Born into a traditional business family, I have had the opportunity to watch closely how businesses are run. Being an entrepreneur and one’s own boss requires a lot of willpower and decision-making skills. Business must be done with taking calculated risks and often, the businessman has to negotiate with his trading partners. And negotiations cannot be always one-sided. Though the fact is that in negotiations will only work when both parties agree to relax their terms and conditions, the ultimate aim of the entrepreneur would be to take away maximum he can from the negotiation table. The fact would be that such entrepreneurs often end up doing no business in the long run and their firms would run into losses as no one would be willing to do business with them. The worst of all outcomes is the externality on the bystander. Whoever partners with such arrogant entrepreneurs would end up paying the price, even though the act of non-cooperation and breaking the deal was not their fault. They will also end-up facing the same repercussions owing their alliances and the choices.
Donald Trump: The CEO President
Since his elevation from the status of a mere television celebrity and real estate mogul into one of the world’ most powerful designations, he has been acting really weird. The man said he is to make things right and his nation great again and yet, keeps proving how well one can mismanage the affairs of a country. US-Iran Nuclear Deal, officially known as Joint Comprehensive Plan of Action (JCPA), was often portrayed as the success story of the crucial role played by the United States in the world order Post-Soviet era. The deal was the result of years of economic sanctions, trade embargos, and rounds of discussions at the government level. When the deal was materialized by Obama in his last years of Presidency, many applauded his efforts and the general notion was that there would be more stability in the region as the result of the deal. However, Donald Trump, with his business instincts prevailing over the statesmanship, declared that America would be unilaterally withdrawing from the ‘unfair’ deal. For him, the deal gave USA nothing and above all, it helped Iran’s economy to grow at a rate of 12% per annum after years of negative growth. The deal was meant to restrict Iran from developing any nuclear capabilities and in return, US lifted trade sanctions that were imposed against Iran. The unilateral US withdrawal has now put its allies at a difficult position. It was in this background that the European leaders, from Macron to Merkel, condemned the US decision and reiterated their decision to stick to the deal.
The World Needs JCPA
The deal was meant to halt the nuclear enrichment programme that Tehran has been engaged with since the beginning of new millennium. With the JCPA, the research and enrichment programme would have taken a backseat. JCPA gives a wide variety of powers to International Atomic Agency (IAEA) to keep a check on Iran’s nuclear programme. This included the power to inspect any site which the IAEA deems suspicious, the abstention from building new heavy-water facilities, conversion of Arak reactor, increasing the time window required for ‘rush production’ of a bomb from three months to over twelve months etc. were some of the very few achievements of the deal.
The deal proved to be fruitful. Several IAEA inspection reports released post-2015 suggested that Iran was binding to the deal and was working on a timely manner to reduce its exposure to the nuclear reactors and weapon production.
International Polity and its Future Post US-Exit
Though the US intentions to withdraw from the deal was announced by Trump, it hasn’t come into effect as there are a lot of legal and legislative process that is pending to materialize the same. This would mean that there would be another six to seven months before the country actually leaves the agreement. However, given the track record of Trump regarding such political decisions he has taken in the past, there is also a possibility that he might go back from actually implementing the US exit. After all, no one has yet seen any signs of a ‘huge, huge wall’ erected across the US-Mexico border even after the first anniversary of a White House under Trump. The coming days are thus crucial for not just US and Iran, but for the Middle East as the US withdrawal will have long-lasting repercussions on the stability of the region.
Picture Credit: TheNation