Global Multi Products Chile Case Study Notes
Global Multi Products Chile Case Study Notes
Hult International Business School
Popular in Global Management
Popular in International Business
This 3 page Class Notes was uploaded by Mischa Rapt on Monday September 28, 2015. The Class Notes belongs to at Hult International Business School taught by David Flood in Spring 2015. Since its upload, it has received 21 views. For similar materials see Global Management in International Business at Hult International Business School.
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Date Created: 09/28/15
Global MultiProducts Chile Growth Drivers Technology Innovation the Supply Chain Customer Focus Company s vision is to be the most innovative enterprise and preferred supplier Value Proposition Combining company s core technologies in ways that solved their customers problems and helping them grow their businesses CharactersStakeholders Bob Thompson Local Managers Sales Rep Retailers Changes in business landscape for Multi Products in Chile new competition new ways of operating more sophisticated clientele distribution process Organization changes need to cowork across organizations teamwork reward system sales rep roles and skills new positions like Integrated Solutions Manager and Key account leaders Barriers Product groups distributor based selling con ict of interest in management cultural differences lack of trust Goal to see organization as a whole with integrated solutions and increased profitsales Decision Case Should Bob Thompson continue his efforts in changing the company structure or should he rely on their previous successes based on company s traditional sales making methods 1 What are the specific problems amp issues facing the company Bob Thompson former executive of MultiProducts Canada used to Canadian business culture Con ict of interest employees vs management resistance to change opp way of thinking to Chileans positive risk taking and empowerment Chilean culture isolated distrustful in working in teams vs Canadian culture of shared authority when it comes to management Why would I use my time opening doors for another sales rep when I can use that time to visit my own customers need incentivesnot working as a singlewhole organization so integrated solutions helped them work as a team Problem lack of trust not used to new way of working diff culture latins don t like uncertainty customers asking for direct service at lower prices harder to negotiate due to access to pricing info on intemet retailers demanded commitment to advertising support before products were placed on their shelves pays 5 mill for photo on catalogue followed by telemarketing campaign which was a new concept for Chile managing relationshio with distributors are becoming difficult as sales rep began selling directly to end users previously serviced by distributor changing competitive and business landscape need new skills measurement based on ability to sell certain products and lack of incentive to sell products from other areas of company little or no coordination eXisted between groups Sales Contest too costly according to Thompson 2 How do you evaluate the approach the rm has taken so far The firms have been taking a traditional successful approach but needs to be aware of the changing landscape of clientele and competition in order to sustain their success 3 What actions should the rm take going forward Should adapt to sophisticated clientele need to undergo further training to learn how to teach the product in accordance to their vision of providing customer solutions Provide workshops and training to help them better understand and gain team building skills and trust with each other provide incentives for selling other products from other areas of company reward system 4 What are the key supply chains links in this case How might the supplyvalue chain be used as an analytical framework for understanding the organizational and managerial challenges facing the company sales rep traditional way of selling was building relationshipsnow more is neededneed to know products and also teach customers how to use it sell not only products but solutions as well need to be more professional due to more sophisticated clientele They now have to make frequent trips to number of stores a day need a more efficient way Integrated Solutions accessible for customers Key accounts now included possible partnership and had criterias opposed to Chilean short term thinking dealing with few very large accounts Integrated Solutions involving many more accounts more concentrated younger ppl more adapted to change hire more younger and skilled salesforce 5 How have STEEPLE factors impacted the company Social more isolated community development not a priority don t have tradition in taking responsibility for wider group Technology One of the most innovative companies in each of the three triad regions products derived from 40 technology platforms where MultiProducts believed it possessed a competitive advantage customers asking for direct service at lower prices harder to negotiate due to access to pricing info on internet Economic 85 live in urban areas period of economic stability after 1990 when they became a democratic country Environment great mineral wealth mainly copper rich in agricultural resources Political high in ationcost of living was high in 1973 under economic and social reforms economy improved after Pinochetreturn to privatization Egg free trade is helping stabilize country Ethical serious and hardworking professional polite and indirect however generally late in meetings Business executives in Chile think short term References STEEPLE ANALYSIS nd Retrieved January 9 2015 from httpimageslidesharecdncomsteeple 1005 1017l203DhDaDDOZ95steepleanalvsisusedwithswotl728i132cb1364872323 Campbell D 2007 Global MultiProducts Chile Ivey