Ivey Publishing

International Business

Shenkar, O., Luo, Y.,2/e (United States, Sage Publications, 2007)
Prepared By Paul W. Beamish, Professor
Chapter and Title Chapter Matches: Case Information
Chapter 1:
International Business in an Age of Globalization

THE MYTHS OF GLOBALIZATION
Alan Rugman, Karl Moore

Product Number: 9B01TE12
Publication Date: 9/1/2001
Length: 5 pages

Much of the discussion about globalization has missed a very important point, these co-authors claim, and seeing this point and understanding it are critical if executives are to really grasp what globalization is all about. The co-authors write that far from a single, global market, most trade takes place within regional blocks or clusters. Trade activity effectively occurs in the triad of North America, the European Union and Japan, and an approach based on national or regional realities, not global ones, will make the most sense for companies. The authors have ample evidence to substantiate their argument and they suggest what executives can do to counter and manage despite the widely propagated myth of globalization.

Issues: Globalization; International Trade




WHERE HAVE YOU BEEN? AN EXERCISE TO ASSESS YOUR EXPOSURE TO THE REST OF THE WORLD’S PEOPLES
Paul W. Beamish

Product Number: 9B07M041
Publication Date: 4/10/2007
Length: 11 pages

This team-building and familiarization activity can be used in the initial class or session of an international management program. It assesses one's exposure to the rest of the world's peoples. A series of worksheets require the respondents to check off the number and names of countries they have visited and the corresponding percentage of world population which each country represents. By summing a classes' collective exposure to the world's people, the result will inevitably be the recognition that together they have seen much, even if individually some have seen little. The teaching note provides assignments and discussion questions which look at: why there is such a high variability in individual profiles; the implications of each profile for one's business career; and, what it would take for the respondent to change his/her profile.

Teaching Note: 8B07M41 (6 pages)
Issues: Intercultural Relations; Team Building; Internationalization; Career Development
Difficulty: 4 - Undergraduate/MBA



HUGO CHAVEZ'S PUBLIC POLICY VISION FOR VENEZUELA: ROOTED IN THE PAST, DOOMED IN THE FUTURE?
David W. Conklin, Danielle Cadieux

Product Number: 9B06M059
Publication Date: 4/28/2006
Revision Date: 9/21/2009
Length: 12 pages

Hugo Chavez often pointed to Simon Bolivar as the model for his political philosophy, centered on Bolivar's vision of a unified and independent Latin America. In 1998, Chavez ran in the presidential election, on a platform that opposed what he termed the savage neoliberalism of the 1990s. Chavez's speeches in the presidential election campaign emphasized the importance of national sovereignty and economic justice. As president, Chavez passed a new Hydrocarbons Law to enhance the share oil revenue that would be owed to the government; he created a new government-owned bank; he introduced a radical land reform law; and he encouraged takeovers by the government and employees of privately-owned factories. Venezuela sold oil to Cuba at reduced prices in return for professionals, especially doctors who created health missions in many low-income areas. Chavez sought to foment socialist anti-American revolutions throughout Latin America. In the context of this socialist agenda, analysts expected that Venezuela's economy would experience serious challenges in the coming years. The combination of high inflation, fiscal pressure, and slow growth would be a boiling political cauldron in which violent opposition could ferment.

Teaching Note: 8B06M59 (7 pages)
Industry: Public Administration
Issues: Developing Countries; Globalization; International Business; Government and Business
Difficulty: 4 - Undergraduate/MBA



CAMERON AUTO PARTS (A) - REVISED
Harold Crookell, Paul W. Beamish

Product Number: 9B06M015
Publication Date: 1/11/2006
Revision Date: 9/17/2009
Length: 10 pages

This case is about a small American auto parts producer trying to diversify his way out of dependence on the major automakers. A promising new product is developed and the company gets a chance to license it to a Scottish manufacturer. The issue of whether to license or go it alone in international markets is central to the case. (A sequel to this case is available titled Cameron Auto Parts (B) - Revised, case 9B06M016.)

Teaching Note: 8B06M15 (8 pages)
Industry: Manufacturing
Issues: Corporate Strategy; Exports; Licensing; International Business
Difficulty: 4 - Undergraduate/MBA


Chapter 2:
International Trade Theory and Application

PALLISER FURNITURE LTD.: THE CHINA QUESTION
Paul W. Beamish, Jing'an Tang

Product Number: 9B04M005
Publication Date: 3/4/2004
Revision Date: 11/18/2014
Length: 12 pages

Palliser is Canada's second-largest furniture company. The company has production facilities in Canada, Mexico and Indonesia, and has experimented with cutting and sewing leather in China. The company is looking at further expanding the relationship with China. Ever since Palliser set up a plant in Mexico, the company has faced increasing competitive pressure from Asia, especially from China. The president of Palliser must decide what form this relationship should follow. Should it be an investment, either wholly or partly owned, or should it be through subcontracting?

Teaching Note: 8B04M05 (7 pages)
Industry: Manufacturing
Issues: China; Expansion; Imports; Outsourcing; Plant Location
Difficulty: 4 - Undergraduate/MBA



LUCENT IN INDIA
David W. Conklin, Harnek Minhas

Product Number: 9B01M047
Publication Date: 11/9/2001
Revision Date: 12/22/2009
Length: 14 pages

Lucent Technologies is a worldwide provider of telecom network infrastructures. The government of India has deregulated the state-run control of the telecom sector presenting significant opportunities for telecommunication providers. India appeared to be a nation of enormous investment opportunity, with a population of one billion and a relatively high growth rate. Lucent Technologies must evaluate the opportunities in this changing market and decide whether they should invest more resources in this area or withdraw completely.

Teaching Note: 8B01M47 (11 pages)
Industry: Information, Media & Telecommunications
Issues: Business Policy; Globalization; Technology; International Business
Difficulty: 5 - MBA/Postgraduate



KOMIA AND THE 3G WIRELESS PHONE AUCTION IN POLAND (B)
Jean-Philippe Bonardi, Mariusz Siwak

Product Number: 9B01M038
Publication Date: 8/9/2001
Revision Date: 12/21/2009
Length: 3 pages

Komia Holding SA is the second largest fixed telephony operator in Poland. The chief executive officer of Komia Holdings SA decides to withdraw from the bidding process to obtain an operating license for the third generation (3G) wireless telecommunications in Poland. The government had not made a decision about who would get the licenses; however they continued to make changes to the bidding process. these changes made the licenses more appealing to bidding operators but agitated operators that had withdrawn from the process. The CEO had to review the past events and rethink the next step that Komia should take. This is a supplement to Komia and the 3G Wireless Phone Auction in Poland (A), product 9B01M037.

Teaching Note: 8B01M37 (12 pages)
Industry: Information, Media & Telecommunications
Issues: Bidding; Political Environment; Uncertainty; Deregulation
Difficulty: 4 - Undergraduate/MBA


Chapter 3:
Foreign Direct Investment Theory and Application

INDIA'S FAILURE TO ATTRACT FDI
David W. Conklin, Danielle Cadieux

Product Number: 9B06M082
Publication Date: 8/29/2006
Revision Date: 9/21/2009
Length: 15 pages

This case uses several reports to compare China and India, and it encourages students to analyse the long list of public policies that have restrained India's economic growth and FDI inflows, and that have acted as barriers to liberalization reforms. Presented are the historical realities that supported India's political philosophy of autarky and government intervention. Finally, the case leads students to consider the future prospects for India, and potential foreign investors there, through comparisons with China.

Teaching Note: 8B06M82 (6 pages)
Industry: Public Administration
Issues: Developing Countries; Government Regulation; International Business; Deregulation
Difficulty: 4 - Undergraduate/MBA



HUXLEY MAQUILADORA
Paul W. Beamish, Jaechul Jung, Joyce Miller

Product Number: 9B02M033
Publication Date: 11/29/2002
Revision Date: 6/28/2011
Length: 14 pages

A senior manager in a U.S. manufacturing firm must make a recommendation about whether 57 labour intensive jobs should be moved from the existing California plant to a new facility in a Mexican maquiladora. If the Mexican opportunity is pursued, decisions are also required regarding the entry mode (subcontracting, shelter operator or wholly-owned subsidiary) and location (border or interior).

