Arden University: International Management - Shonteur Inc. Case Study

This case study examines the challenges faced by John Thompson, an executive at Shonteur Inc., a US-based wine wholesaler, when attempting to increase employee productivity and achieve organizational success in the company's French subsidiary. The study explores the impact of cultural differences, including power distance, individualism, masculinity, uncertainty avoidance, long-term orientation, and indulgence, on employee performance and the overall success of the subsidiary. It highlights how these cultural dimensions, as well as other factors such as employee diversity and language barriers, contributed to the subsidiary's poor performance. The case study also draws parallels to similar problems faced by other multinational corporations like Walmart, Starbucks, and Groupon. It emphasizes the importance of considering cultural, political, and market factors when entering international markets and suggests strategies for Thompson to improve employee performance in the French subsidiary. These strategies include individual target setting, team formation based on cultural backgrounds, and adapting reward systems to align with French cultural values. The case study concludes with the lessons learned from the experiences of these companies and emphasizes the importance of adapting management strategies to suit the cultural environment of the subsidiary.