some point, the ability to say no and to be selective about the projects they take on.
Asserting one's professional identity
In a hyper-competitive market where the commercial relationship must above all else be prioritised, the ability to say no can only develop gradually. Indeed, an employee's career or a company's destiny can easily be derailed by excessive arrogance. Who would want to collaborate with a team that has ego issues and makes decisions without ever taking client relationship requirements into account? It is therefore essential that firm decisions and refusals be presented in the most positive way possible — as thoughtful "advice" motivated by wisdom.
This is, moreover, the condition for a balanced commercial relationship: being able to push back on a client request that would be entirely unfeasible and would create a series of problems for both the service provider and the client. The expression "getting into the swing of the trade" aptly illustrates the fact that as one masters one's craft, one has an ever-clearer sense of direction and, as a result, sufficient experience and vision to take charge of a project and ensure its delivery — responding as well as possible to the demands of the client king, but without yielding to their excessive requirements.
Eliminating negative externalities
In difficult times such as those we are currently experiencing, the temptation is strong for a predatory dynamic to set in — between clients who want everything for nothing and submissive service providers willing to do whatever it takes. Yet this situation benefits neither party and can, on the contrary, generate negative externalities for both. Indeed, if one starts from the premise that "not knowing how to say no" can sometimes mean "accepting everything, even the impossible", then one can end up in absurd situations where the outcome is not what was agreed. The risk is significant that one of the two parties to the commercial exchange will be shortchanged — or indeed, why not, both at once. The service provider who loses their shirt by working more hours than they can bill; the client who ends up with a deliverable that falls short of expectations — and may even hold a few unpleasant surprises — given that the company will have focused more on responding to the impossible demand (in terms of cost, timelines, or far-fetched concepts) than on delivering a functional product or an attractive service.
We began by observing that it is easier for a politician than for an entrepreneur to say no. One cannot help but note that this is the very nature of sovereignty. It is difficult to speak of a sovereign company when the customer is king. One can say, however, that wisdom is the hallmark of service providers who, whatever the circumstances and demands, take time to reflect, weigh the consequences of their decisions, and guide the client towards an optimal outcome that benefits both parties.
