Ivey Publishing

International Management: Managing Across Borders and Cultures

Deresky, H.,7/e (United States, Pearson, 2011)
Prepared By Beamish, Paul W., Strategy/General Management
Chapter and Title Chapter Matches: Case Information
Chapter 1:
Assessing the Environment - Political, Economic, Legal, Technological

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

Product Number: 9B11M013
Publication Date: 2/11/2011
Revision Date: 3/23/2011
Length: 11 pages

This exercise 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 group's 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.

For marketers, it underscores the need to gather greater base knowledge about opportunities abroad.


Teaching Note: 8B11M013 (6 pages)
Issues: Career Development; Intercultural Relations; Team Building; Internationalization
Difficulty: 4 - Undergraduate/MBA



CHINESE FIREWORKS INDUSTRY
Paul W. Beamish

Product Number: 9B11M006
Publication Date: 1/11/2011
Revision Date: 5/4/2017
Length: 13 pages

The Chinese fireworks industry thrived after China adopted the open-door policy in the late 1970s, and grew to make up 90 per cent of the world’s fireworks export sales. However, starting in the mid-1990s, safety concerns led governments both in China and abroad to set up stricter regulations. At the same time, there was rapid growth in the number of small family-run fireworks workshops, whose relentless price-cutting drove down profit margins. Students are asked to undertake an industry analysis, estimate the industry attractiveness, and propose possible ways to improve the industry attractiveness from an individual investor’s point of view. Jerry Yu is an American-born Chinese in New York who has been invited to buy a fireworks factory in Liuyang, Hunan.

Teaching Note: 8B11M006 (16 pages)
Industry: Manufacturing
Issues: Market Analysis; Industry Analysis; International Marketing; Exports; China
Difficulty: 4 - Undergraduate/MBA



SWINE FLU TOUR
Stephen Grainger

Product Number: 9B09C021
Publication Date: 12/8/2009
Length: 8 pages

An Australian business professor has just arrived in China with a group of students, when one of the group members comes down with the H1N1 virus. The entire group is hospitalized or quarantined. The professor, who is also the tour director, must determine how to deal with the crisis, and quickly. This case is designed for use in a crisis management course, or in an early class in an international management course to illustrate the sorts of differences one may confront in international settings.

Teaching Note: 8B09C21 (7 pages)
Industry: Health Care Services
Issues: China; Health Care; Contingency Management; Crisis Management; Swine Flu
Difficulty: 4 - Undergraduate/MBA



CHINA MINMETALS CORPORATION AND NORANDA INC.
Isaiah A. Litvak

Product Number: 9B06M013
Publication Date: 2/6/2006
Revision Date: 10/26/2011
Length: 16 pages

The proposed takeover of Noranda Inc. (one of the biggest mineral players in the world) by the Chinese state owned enterprise, China Minmetals Corporation, was cause for Canadian government concern as it required some understanding about the workings and objectives of state owned enterprises. There was particular concern around the labour issues and human rights violations in China, and the possible impact of these on the proposed takeover. Equally important, Canada ran the substantial risk of sending the wrong message to the People's Republic of China if it was to block such a takeover, and in some respects, to be seen as shutting its doors to one of the world's largest and most powerful emerging economies.

Teaching Note: 8B06M13 (13 pages)
Industry: Mining, Quarrying, and Oil and Gas Extraction
Issues: China; Government and Business; Ethical Issues; Business and Society; Politics
Difficulty: 4 - Undergraduate/MBA



NOTE ON INTERNATIONAL LICENSING
Paul W. Beamish

Product Number: 9B06M005
Publication Date: 11/28/2005
Revision Date: 9/17/2009
Length: 18 pages

Licensing is a strategy for technology transfer; and an approach to internationalization that requires less time or depth of involvement in foreign markets, compared to exports, joint ventures, and foreign direct investment. This note examines when licensing is employed, risks associated with it, intellectual property rights, costs of licensing, unattractive markets for licensing, and the major elements of the license agreement.

Issues: Technology Transfer; Licensing; Corporate Strategy; Internationalization
Difficulty: 4 - Undergraduate/MBA



NESTLE'S NESCAFE PARTNERS' BLEND: THE FAIRTRADE DECISION (A)
Niraj Dawar, Jordan Mitchell

Product Number: 9B06A020
Publication Date: 7/27/2006
Revision Date: 1/9/2008
Length: 24 pages

AWARD WINNING CASE - Corporate Social Responsibility Award, 2006 European Foundation for Management Development (EFMD) Case Writing Competition. In early 2005, Nestle is in the midst of a decision: whether or not the Fairtrade mark should be applied on Partners' Blend, a new instant coffee product to be marketed in the growing UK 'ethical' coffee segment. Application of the Fairtrade mark on the Partners Blend product means that Nestle must go against its historical position of not offering minimum guaranteed prices to coffee farmers. As part of their deliberations, Nestle executives must consider their coffee sourcing program at large, their corporate social responsibility framework, Nescafe and corporate Nestle branding, the UK market and the potential consumer benefits or backlash that could result from releasing such a product.

