Negotiation of Agreements with Government Agencies as an Approach for More Space and Opportunities for the Private Sector: The Features of the Albanian Reality

The negotiation as a conversation process between two or more parties to settle a dispute or to reach an agreement is an efficient method and it requires attention not only from the private sector, but also from the public one. Negotiation is evaluated in two aspects, from the success achieved and the relationship created. The result that the negotiated agreement reaches is more convenient compared to that achieved through unilateral administrative acts. Establishing relationships with local and national government is a necessity for the private sector. This means that the negotiating agreements with various state authorities should be part of their daily tasks. This paper explores some features of the negotiation process, in which public administration is a party and also gives some recommendations on the real possibilities that government agencies can provide to private companies as a way for surviving and being successful in these dynamic and complex market. We mainly focused on agreements between representatives of the tax authorities and the debtor taxpayers, and at the Albanian legislation on public procurement, which provides the possibility of negotiation between the contracting authority and the bidder. From the analysis of the negotiated cases of the customs administration we notice a level of scepticism in the government agencies while negotiating with debtor entities, which is evidenced by the small number of signed agreements. However the effect of these agreements is evident because the paid value is about 50% of the total negotiation value. Arrangements based on installments, remission of penalties or interest, the possibility to compromise and defer the duties payment are some of the recommended programs that may be part of the tax administration′ offer to debtor entities.