Question: When the Border Mining Equipment Company decided to set up a branch office in Peru, thought management felt that there were two basic avenues the
When the Border Mining Equipment Company decided to set up a branch office in Peru, thought management felt that there were two basic avenues the company could travel. One was to export its machinery and have an agent in the country be responsible for the selling. The other was to set up onsite operations and be directly responsible for the sales effort. After giving the matter a great deal of thought, management decided to assign one of their own people to this overseas market. The person who was chosen, Frank Knight, had expressed an interest in the assignment but had no experience in South America. He was selected because of his selling skill and was given a week to clear out his desk and be on location. When Frank arrived, he was met at the airport by Pablo Gutierrez, the local who was hired to run the office and bring Frank in Pablo had rented an apartment and car for Frank and taken care of all the chores associated with getting him settled. Frank was very impressed. Thanks to Pablo, he could devote all his efforts to the business challenges that lay ahead. After about six months, the vice president for marketing received a call from Frank. In a tired voice, Frank indicated that even though sales were okay, he couldn't take it anymore. He wanted to come home. If nothing could be worked out within the next three months, Frank made it clear that he would resign. When his boss praised him regarding the problem, he was having a hard time recovering. Doing business over here is a nightmare. Everyone comes to work late and leaves early. They also take twohour rest periods during the afternoon break. So even if I wanted to conduct some business during this period, there would be no customers around anyway. Also, no one works very hard and they seem to assume no responsibility whatsoever. There seems to be no support for the work ethic among the people. Even Pablo, who looked like he was going to turn out great, has proved to be as lazy as the rest of them. Sales are over forecasted, but the good lower that they could be if everyone here would just work a little harder. If I stay here any longer, I am afraid I will start becoming like these people. I want out while I still can. In Frank's view, how important is the work ethic? How is the view causing him problems?
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