Teaching Note: 8B02M33 (7 pages)
Industry: Manufacturing
Issues: Corporate Strategy; Plant Location; Third World; Subsidiaries
Difficulty: 4 - Undergraduate/MBA



VINCOR AND THE NEW WORLD OF WINE
Paul W. Beamish, Nikhil Celly

Product Number: 9B04M001
Publication Date: 1/14/2004
Revision Date: 11/18/2014
Length: 17 pages

Vincor International Inc. was Canada's largest wine company and North America's fourth largest in 2002. The company had decided to internationalize and as the first step had entered the United States through two acquisitions.The company's chief executive officer felt that to be among the top 10 wineries in the world, Vincor needed to look beyond the region. To the end, he was considering the acquisition of an Australian company, Goundrey Wines. He must analyze thestrategic rationale for the acquisition of Goundrey as well as to probe questions of strategic fit and value.

Teaching Note: 8B04M01 (14 pages)
Industry: Manufacturing
Issues: Internationalization; Market Entry; Acquisitions; Growth Strategy
Difficulty: 4 - Undergraduate/MBA



CIBC-BARCLAYS: SHOULD THEIR CARIBBEAN OPERATIONS BE MERGED?
Don Wood, Paul W. Beamish

Product Number: 9B04M067
Publication Date: 1/10/2005
Revision Date: 9/21/2011
Length: 17 pages

At the end of 2001, the Canadian Imperial Bank of Commerce (CIBC) and Barclays Bank PLC were in advanced negotiations regarding the potential merger of their respective retail, corporate and offshore banking operations in the Caribbean. Some members of each board wondered whether this was the best direction to take. Would the combined company be able to deliver superior returns? Would it be possible to integrate, within budget, companies that had competed with each other in the region for decades? Would either firm be better off divesting regional operations instead? Should the two firms just continue to go-it-alone with emphasis on continual improvement? A decision needed to be made within the coming week. This case may be taught on a stand alone basis or in combination with any of the six additional Cross-Enterprise cases that deal with the various functional issues associated with the actual merger: Accounting and Finance - CIBC-Barclays: Accounting for Their Merger, product 9B04B022, Information Systems - Information Systems at FirstCaribbean: Choosing a Standard Operating Environment, product 9B04E032, Marketing and Branding - FirstCaribbean International Bank: The Marketing and Branding Challenges of a Start-up, product 9B05A012, Human Resources - Harmonization of Compensation and Benefits for FirstCaribbean International Bank, product 9B04C053, Finance - FirstCaribbean Merger: The Proposed Merger, product 9B06N004, and technical note - Note on Banking in the Caribbean, product 9B05M015.

Teaching Note: 8B04M67 (8 pages)
Industry: Finance and Insurance
Issues: Corporate Strategy; Emerging Markets; Mergers & Acquisitions; Integration; University of West Indies
Difficulty: 4 - Undergraduate/MBA


Chapter 4:
The Multinational Enterprise

TRANS GLOBAL CORPORATION
Charles McPeak, Owen P. Hall, Stella Hung-Yuan Chu

Product Number: 9B07B006
Publication Date: 7/4/2007
Length: 7 pages

Trans Global Corporation is a multinational company facing a complex set of inter-related problems including: international financial reporting standards, impact of a country's EU status, functional currency decisions, currency translation methods, exchange rates and impact of using derivatives to hedge currency changes.

Teaching Note: 8B07B06 (11 pages)
Issues: Gains and Losses on Currency Transactions; International Financial Reporting Standards; Exchange Rates
Difficulty: 4 - Undergraduate/MBA



ELI LILLY IN INDIA: RETHINKING THE JOINT VENTURE STRATEGY
Charles Dhanaraj, Paul W. Beamish, Nikhil Celly

Product Number: 9B04M016
Publication Date: 5/14/2004
Revision Date: 3/13/2017
Length: 18 pages

Eli Lilly and Company is a leading U.S. pharmaceutical company. The new president of intercontinental operations is re-evaluating all of the company's divisions, including the joint venture with Ranbaxy Laboratories Limited, one of India's largest pharmaceutical companies. This joint venture has run smoothly for a number of years despite their differences in focus, but recently Ranbaxy was experiencing cash flow difficulties due to its network of international sales. In addition, the Indian government was changing regulations for businesses in India, and joining the World Trade Organization would have an effect on India's chemical and drug regulations. The president must determine if this international joint venture still fits Eli Lilly's strategic objectives.

Teaching Note: 8B04M16 (20 pages)
Industry: Manufacturing
Issues: Joint Ventures; Emerging Markets; International Management; Strategic Alliances
Difficulty: 4 - Undergraduate/MBA


Chapter 5:
Country Competitiveness

SPLASH: READY TO MAKE WAVES?
Hari Bapuji, Niraj Dawar, Nigel Goodwin

Product Number: 9B06A033
Publication Date: 3/20/2007
Length: 19 pages

Splash Corporation has been dubbed the next Unilever - not bad for a consumer packaged goods company that was started in a garage in the Philippines no more than 20 years ago. As one of the largest consumer packaged goods companies in the Philippines, it is now considering international expansion options. Should the company tackle the nearby markets of Indonesia and Malaysia, or should it look farther afield at the lucrative markets of Europe and North America? The company is not short of ambition but resources are scarce.

Teaching Note: 8B06A33 (8 pages)
Industry: Manufacturing
Issues: Consumer Goods; Strategy; Competitive Strategy; Internationalization; Nanyang
Difficulty: 4 - Undergraduate/MBA



NOTE ON THE CUBAN CIGAR INDUSTRY
Paul W. Beamish, Akash Kapoor

Product Number: 9B03M001
Publication Date: 2/27/2003
Revision Date: 10/21/2009
Length: 20 pages

The cigar industry in Cuba has a mythical aura and renown that give it unparalleled recognition worldwide. The relationship between Cuba and the United States makes the situation in this industry particularly intriguing. Cuban cigars cannot currently be sold in the United States, even though it is the largest premium cigar market in the world. This note provides an opportunity for a structured analysis using Porter's five forces model and to consider several scenarios including the possible lifting of the U.S. embargo and the relaxation of Cuba's land ownership laws.

Teaching Note: 8B03M01 (19 pages)
Industry: Manufacturing
Issues: Government and Business; Internationalization; International Business; Industry Analysis
Difficulty: 4 - Undergraduate/MBA


Chapter 6:
The Cultural Environment

VELSICOL EESTI AS (A): A U.S.-ESTONIAN JOINT VENTURE
Iris Berdrow

Product Number: 9B00M007
Publication Date: 5/16/2001
Revision Date: 1/8/2010
Length: 8 pages

Velsicol Chemical Corporation, a global company focused on producing specialty chemicals, has formed a joint venture with the Estonian government called Velsicol Eesti AS that would produce benzoic acid. The plant that will produce this chemical was previously part of a conglomerate owned and controlled by the Russian government. When Estonia became an independent state this plant was passed on to the country which then privatized and sold a percentage of it to Velsicol. The newly appointed plant manager came from a benzoic plant outside the country and was responsible for government relations, cost management, liaison with the board of directors, performance standards and staffing. He must quickly put together a management team that would be familiar with the current operations and capable of working together to achieve the company's goals. In order to do this, he needed to better understand the employees with whom he was working. A follow-up case, Velsicol Eesti AS (B), is available, (product 9B00M008), as well as a cultural note on Estonia, (product number 9B00M014).