Teaching Note: 8B06A20 (12 pages)
Industry: Manufacturing
Issues: New Products; Corporate Responsibility; Brand Management; Product Strategy
Difficulty: 4 - Undergraduate/MBA


Chapter 2:
Managing Interdependence - Social Responsibility and Ethics

BARRICK GOLD CORPORATION - TANZANIA
Aloysius Newenham-Kahindi, Paul W. Beamish

Product Number: 9B10M020
Publication Date: 10/20/2010
Revision Date: 11/19/2014
Length: 15 pages

This case examines the giant Canadian mining corporation, Barrick Gold Corporation (Barrick), (called Africa Barrick Gold plc since 2009), and the way it engages in sustainable community developments that surround its mining activities in Tanzania. Following recent organized tensions and heightened criticism from local communities, media, international social lobbyists and local not-for-profit organizations (NFOs), Barrick has attempted to deal with the local communities in a responsible manner. At issue for senior management was whether there was much more that it could reasonably do to resolve the tensions.

The case considers: how MNEs seek social license and local legitimacy; the relevance of hybrid institutional infrastructures; the evolving global roles for MNEs and their subsidiaries. The case is appropriate for use in courses in international management, global corporations and society, and international development and sustainable value creation.


Teaching Note: 8B10M20 (17 pages)
Industry: Mining, Quarrying, and Oil and Gas Extraction
Issues: Subsidiaries; Business and Society; Corporate Social Responsibility; Cross Sector Social Partnership; Government Relations
Difficulty: 5 - MBA/Postgraduate



FIJI WATER AND CORPORATE SOCIAL RESPONSIBILITY - GREEN MAKEOVER OR "GREENWASHING"?
James McMaster, Jan Nowak

Product Number: 9B09A008
Publication Date: 5/13/2009
Revision Date: 5/10/2017
Length: 21 pages

This case analysis traces the establishment and subsequent operation of FIJI Water LLC and its bottling subsidiary, Natural Waters of Viti Limited, the first company in Fiji extracting, bottling and marketing, both domestically and internationally, artesian water coming from a virgin ecosystem found on Fiji's main island of Viti Levu. The case reviews the growth and market expansion of this highly successful company with the brand name FIJI Natural Artesian Water (FIJI Water). The company has grown rapidly over the past decade and a half, and now exports bottled water into many countries in the world from its production plant located in the Fiji Islands. In 2008, FIJI Water was the leading imported bottled water brand in the United States. In the context of great marketing success of the FIJI brand, particularly in the U.S. market, the case focuses on how the company has responded to a number of corporate social responsibility (CSR) issues, including measuring and reducing its carbon footprint, responsibilities to key stakeholders, and concerns of the Fiji government with regard to taxation and transfer pricing issues. The case provides a compelling illustration of how CSR challenges may jeopardize the sustainability of a clever marketing strategy.

Teaching Note: 8B09A08 (11 pages)
Industry: Manufacturing
Issues: Environment; Corporate Responsibility; Marketing Communication; Transfer Pricing; International Marketing; Greenwashing; Green Marketing; Brand Positioning
Difficulty: 4 - Undergraduate/MBA



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



MEDICAL EQUIPMENT INC. IN SAUDI ARABIA
Joerg Dietz, Ankur Grover, Laura Guerrero

Product Number: 9B07C042
Publication Date: 3/17/2008
Revision Date: 3/24/2009
Length: 14 pages

A recently hired U.S.-trained sales account manager at Medical Equipment Inc. (Medical Equipment) returned to his office after meeting with the head of the cardiology department at a specialist hospital and research center in Jeddah, Saudi Arabia. He had worked very hard to secure his first sale of US$725,000 for healthcare equipment, but was disheartened when the head of cardiology told him that the hospital's purchasing director intended to give the order to Medical Equipment's main competitor. The competition's sales representative and the purchasing director had known each other for 10 years and the head cardiologist implied that there might be side payments involved. The sales account manager knew Medical Equipment's product was superior and wondered how he could secure the order without having a history with the purchasing director or without engaging in practices he found ethically questionable.

