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Ellen Moore: Living &

Working In Korea
Group 4
Sumita C002
Vasudha Chaudhary C010
Akshay Kumar Jain
Pratik Jain

C022

C024

Maya Krishnamurty C032


Richa Narayan

C040

Harjeet Karan Singh C054


Sanjeet Walia

C065

CASE SUMMARY
Andrew Kilpatrick is being held accountable for a
currently ineffective system implementation team for
Joint Venture Inc. in South Korea.
The team, co-managed by Ellen Moore, an American,
and Jack Kim, a Korean, is suffering from the following:

Lack of communication
Unclear leadership (related to poor work team structure)
Problems with group development
Low group emotional intelligence
Disagreement over the decision-making process

There is currently great disagreement between Andrew


and the Korean management of JVI regarding the
cause of these problems, and much of the
disagreement centers around Ellen.
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P.E.S.T FOR KOREA

Strengths
Centralization of
Power
Will for Economic
Reforms
Strong Foreign
Relations

Weaknesses
Military Influence
Political Violence

Strengths
Export Sector
Economic Reforms

Weaknesses
Declining FDIs
Low Competition

Political
Opportunities
Threats

Economi
c
Opportunities
Threats

Relations with EU
Peace with North
Korea

Competitive Tax
Policy
FTAs

Threat from North


Korea

Nuclear Crisis
Hatred for Foreign
Companies

P.E.S.T FOR KOREA

Strengths
High Wages
Skilled Labour
Urbanization

Weaknesses

Strengths

Ageing Population
Low Social
Welfare Planning

Telecom Sector
Large Domestic
Players

Social
Opportunities
Threats
Low
Unemployment
Rate
Rising Human
Rights Awareness

Wage Disparity
Powerful Labour
Unions

Weaknesses
Scarce Natural
Resources
Rising R&D costs

Technologic
al
Opportunities
Threats
Commercialization
of new ideas
Growing R&D
centres

Strict Regulations
Foreign Companies
Pulling Out

DEFINITI
ON

WHAT IS CULTURE & ITS COMPONENTS?

the sum total of learned beliefs, values and customs that serve to direct
consumer behaviour in particular country market
INFLUENCER
S

RELIGION

LANGUAGE
COMPONENT
S

3000 LANGUAGES
IN WORLD
PEOPLE FROM
SAME COUNTRY
SPEAK VARIOUS
LANGUAGES
E.G.
200 DIFFERENT
DIALECTS EXIST
IN INDIA

CUSTOMS
AND
TABOOS

FAMILY

COLORS

DIFFERENT
COLORS SIGNIFY
DIFFERENT
MEANING IN
DIFFERENT
CULTURES
E.G.
GREEN IS
WORN BY
RELIGIOUS
LEADERS IN
EGYPT
WHITE AND
BLACK COLOR
FOR MOURNING
IN JAPAN

AESTHETICS

EDUCATI
ON

BELIEFS

RELIGIOUS
BELIEVES AFFECT
SHOPPING AND
PURCHASING
PATTERNS
MAX. SALES
HAPPENS IN
CHRISTMAS IN
CHRISTIAN
MAJORITY
COUNTRIES
WOMEN HAVE
LESS DECISION
MAKING POWER
IN RURAL INDIA

TIME

SOCIAL
SYSTEM

VALUES
VALUES ARISE
FROM MORAL AND
BELIEVES
AMERICANS
VALUE MATERIAL
WELL BEING
MORE THAN
INDIANS
HINDU RELIGION
FORBIDS
CONSUMPTION OF
BEEF

BUSINESS
5
NORMS

KOREAN CULTURE

PROF. GEER HOFSTEDES CULTURE


COMPARISON

KOREAN CULTURE
ANALYSIS
Dimension

Culture is more often a source of conflict


than of synergy. Cultural differences are a
nuisance at best and often a disaster.
Geert Hofstede

Scor
e

Implication

Power distance

60

High level of inequality

Individualism

18

Collective society group oriented

Masculinity

39

Females preferred for relationship, modesty and caring

Uncertainty avoidance

85

Likes to control everything to avoid ambiguity

Long term orientation

100

Legitimacy of hierarchy

Indulgence

29

Suppresses gratification of needs and regulates it by means


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of strict social norms.

