Eurochem Case

Topics: China, Shanghai, People's Republic of China Pages: 3 (798 words) Published: December 4, 2014
PART 1 –Environment/Context-

Description of the situation.

Paul Paus works in Antwerp (Belgium), the head office of Eurochem. Paul is expatriated to Shanghai to work as director of marketing. He thinks he has to implement the same strategy and way of working used in Antwerp .His partners in Shanghai disagree. His team-building is not effective and developing cultural awareness has not success because he ignores the local practices.

List of main actors and problems encountered

Paul Paus, an intelligent young and committed to the company. He is expatriated to Shanghai after have worked in Antwerp for 4 years. Mr. Olsen, the general manager in China subsidiary, he has intercultural experience. Mr. Li, deputy manager in China subsidiary, he worked on the marketing side before taking charge of the administration of the office. Mr. Wu, he works in the marketing department and he is the main support of Olsen. Mr. Vandenberg, director of marketing of head office in Belgium. He took the decision to expatriate Paul.

Strategic issues, Initial project…

China subsidiary has lower growth than its competitors, then Paus is expatriated to implement the system of the company in China.

PART 2 –Analysis-

From the beginning Paus had underappreciated to Wu and Li, and he had not considered that they knew the Chinese market and maybe they could have helped him in making decisions.

Li is an old-timer and he doesn't trust in the change that Paus proposes, leading them to be continually disagreeing.

Wu accepts the changes that Paus propose but he is not sure about them. Paus is located at the branch in China as a leader; he has an authoritative leadership style.

The Chinese branch needs a leader whom work with the subordinates, cause they know better the Chinese market, and this will be positive to applicate the marketing and management from occident in the adequate way.

In order to the expatriation of Paus, is not carried out any training and they...
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