Teaching Note: 8B07C42 (8 pages)
Industry: Manufacturing
Issues: Intercultural Relations; Sales Management; International Business; Ethical Issues
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



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


Chapter 3:
Understanding the Role of Culture

AN ENGLISH TEACHER IN SOUTH KOREA
Stacey R. Fitzsimmons, Paul Shantz

Product Number: 9B10C027
Publication Date: 1/21/2011
Length: 5 pages

Bert took a position to teach English in South Korea after graduating with his business degree from a Canadian university. It was his second time teaching English in South Korea, and because he had a fantastic experience the first time, he took a second position without doing a lot of due diligence before arrival. Soon, however, he realized that a city tax was being deducted from his pay, and he had suspicions that his boss was making up the city tax, in order to deduct money from the English teachers’ pay. Since Bert’s visa to stay in the country was tied to his employer, he could not look for a new employer, nor could he effectively find legal recourse against his employer, because foreign teachers had few rights in South Korea.

Teaching Note: 8B10C027 (12 pages)
Industry: Educational Services
Issues: Organizational Culture; International Management; Ethical Issues; Teachers; Expatriates; South Korea
Difficulty: 2 - Intro/Undergraduate



SARAH JAMES IN MEXICO: OFTEN WRONG BUT NEVER IN DOUBT?
William A. Andrews

Product Number: 9B09C006
Publication Date: 1/27/2009
Length: 4 pages

A college student, Sarah James, attends a Mexican university (INI) for the summer to develop her language and cross-cultural capabilities. At the end of a successful semester, she e-mails the director of international recruitment for the Mexican University - with a copy to her major professor back in the United States - complaining about the treatment she received from her host family. She appears to have alienated all parties involved as she makes her exodus. The reader must decide how Professor McGill should respond. McGill had been attempting to build a relationship with the administration at INI in hopes of sending more students there for cross-cultural and language training. The reader must also evaluate Sarah's complaints to determine if they are a result of her own inflexibility or whether the host family was inappropriately screened or prepared. Will the remedy be found in having better policies governing host families or in having more culturally-attuned students?

Teaching Note: 8B09C06 (5 pages)
Industry: Educational Services
Issues: Partnership; Cultural Customs; Conflict Resolution
Difficulty: 4 - Undergraduate/MBA



CHICKEN AND EGG: A STUDY OF THE POULTRY GENETICS INDUSTRY
Patrick F. O'Leary

Product Number: 9B06A022
Publication Date: 10/12/2006
Revision Date: 9/30/2008
Length: 13 pages

At the beginning of 2006, the president of Ullman International (Ullman), a leading producer of hybrid chicks for both the American and world egg industry was facing many challenges: his imminent retirement, the threat of the Asian bird flu, zero or negative growth in primary markets, increasing pressure from the animal rights movement and a strained relationship with Ullman's European parent company. 2006 marked the end of an era for this $200 million company as it enters a period of revolutionary organizational and environmental change, the resolution of which will determine its fate for the next decades.

Teaching Note: 8B06A22 (10 pages)
Industry: Agriculture, Forestry, Fishing and Hunting
Issues: Ethical Issues; Succession Planning; International Business; Industry Analysis; Biotechnology; Cross Cultural Management; Industry Globalization
Difficulty: 4 - Undergraduate/MBA



ELIXIR TECHNOLOGY - ENTRY INTO THE MIDDLE EAST
Kenneth G. Hardy, Elizabeth O'Neil

Product Number: 9B04A012
Publication Date: 8/10/2004
Revision Date: 10/7/2009
Length: 27 pages

Elixir Technology is a small software development company based in Singapore that develops data analysis and report generation software and provides technical training and consulting services. By May 2003, it had successfully sold this software to corporate clients in Singapore, China and Japan, following a very adaptive marketing strategy in each market. Now the managing director is contemplating entering the Middle East but must choose an entry strategy quickly to capitalize on the current window of opportunity. Available entry choices include direct entry, or several partnership options.

Teaching Note: 8B04A12 (8 pages)
Industry: Administrative, Support, Waste Management and Remediation Services
Issues: Technology; Entrepreneurial Marketing; Cultural Customs; Market Entry; Nanyang
Difficulty: 4 - Undergraduate/MBA


Chapter 4:
Communicating Across Cultures

L’OREAL S.A.: ROLLING OUT THE GLOBAL DIVERSITY STRATEGY
Cara C. Maurer, Ken Mark

Product Number: 9B10C026
Publication Date: 11/1/2010
Revision Date: 11/7/2011
Length: 14 pages

L’Oreal S.A. is in the process of implementing a global diversity strategy. The firm's Europe diversity director is working with various country units to roll out the strategy. The director faces obstacles such as cultural differences between countries and, generally, low awareness of the benefits a diversity strategy can bring.