Teaching Note: 8B00M07 (16 pages)
Industry: Manufacturing
Issues: Leadership; Joint Ventures; International Business; Organizational Behaviour
Difficulty: 4 - Undergraduate/MBA



VELSICOL EESTI AS (B): REFLECTIONS AND OUTCOMES
Iris Berdrow

Product Number: 9B00M008
Publication Date: 5/16/2001
Revision Date: 1/8/2010
Length: 13 pages

The plant manager at Velsicol Eesti AS, a joint venture chemical plant in Estonia, had faced and overcome many challenges: cultural differences, communicating in a different language, supplier relations with a hostile partner, and high staff turnover. The outcomes were very positive for both the Estonian plant and the U.S. parent company. The Velsicol Eesti AS (A) case, 9B00M007, outlines the starting point to the outcomes presented in this case. A cultural note on Estonia is also available (product number 9B00M014).

Teaching Note: 8B00M07 (16 pages)
Industry: Manufacturing
Issues: Organizational Behaviour; Joint Ventures; Leadership; International Business
Difficulty: 4 - Undergraduate/MBA



EAGLE SERVICES ASIA
Edward D. Arnheiter

Product Number: 9B07D019
Publication Date: 10/10/2007
Length: 13 pages

This case chronicles the creation and transformation of a Singaporean joint venture, Eagle Services Asia (ESA). It describes some early start-up problems, including a forced shutdown by the Civilian Aviation Authority of Singapore (CAAS). The resulting shakeup of the ESA management team provides a fresh start and an opportunity to reinvigorate the company using lean management principles. Managerial decisions play a key role in ESA's success, together with the discipline and training of the workforce. Students will gain an understanding of cultural difficulties associated with international joint ventures, and learn fundamental aspects of lean management including how to create and sustain a lean culture. The case also provides insight into the worldwide aircraft engine business, the engine overhaul process and cultural barriers that may arise when managing operations in foreign countries.

Teaching Note: 8B07D19 (5 pages)
Industry: Manufacturing
Issues: Expatriate Management; Cultural Customs; Organizational Behaviour; Joint Ventures; Management of Change; Human Resources Management
Difficulty: 5 - MBA/Postgraduate


Chapter 7:
The Political and Legal Environment

KILLER COKE: THE CAMPAIGN AGAINST COCA-COLA
Henry W. Lane, David T.A. Wesley

Product Number: 9B07C003
Publication Date: 1/31/2007
Revision Date: 2/24/2010
Length: 23 pages

The CEO of Coca-Cola is faced with increasing criticism over the company's handling of alleged human rights abuses in Colombia. A grass roots protest movement known as The Campaign to Stop Killer Coke has built international support for a boycott of Coca-Cola products on college campuses. The campaign centers specifically on the intimidation and murder of union leaders at a specific Coca-Cola bottling plant in Colombia. Coca-Cola asserted that it was not responsible for such abuses. Rather, the violence at the Coca-Cola plant was the product of a political situation that was beyond the company's control. The company further argued that it was in compliance with local labor laws, and had been dismissed as the defendant in lawsuits filed in Colombia and U.S. courts. At the time of the case, Coca-Cola is faced with anti-Coke campaigns at more than 100 college campuses worldwide and official boycotts of its products at a number of large well-known campuses in the United States. In response, the company has undertaken an audit of its bottling plants in Colombia. It also launched a public relations campaign aimed at refuting accusations of human rights violations. The case can be used to discuss corporate ethics, extraterritoriality, marketing and public relations.

Teaching Note: 8B07C03 (11 pages)
Industry: Manufacturing
Issues: Trade Unions; Ethical Issues; Emerging Markets; Supplier Selection; Northeastern
Difficulty: 4 - Undergraduate/MBA



STATOIL IRAN
Henry W. Lane, David T.A. Wesley

Product Number: 9B05C036
Publication Date: 11/28/2005
Revision Date: 9/28/2009
Length: 3 pages

Less than one year after being awarded a contract to develop one of the world's largest offshore petroleum fields, Statoil's future in Iran appeared to be in jeopardy. Statoil was at the center of a corruption investigation that had resulted in the resignations of three of the company's top executives, including its CEO. The issue was alleged bribes paid by Horton Investments, on Statoil's behest, to secure lucrative petroleum development contracts. According to the Iranian government, Statoil used Horton to channel $15 million in secret bribes to unnamed government officials. Statoil's country manager, who had considerable experience in the region and was unaware of the secret deals, is left with the difficult task of trying to salvage the operation and rebuild the social capital he had established between Statoil and its Iranian counterparts.

Teaching Note: 8B05C36 (5 pages)
Industry: Mining, Quarrying, and Oil and Gas Extraction
Issues: Management Behaviour; Ethical Issues; Energy; International Management; Northeastern
Difficulty: 4 - Undergraduate/MBA



AMWAY IN CHINA (A): A NEW BUSINESS MODEL
David Tan, Justin Tan

Product Number: 9B04M035
Publication Date: 9/10/2004
Revision Date: 10/14/2009
Length: 8 pages

Amway is a large manufacturer of household products that uses the direct selling approach. The company was established in the late 1940s and over the years, still using direct selling, branched into the United Kingdom, Europe and Japan. With this global success it expanded further, into the Chinese market. However, the company must look at its strategy after the Chinese government implements regulations on the direct marketing business model. The supplement Amway in China (B): Adopting to a Changing Environment, product 9B04M036, looks at how the company responds to the changing social and political environment.

Teaching Note: 8B04M35 (7 pages)
Industry: Retail Trade
Issues: China; Government Regulation; Corporate Culture; Legal System; Marketing Channels
Difficulty: 4 - Undergraduate/MBA



AMWAY IN CHINA (B): ADAPTING TO A CHANGING ENVIRONMENT
David Tan, Justin Tan

Product Number: 9B04M036
Publication Date: 9/10/2004
Revision Date: 10/14/2009
Length: 7 pages

The Chinese government has placed a ban on direct marketing. With direct marketing being the primary marketing method the company uses, it must respond to the changing social and political environment. This is a supplement to Amway in China (A): A New Business Model, product 9B04M035.

Teaching Note: 8B04M35 (7 pages)
Industry: Retail Trade
Issues: China; Legal System; Marketing Channels; Corporate Culture; Government Regulation
Difficulty: 4 - Undergraduate/MBA



THE ANTAMINA COPPER-ZINC PROJECT: POLITICAL RISK INSURANCE
Stephen Sapp

Product Number: 9B02N018
Publication Date: 2/6/2003
Revision Date: 12/5/2009
Length: 20 pages

Compania Minera Antamina S.A. is a consortium of three large multinational Canadian mining companies set up to exploit a very large copper-zinc deposit north central Peru. The project requires about US$2 billion of financing for the development and exploitation of the deposit. The finance committee needs to determine the best means to raise the necessary funds: loans guaranteed by the sponsors or project finance. The costs and benefits are different across alternatives because the project involves both business and political risks to which the exposure for all of the stakeholders is different.

Teaching Note: 8B02N18 (14 pages)
Industry: Mining, Quarrying, and Oil and Gas Extraction
Issues: Financing; Political Environment; Risk Analysis; International Finance
Difficulty: 4 - Undergraduate/MBA


Chapter 8:
International Economic Integration and Institutions

HUNGARY'S REFORM PROCESS
David W. Conklin, Danielle Cadieux

Product Number: 9B06M081
Publication Date: 8/22/2006
Revision Date: 9/21/2009
Length: 17 pages

By 2006, Hungary had experienced more than 15 years of transition from central planning to free markets. The reform process had involved several distinct phases. The initial leap to the market, with its widespread privatizations, included a dramatic deregulation with a guillotine procedure. A more refined process of regulatory impact assessments (RIAs) followed this period. A newly empowered competition office sought to strengthen the extent of competition within markets dominated by a single firm or a small group of firms. The goal of EU membership was a consistent driver of the reforms as early as 1991, since the EU model was compulsory for EU members. These years had been turbulent, and the transition was not yet complete. In 2006, Hungary faced the challenge of a fiscal deficit that was 9.5 per cent of GDP, and responded by raising corporate tax rates from 16 per cent to 20 per cent as an attempt to close the fiscal gap. However, Hungary was in an intense competition with Poland, the Czech Republic and Romania to attract opportunities. Tax rates were an important element in this competition, but so were the regulatory impediments and distortions that still remained in the economy. How to create a rapidly growing economy was a question at the forefront of public policy debate. A 2006 Financial Times article discussed this dilemma.

