business-diplomacy

The chapter chronicles Armand Hammer's evolution from precarious early business dealings in the Soviet Union to becoming a pivotal figure in Soviet-American trade and diplomacy during the Cold War. Hammer transformed Occidental Petroleum into a major oil and fertilizer conglomerate, negotiated landmark barter deals with the USSR, and leveraged cultural exchanges and personal diplomacy with Soviet leaders like Brezhnev to facilitate détente-era cooperation. His efforts extended beyond commerce into informal peace negotiations during the Soviet-Afghan War, illustrating the complex interplay of business interests, political influence, and cultural diplomacy amid geopolitical tensions.

The chapter details the pioneering role of Donald Kendall in establishing Pepsi-Cola's presence in the Soviet Union, marking a significant milestone in business diplomacy that led to a major trade agreement exchanging Pepsi concentrate for Soviet vodka and wine. It also examines the political challenges posed by the Jackson-Vanik Amendment and export controls, which hindered trade growth despite private sector efforts to finance Soviet imports. Additionally, the chapter highlights grassroots citizen diplomacy through youth exchange programs, cultural arts projects like the play Peace Child, and environmental cooperation exemplified by the Siberian Crane conservation initiative, all fostering mutual understanding and collaboration during the Cold War.