案例分析范文

案例分析范文

Case 1

Case description:

Although IKEA has recently initiated an American style performance review procedure, which requires documenting employees’ individual performance strengths and weaknesses, Swedish managers feel uncomfortable with the formality of the system and the need to provide negative feedback. Since they hold the more senior positions, their ambivalence has resulted in little real discrimination in pay increases which are directly linked to the reviews. Although turnover at IKEA is lower than the industry average, and coworkers generally appreciate IKEA’s caring environment, there is some latent discontent with the way pay increases are distributed, even among long-term employees who feel that their

which will encourage the industry “leader”to enter the country and invest. The risks can be high but, if successful, so are the rewards.

Burns Philip’s first venture into China, after learning some very hard lessons, was so successful that after three years, it invested more money and doubled the size of a fermentation plant. Burns Philip’s plants are located in Guangdong, Shanghai, Harbin, and in the west. “This gives us coverage in the areas where you find opportunities, particularly a developing middle class with disposable incomes,”says Mr Aroney. In each of its joint ventures burns Philip has encountered different conditions, due to differences in language and culture. The percentage of equity that Burns Philip holds in joint ventures varied according to :

1. the requirement of the Chinese

government at the time when the joint venture was founded;

2. the expected life of the joint venture that

is sought to be established;

3. the capability of the joint venture partner

to contribute resources.

Mr Aroney says，“All the above can be subject to lengthy negotiations prior to any agreement being reached. The meetings can last for 12 hours at a time, and continue for several days. And each time you go back to the table, the goals seem to have been shifted. It is only with perseverance and a sincere desire to form a joint venture that you achieve your goal.”He adds, “There is the necessary Chinese delegation to Australia with factory visits to examine the technology hat will be used in China, so that a feasibility study can be prepared. Unfortunately, the people that form the

delegation are not seen again when negotiations are resumed in China.”

Mr Aroney has some concerns about intermediaries in China. He says, “In a country as large as China, the greatest problem facing a manufacturer is not “can you make the product?”but rather “Can you get your product distributed to the marketplace?”The giving of service to customers is practically unknown in China. If you sell through an agent, the agent will wait for a customer to come in and buy; do not expect your agent to go out to sell more of the product since the agent receives the same monthly salary whether the product is sold or not.”

According to Mr Arthur Aroney, Burns Philip’s success in China has also been due to the careful selection of work under difficult conditions, surrounded by people who do not speak their language, and with a culture which requires understanding.