Unedited 8/6/08
     

Naive Clients

 

            NC

 

     Naive clients are the bane of an honest businessman. For example, a home owner wants to save money on a remodeling project by not hiring a general contractor to do plumbing, electrical, sheetrock and carpentry. Instead the client wants to hire all the individual trades himself. What the home owner does not know much about is they difficulty in moving men and materials in a timely manner. They have a very naive view of scheduling the trades thus many conflicts arise with sub contractors. The owner think he is being pushed around and taken advantage of when in fact the owner knows little about managing a construction site. Because of their inexperience they incur delays and costs to the subcontractors who fight back in ways not always pleasant. Here the homeowner is saving thousands of dollars yet they will not admit to the duties and obligations of playing the role of general contractor. In addition homeowners frequently get taken advantage of by subcontractors. But the fact is, so do general contractors. With time general contractors learn how to avoid exploitative subcontractors. The reason an owner pays to have a general contractor run the project is precisely to avoid scheduling problems and dishonest subcontractors.

Many times a client believes a service provider is being unethical when they are not. Inexperienced clients tend to read too much into things like contracts. There is a necessary learning curve to working with contracts. A very common example can be seen in construction contracts. A savvy home owner that has signed a few contracts would know too tightly define the scheduling of the construction. A savvy contractor in this circumstance would know that if he writes a contract it will in turn define the duties and responsibilities of the home owner. Such a contract would require all kitchen appliances and cabinets be on the site by the time the sheet rock was installed. But, a good many contracts have a bit of informality because the owner and the contractor meet on good terms and trust each other. Signed contracts that follow focus on the money, payment and the actual construction, not tight definitions. What happens with naive homeowner is that they do not buy the appliances in a timely way because they frequently change their minds thus, delaying the finishing of the house. It is rare that a home owner delays a project so it is not seen as a necessary part of the contract to tightly define scheduling. Normally if the owners are a little late that's all fine and well. But, the naive shopper exists in a bubble leading them to believe they need not hurry. What happens is that the contractor cannot finish his work and get on to other jobs. When contractors are delayed they customarily go on to other jobs further delaying the finishing of the house since they are not there when the appliances finally come in. The owner's then become agitated and angry that the contractor will not come right over and install them. This can lead to a viscous struggle between the two parties that can land in court. All the while the naive shopper does not see that they have done anything wrong. But, the facts are that the contractor was losing money for all the delay. There was no clause in the contract making him to finish at any given time. If there were such a clause he would count the owner's delays as extra time added to the finish date. A sort of tit for tat dynamic is set up here, because the naive shopper will not take the responsibility to purchase the appliances in a timely way. There cannot be said anything was done by the contractor that was unethical.

Learning curve problems frequently show up in business transactions. What naive shoppers do not understand is that doing business is taken seriously by business people because they legitimately must maintain their profitability. They assume they have more consideration due to them than is customarily given by the average business in that field of business. Naive shoppers do not appreciate the pressure cooker world of business that at times is Darwinian "red tooth and claw." In this perspective the complaints of inexperience people seem trivial to the business person leading insensitive responses to them moving on.

Muscling

Learning Curve

Customs

Taking Responsibility

Initial Point believing they have consideration coming when they do not.


Naive clients are the bane of an honest businessman. Fore example, a home owner wants to save money on a remodeling project by not hiring a general contractor to do plumbing, electrical, sheetrock and carpentry. Instead the client wants to hire all the individual trades himself. What the home owner does not know much about is thew difficulty in moving men and materials in a timely manner. They have a very naive view of schedualing the trades thus many conflicts arise with sub contractors. The owner think he is being pushed around and taken advantage of when in fact the owner knows little about managing a construction site. Because of their inexperience they incurr delays and costs to the subcontractors who fight back in ways not always pleasant. Here the homeowner is saving thousands of dollars yet they will not admite to the duties and obligations of playing the role of general contractor. In addition homeowners frequently get taken advantage of by subcontractors. But the fact is, so do general contractors. With time general contractors learn how to avoid exploiative subcontractors. The reason an owner pays to have a general contractor run the project is precisely to avoid schedualing problems and dishonest subcontractors.

Many times a client believes a service provider is being unethical when they are not. Inexperienced clients tend to read to much into things like contracts. There is a necessary learning curve to working with contracts. A very common example can be seen in construction contracts. A savvy home owner that has signed a few contracts would know to tightly define the scheduling of the construction. A savvy contractor in this circumstance would know that if he writes a contract it will in turn define the duties and responsibilities of the home owner. Such a contract would require all kitchen appliances and cabinets be on the site by the time the sheet rock was installed. But, a good many contracts have a bit of informality because the owner and the contractor meet on good terms and trust each other. Signed contracts that follow focus on the money, payment and the actual construction not tight definitions. What happens with naive homeowner is that they do not buy the appliances in a timely way because they frequently change their minds thus, delaying the finishing of the house. It is rare that a home owner delays a project so it is not seen as a necessary part of the contract to tightly define scheduling. Normally if the owners are a little late that's all fine and well. But, the naive shopper exists in a bubble leading them to believe they need not hurry. What happens is that the contractor cannot finish his work and get on to other jobs. When contractors are delayed they customarily go on to other jobs further delaying the finishing of the house since they are not there when the appliances finally come in. The owner's then become agitated and angry that the contractor will not come right over and install them. This can lead to a viscous struggle between the two parties that can land in court. All the while the naive shopper does not see that they have done anything wrong. But, the facts are that the contractor was losing money for all the delay. There was no clause in the contract making him to finish at any given time. If there were such a clause he would count the owner's delays as extra time added to the finish date. A sort of tit for tat dynamic is set up here, because the naive shopper will not take the responsibility to purchase the appliances in a timely way. There cannot be said anything was done by the contractor that was unethical.

Learning curve problems frequently show up in business transactions. What naive shoppers do not understand is that doing business is taken seriously by business people because they legitimately must maintain their profitability. They assume they have more consideration due to them than is customarily given by the average business in that field of business. Naive shoppers do not appreciate the pressure cooker world of business that at times is darwinian "red tooth and claw." In this perspective the complaints of inexperience people seem trivial to the business person leading insensitive responses to them moving on.a

 

Muscling

Learning Curve

Customs

Taking Responsibility

Initial Point Believing they have consideration coming when they do not.