Case Study (Compulsory) When Callifornia based Dalton & Dalton(D&D) was contracted by a large conglomerate in Taiwan, the president of D& D was quiet surprised. For 2 years, D&D had been looking for a oversees conglomerate that would be interested I building & selling its high-tech medical equipment under the licensingAgreement. A) The Taiwanese conglomerate has proposed to D & D that the two companies enter into a jointventure type of licensingagreement. The way in which the business deal will work if the following: The Taiwanese will setup manufacturingfacilities and create a marketing group to sale D&D high-tech medical equipment. B) D & D will train 25 manufacturing and 25 sales people from the conglomerate so that the later understands how to make and sell this equipment. This training will take place in the states. C) D&D will have the right to send people to the manufacturing facility to ensure that the equipment is built according to the specifications and will also have the right to travel with the sales people to ensure that equipment is being sold properly. The arrangement sounds fine to the President of D&D. However, before she agrees to anything, she wants to get more information on how to do business with Taiwanese. “If we are going to enter into a business venture with the foreign company, I think, we owe it to ourselves to know something about their culture and customs. I would like to know how to interact effectively with these people and to get an idea about the types of problems we might have in communication with them”. Q1. If we were advising the president, what type of information would you suggest to be gathered? Q2. What type of culture related problems are there that could result in misunderstanding between the two parties? Q3. Suggest an outline of the training programme to be conducted in this context.

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

ChapterC: Cases

Section: Chapter Questions

Problem 1.10A

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Case Study (Compulsory)

When Callifornia based Dalton & Dalton(D&D) was contracted by a large conglomerate in Taiwan, the president of D& D was quiet surprised. For 2 years, D&D had been looking for a oversees conglomerate that would be interested I building & selling its high-tech medical equipment under the licensingAgreement.

A) The Taiwanese conglomerate has proposed to D & D that the two companies enter into a jointventure type of licensingagreement. The way in which the business deal will work if the following:

The Taiwanese will setup manufacturingfacilities and create a marketing group to sale D&D high-tech medical equipment.

B) D & D will train 25 manufacturing and 25 sales people from the conglomerate so that the later understands how to make and sell this equipment. This training will take place in the states.
C) D&D will have the right to send people to the manufacturing facility to ensure that the equipment is built according to the specifications and will also have the right to travel with the sales people to ensure that equipment is being sold properly.

The arrangement sounds fine to the President of D&D. However, before she agrees to anything, she wants to get more information on how to do business with Taiwanese.

“If we are going to enter into a business venture with the foreign company, I think, we owe it to ourselves to know something about their culture and customs. I would like to know how to interact effectively with these people and to get an idea about the types of problems we might have in communication with them”.

Q1. If we were advising the president, what type of information would you suggest to be gathered?

Q2. What type of culture related problems are there that could result in misunderstanding between the two parties?

Q3. Suggest an outline of the training programme to be conducted in this context.

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