Case 10: Leading across cultures (see case study literature)

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Prof. Dr. Josef Windsperger
Fallstudien (siehe Fallstudien-Literatur)
Case Study 1: ICT Cluster in Finland
Literature: L. Paija (2001), ICT Cluster – The Engine of Knowledge-Driven Growth in
Finland, Working Paper, No. 733, The Research Institute of the Finnish Economy.
Questions:
1. Describe the process of evolution of the ICT-Cluster in Finland!
2. Apply the diamond model of Porter to explain the ICT-cluster!
3. Discuss the firm- and location-specific advantages in the ICT-cluster! What is the
relationship between firm- and location-specific advantages?
Case Study 2: Networks or Hierarchies of the MNC
Literature: Laubacher, R. J., T. W. Malone (1999), Two Scenarios for 21st Century
Organizations: Shifting Networks of Small Firms or All-Encompassing „Virtual
Countries“? Working Paper, 21C WP #001, MIT.
Questions:
Discuss the following thesis:
1. The organization of the ‘MNC of the future’ will a network of small firms.
2. The organization of the ‘MNC of the future’ will be a ‚Virtual Country’.
Case Study 3: ‚TightFit’: Outsourcing vs. Hierarchies
Literature: Argyres, N. (1996), Evidence on the Role of Firm Capabilities in Vertical
Integration Decisions, Strategic Management Journal, 17, 129 – 150.
Questions:
1. What are the main reasons for outsourcing and insourcing?
2. Explain the tendency toward outsourcing by using the resource-based and
transaction cost theory!
3. Discuss the relationship between transaction costs, firm-specific recourses
and strategic rents in this case!
Case Study 4: Strategic Alliances: ‚Global ONE’
Literature: Inkpen,A. C. (1998), Global ONE, Case Study,Thunderbird International
Businnes Review, 41, 337 – 353.
Questions:
1. Discuss the economic reasons for the creation of ‚Global One’!
2. Try to explain the allocation of ownership rights between the partners by using
the property rights theory!
3. Discuss the main reasons for the cooperation problems!
Case 5: Joint Venture and Culture: NUMMI
Literature: W. W. Wilms, A. J. Hardcastle, Deone M. Zell (1994), Cultural
Transformation at NUMMI, Sloan Management Review, Fall, 1994, 99 – 113.
P.S. Adler, R. E. Cole (1993), Designed for Learning: A Tale of Two Auto Plants,
Sloan Management Review, Spring, 34, 85 – 94.
Questions:
1. Discuss the main economic advantages for the joint venture partners!
2. Discuss the influence of culture on the organization of NUMMI! (National
culture vs. cultural differences)
3. What are the risks for the JV-partners?
Case 6: Merger: DaimlerChrysler
Literature: H. Deresky (2005), International Management, Case 12, 330 - 342.
M. Blasko, J. M. Netter, J. F. Sinkey (2000), Value Creation and challenges of an
international transaction: the DaimlerChrysler merger, International Review of
Financial Analysis, 9, 77 – 102.
Questions:
1. Explain the M&A by using the resource-based view of the firm!
2. What are the main differences between the organizational culture of
Daimler&Chrysler. Discuss the main integration problems for
DaimlerChrysler!
3. Discuss some ideas to solve these problems!
4. Why Daimler and Chrystler did not enter into a strategic alliance?
Case 7: Franchising in Slovenia (see case study literature)
Questions:
1. What are the advantages for McDonald’s to open up a franchisee-owned outlet
compared to a company-owned outlet in Slovenia?
2. Explain the strategic orientation of McDonald’s:
‚Think globally, work locally‘.
3. Many franchisees have more than one outlet (multi-unit franchising).
Discuss the advantages of multi-unit franchising for both the franchisor and the
franchisees!
4. Which factors influence the royalty rate (‚operational and marketing fee‘)?
5. Discuss the reasons why a franchise system does possess (a) 10 % companyowned outlet or (b) 80 % company-owned outlet?
Case 8: Sematech
Spencer,W. J.,P. Grindley (1993), Sematech After Five Years, California
Management Review, 35, 9 – 32.
Questions:
1. Explain the economic reasons for the creation of Sematech!
2. Discuss the transaction costs and resource-based view of consortia!
3. Why do competitors participate in consortia?
Case 9: Starbucks (see case study literature)
Questions:
1. Discuss the brand name assets (system-specific know how) of Starbucks and the
local market assets of the franchisees of Starbucks!
2. Franchising vs. Company-owned outlets of Starbucks in US: Why does Starbucks
uses primarily company-owned outlets in US?
3. Explain the internationalization strategy of Starbucks in China and Europe?
4. Is for Starbucks are market potential in the Ukrainian market ?
Case 10: Leading across cultures (see case study literature)
Questions:
1. Discuss the differences between the country cultures in Germany, Great Britain
and Japan!
2. What is the impact of these cultural characteristics on the organization culture?
3. Analyse the impact of the cultural differences on the competitive advantage of the
nations!
4. What are the advantages and disadvantages of the seniority system in Japan?
Case 11: Global strategy - Vodafone
Questions:
1. Characterize Vodafone’s strategy according to the model of Bartlett/Ghoshal!
2. Discuss the reasons why Vodafone uses alliances and acquisitions to improve its
international competitiveness!
3. What are the major players in the wireless industry in the Ukrainian market?
4. Is the presence of Vodafone in the Ukrainian market relevant for Vodafone’s
success in CEE and SEE?
Case 12: Matrix
Questions:
1. What are the major characteristics of the matrix organization?
2. Explain the evolution from functional to matrix organization!
3. What is the major role of task forces and teams as horizontal coordination
mechanisms?
4. Discuss the major disadvantages of the matrix organization!
5. Under which conditions a change from divisional organization (as product
structure) to matrix organization with a dual structure (products and regions) is
beneficial?
Case 13: Electrolux
Questions:
1. What is the impact of IT on the degree of centralization/decentralization of
decision making and control in the MNC?
2. Discuss the tension between integration and responsiveness for Electrolux in
Europe!
3. What is the role of IT in enabling a company to become transnational?
Case 14: Singapore International Airlines
Questions:
1. Discuss the advantages for an airline to be a member in an alliance network
(for instance Star alliance)!
2. What are the core competencies of SIA?
3. Which human resource policy can positively influence SIA’s competitive
advantage in future?
4. How can SIA realize a sustainable competitive advantage under the impact of
the low-cost carriers in the global market?
Case 15: 3M – Shifting Power Across Network.
Questions:
1. Which organisational measures were necessary to improve the
horizontal coordination in the 1980s? Discuss the role of EMATS.
2. Which situational changes triggered these organisational adjustments?
3. Which decision and control rights are in the hands of ‚Product
Coordinators’?
4. Discuss the relationship between strategy and structure in the case of
change from CSO-structure to EBC-structure.
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