Teaching Note: 8B06M81 (8 pages)
Industry: Public Administration
Issues: Government Regulation; Globalization; International Business; Deregulation
Difficulty: 5 - MBA/Postgraduate



CAMERON AUTO PARTS (B) - REVISED
Harold Crookell, Paul W. Beamish

Product Number: 9B06M016
Publication Date: 1/11/2006
Revision Date: 9/17/2009
Length: 10 pages

Two years after signing a license agreement in the U.K., the company now faces an opportunity to establish with another firm a joint venture in France for the European market. However, the prospect upsets the U.K. licensee who is clearly doing very well, and who even wants Cameron to consider joint venturing with him in Australia. The case ends with Cameron, run off its feet in North America, trying to decide whether to enter Europe via licensing, joint venture or direct investment. (This case is a sequel to Cameron Auto Parts (A) - Revised, case 9B06M015.)

Teaching Note: 8B06M16 (7 pages)
Industry: Manufacturing
Issues: Licensing; Joint Ventures; International Business; Corporate Strategy
Difficulty: 4 - Undergraduate/MBA



CAMPBELL SOUP COMPANY LTD.
Mary M. Crossan, Ken Mark

Product Number: 9B02M006
Publication Date: 4/25/2002
Revision Date: 12/1/2009
Length: 16 pages

The president and chief executive officer of a large food manufacturer is preparing his company's strategic agenda for the next five years. One of the top five food manufacturers in Canada, the company went public and restructured its management team six years ago. The efforts were successful, resulting in an increase in the company's market share. Recent food industry trends, however, added box stores and private label brands to the domestic competition. At the same time, the terms of the Canada-U.S. Free Trade Agreement are expected to abolish food-related tariffs within two years, opening up competition from across the border. While the company has experienced success in the past five years, the president and chief executive officer needs a strategic plan that will take the company to the next level.

Teaching Note: 8B02M06 (6 pages)
Industry: Manufacturing
Issues: Communications; Crisis Management; Change Management; Strategy Development
Difficulty: 4 - Undergraduate/MBA


Chapter 9:
The International Monetary System and Financial Markets

THAILAND, 1997
David M. Currie

Product Number: 9B01M024
Publication Date: 9/27/2001
Revision Date: 12/21/2009
Length: 20 pages

For most of the 1990's, Thailand's economy was one of the fastest growing in the world. Thailand was popular with foreign investors, and the country's currency was stable due to the central bank's currency peg. However, overspeculation, high interest rates, lower than expected exports and job losses were causing speculation that the central bank would abandon the currency peg. The Bank of Thailand must decide whether to continue or to abandon the peg of the baht to the U.S. dollar. Was the country through the worst of the economic problems or was there more to come? The supplementary cases enable role plays designed to provide an understanding of the forces influencing a decision about appropriate monetary policy as importer (9B01M022 - Exclusive Autos of Bangkok), exporter (9B01M023 - Thai Shoes PCL), investor (9B01M027 - International Assets Investment Company), lender (9B01M026 - Hokkaido Bank), currency speculator (9B01M029 - Quantile Investment Fund), the IMF (9B01M028 - International Monetary Fund), and the Bank of Thailand (9B01M025 - Bank of Thailand in June 1997).

Teaching Note: 8B01M24 (20 pages)
Industry: Public Administration
Issues: Economic Conditions; Developing Countries; Government and Business; Exchange Rates
Difficulty: 5 - MBA/Postgraduate



INTERNATIONAL MONETARY FUND
David M. Currie

Product Number: 9B01M028
Publication Date: 9/27/2001
Revision Date: 3/26/2008
Length: 3 pages

This role play supplement to Thailand, 1997 (product 9B01M024), discusses the International Monetary Fund conditions that will be put in effect should Thailand request assistance.

Teaching Note: 8B01M24 (20 pages)
Industry: Public Administration
Issues: Developing Countries; Economic Conditions; Exchange Rates; Government and Business
Difficulty: 5 - MBA/Postgraduate



HONG KONG DOLLAR PEG (REVISED)
Stephen Sapp, Robert W. White, Satish Asdhir

Product Number: 9B00N027
Publication Date: 1/30/2001
Revision Date: 1/12/2009
Length: 21 pages

The financial uncertainty in Hong Kong and Asia from mid-1997 to mid-1998 was caused in part by the Asian flu and the return of Hong Kong to the People's Republic of China. A large North American-based insurance company was faced with the decision of managing its Asian assets in light of this uncertainty, especially the possible breaking of the peg between the Hong Kong dollar and the U.S. dollar. As the vice-president of capital markets at Manulife Financial contemplated what strategy he would recommend to the senior executive group, he considered the concepts of fixed/pegged exchange rates and the use of different strategies to manage the risks, as well as the potential profit opportunities that may arise when a fixed/pegged exchange rate is under attack and may break.

Teaching Note: 8B00N27 (12 pages)
Industry: Finance and Insurance
Issues: Exchange Rates; Economic Conditions; Risk Management; International Finance
Difficulty: 4 - Undergraduate/MBA


Chapter 10:
Building Global Strategic Alliances

CITY WATER TANZANIA (A): WATER PARTNERSHIPS FOR DAR ES SALAAM
Oana Branzei, Kevin McKague

Product Number: 9B07M025
Publication Date: 6/15/2007
Length: 17 pages

This case examines how the Tanzania government intends to address a pressing deterioration in the infrastructure and services of Dar es Salaam's Water and Sewage Authority. The decision process unfolds in the spring of 2002, on the heels of the Cochabamba uprising in Bolivia and an increasing dispute over the involvement of the International Finance Corporation and the World Bank in other water development projects in Ghana, Mauritania and South Africa. At that time, the World Bank was already sponsoring similar projects in Angola, Benin, Guinea-Bissau, Niger, Rwanda Sao Tome and Senegal, despite some vocal local opposition. This multi-part case series is ideally suited for core or elective courses in strategy and sustainability to illustrate the types of ongoing tensions and divergent decision angles that influence the formation and performance of public-private partnerships and managing in a global context. It also provides a rich and graphic account of the special threats and opportunities in the water sector - a wealth of complementary teaching resources can also stimulate larger debates by juxtaposing the case decision with a broader crisis of confidence in for-profit solutions to water and sewage provision in Africa and in Latin America.

Teaching Note: 8B07M25 (13 pages)
Industry: Utilities
Issues: Partnership; Strategic Alliances; Management in a Global Environment; Sustainable Development
Difficulty: 4 - Undergraduate/MBA



CITY WATER TANZANIA (B): PRIVATIZING DAR ES SALAAM'S WATER UTILITY
Oana Branzei, Kevin McKague

Product Number: 9B07M026
Publication Date: 6/15/2007
Length: 6 pages

This is a supplement to City Water Tanzania (A): Water Partnerships for Dar es Salaam, product #9B07M025. It details the terms of the lease contract with an international operator, Biwater, and discusses the alternatives that were considered and discarded, the bidding process, and the roles and motivations of the parties. The key questions revolve around a) the adequacy of the decision, b) the responsibility for the next steps and c) the milestones and metrics to gauge the success of the privatization.

Teaching Note: 8B07M25 (13 pages)
Industry: Utilities
Issues: Partnership; Strategic Alliances; Sustainable Development; Management in a Global Environment
Difficulty: 4 - Undergraduate/MBA



RESINA: MANAGING OPERATIONS IN CHINA
Paul W. Beamish, Jordan Mitchell

Product Number: 9B06M048
Publication Date: 4/28/2006
Revision Date: 9/21/2009
Length: 21 pages

Resina is a global manufacturer of resins and surfacing solutions headquartered in Helsinki, Finland, and has three production facilities and 12 sales offices in China. The head of Asia Pacific for Resina needs to decide what should be done about Beijing and Guangdong. Should Beijing remain in operation, be shut down, or moved to another area where demand for liquid bulk resins is stronger. Similar options exist in Guangdong. In aiming towards profitable operations, he needs to consider the buoyancy of local demand, Resina's partner in Beijing, local and foreign competitors and appropriate managers in each operation.

