The Delicate Relationship - Essay Example

The country would benefit from the employment opportunities within their companies while the company would benefit from the European market.  The firms and the government could, therefore, agree based on the clear motives. Intentions of both parties. From time to time, the diplomatic ties are not sufficient to keep companies operating in the same country. The risk of companies exiting the country in which they work is very high. Diplomatic measures only work when the collateral damage to be caused too much to handle (Pigman, 77).

The relationship between a firm and its parent country’s Government is slightly different. It is important to note that for the government, the firms offer an invaluable addition to the physical or cyber critical infrastructure. Google Inc., for example, is one of the most powerful companies in the world. The advancements that the company has made advancements in information technology. The US government, therefore, considers the company an asset as opposed to a liability (The Monitor 1).

There have been reports that indicate, the government, has been making requests for personal information from Google. The purpose of these inquiries is unknown. Diplomacy is not a common practice between the government and the firms that are in the parent country. The need for constant communication between the firm and the country is very important as it ensures their agreement remains safe. In the event a firm and the government of a host country have similar interests, they are able to come to an agreement.