Controlling Market Power, Cost Stability, and Competitive Positioning
Chemicals
At the Table, Power is Negotiated—And Only Skilled Competitors Prevail
In the chemicals industry, dominance is not dictated by production scale or market demand—it is negotiated at the contract table. Every critical cost factor—feedstock pricing, long-term supply agreements, capital investment terms, and regulatory compliance—hinges on bargaining power, contract structure, and strategic leverage. Market leaders do not merely optimize costs—they negotiate their position in the value chain, control pricing power, and preempt risk exposure. Those who fail to negotiate strategically surrender cost control, absorb price volatility, and allow competitors to dictate the terms.
Chemical Leaders who outgrow and outearn live by these strategic negotiation imperatives:
Negotiate Supply Security Before Market Fluctuations Destroy Margins
Firms like Dow and BASF do not wait for volatility—they negotiate multi-cycle, volume-flexible supply contracts to hedge against unpredictable cost swings. Reactive firms, by contrast, lose between £4–8 billion annually to unfavorable feedstock terms (PitchBook, 2024).
Profitability is Negotiated—Not Just a Function of Cost Control
Leading firms do not simply manage cost pressures—they negotiate contract mechanisms that protect margins, even in volatile markets. Dow’s £1.2 billion ethylene contract victory (Bloomberg, 2024) illustrates that well-structured agreements—not just price competition—drive profitability.
Use Negotiation as a Defensive Mechanism Against Margin Erosion
With industry margins declining by 15–20% since 2021 (McKinsey, 2024), negotiation is not just a business function—it is a structural defense. High performers integrate hedging clauses, risk-sharing frameworks, and penalty-driven performance terms into agreements to sustain EBITDA.
Regulatory Compliance is a Negotiation, Not a Mandate
Leading firms do not just comply with evolving regulations—they negotiate regulatory certainty. Where undisciplined firms absorb excessive fines, proactive players embed cost-sharing models and negotiated flexibility clauses into agreements to minimize exposure and maintain operational agility.
Market Control is Negotiated, Not Assumed
Chemical firms invest millions in operational efficiency programs to lift EBIT by just 1.5%–2%. Yet, negotiation excellence routinely delivers 3%–5% EBIT gains, proving that deal-making competency is the most underutilized profit driver in the industry.
Negotiation is not a procurement task—it is an executive-level capability that determines whether firms control their costs or are controlled by them. Companies that lead the chemicals industry do not just optimize operations—they negotiate from positions of strength.
The choice is simple: secure market power through negotiation—or be outmaneuvered by those who do.
We help chemical companies harness evidence-based negotiation capabilities to optimize supplier agreements, manage cost volatility, strengthen strategic partnerships, and build long-term competitive advantage.
Exactly how much is poor negotiation performance costing you?
We can tell you
$25 Billion
Feedstock volatility and supplier pushback slash topline by 15-20% (McKinsey, 2024), a bleeding wound as deal flops cost $5-10B (PitchBook, 2024) and choke revenue with a tighter noose. Our solutions help you barricade pricing power, boosting commercial topline and margins, hammering profits before they’re a corpse on the slab.
20%
Weak client deals erode revenue by up to 12% without premium terms (McKinsey, 2023, p. 14), trust rotting like a plague as wealth dangles over a jagged pit. Our solutions arm you to forge ironclad agreements, enhancing wealth management and private banking negotiations, smashing long-term value into granite against the creeping decay.
10%
Negotiation is the bridge between strategy and execution. This operating model clarifies where negotiation work must happen, how it must be done, and who must be accountable. It treats negotiation not as a soft skill, but as a structured capability—one that links commercial intent to operational delivery. This is the blueprint for how negotiation is organised, governed, and deployed to deliver outcomes at scale
Commercial & Operational Imperatives
Is your team leaving money on the table in critical negotiations?
Most costs don’t show up in the budget—they leak through poor preparation, untraded concessions, and unnecessary escalation.
Kennedy equips your commercial and back-office teams to trade with discipline, push back with clarity, and protect value under pressure.
We focus where margin is most at risk—long before it shows up in the numbers.
Are your joint ventures and partnerships set up to create value—or just hope for it?
Most growth strategies fail not because of ambition, but because roles, returns, and exit paths were never properly negotiated.
We counsel leadership teams on joint ventures, alliances, and regulatory negotiations—focusing on the terms that matter: clarity, governance, and alignment that hold under pressure.
Is your team equipped to execute strategy when roles blur and priorities compete?
Most organisations don’t break down because of poor intent—they break down when strategic decisions get stuck between unclear ownership, internal politics, and avoided collboration.
Kennedy helps your teams collaborate profitably—so decisions stick, execution moves, and alignment holds under pressure
Does your sales team have the tools to create and capture value at the same time?
Most sales teams can close deals. Fewer can protect margin, manage pricing pressure, and trade with discipline under fire. Kennedy’s 8-Step / 4-Phase model helps close the gap between go-to-market strategy and bottom-line performance.