Teaching Note: 8B10C026 (12 pages)
Industry: Manufacturing
Issues: Human Behaviour; Communications; Cosmetics; France
Difficulty: 4 - Undergraduate/MBA



CHARLES FOSTER SENDS AN EMAIL (A)
Henry W. Lane

Product Number: 9B05C019
Publication Date: 8/12/2005
Revision Date: 9/28/2009
Length: 5 pages

After the U.S. sales manager of a large multinational company emails his supervisor regarding the supply of a new product, the message is forwarded to two others. The final recipient, the president of the Franco-Japanese joint venture partner that is manufacturing the new product, is offended by what he perceives as unfair criticism. The supplemental case, Charles Foster Sends an Email (B), product number 9B05C020, includes the sales manager's response to the president, and the ensuing correspondence from the joint venture. Together, the (A) and (B) cases present a setting for discussing three issues; the relationship between a communication situation and the medium chosen to deliver it, the effects on business relationships when an inappropriate communications medium is chosen and the processes needed to communicate effectively in multicultural business relationships.

Teaching Note: 8B05C19 (6 pages)
Industry: Manufacturing
Issues: Interpersonal Relations; International Business; Management Communication; Northeastern
Difficulty: 4 - Undergraduate/MBA



EURO-AIR (A)
Paul W. Beamish

Product Number: 9A99M015
Publication Date: 6/24/1999
Revision Date: 1/18/2010
Length: 7 pages

A North America-based representative of a major European airline has just received a letter from an unhappy customer detailing a very large number of service problems. A quick check had revealed that this premium-paying customer's complaints were all valid. A meeting is planned with the customer. Before this, the airline representative must decide (A) what to say in response, and (B) what, if any, compensation should be offered. Internally, there was a need (C) to resolve what their organization should learn from this experience, both from a subsidiary and parent company perspective, and the implications on their participation in the Crown Alliance. This case raises many important questions regarding service recovery, communications, and non-equity alliances.

Teaching Note: 8A99M15 (11 pages)
Industry: Transportation and Warehousing
Issues: Alliances; Service Quality; Compensation; Communications
Difficulty: 4 - Undergraduate/MBA


Chapter 5:
Cross-cultural Negotiation and Decision Making

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



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



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



ADCOCK INGRAM: DECISIONS AND MOTIVES THAT STEER ACQUISITIONS
Charlene C. Lew

Product Number: 9B10C008
Publication Date: 6/10/2010
Revision Date: 6/18/2010
Length: 16 pages

The case sketches the story of a charismatic and ambitious young business leader who, through value-adding commercial transactions, has helped set a South African pharmaceutical company, Adcock Ingram, on a trajectory of growth. In May 2009, he faces lack of closure and an ambiguous outcome to an offer to acquire a smaller pharmaceutical company. The case demonstrates the power of relationships, where the ambitions of different parties around the negotiations table and the incentives that shape their alliances can make or break a strategic business deal. The case presents students with an opportunity to analyze an unfavourable outcome of a business deal, and build a concept of behavioural requirements of success in business transactions. The case has been designed for class discussion and analysis of factors of leadership that underpin or influence acquisitions. It focuses on the behavioural components of leadership decision-making and their effect on business results. The case can provide a platform for the discussion of motives, interpersonal skills and relationships, and business activities in acquisitions.

Teaching Note: 8B10C08 (22 pages)
Industry: Manufacturing
Issues: Interpersonal Skills; Personal Values; Acquisition Strategy; Behaviours of effective negotiation; GIBS
Difficulty: 5 - MBA/Postgraduate


Chapter 6:
Formulating Strategy

CHABROS INTERNATIONAL GROUP: A WORLD OF WOOD
Paul W. Beamish, Bassam Farah

Product Number: 9B10M100
Publication Date: 11/30/2010
Revision Date: 4/17/2014
Length: 16 pages

AWARD WINNING CASE - MENA Business Cases Award, 2012 European Foundation for Management Development (EFMD) Case Writing Competition. The Chabros International Group case examines how a Lebanese multinational wood company confronts a drastic drop in its largest subsidiary's sales after 2008's global economic crisis. Antoine Chami, Chabros's owner and president, was reviewing his company's 2009 end-of-year financial statements and, in particular, a 30 per cent drop in sales in Dubai. In 2007, a year before the global economic crisis, Chami had invested more than $11 million to acquire and expand a sawmill in Serbia to meet Chabros's growing lumber sales demand. With a much higher capacity to produce lumber and a much lower probability to sell it, Chami had to decide what to do to overcome this challenge. Should he close parts of his Serbian sawmill? Should he try to boost his company's sales to use all of his sawmill's available capacity? If so, should Chabros try to increase sales within the countries where it already operated (UAE, Saudi Arabia, Qatar, Oman, Egypt) or should it expand into a new country (Algeria, Bahrain, Iran, Iraq, Jordan, Kuwait, Libya, Syria, Tunisia)? Would Morocco, among other countries, be the best country to expand into? Was it the right time to embark on such an expansion?