KOREAN BUSINESS NUANCES


GIFTS
To be given at the first business meeting
Malt whisky and brandy are appreciated gifts

MEETINGS
Punctuality
Maintain good body posture

The quality
of the
relationship
s developed
are the real
key to the
success

BUSINESS COMMUNICATION
Saying No is a poor etiquette, expected to say we will try
Maintain patience and politeness

EXCHANGING BUSINESS CARD


Present your business card with both hands
Comment on the title or the position

GREETING
Wait to be introduced as third party
Shake hands with foreign colleagues after a bow and support the right forearm with the left
hand

RESEARCH INSIGHTS
Respondents women
N = 573
57.5% experienced
gender discrimination
>80% discriminated
against promotion

INTERACTIONS
Prior appointment necessary to meet
Look smart all the time
Saving face is very important

50% impossible to get


promoted

BLUNDERS

BING
BING IN MANDARIN SOUNDED LIKE ICE, SOLDIER, DISEASE OR
PANCAKE
BING BECAME BIYING WHICH MEANS SEEK AND YE SHALL
FIND

PARKER
IT WONT LEAK IN YOUR POCKETS & EMBARRASS YOU
IN MEXICO, IT WAS READ AS IT WONT LEAK IN YOUR POCKET
& MAKE YOU PREGNANT

MOUNTAIN BELL
IT PROMOTED TELEPHONE SERVICES IN SAUDI ARABIA BY
SHOWING EXECUTIVE WITH HIS FEET ON THE DESK
THIS ACT IS VERY OFFENSIVE AND AN ARAB WILL NEVER DO IT
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ORGANISATION
CHART
KOREA

USA

CLIENTS
MANAGEMENT
TEAM

CONSULTIN
G
TEAM

CLIENTS
MANAGEMEN
T TEAM

CONSULTING
TEAM
SUBORDIN
ATE

SUBORDIN
ATE
SUBORDIN
ATE

SUBORDIN
ATE
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ELLEN MOORE

Young North American female


Married, no children
MBA degree, graduated as the top female from
high school
Previously, she was the corporate accounts
officer and managed over twenty large accounts.
She achieved a Fellowship in the Institute of
Bankers after completing demanding courses and
exams.
Looking for challenges, competence, and career
opportunities
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What are the problems? Why do they exist?

Culture

Ellens views ignored by Jack and subordinates


Culturally, women are treated inferior at workplaces
Initial disagreement about Andrew rejecting the offer

Business
Structure

Hierarchical structure impacts relationship between


consultants and client of both Americans and Koreans
Consensus difficult due to differing approaches in achieving
final goals

Management

Authority not clearly defined with overlapping roles- Jack


and Ellen unsure of their roles
Delay in implementation of plans by confused subordinates

Communicati
on
Human
Resource

Korean consultants do not ask questions while working or


express their true thoughts
Saying no regarded as poor etiquette and is avoided
Difficult for Ellen to understand Korean consultants true
intentions
Jacks inexperience in SI and consulting
consulting teams lack the training program preparing for
expatriates or employees at the MNC
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Ethnocentric Senior Management

Alternatives
Alternative 1: Retain Ellen and take Jack out
of Project
Pros
1. Conflict will be resolved
2. No out of scope work
3. Project will be delivered
on time

Cons
1. Ellen lacked experience in
dealing with Korean clients and
team members
2. Problem with Jack
3. After SCG contract ends in 7
months no knowledgeable and
experienced person will be left in
the team. May lead to project
failure in later stages

13

Alternatives
Alternative 2: Retain Ellen and resolve conflict between
Jack and Ellen
1.
2.
3.
4.
5.

Pros
Conflict will be resolved
No Out of scope work
Project will be completed
within deadline
Expertise of Ellen and Jack
will be retained
Adequate transfer of
knowledge and training
for inexperienced Korean
consultants

Cons
Future Possibility of conflict as
clashes may surface again

14

Alternatives
Alternative 3: Replace Ellen
Pros
1. Resolve the conflict with
Jack
2. Appease the Korean
hierarchy
3. Give the team a unified
leadership under Jack or
provide a strong comanager.

Cons
1. No experienced SI will be left on
the team
2. Jack will accept out of scope
work, further delaying the project
deliverables and JVI might end up
losing the new strategic client
3. No transfer of knowledge to
Korean clients

15

Recommendation

Criteria 1

Criteria 2

Criteria 3

Retain Ellen
and fire Jack

Retain Ellen
& resolve
conflict

Send Ellen
back

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EMBRACING DIVERSITY
FEW TECHNIQUES

17

THANK YOU

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