2025-12-20 at

valuation : 2x2 : high-low context, objective-subjective valuation

Negotiations often suffer from a lack of clarity about how much context is hidden, so there is an axis of [ high- to low-context ] negotiation. 

Similar, but orthogonally, negotiations are subject to an axis of [ objectivity to subjectivity ] in deal valuation. 

From these, arises the 2x2 matrix of :

- explicit objective values
- hidden objective values
- explicit subjective values
- hidden subjective values

This is an important plane for the analysis of deals.

Today I am particularly frustrated by some counterparties that cannot brain the following : 

[ their asks are explicitly framed, but subjectively valued ... and I am actively valuing those asks at zero ]

It is not that we agree, that we disagree on valuation ... but that they are shocked that anyone would disagree on the valuation. 

🤣🤣

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