Teaching Note: 8B10M100 (15 pages)
Industry: Manufacturing
Issues: International Expansion; Market Entry; Growth Strategy; Exports
Difficulty: 4 - Undergraduate/MBA



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



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



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



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



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


Chapter 7:
Global Alliances and Strategy Implementation

CIBC MELLON: MANAGING A CROSS-BORDER JOINT VENTURE
Paul W. Beamish, Michael Sartor

Product Number: 9B10M091
Publication Date: 11/5/2010
Revision Date: 5/24/2012
Length: 15 pages

During his 10-year tenure, the president and CEO of CIBC Mellon had presided over the dramatic growth of the jointly owned, Toronto-based asset servicing business of CIBC and The Bank of New York Mellon Corporation (BNY Mellon). In mid-September 2008, the CEO was witnessing the onset of the worst financial crisis since the Great Depression. The impending collapse of several major firms threatened to impact all players in the financial services industry worldwide. Although joint ventures (JVs) were uncommon in the financial sector, the CEO believed that the CIBC Mellon JV was uniquely positioned to withstand the fallout associated with the financial crisis. Two pressing issues faced the JV’s executive management team. First, it needed to discuss how to best manage any risks confronting the JV as a consequence of the financial crisis. How could the policies and practices developed during the past decade be leveraged to sustain the JV through the broader financial crisis? Second, it needed to continue discussions regarding options for refining CIBC Mellon’s strategic focus, so that the JV could emerge from the financial meltdown on even stronger footing.

Teaching Note: 8B10M91 (13 pages)
Industry: Finance and Insurance
Issues: Financial Crisis; Joint Ventures; Leadership; Alliance Management; Managing Multiple Stakeholders; Canada; United States
Difficulty: 4 - Undergraduate/MBA



GIANT INC.: FORMATION OF THE A-TEAM
Paul W. Beamish, Chwo-Ming (Joseph) Yu

Product Number: 9B09M044
Publication Date: 5/25/2009
Length: 10 pages

This case describes the history and activities of the A-Team, a major alliance of bicycle assembly firms and parts suppliers in Taiwan, which was created in 2003. A strategic alliance with competitors posed challenges. For the A-Team, it was more complicated because the alliance was between both competing bicycle assembly firms and between parts suppliers. By 2006, progress had been made in making the alliance work but the senior executives were wondering what they could do to ensure future progress. The case can be used in a strategy module or course on alliances/joint ventures in a section examining the competition versus cooperation challenge.

Teaching Note: 8B09M44 (8 pages)
Industry: Manufacturing
Issues: Networks; Location Strategy; Learning; Competitive Strategy; Alliances; CNCCU/Ivey
Difficulty: 4 - Undergraduate/MBA



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



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


Chapter 8:
Organization Structure and Control Systems

DOW'S ACQUISITION PROGRAM
Koen H. Heimeriks, Stephen Gates

Product Number: 9B10M058
Publication Date: 9/30/2010
Revision Date: 6/26/2014
Length: 23 pages

This case illustrates how Dow Chemical acquired and integrated Wolff Walsrode, a German specialty chemicals firm that was part of the Bayer Group. This acquisition, combined with Dow's existing cellulosics unit, helped it create a new specialty business with a forecasted $1.1 billion in annual sales and strengthen its footprint in Central and Eastern Europe.

The main challenge in this case concerns the complexities of acquisition integration, which are demanding in spite of Dow's extensive experience and track record. Dow is confronted with various integration challenges and faces several decisions concerning the degree and speed of integration of Wolff Walsrode and one of its units, Probis. The decisions pit considerations of rapid cost synergy capture via leveraging global systems platforms against process technology transfer and accommodating different customers and their requirements. Along with providing a review of the importance of a multitude of codified implementation templates and tacit integration mechanisms, this case illustrates how Dow's M&A integration personnel prove their worth by ensuring Wolff's successful integration.


