To Tax Or Not To Tax Hong Kongs Waste Problem Case Study Help


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To Tax Or Not To Tax Hong Kongs Waste Problem Case Study Solution

Background and Facts

To Tax Or Not To Tax Hong Kongs Waste Problem an office products retailer for tiny and moderate sized services has recently been associated with preparing for a merging with its rival Home Deport, which has impacted efficiency levels in departmentswith the elderly manager involved in lawful complications presented by the government Trade Compensation. With the Advertising and marketing Head advancing the news of his departure from the company in one year, Jeannie Lewis, the current head of operations has actually been asked to take the role in the future. With difficulties in the kind of a prospective social adjustment and low worker spirits, the organization is in need of a total reengineering effort at the advertising and marketing department.

Issue Statement
Porter's 5 Forces Analysis
The prospective cultural change at the advertising and marketing division of To Tax Or Not To Tax Hong Kongs Waste Problem is increasing unpredictability in the working environment causing various obstacles for the Jeannie Lewis who would be replacing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a major duty in impacting calculated decisions given that Stapes Inc. needed to desert its strategies of combining with Office Deport after the Federal Trade Payment's treatment at the same time. Offered the truth that the shop has a worldwide presence with branches in UK, U.S.A., Canada and Germany, political consider each of these nations might have the ability to impact performance or critical objectives. Federal Trade Payment's antitrust fit against the merging took up valuable time of the company's senior management recommending that 'political' factors can have major implications for a worldwide service.

Economic Factors: Economic factors such as the emergence of small businesses in the international circumstance suggest that To Tax Or Not To Tax Hong Kongs Waste Problem is thriving in an atmosphere where there is possible development of businesses. Fact that shop clients are primarily looking for office materials for residence offices suggests that the market has an increasing trend of entrepreneurs as well as residence based businesses.

Social factors: Social trends in the economic situation show that clients are searching for benefit along with appealing costs. Marketing research demonstrates how the client for To Tax Or Not To Tax Hong Kongs Waste Problem lacks awareness about finding options which can use a mix of convenience and also affordable.

Technological factors: Technology plays a vital role in To Tax Or Not To Tax Hong Kongs Waste Problem's company technique particularly as the organization is piloting Technology facilities which would supply modern technology sales and also assistance in the type of memory upgrades, outer installations. (Recap of PARASITE in appendix 2).

OB Issues and Effects.

A number of underlying Organizational Behavior issues can be seen in To Tax Or Not To Tax Hong Kongs Waste Problem's case as highlighted in this area.

Apprehensions regarding cultural modification: There is concern concerning a social change that would certainly take place when Todd Krasnow leaves from his position as the Executive Vice Head Of State of Marketing with the majority of the staff members currently showing unhappiness over this possible step. This predicted change has created stress in the office which has actually been combined with the past tension of preparing the firm for a potential merger with Residence Deport.
Pest Analysis
Difficult Work Atmosphere for Newcomers: There is lack of workers that can match the difficult environment of a fast-paced organization. Not only does this result in trouble in locating the ideal people, it places tension on new hires as can not endure the pace as well as pressure that the organization expects them to bear.

Twin Reporting Lines: Beginners discover this business society cumbersome and hard to handle especially as populated line connections are meant to be weaker in general as well as unbiased setup as well as performance analysis is still done by the strong line supervisor. This implies that beginners might lose quality regarding their respective duties and purposes especially as populated line reporting does not keep them in straight interaction with the strong line managers.

Bitterness From Cross Departmental Hiring: Krasnow's choice to make Lewis his follower rather than Bridget Coles despite the fact that it had been guessed that the last would certainly take Krasnow's placement came as a blow to her spirits. Lewis may have been capable and proper for the work yet the fact that Kransnow's departure would make Coles a straight report to Lewis may have been the factor for Coles' resignation from solutions.

Anxiety & Task Insecurity: Worry as well as insecurity can be recognized as 2 significant issues that Lewis would certainly be dealing with specifically as the merger has actually currently be terminated and 2 elderly executives of the advertising and marketing division would certainly be leaving. The whole responsibility of the division would be dropping on Lewis's shoulders that would not just supervise of brining regarding a social adjustment but would certainly also have to prove herself in her brand-new function.