Teaching Note: 8B06M48 (11 pages)
Industry: Manufacturing
Issues: China; International Management; Risk Analysis; Operations Management; Joint Ventures
Difficulty: 4 - Undergraduate/MBA



STRATEGIC ALLIANCES THAT WORK: SHOULD YOU BUILD A STRATEGIC ALLIANCE
Micheal Kelly, Jean-Louis Schaan

Product Number: 9B05M022
Publication Date: 2/22/2005
Revision Date: 10/1/2009
Length: 9 pages

This note is part of a series entitled Strategic Alliances That Work. It provides guidelines to determine whether an alliance is an appropriate vehicle to pursue business objectives. Specifically, it covers areas such as the strategic rationale for the alliance, the identification of competence and resource gaps in relation to strategic objectives, and a firm's readiness to enter a collaborative arrangement. Related cases Strategic Alliances That Work: Selecting the Right Partner, Strategic Alliances That Work: Negotiating and Designing an Alliance and Strategic Alliances That Work: Implementing Winning Conditions, products 9B05M023, 9B05M024 and 9B05M025 are also available.

Issues: Alliances; Competitiveness; Joint Ventures
Difficulty: 4 - Undergraduate/MBA


Chapter 11:
Strategies for International Negotiation

INDIA'S NEGOTIATIONS CONCERNING THE DABHOL POWER COMPANY 2001-2005
David W. Conklin, Danielle Cadieux

Product Number: 9B06M074
Publication Date: 8/22/2006
Revision Date: 9/21/2009
Length: 2 pages

In 2001, the Dabhol Power Company (DPC) ceased operations following several years of bitter acrimony between the state of Maharashtra and the foreign owners. GE and Bechtel each owned 10 per cent of the equity, the Maharashtra State Energy Board (MSEB) owned 15 per cent and Enron owned 65 per cent. The Overseas Private Insurance Corporation (OPIC), a U.S. government agency, had lent $138 million and also had provided insurance against "political risk" for some of the other 19 foreign lenders. The lengthy and convoluted experiences of the Enron Dabhol power project are described in detail in Andrew Inkpen's case Enron and the Dabhol Power Company, Thunderbird Case # A07020008. The purpose of India's Negotiations Concerning the Dabhol Power Company 2001-2005 is to discuss the negotiation between the various foreign investors and the government of India in an attempt to reactivate the Dabhol project. Ultimately, in 2005 a settlement was negotiated. This case adds a further dimension to the case by Andrew Inkpen, and it can be taught most effectively as a sequel to that case.

Teaching Note: 8B06M74 (3 pages)
Industry: Utilities
Issues: International Business; Government and Business; Globalization
Difficulty: 5 - MBA/Postgraduate



NORA-SAKARI: A PROPOSED JV IN MALAYSIA (REVISED)
Paul W. Beamish, R. Azimah Ainuddin

Product Number: 9B06M006
Publication Date: 11/30/2005
Revision Date: 5/23/2012
Length: 16 pages

This case presents the perspective of a Malaysian company, Nora Bhd, which was in the process of trying to establish a telecommunications joint venture with a Finnish firm, Sakari Oy. Negotiations have broken down between the firms, and students are asked to try to restructure a win-win deal. The case examines some of the most common issues involved in partner selection and design in international joint ventures.

Teaching Note: 8B06M06 (12 pages)
Industry: Information, Media & Telecommunications
Issues: Intercultural Relations; Third World; Negotiation; Joint Ventures; Finland; Malaysia
Difficulty: 4 - Undergraduate/MBA



LARSON IN NIGERIA (REVISED)
Paul W. Beamish, Isaiah A. Litvak, Harry Cheung

Product Number: 9B04M012
Publication Date: 2/3/2004
Revision Date: 10/9/2009
Length: 7 pages

The vice-president of international operations must decide whether to continue to operate or abandon the company's Nigerian joint venture. Although the expatriate general manager of the Nigerian operation has delivered a very pessimistic report, Larson's own hunch was to stay in that country. Maintaining the operation was complicated by problems in staffing, complying with a promise to increase the share of local ownership, a joint venture partner with divergent views, and increasing costs of doing business in Nigeria. If Larson decides to maintain the existing operation, the issues of increasing local equity participation (i.e. coping with indigenization) and staffing problems (especially in terms of the joint venture general manager) have to be addressed.

Teaching Note: 8B04M12 (11 pages)
Industry: Manufacturing
Issues: Subsidiaries; Third World; Government Regulation; Staffing
Difficulty: 4 - Undergraduate/MBA


Chapter 12:
Staffing Global Operations

MAJESTICA HOTEL IN SHANGHAI?
Paul W. Beamish, Jane W. Lu

Product Number: 9B05M035
Publication Date: 4/11/2005
Revision Date: 9/21/2011
Length: 14 pages

Majestica Hotels Inc., a leading European operator of luxury hotels, was trying to reach an agreement with Commercial Properties of Shanghai regarding the management contract for a new hotel in Shanghai. A series of issues require resolution for the deal to proceed, including length of contract term, name, staffing and many other control issues. Majestica was reluctant to make further concessions for fear that doing so might jeopardize its service culture, arguably the key success factor in this industry. At issue was whether Majestica should adopt a contingency approach and relax its operating philosophy, or stick to its principles, even if it meant not entering a lucrative market.

Teaching Note: 8B05M35 (8 pages)
Industry: Accommodation & Food Services
Issues: China; Market Entry; Negotiation; Control Systems; Corporate Culture
Difficulty: 4 - Undergraduate/MBA



LUCENT TECHNOLOGIES: HALTING INFORMATION TECHNOLOGY EMPLOYEE TURNOVER
Scott L. Schneberger, Ken Mark

Product Number: 9B01E016
Publication Date: 8/31/2001
Revision Date: 12/18/2009
Length: 7 pages

Lucent Technologies is a worldwide company that delivers systems and software for next-generation communication networks. The company is restructuring to try to improve its stock value after significant losses. A key component of the company's restructuring is the retention of their information technology employees. There is an industry wide shortage of IT workers, causing a large number of these worker to job-hop for better pay. The chief executive officer needs to decide what employee compensation programs should be in place, determine if workplace conditions and rules need to be changed and if the company's recruiting program is attracting the best talent.

Teaching Note: 8B01E16 (7 pages)
Industry: Information, Media & Telecommunications
Issues: Personnel Management; Information Systems; Employee Retention; Management of Technology
Difficulty: 4 - Undergraduate/MBA


Chapter 13:
Managing a Competitive Global Workforce

GLOBALIZATION THREATENS CANADA'S AUTO INDUSTRY: IMPLICATIONS FOR THE ECONOMY AND SOCIETY
David W. Conklin, Danielle Cadieux

Product Number: 9B06M008
Publication Date: 1/13/2006
Revision Date: 9/17/2009
Length: 12 pages

For many decades, the automobile industry had played a major role in Canada's economy. A large portion of Canadian jobs depended on the auto industry, both directly and indirectly. However, by 2005, Canada faced serious globalization threats. Analysts were stating that in the future the number of automobile-related jobs in Canada would depend upon the international competitiveness of Canadian plants. To continue to increase wages would raise Canadian production costs so far above the levels in Mexico, China and other emerging nations, that the assemblers would shift production to low-cost jurisdictions. Meanwhile, the Big Three were losing market share to their non-union competitors, especially Toyota and Honda.