Teaching Note: 8B10M58 (20 pages)
Industry: Manufacturing
Issues: Mergers & Acquisitions; Integration; Cross-border Merger & Acquisition Integration; Target Acquisition Integration; United States; Germany
Difficulty: 4 - Undergraduate/MBA



DEVELOPMENT OF A MULTINATIONAL PERSONNEL SELECTION SYSTEM
Diana E. Krause, Reiner Piske

Product Number: 9B07C041
Publication Date: 1/4/2008
Length: 17 pages

The owner of a company with production plants in various regions in the world wants to standardize the methods of personnel selection for the Asian-Pacific region (APAC). A new system of personnel selection has to be developed for middle management positions in APAC. The owner delegates this task to a cross-functional, multinational project team that operates in Hong Kong headed by a human resources (HR) executive and expatriate from Germany. In terms of the new personnel selection system, he has two opposing goals in mind: the new personnel selection system should be highly specific for a particular country and simultaneously valid for different countries. A series of issues must be resolved in order for the project to be successful. Some of these issues are related to the personnel selection system; the job requirements to be assessed, the modules it must include, the stages and methods of each module, and the implementation of the system across countries in APAC. Other issues are interpersonal, such as the cultural differences and the heterogeneous perspectives that exist among the team members, and a conflict between the HR executive and the owner.

Teaching Note: 8B07C41 (9 pages)
Issues: Cross Cultural Management; Aptitude Diagnostics; International Personnel Selection; Teamwork
Difficulty: 4 - Undergraduate/MBA



MARIMEKKO
Alison Konrad, Jordan Mitchell

Product Number: 9B06C014
Publication Date: 1/30/2007
Revision Date: 9/16/2009
Length: 19 pages

Kirsti Paakkanen has achieved a celebrity status in Finland for her enigmatic leadership of the Finnish design company Marimekko. Purchasing the company in a state of near bankruptcy in 1991, Paakkanen took several actions to restore profitability and realize growth. As of 2006, the company has sales of $64 million (of which 80 per cent are from Finland) and net profits of $8.4 million. Over the last few years, Paakkanen and her team have focused on growing international sales. Recently, the company has opened concept shops in Japan, United Arab Emirates, Iceland, Sweden and the United States owned by foreign partners. In light of the international expansion, Paakkanen is wondering if any changes to Marimekko's personnel policies and/or organization structure are necessary.

Teaching Note: 8B06C14 (12 pages)
Industry: Manufacturing
Issues: Succession Planning; Women in Management; Organizational Structure; Internationalization
Difficulty: 4 - Undergraduate/MBA



INFORMATION TECHNOLOGY DIVISION AT THE HONG KONG JOCKEY CLUB
Anne Marie Francesco, Bee-Leng Chua

Product Number: 9B05C005
Publication Date: 3/22/2005
Revision Date: 9/28/2009
Length: 10 pages

The Hong Kong Jockey Club, a non-profit gaming organization and social club founded in 1884, was unusual, for through its payment of taxes and donations to the community, it had over the years funded a sizeable portion of Hong Kong government expenses and charitable work. The newly hired director of the information technology department is concerned about inefficient operation. The IT division had been an established part of the club for many years, and throughout time, had been organized and reorganized to meet the changing needs of the club. A task force is put together and an external consultant is brought in to review the division's organization. Upon completion of the review, the director of the division learns that the person heading the review plans to resign and must decide what to do.

Teaching Note: 8B05C05 (8 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Organizational Structure; Group Behaviour; Corporate Culture; Change Management
Difficulty: 4 - Undergraduate/MBA



SELKIRK GROUP IN ASIA (CONDENSED)
Paul W. Beamish, Lambros Karavis

Product Number: 9B02M041
Publication Date: 11/29/2002
Revision Date: 12/3/2009
Length: 10 pages

Selkirk Group is a family-owned brick manufacturer which has built an export business to Japan and other Asian markets from zero to 10% of its volume in seven years. The managing director of the company raises the question of whether it is time to change their regional export strategy and organizational structure in light of the Asian economic crisis and the reasons for their competitive success in both Australia and Asia.

Teaching Note: 8A99M03 (9 pages)
Industry: Manufacturing
Issues: International Business; Exports; Organizational Structure; International Marketing
Difficulty: 4 - Undergraduate/MBA


Chapter 9:
Staffing, Training, and Compensation for Global Operations

PRIVATIZATION OF THE TIGER LEAPING GUEST HOUSE IN NANJING, PRC
Stephen Grainger

Product Number: 9B10C029
Publication Date: 3/23/2011
Length: 6 pages

The Liang family, experienced family hoteliers in China, had to leave the mainland under the pressure of the forces of Chairman Mao and the Communist Party of China in 1949. They resettled in Taiwan, resumed their hospitality business and now, two generations later, have returned to Nanjing to find that their family’s old guest house has been allowed to run down and deteriorate as a Chinese state-owned enterprise (SoE). They repurchase the old guest house with the intention to redevelop it. How will they deal with this privatization and the inevitable bureaucracy of purchasing, demolishing, and rebuilding the old guest house? How will they convert the existing SoE human resources (trained under planned-economy conditions) into dynamic employees operating in the market economy, while being sensitive to the cultural characteristics and challenges of this mainland Chinese workplace? With more than 6,000 Chinese SoEs still being targeted for privatization, this case is very relevant and provides a real-world opportunity for students to exercise their research, analytical, international management, entrepreneurial, and cross-cultural management skills.

