How long do negotiations take?

It may be a complex procurement with capital assets, inventory and associated technical training worth a value of £4.4Bn but almost 7 years does seen a very long time.

BAE Systems has now reached a conclusion with Saudi Arabia over the purchase of 72 Typhoon aircraft.  This news come only a couple of weeks after sales to UAE fell through.  This might seem a series of standard events in any other time but it events both in Europe and the Middle East make for interesting interpretation:

1.  The consortium that builds Typhoon includes Finmeccanica; a company recently embroiled in a corruption scandal that has resulted in the chairman and chief executive being investigated.  The scandal has also meant a lucrative helicopter order being cancelled.

2.  Both Saudi Arabia and UAE are supporting the opposition in the Syrian civil war; a conflict that is bringing Saudi Arabia into conflict with Iran, the Syrian government's main backer.

Comments

Popular posts from this blog

Contract Management - Video

How transparent are some sectors?

Just in time changes?