Teaching Note: 8B06M08 (9 pages)
Industry: Manufacturing
Issues: Globalization; International Business; Business and Society
Difficulty: 4 - Undergraduate/MBA



JINJIAN GARMENT FACTORY: MOTIVATING GO-SLOW WORKERS
Tieying Huang, Junping Liang, Paul W. Beamish

Product Number: 9B04M033
Publication Date: 5/14/2004
Revision Date: 10/14/2009
Length: 6 pages

Jinjian Garment Factory is a large clothing manufacturer based in Shenzhen with distribution to Hong Kong and overseas. Although Shenzhen had become one of the most advanced garment manufacturing centres in the world, managers in this industry still had few effective ways of dealing with the collective and deliberate slow pace of work by the employees, of motivating workers, and of resolving the problem between seasonal production requirements and retention of skilled workers. However, the owner and managing director of the company must determine the reasons behind the deliberately slow pace of the workers, the pros and cons of the piecework system and the methods he could adopt to motivate the workers effectively.

Teaching Note: 8B04M33 (11 pages)
Industry: Manufacturing
Issues: China; Productivity; Employee Attitude; Piece Work; Performance Measurement; Work-Force Management; Peking University
Difficulty: 4 - Undergraduate/MBA



BAX GLOBAL LIMITED: STAFF TURNOVER IN MAINLAND CHINA
Jean-Louis Schaan, Nigel Goodwin

Product Number: 9B05C035
Publication Date: 11/28/2005
Revision Date: 9/28/2009
Length: 13 pages

The human resources manager for logistics and supply chain management at BAX China must consider her company's high rate of staff turnover. In her monthly report to the managing director, the turnover had reached 12 per cent in the first eight months of the year. The human resources manager must evaluate the company's current methods of dealing with turnover and consider what additional action should be taken. Logistics was a complex and rapidly growing industry, particularly in mainland China. Many multinational and domestic service providers were entering the marketing and expanding their operations; however, these companies had to respond to complex operational challenges and escalating customer demands. The resulting demand for skilled workers led to high turnover rates across the industry and at all organizational levels, and created margin pressure and other management challenges. The case offers a uniquely Chinese perspective on workforce recruitment, management and retention. The industry and the broader economy were growing rapidly. Skilled workers were in short supply because logistics was a new and developing discipline in the former command economy. Also, in the human resources manager's opinion, cultural attitudes resulted in low loyalty among the workers.

Teaching Note: 8B05C35 (9 pages)
Industry: Transportation and Warehousing
Issues: China; Employee Retention; Recruiting; Compensation; Nanyang
Difficulty: 4 - Undergraduate/MBA


Chapter 14:
Managing Total Quality and Employee Involvement

LONGXI MACHINERY WORKS - QUALITY IMPROVEMENT (A)
Robert Klassen, Larry Li, Tom Gleave

Product Number: 9A98D001
Publication Date: 4/27/1998
Revision Date: 1/27/2010
Length: 17 pages

The assistant engineer in the Thermal Treatment Department of a state-owned enterprise in China has received approval for the formation of a new quality control group to reduce the high defect rate of a critical part. The total quality concept is presented within the context of a specific quality problem, which encourages students to both assess the company's quality system and apply quality improvement tools to this particular problem. This case is the first of a three part series that applies the principles and tools of total quality management in a Chinese setting. This case can either be used independently or in combination with the (B) case, 9A98D002 and (C) case, 9A98D003.

Teaching Note: 8A98D01 (16 pages)
Industry: Manufacturing
Issues: China; International Business; Quality Management; Production Processes; Operations Management
Difficulty: 4 - Undergraduate/MBA



SANDALIAS FINAS DE CUERNAVACA S.A.: TOTAL QUALITY MANAGEMENT (A)
Henry W. Lane, John Kamauff, David Ager

Product Number: 9A95C018
Publication Date: 8/17/1995
Revision Date: 2/12/2010
Length: 17 pages

The president and owner of a small sandal factory realizes that if his company is to survive in the long-run, the manufacturing operation would need to become more efficient. Relaxed tariff barriers had increased the level of foreign competition in the country, particularly in the footwear industry. He had recently attended a seminar on total quality control (TQC) sponsored by the local trade association. Despite the potential benefits of TQC and its record of past successes, John was uncertain whether the Mexican employees would be able to implement TQC, a system that appeared to be based on different norms and values than those of Mexican workers.

Teaching Note: 8A95C18 (7 pages)
Industry: Manufacturing
Issues: Quality Control; Organizational Change; Management Systems; International Business
Difficulty: 4 - Undergraduate/MBA



SANDALIAS FINAS DE CUERNAVACA S.A.: TOTAL QUALITY MANAGEMENT (B)
Henry W. Lane, John Kamauff, David Ager

Product Number: 9A95C019
Publication Date: 8/17/1995
Revision Date: 2/12/2010
Length: 9 pages

The president and owner of a small sandal factory decided to implement TQC in his company factory. This case outlines the steps he followed, the problems he encountered and the measures he took to correct them as he introduced his employees to TQC. This case is intended to be used in conjunction with Sandalias Finas de Cuernavaca, S.A.: Total Quality Management (A), case 9A95C018.

Teaching Note: 8A95C18 (7 pages)
Industry: Manufacturing
Issues: International Business; Quality Control; Organizational Change; Management Systems
Difficulty: 4 - Undergraduate/MBA


Chapter 15:
Managing Multicultural Teams

LEO BURNETT COMPANY LTD.: VIRTUAL TEAM MANAGEMENT
Joerg Dietz, Fernando Olivera, Elizabeth O'Neil

Product Number: 9B03M052
Publication Date: 11/28/2003
Revision Date: 5/24/2017
Length: 16 pages

Leo Burnett Company Ltd. is a global advertising agency. The company is working with one of its largest clients to launch a new line of hair care products into the Canadian and Taiwanese test markets in preparation for a global rollout. Normally, once a brand has been launched, it is customary for the global brand centre to turn over the responsibility for the brand and future campaigns to the local market offices. In this case, however, the brand launch was not successful. Team communications and the team dynamics have broken down in recent months and the relationships are strained. Further complicating matters are a number of client and agency staffing changes that could jeopardize the stability of the team and the agency/client relationship. The global account director must decide whether she should proceed with the expected decision to modify the global team structure to give one of the teams more autonomy, or whether she should maintain greater centralized control over the team. She must recommend how to move forward with the brand and determine what changes in team structure or management are necessary.

Teaching Note: 8B03M52 (14 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Difficulty: 4 - Undergraduate/MBA



MABUCHI MOTOR CO., LTD.
Paul W. Beamish, Anthony Goerzen

Product Number: 9A98M034
Publication Date: 10/30/1998
Revision Date: 9/19/2017
Length: 11 pages

A year had elapsed since Mabuchi Motor Co., Ltd. of Japan, the world's most successful producer of small electric motors, had implemented a new management training program at one of its foreign operations in China. The program had two objectives. First, it was intended to enable the corporation to maintain its strategy of cost minimization by making it possible to reduce Japanese expatriate levels by improving the management skills of local managers in foreign subsidiaries. Second, by overcoming the shortage of qualified Japanese managers, the program would also allow the continued aggressive expansion of production that had become a cornerstone of corporate strategy. The teaching purpose is to illustrate the difficulties associated with transferring a management style and corporate culture into a different national culture.

Teaching Note: 8A98M34 (11 pages)
Industry: Manufacturing
Issues: China; Organizational Change; Corporate Culture; Management Training; Subsidiaries
Difficulty: 4 - Undergraduate/MBA


Chapter 16:
Global Marketing and Supply Chain

YUNNAN BAIYAO: TRADITIONAL MEDICINE MEETS PRODUCT/MARKET DIVERSIFICATION
Paul W. Beamish, George Peng

Product Number: 9B06M088
Publication Date: 1/23/2007
Revision Date: 9/21/2011
Length: 17 pages

In 2003, 3M initiated contact with Yunnan Baiyao Group Co., Ltd. to discuss potential cooperation opportunities in the area of transdermal pharmaceutical products. Yunnan Baiyao (YB), was a household brand in China for its unique traditional herbal medicines. In recent years, the company had been engaged in a series of corporate reforms and product/market diversification strategies to respond to the change in the Chinese pharmaceutical industry and competition at a global level. By 2003, YB was already a vertically integrated, product-diversified group company with an ambition to become an international player. The proposed cooperation with 3M was attractive to YB, not only as an opportunity for domestic product diversification, but also for international diversification. YB had been attempting to internationalize its products and an overseas department had been established in 2002 specifically for this purpose. On the other hand, YB had also been considering another option namely, whether to extend its brand to toothpaste and other healthcare products. YB had to make decisions about which of the two options to pursue and whether it was feasible to pursue both.

