When the Budder Mining Equipment company decided made it clear that he would resign. When his boss to set up a branch office in Peru, top management felt pressed him regarding the problems he was having, here that there were two basic avenues the company could is what Frank reported: travel . One was to export its machinery and have an Doing business over here is a nightmare. Everyone agent in that country be responsible for the selling. The comes to work late and leaves early. They also take a other was to set up an on-site operation and be directly two-hour rest period during the afternoon. All the responsible for the sales effort. After giving the matter a offices close down during this afternoon break. So great deal of thought, management decided to assign even if I wanted to conduct some business during this one of their own people to this overseas market. The per- period, there would be no customers around anyway. son who was chosen, Frank Knight, had expressed an Also, no one works very hard, and they seem to interest in the assignment, but had no experience in assume no responsibility whatsoever. There seems to South America. He was selected because of his selling be no support for the work ethic among the people. skills and was given a week to clear out his desk and be Even Pablo, who looked like he was going to turn out on location. great, has proved to be as lazy as the rest of them. When Frank arrived, he was met at the airport by Sales are 5 percent over forecasted but a good 30 per- cent lower than they could be if everyone here would Pablo Gutierrez, the local who was hired to run the just work a little harder. If I stay here any longer, I'm office and break Frank in. Pablo had rented an apart- afraid I'll start becoming like these people. I want out, ment and car for Frank and taken care of all the chores while I still can. associated with getting him settled. Frank was very impressed. Thanks to Pablo, he could devote all his 1. In Frank's view, how important is the work ethic? efforts to the business challenges that lay ahead. How is this view causing him problems? After about six months, the vice president for mar. 2. Why do the people not work as hard as Frank does? keting received a call from Frank. In a tired voice Frank What is the problem? indicated that even though sales were okay, he couldn't 3. What mistake is Frank making that is undoubtedly take it anymore. He wanted to come home. If nothing causing him problems in managing the branch office? could be worked out within the next three months, Frank