Teaching Note: 8B10C029 (10 pages)
Industry: Accommodation & Food Services
Issues: Cultural Customs; Privatization; Cross-cultural Management; Human Resource Management; Hotel China
Difficulty: 4 - Undergraduate/MBA



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



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



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 10:
Developing a Global Management Cadre

MAINTAINING THE “SINGLE SAMSUNG” SPIRIT: NEW CHALLENGES IN A CHANGING ENVIRONMENT
Shaista E. Khilji, Chang Hwan Oh, Nisha Manikoth

Product Number: 9B11C010
Publication Date: 8/2/2011
Length: 13 pages

This case examines how Samsung has grown to become one of the world’s leading companies. It presents a detailed description of Samsung’s “top priority to the people” philosophy and its strong cultural values, both of which have been instrumental in ensuring its continued success in recent decades. Since 1982, the Samsung Human Resource Development Center (SHRDC) has played a critical role in supporting Samsung’s corporate strategy of achieving global competitiveness through programs that focus on maintaining Samsung values and developing a cadre of effective next-generation leaders. New Employee Orientation (NEO), an intensive four-week in-house program for all Samsung employees, is one example of an SHRD program. NEO aligns employees across Samsung affiliates to its strategic direction, thereby fostering a stronger “Single Samsung” culture.

In recent years, however, NEO has been faced with new challenges. First, Samsung’s pool of new employees has become more diverse, with the recruitment of more experienced and foreign (non-Korean) employees in addition to the fresh college graduates whom Samsung has always relied upon. Second, Samsung has become aware of stark value differences between the older employees, who are obedient and easily follow rules, and the younger “digital native” employees, who are more individualistic and prefer egalitarian and open policies. Managers at SHRDC are concerned that the “Single Samsung” spirit, which forms the core of Samsung culture, is being threatened from within.

Students must address issues related to the need for maintaining a unified organizational culture among diverse groups of employees with conflicting values, and propose ways for Samsung to effectively employ and utilize all of its employees.


Teaching Note: 8B11C010 (15 pages)
Industry: Manufacturing
Issues: Corporate Culture; Generational Differences; Human Resource Development; Consumer Electronics; South Korea
Difficulty: 4 - Undergraduate/MBA



LUNDBECK KOREA: MANAGING AN INTERNATIONAL GROWTH ENGINE
Paul W. Beamish, Michael Roberts

Product Number: 9B10M012
Publication Date: 2/11/2010
Revision Date: 2/12/2010
Length: 16 pages

In 2005, the vice-president of Lundbeck, a Danish based pharmaceutical firm, needed to decide what to do with one of his most promising subsidiaries, Lundbeck Korea. Over its short lifetime, under the leadership of the country manager and the Asia regional manager, the subsidiary had grown well beyond the original goals set for it. The vice-president wanted to create a reporting structure and management mix that would balance the local demands that Lundbeck Korea required for growth with Lundbeck's overall strategy of specialization, speed, integration and results. The case also traces Lundbeck's internationalization efforts in Asia over the past 20 years. The company had grown from pure licensing arrangements to establishing its own country level subsidiaries. This case introduces the dynamic tensions between taking advantage of local management expertise and executing a corporate strategy developed for an entire global group. In addition, it illustrates the importance, but difficulties, of being sensitive to local management goals, while promoting a global corporate culture.

Teaching Note: 8B10M12 (19 pages)
Industry: Manufacturing
Issues: MNE Reporting Structures; International Strategy; Emerging Markets
Difficulty: 4 - Undergraduate/MBA



OMEGA AIR CHARTERS: TROUBLE IN AZERBAIJAN
Gerard Seijts, Simon Taggar, Ken Mark

Product Number: 9B02C064
Publication Date: 2/6/2003
Revision Date: 11/9/2009
Length: 7 pages

Omega Air Charters is an air transportation company that provides service to the global mining industry. The company has negotiated a contract with a group of European mining companies that requires Omega Air to provide air service in Azerbaijan - once part of the former Soviet Union. Based on the agreement made with the country, the company must staff the operation with Azerbaijan pilots and engineers who resent a western corporation operating western aircraft in their country. The executive vice-president must resolve this issue and gain the trust of the pilots and engineers if this project is to succeed.

