Introduction
The easiest way and the common
communication style of human being is oral communication or word-of-mouth. The
word-of-mouth which forms from inside the human body is powerful and help
people to passing the information and messages. By word-of-mouth a teacher
delivers a lesson, a friend tells a horrible story, mother advises her kids, a
businessman promising and making business agreements with the customers. The
topic of this article is do promises or word-of-mouth agreements have any worth
in the business world? Business communication is not same like normal
communication with each other. In business world people do things in very
formal ways to avoid the fear of failing. In this article I discussed about
what writers say on “promises or word-of-mouth agreements have any worth in the
business world?”
I have search internet sources and seen
many articles written different authors about this topic, but I haven’t seen
any research doing on this. Therefore research data and results discussion not
included in my article, but I tried to bring you, ideas from different
articles.
Discussion
Do promises or word-of-mouth
agreements have any worth in the business world? In business world,
word-of-mouth is use for adverting and promising in the business. Word-of-mouth
is low cost and one of the traditional tactic of advertising the products
through customers. This powerful cheap traditional advertising tactic
practicing many organizations. In an article (Davis, 2018) said “according
to HubSpot, consumers discuss specific brands 90 times a week and
90% of consumers trust a brand recommendation from a friend”. So with the help
of satisfied customers, word-of-mouth advertising promote the goods effectively.
In business world word-of-mouth
promises and agreements have different perspective. Normally the promises and
agreements doing by verbal is not recorded for long last and important details
and compulsory elements of the promises and agreements are not included. (R.P. Emery
& Associates, n.d.) ,
wrote a contact verbal or written agreement making it enforceable at law has to
satisfies certain criteria, offer and acceptance, all of the terms must be
agreed upon, the parties must intend to be legally bound and consideration,
that is, something of value must be exchanged in the transaction. If these
legal criteria not present, thus may results the verbal promises and agreements
legally blind and face unexpected consequence at very important moment in the
business. According to (R.P. Emery & Associates, n.d.) , verbal agreements
are notoriously difficult to prove the agreement exists and which actual terms
included while one person’s word against the other if written document absent. To
avoid this trouble, it’s important all agreements to write on both parties same
understanding and same intention which address each of the terms and conditions
carefully.
In some countries like India oral
agreements or promises legally valid same as written one. A writer (Shaikh,
2019)
said “an oral agreement is as equally valid, as a written one. The legality, of
an oral agreement, cannot be questioned, if it falls under the ambit of the
requirements stated in section 10 of the Indian Contract Act, 1872”. It is not
essential that a contract must be in writing, unless specified by law or the
parties themselves contemplate the reduction of terms of agreement to writing.
Oral agreement proven may difficult, but it can be proved in a court of law,
through several circumstantial evidence. It is important to keep witnesses and
evidences of oral agreements to produce in court in case if needed.
Conclusion
Promises or word-of-mouth agreements
have valid even in the business world. But it’s a responsible of leaders who do
verbal promises or agreements to keep necessary evidence and witness about the
case. And also oral agreement written is not necessary, even it’s highly recommended
and safe to keep written documents on basis of both parties communication.
Minimum in writing should keep detailed record of all discussions and
negotiations with the other party, and copies of all correspondence between
yourselves. This helps to limit any misunderstandings and disputes further down
the track which paves the way for a more harmonious working relationship.
References
Davis, K. (2018, March 9). zimmer
marketing. Retrieved from zimmer marketing Web site:
https://info.zimmermarketing.com/blog/the-ups-and-downs-of-word-of-mouth
R.P. Emery &
Associates. (n.d.). findlaw.com.au. Retrieved from findlaw.com.au Web
site:
https://www.findlaw.com.au/articles/5626/is-a-verbal-agreement-legally-binding.aspx
Shaikh, S. (2019,
January 2). Mondaq. Retrieved from Mondaq Web site:
http://www.mondaq.com/india/x/768278/Contract+Law/Enforceability+Of+Oral+Agreement+In+India
