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Case Study - Langley International Growers

In: Business and Management

Submitted By limlimrevolution
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Pages 2
Steven Lim
BUS 349 - International Management
Case Study – Langley International Growers
Due April 1, 2009

Why are start-ups on foreign soil generally difficult? Start-ups on foreign soil are very difficult for a variety of different reasons. The primary reason cited by this case is the cultural differences between the United States and Santa Nueva. Additionally, the goals of the host government and its people are different from those of the company. Langley International Growers is a New York-based flower distributor that started a subsidiary in Santa Nueva. The company experienced a great deal of difficulty establishing and running the new operation due to foreign differences between the two countries. Some of these problems could have been avoided by better research ahead of time. There are a host of cultural problems that hindered the success of the Langley International Growers start-up in Santa Nueva. The government and business culture in Santa Nueva is far more relaxed than the norm for US businesses, to the point of frustration. Petty thievery from the company was common. It is a very loose society that did not take regulations or standards very seriously. In order for Langley International Growers to get the performance that they wanted out of their employees, they had to begin making their instructions and commands more explicit. The government of Santa Nueva is interested in attracting foreign investment for the purpose of creating national income. This is displayed through the actions of some of the government workers. Rather than trying to operate efficiently, they “make-work”. Employment is the goal here, rather than increased productivity. Langley International Growers, on the other hand, is trying to make a return on investment. In order to do this, it needs to have firm control over the workings of its subsidiary in Santa Nueva....

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