Teaching Note: 8B06M88 (12 pages)
Industry: Health Care Services
Issues: China; Product Diversification; Internationalization; Brand Extension; Alliances
Difficulty: 4 - Undergraduate/MBA



TROUT FARMING IN PERU: THE LAKE TITICACA DECISION
Christopher J. Robertson, David T.A. Wesley

Product Number: 9B07M003
Publication Date: 1/9/2007
Revision Date: 2/26/2010
Length: 19 pages

Faced with capacity constraints at the company's river fed facilities, the president and general manager of Piscifactorias de los Andes (Piscis), the largest trout farming company in Peru, is considering an option to create a trout farm on Lake Titicaca. Although Titicaca was the largest lake in South America and was in many ways ideally suited to trout farming, all previous attempts to commercialize the lake's fishery had failed. In addition, Piscis faced potential opposition from local fishers and environmentalists. Titicaca was also too distant from the company's existing fish plants. Therefore, if it were to establish operations on the lake, Piscis would need to build a processing plant at a cost of several million dollars. However, because of the region's history of political instability and violence, financial institutions were reluctant to offer loans.

Teaching Note: 8B07M03 (6 pages)
Issues: Environment; Risk Management; Developing Countries; International Marketing; Northeastern
Difficulty: 4 - Undergraduate/MBA



NISSAN CANADA INC.
P. Fraser Johnson, Kyle Hunter

Product Number: 9B07D018
Publication Date: 8/30/2007
Length: 12 pages

The corporate manager of vehicle planning at Nissan Canada Inc. had been asked by the director of vehicle ordering for Nissan North America (NNA), to review the proposed vehicle ordering process as part of the new Integrated Customer Order Network (ICON). The ICON project would change Nissan's North American vehicle ordering process from a 'make-to-stock' into a 'make-to-order' environment which called for a significant process transformation for Nissan's operations in North America and Japan. The corporate manager of vehicle planning was hoping that the new process would be exactly what the dealers were seeking in an effort to closer align production with customer demand. However, he needed to evaluate the new process from the perspective of all stakeholders to ensure that Nissan's business objectives could be met.

Teaching Note: 8B07D18 (7 pages)
Industry: Manufacturing
Issues: Supply Chain Management; Forecasting
Difficulty: 5 - MBA/Postgraduate



UPS AND HP: VALUE CREATION THROUGH SUPPLY CHAIN PARTNERSHIPS
Mark O. Lewis, Arun Rai, David Forquer, Dan Quinter

Product Number: 9B07D002
Publication Date: 2/26/2007
Length: 14 pages

This case is about managing large supply change outsourcing relationships over time. The focus is on the challenges service providers and their customers face as they seek to continually find new sources of value as the relationships change. Emphasis is placed on issues related to coordinated capabilities across functional boundaries, information sharing and developing information technology readiness.

Teaching Note: 8B07D02 (5 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Relationship Management; Outsourcing; Innovation
Difficulty: 5 - MBA/Postgraduate


Chapter 17:
Global Human Resource Management

HUMAN RESOURCE MANAGEMENT IN MULTINATIONAL BANKS IN TANZANIA
Paul W. Beamish, Aloysius Newenham-Kahindi

Product Number: 9B07C040
Publication Date: 10/30/2007
Length: 18 pages

The case examines how the best practices of two banks were organized and managed to provide financial services to a small niche of foreign customers in the mining, tourism and construction sectors in Tanzania. The two banks claimed to be similar in many ways. They both were from countries whose economies were run broadly on neo-liberal lines, in that there was little state intervention in either economy, however, differences existed with respect to how they managed their operations. The case is ideally suited to illustrate the on-going tension and different types of best practices in cross-market integration. It provides opportunities to explore the challenges faced by multinational company banks in managing global workforces, the evolution of the banking sector, and the influence of technology in shaping work in organizations.

Teaching Note: 8B07C40 (16 pages)
Industry: Finance and Insurance
Issues: International Management; Expatriate Management; Trade Unions; Management Training; Emerging Markets; Performance Evaluation; Recruiting; Subsidiaries; Career Development; Employee Selection
Difficulty: 4 - Undergraduate/MBA



PRASHANT LAKHERA: SENIOR ANALYST
James A. Erskine, Unnat Kohli

Product Number: 9B07C033
Publication Date: 10/4/2007
Length: 11 pages

Prashant Lakhera, senior analyst at Credit Rating Agency Limited (CRA), has been working with Deepak Ghosh, project manager of the Construction Development Board, on a report that needs to be submitted within the next few days. Because Ghosh had been acting inappropriately in front of clients, Lakhera and Gagan Vedi, the other analyst working on the report, was concerned about how this might damage the image of CRA. Shortly before the report was due, Lakhera asked Ghosh for his contribution to the report. Ghosh indicated that he did not care and he walked away from the team. Now Lakhera had to decide what to do about the urgent deadline for the report.

Teaching Note: 8B07C33 (3 pages)
Industry: Finance and Insurance
Issues: Interpersonal Skills; Conflict Resolution; Interpersonal Relations; Crisis Management
Difficulty: 4 - Undergraduate/MBA



JOHN MEREDITH OF HUTCHISON PORT HOLDINGS
Kathleen E. Slaughter, Jeffrey Gandz, Nigel Goodwin

Product Number: 9B07C027
Publication Date: 6/4/2007
Revision Date: 5/24/2007
Length: 18 pages

This case examines the life, career and leadership style of John Meredith, the group managing director of Hutchison Port Holdings (HPH). Meredith established the company in 1972 based on his vision for more efficient global trade. Under his leadership, the company grew to become the world's largest container port operator. The company grew from owning and managing a single container port to owning and managing 45 container ports by May 2007. This case also examines the importance of leadership at all levels of organizations. When a company grows quickly and sets up operations around the world, it must constantly train new leaders. However, HPH had difficulty finding and training enough leaders who were willing to lead the company's new port operations in far-off destinations. The case examines HPH's actions thus far and asks what other measures may be appropriate in the future.

Teaching Note: 8B07C27 (7 pages)
Industry: Transportation and Warehousing
Issues: Management in a Global Environment; Management Development; Leadership
Difficulty: 4 - Undergraduate/MBA


Chapter 18:
Global Internet and E Commerce

ANDURO MARKETING: INTERNET SERVICES VS. SOFTWARE SALES
Malcolm Munro, Sid L. Huff

Product Number: 9B07A018
Publication Date: 10/1/2007
Length: 14 pages

Anduro Marketing is a Canadian company that sells technical services to companies wanting to improve their search engine website rankings. Though small, Anduro has attracted several major clients in both Canada and the United States, and expects steady profitability and growth. Anduro believes it can generate substantial additional profit by developing and selling a suite of software products that automate its technical service offerings. Anduro's managers must decide whether Anduro is better off staying with its current safe and profitable strategy or if Anduro should instead pursue a riskier but potentially more profitable software sales model. Several tough questions must be answered to determine whether the risk is worth the reward. The Anduro case provides an interesting description of an Internet technical/marketing services business and contrasts this with software sales.

