A sweetheart agreement, also known as a sweet deal or a sweetheart deal, is a mutually beneficial agreement between two parties that is advantageous to both sides but may be perceived as being unethical or unfair to others. The term “sweetheart” implies that the parties involved have a close relationship, or at least a friendly one, and that they are working together to achieve a common goal.
Sweetheart agreements can take many forms, from a business partnership to a government contract. For example, a company may offer a sweetheart deal to a supplier in exchange for preferential treatment, or a politician may receive a sweetheart deal from a contractor in exchange for political favors. In some cases, such agreements may be illegal or unethical, but in some circumstances they may be perfectly legal and acceptable.
One of the most famous examples of a sweetheart agreement is the one between Amazon and the US Postal Service. In 2013, Amazon and the USPS agreed to a deal that allowed Amazon to use the Postal Service`s delivery network to ship packages at a discounted rate. This was a huge benefit to Amazon, as it allowed the company to offer faster and more affordable shipping to its customers. The Postal Service also benefited from the deal, as it was able to increase its revenue and improve its financial situation.
However, the deal was criticized by some who argued that it gave Amazon an unfair advantage over other retailers who did not have access to the same discounted rates. Some also argued that the deal was not financially sustainable for the USPS and that it put a strain on the Postal Service`s resources.
Another example of a sweetheart agreement is the one between Apple and Ireland. In 2016, the European Commission ruled that Apple had received illegal tax benefits from Ireland in the form of a sweetheart deal. The deal allowed Apple to pay a significantly lower tax rate than other companies operating in Ireland, which gave the company an unfair advantage over its competitors.
Sweetheart agreements can be a slippery slope, as they can lead to accusations of cronyism, corruption, and favoritism. However, they can also be a legitimate way for companies and government entities to work together to achieve common goals. As a professional, it`s important to be mindful of the ethical implications of the language used to describe such agreements. While the term “sweetheart” may be catchy and attention-grabbing, it can also be loaded with negative connotations that can damage a company or individual`s reputation. When writing about sweetheart deals, it`s important to present the facts objectively and without bias, while also acknowledging any potential ethical concerns.