A Response on Culture Clash In The Boardroom Case Study


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Culture Clash in the Boardroom




The case deals with the very heart of the problem that many companies face now, of keeping ethics over profit. And this dilemma arises due to the confusion over whose ethics to be followed in a certain country? The ethical codes of the parent company which belongs to some other country or the country of operations (where the subsidiary belongs to)? European standards on safety and environmental practices are much more stringent than China, and thus a company is spending much more to meet those standards which are not required in China. Thus it is getting increasingly difficult to compete fairly in the red ocean, even giving a 1% commission is taking a toll on the accounts. Even though the employees are thinking to tweak the rules a bit to align it with the Chinese environment, the Almond China President Liu Peijin thinks otherwise. So how can this dilemma be addressed? What I could feel from the case is that no matter how much adamant and straight forward you are in your resolve make sure that no sorts of unethical practices are followed in your company you are generally heavily bogged down by both the clients who expect such things and will otherwise go to your competitors who are more than happy to offer such and also your employees because they can definitely see the short term losses that the company is facing because of refusal to give any sort of commission or kickback to the client. At such a time it is completely on the leader of the business on what will he prioritize first. Though it is true that in the short term it does look like a self-inflicting a losing battle, there have been many companies which have been able to outstrip their opponents but remain ethical.


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