Teaching Note: 8B07A18 (7 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Search Engines; Internet Software; Internet Marketing; Corporate Strategy
Difficulty: 4 - Undergraduate/MBA



NEOGENIUS CO., LTD.
Eric Morse, Dominic Lim

Product Number: 9B07M011
Publication Date: 7/31/2007
Length: 20 pages

NeoGenius Co., Ltd. (NeoGenius) is an early stage entrepreneurial venture based in South Korea. Founded in February 2000, NeoGenius provides a wide range of business to business (B2B) e-business software and related services. The company's chief executive officer must decide among several options including growth and exit. Students will analyze different growth options that entrepreneurs commonly face, as well as an entrepreneur's decision-making process.

Teaching Note: 8B07M11 (8 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: New Venture Growth; New Venture Management; Startups
Difficulty: 5 - MBA/Postgraduate



SHOPSTER.COM
Malcolm Munro, Sid L. Huff

Product Number: 9B07E005
Publication Date: 8/21/2007
Revision Date: 9/27/2007
Length: 18 pages

Shopster.com is a Calgary-based e-business company whose business is to assist other individuals or companies in setting up their own retail transactional websites. Shopster differs significantly from ordinary website developers in that retailers are able to select from a huge inventory of saleable products, through Shopster's network of goods providers. Shopster also provides software tools, and expertise, to allow anyone wishing to create an online retail store to do so quickly and easily. Shopster's business has done well to date, but there are plenty of operational challenges ahead. As well, the principals would like to "raise the bar" substantially, to something they refer to as "Shopster 2.0", the specifics of which are still at a formative stage. The Shopster case provides an interesting example of a small but rapidly growing Canadian company with an innovative business model and big dreams for the future.

Teaching Note: 8B07E05 (9 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Supply Chain Management; E-Business Models; E-Commerce; Virtual Business
Difficulty: 4 - Undergraduate/MBA


Chapter 19:
Ethics and Corruption in the Global Marketplace

MALAWI BUSINESS ACTION AGAINST CORRUPTION
Oonagh Fitzgerald, James Ng'ombe

Product Number: 9B07M037
Publication Date: 10/4/2007
Length: 18 pages

The founding executive director of the African Institute for Corporate Citizenship (AICC), felt very tense as he typed the last revisions to the speech he would be giving to a Llongwe merchants' association later in the week. He really enjoyed proudly describing his initiative, "Business Action Against Corruption", and the Business Code of Conduct for Combating Corruption in Malawi, to potential new partners. However, the founding executive director was beginning to feel concerned about its slow pace of adoption. He was particularly worried about how to manage the delicate relationship with the government.

Teaching Note: 8B07M37 (6 pages)
Issues: Negotiation; Ethical Issues; Corporate Responsibility; Globalization; Political Environment; Procurement
Difficulty: 4 - Undergraduate/MBA



A FEW TIPS ABOUT CORRUPTION IN THE U.S.
Andrew Karl Delios

Product Number: 9B06M089
Publication Date: 11/6/2006
Length: 7 pages

This case presents the situation faced by three people in the United States as they exit a restaurant in California. They are discussing whether tipping is a form of private sector corruption, similar to public sector corruption that pervades many countries worldwide. Discussion ensues on what constitutes corruption, and whether private and public sector corruption are required and ethical business practices.

Teaching Note: 8B06M89 (9 pages)
Industry: Manufacturing
Issues: China; Ethical Issues; Political Environment; International Business; Internationalization
Difficulty: 4 - Undergraduate/MBA



ROYAL DUTCH SHELL IN NIGERIA: OPERATING IN A FRAGILE STATE
Isaiah A. Litvak

Product Number: 9B06M021
Publication Date: 3/17/2006
Revision Date: 3/3/2009
Length: 19 pages

Stuck in a quagmire of violence and political issues in Nigeria, Royal Dutch Shell's challenge was to establish socially responsible business practices to enable the company to sustain and expand its operations in Nigeria and the Niger Delta in particular. A conflict resolution and public policy consultant was brought in to develop some constructive ideas on how best to address the problems Royal Dutch Shell faced in Nigeria. This case is intended to introduce students to some of the complex issues faced by multinational corporations in developing countries.

Teaching Note: 8B06M21 (8 pages)
Industry: Mining, Quarrying, and Oil and Gas Extraction
Issues: Corporate Responsibility; Corporate Governance; Conflict Resolution; Pressure Groups
Difficulty: 4 - Undergraduate/MBA



GONCHAR INVESTMENT BANK
Paul W. Beamish, Jonathan Royce

Product Number: 9B05M029
Publication Date: 3/22/2005
Revision Date: 10/1/2009
Length: 9 pages

A recent MBA graduate is working as vice-president equity sales for an investment bank in the Ukraine. The firm's managing director has requested a recommendation regarding whether they should start investing in Ukrainian equities on their own account, or retain their practice of acting purely as an agent - buying and selling shares for clients without taking any ownership position.

Teaching Note: 8B05M29 (13 pages)
Industry: Finance and Insurance
Issues: Emerging Markets; Investment Dealers; Tradeoff Analysis; Stock Issues
Difficulty: 4 - Undergraduate/MBA


Chapter 20:
International Entrepreneurship

HONEY CARE AFRICA (A): A DIFFERENT BUSINESS MODEL
Oana Branzei, Michael Valente

Product Number: 9B07M022
Publication Date: 4/2/2007
Revision Date: 4/24/2007
Length: 16 pages

The founding entrepreneur of Honey Care Africa revitalized Kenya’s national honey industry by focusing on small-holder farmers across the country. Central to success was an innovative business model: a synergistic partnership between the development sector, the private sector, and rural communities that drew on the core competencies of each party as well as their complementary roles. This tripartite model was combined with local manufacturing of beehives, effective beekeeping training, a guaranteed market for small-holder farmers through forward contracts, and prompt payments. Four years later, Honey Care had achieved a 68 per cent market share in Kenya and distributed several brands of organic, fair-trade honey internationally, and was a lead distributor of beeswax. The business model had been successfully replicated in neighbouring Tanzania, and there were plans to expand to Uganda and Sudan.

Teaching Note: 8B07M22 (15 pages)
Industry: Agriculture, Forestry, Fishing and Hunting
Issues: Competitive Advantage; Sustainable Development; Alliances; Africa
Difficulty: 4 - Undergraduate/MBA



ACTIVPLANT: THE EUROPEAN OPPORTUNITY
Stewart Thornhill

Product Number: 9B06M046
Publication Date: 11/6/2006
Revision Date: 9/21/2009
Length: 12 pages

Activplant is a software firm specializing in monitoring, measuring and analysing the performance of factory automation systems in London, Ontario, Canada. It is a pioneer of the industry, and has installations in most of the largest automobile manufacturing firms in North America as well as some clients in consumer goods. Activplant is considering the opportunity of expanding their business to include a much more aggressive sales and service approach in Europe. An entrance into Europe involves how both sales and service will be delivered to clients, which could be done through a number of different channels including: consulting partners, value-added resellers, a joint venture or fulltime Activplant staff. The case allows students to evaluate both the dollar costs and benefits of each choice as well as qualitative concerns like product quality and maintaining contact with customers.

Teaching Note: 8B06M46 (9 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: International Expansion; Strategy Implementation
Difficulty: 4 - Undergraduate/MBA



PHARMAXIS: A STAR PERFORMER AT COMMERCIALIZATION CROSSROADS
Deepak Sardana, Don Scott-Kemmis

Product Number: 9B06M093
Publication Date: 11/6/2006
Length: 13 pages

Pharmaxis is a new biotechnology venture based in Sydney, Australia. The case brings to light the important stages in the growth of the company and the commercialization decisions the company faced. It also highlights both the uniqueness of some of the managing team's decisions and their understanding of the industry. The case underscores the point that good decision-making can overcome apparent barriers to growth. The company is now at a key decision point. It needs to determine the best approach to commercialize its first diagnostic product. The wrong decision could waste scarce financial resources, divert the time of managers and researchers, and jeopardize the reputation of the firm with potential investors.

Teaching Note: 8B06M93 (8 pages)
Issues: Managing Growth; Business Development; Biotechnology Management; Planning
Difficulty: 5 - MBA/Postgraduate