Teaching Note: 8B02C64 (3 pages)
Industry: Transportation and Warehousing
Issues: Career Development; Cross Cultural Management; Women in Management; Management Behaviour
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 11:
Motivating and Leading

CONFLICT OVER LEADERSHIP AND SUCCESSION IN A SUCCESSFUL FAMILY BUSINESS: THE LAKKARD LEATHER COMPANY
Simon Parker, Matthias A. Tietz

Product Number: 9B11M043
Publication Date: 6/21/2011
Revision Date: 11/1/2011
Length: 6 pages

The founder of the Lakkard Leather Company was proud of his business, and attributed much of its success to his own leadership style, which did not allow for anyone else’s participation in important decisions. When he was badly injured in a car accident, his son stepped in and kept the business going. Without any intention to take over, the son altered the leadership and operations of the company in the space of a few months, so that by the time the founder returned, the company had changed and his role was significantly reduced. The son, in the meantime, grew to like his interim position and believed he did a better job than his father. Both men became locked in a power struggle; yet the company faced several key decisions that had to be taken in terms of expansion, product offering, and sale opportunities.

Teaching Note: 8B11M043 (6 pages)
Industry: Manufacturing
Issues: Family Succession; Leadership Conflict; Leather; Family Business; Germany
Difficulty: 4 - Undergraduate/MBA



A BOMB IN YOUR POCKET? CRISIS LEADERSHIP AT NOKIA INDIA (A)
Charles Dhanaraj, Monidipa Mukherjee, Hima Bindu

Product Number: 9B10M064
Publication Date: 2/16/2011
Length: 11 pages

This case addresses the theme of crisis leadership in a multinational enterprise in order to help students internalize the critical challenges of a multinational company in an emerging market. In August 2007, a routine product feedback and defect analysis process identified a defective batch of batteries supplied by a Japanese vendor. India happened to be the recipient of the largest proportion of the defective batch. Nokia’s corporate communications team, based in Finland, in cooperation with the Indian team, responded with a customary global product advisory. Instructions were made available on the Internet for customers to diagnose a defective battery and get a free replacement. Nokia was shocked to see the antagonistic response from the Indian press to the product advisory and the ensuing mayhem that spread quickly through the country. The head of Nokia India and his team had to act swiftly to preserve the company’s hard-earned reputation and market share. Case (A) is set as a midnight strategy session at Nokia’s Indian headquarters to chart out the way forward. A Bomb in Your Pocket? Crisis Leadership at Nokia India (B) is a short version of what actually happened: how Nokia and the team responded to the crisis and and used the situation to create new organizational capabilities.

Teaching Note: 8B10M64 (15 pages)
Industry: Information, Media & Telecommunications
Issues: Multinational; Global Strategy; Crisis Leadership; Communications; Telecommunications; Finland; India; Ivey/ISB
Difficulty: 5 - MBA/Postgraduate



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



ING INSURANCE ASIA/PACIFIC
Rod E. White, Paul W. Beamish, Andreas Schotter

Product Number: 9B06M083
Publication Date: 1/9/2007
Length: 15 pages

The new chief executive officer (CEO) of ING Insurance Asia/Pacific wants to improve the regional operation of the company. ING Group was a global financial services company of Dutch origin with more than 150 years of experience. As part of ING International, ING Insurance Asia/Pacific was responsible for life insurance and asset/wealth management activities throughout the region. The company was doing well, but the new CEO believed that there were still important strategic and operational improvements possible. This case can be used to discuss the local versus regional or global management issue and will yield best results if the class has already been introduced to different strategic and organizational alternatives in the international business context.

Teaching Note: 8B06M83 (12 pages)
Industry: Finance and Insurance
Issues: Subsidiaries; Organization; Leadership; International Management
Difficulty: 4 - Undergraduate/MBA



JACQUES KEMP: TOWARDS PERFORMANCE EXCELLENCE
Rod E. White, Andreas Schotter

Product Number: 9B06M084
Publication Date: 1/9/2007
Revision Date: 9/21/2009
Length: 19 pages

Over the past two years, ING Insurance Asia/Pacific had successfully implemented a new organizational and operational framework called Towards Performance Excellence (TPE), which was developed with inputs from functional heads, senior management and staff at the business unit level. TPE detailed and organized everything ING Asia/Pacific needed to execute its strategy effectively. TPE divided ING's business processes into six core categories: portfolio, marketing, organizational, operational, reputation and financial. Each category included aspects of execution known as drivers, which required managers to identify specific objectives and key performance indicators (KPIs) for each driver or sub-driver. The case includes many original exhibits and is ideally taught as the follow up case of the ING Insurance Asia/Pacific, Ivey product #9B06M083 or as a standalone case, which illustrates a real example of regional versus local organizational management.

Teaching Note: 8B06M83 (12 pages)
Industry: Finance and Insurance
Issues: Organizational Design; Organizational Structure; International Management
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