Kennedys helps you embed a structured approach to planning and executing deals—improving margins, account profitability, cycle time, and pricing control.
Successful
Execution
Top-Line Profitability
“Sometimes my colleagues give away too much to close a deal, leaving my team with less to work with,” a CFO bluntly observed.
Abandon late-stage price concessions and reactive discount reflexes, and instead implement structured, front-loaded negotiation behaviors that preserve margin, reduce revenue dilution, and align scope with commercial value from day one
Cost Excellence
“Every pound saved is vital, yet our operational talks falter,” a COO lamented
Stop relying on tactical procurement and fragmented approvals, and deploy codified negotiation governance that closes posture gaps, captures savings, and eliminates recurring inefficiencies hidden in supplier and internal negotiations
Internal Alignment
“Teams that fail to decide or collaborate undermine our profitability—it’s a concern,” a manager remarked
Abandon late-stage price concessions and reactive discount reflexes, and instead implement structured, front-loaded negotiation behaviors that preserve margin, reduce revenue dilution, and align scope with commercial value from day one
Corporate Negotiation
“If only we could pick up all the money we are spilling…It’s…in the tens if not hundreds of millions,” head of legal at a Global 500
Move beyond celebratory deal-making and generic diligence checklists, and embed disciplined negotiation structures that protect valuation, define integration terms, and enable post-close execution without value leakage
Corporate Negotiation Learn More
The Solution: Precision Negotiation Powered by Proven Methodology
We don’t just advise; we equip you to win. We help you plan, strategize, and execute corporate negotiations, identify the right negotiators, and build high-performing teams. By deploying the Kennedy negotiation methodology, you unlock tangible results:
- Growth Secured with Precision: Imagine achieving 20% synergy gains (McKinsey, 2021) on your acquisitions, joint ventures, and partnerships. Our proven framework makes it a reality, driving measurable expansion.
- Compliance Achieved Efficiently: Navigate the regulatory maze with confidence. Our structured approach ensures compliance, delivering substantial savings—like the £15 million our clients saved on public sector contracts.
- Returns Maximised Effectively: Eliminate post-transaction setbacks and optimize capital allocation. Our disciplined process ensures that every deal delivers flourishing, high-value outcomes.
Exactly how much is poor negotiating behaviour costing you? We can tell you
Advisory
Trusted advice boosts your high-stakes deals—saves millions, sharpens strategy, keeps it confidential for CEOs and Boards
What we bring to the table
- Sharp due diligence assesses your team’s negotiation strength—ensuring the right players lead from day one.
- M&A prep secures 20% synergy gains (Call for ref)—we manage complex stakeholders so your strategy lands.
- Total confidentiality protects your sensitive moves—our 40-year track record keeps rivals out, your goals in.
Simulations
Tailored process picks your best negotiators—Find and train the perfect negotiator for your toughest deals.
What we bring to the table
Assessment
Spot and build your next negotiation stars for lasting impact
What we bring to the table
- Our 8-step/4-phase lens—trusted by 500,000—sizes up talent with clear, measurable behaviours, no guesswork.
- Firm-wide audits match negotiation to your goals—your rising stars, ready for critical moments.
- Pre- and post-training checks show real uplift—your team’s edge, locked in.
Performance Coaching
Lift your top negotiator’s game with expert coaching
What we bring to the table
- Seasoned CNO coaches craft your deal plan—tailored to your context, no nonsense, just results.
- Step-by-step wins keep you on track—20% faster prep
- Practical expertise from FTSE 100 battles—your deals, maxed out, one win at a time.
Capability Building
Train your team to negotiate with top-tier skills
What we bring to the table
- Workshops and deal coaching embed skills—basic to certified, your team’s sharp from day one.
- Profitable Team Advantage: Practical tools boost collaboration—10-12% efficiency gains (McKinsey, 2023)—turning rows into real results.
- Team Payoff: Your team shares ideas for higher customer satisfaction (internal data)—innovation and profit, delivered fast.
Organisational Effectiveness
Align your team for smarter decisions and stronger collaboration
What we bring to the table
- Smarter Decisions: We assess and improve your team’s ability to make fast, effective choices—quicker wins keep you ahead (analyst data)—no delays.
- Stronger Teamwork: We build skills in influence, communication, conflict, and change—our 4 key pillars (Kennedy research)—driving higher returns
- Practical tools streamline how your team tackles tough issues with real results.
License Our Content
Power your in-house training with our proven expertise.
What we bring to the table
- Quick plug-ins for your academies—top-notch kit, ready to roll, proven by global leaders.
- Train-the-trainer options let your team run it—cost-smart, big impact, tailored your way.
- Elite solutions from FTSE 100 and academic runs—your training, powered by unmatched expertise.
2.5x
44/1
ROI within just six months of implementation
3.5x
280
Impact of Improving Negotiation Performance
Valuation
PitchBook (2024)—20-30% M&A swings, $2-3B on $10B—ripping terms from suppliers, not rotting in deal delays (EY, 2024).