Inappropriate Administration Design of Leader: Lewis's monitoring design as well as its incompatibility with the marketing department's duty can also be seen as an OB obstacle particularly as she has been made use of to dealing with concerns in the operations division where personnel are educated to concentrate on processes and also obtain them. The advertising and marketing division on the various other hand can be seen as a group of people that are made use of to being supported by Krasnow who concentrated more on outcome than procedures.

Interdepartmental Disagreements: Interdepartmental disputes between 3 divisions, advertising, merchandizing and also operations respectively over the allotment of the advertising and marketing mix can be identified as one more OB worry. Although the marketing division does not share the very same vision as the other two divisions relating to the aloocation of the advertising and marketing mix twoards promos and also advertsing, the merchandizing and also operations divisions do not agree over the marketing mix allowance amongst each other either.

Disintegration in Advertising And Marketing Division: Disintegration between the advertising and marketing divisions can be recognized as an additional OB concern which could require further focus. The reality that the advertising and marketing areas in the marketing division are disconnected is stopping both divisions from getting from each various other's experience as well as proficiency. Assimilation of advertising and marketing with retailing as well as procedures would certainly end up being more difficult if the advertising department itself is broken down which can be one more possible OB problem.

To Tax Or Not To Tax Hong Kongs Waste Problem Analysis

Various theories have actually been used to clarify the conditions to get further quality regarding the scenario handy.
Swot Analysis
McGregor's Concept X & Y: According to Douglas McGregor's Concept X, many managers think that subordinates are easy and careless, have little ambition as well as resist modification. The situation at To Tax Or Not To Tax Hong Kongs Waste Problem is not entirely following Theory X, it can be seen that new hires are discovering this environment rather demanding which might at some point lead to a better disposition of the monitoring towards Theory X. Even while evaluating Lewis's monitoring style, concept X might have been appropriate in the operations department to some degree however the Advertising division would call for dependence on Concept Y in order to get the creativity and creativity from the groups.

Tuckman's Teamwork Concept: As far as Lewis's worry regarding bringing harmony between the advertising and marketing and also marketing division is concerned, this would initially lead to conflict as gone over by Bruce Tuckman in his 'Synergy Theory'. By integrating the marketing and also advertising and marketing division's work, there might be the exact same initial separate which could lead to the 2nd stage of 'storming' where the groups challenge one an additional.

When individuals are presented with adjustment, they enter stage one and so there may be emotions like sadness, uncertainty, aggravation, temper, worry, denial and disorientation.The situation at the advertising and marketing division of To Tax Or Not To Tax Hong Kongs Waste Problem is similar so Lewis can obtain comfortable with the idea that it is not amazing habits. It is during this phase that Lewis will have to give guidance to the department so that they can locate a feeling of instructions. It can be seen how Krasnow has already made this change much easier by making Lewis obtain involved in the department a year prior to his real departure.
Vrio Analysis
Abraham Maslow in his Theory of 'Demands Hierarchy' (appendix 5) has reviews the significance of 'safety needs as being a lower level requirement of a human for activating motivation. As seen in the pyramid shared in appendix 3, we can see just how 'the need to feel secure as well as out of risk' is at the 2nd degree of requirements. Before an employee can be made to develop emotionally, he requires to have his 'Physical 'as well as 'Security' requires satisfied.

SWOT Analysis for To Tax Or Not To Tax Hong Kongs Waste Problem Case Study

Effects of Analysis.

The OB analysis has looked at various concepts to understand just how to deal with the existing situation handy. The complying with three options have been proposed to help Lewis deal with the organizational challenges in the advertising division. Each of these alternatives has been recommended for alleviating the transition needed to bring the marketing division in accordance with the requirements of the market and also for making the social modification that would certainly follow as soon as the existing leader leaves.

Combination of advertising and marketing features. Dividing Adverting as well as Production features. Integration of Advertising And Marketing with Procedures.

Evaluation of Alternatives.

Judith Shapiro who has actually earlier been spoken with by Lewis during the earlier merging days has expertise in business-to-business advertising and marketing along with agency and also retail advertising experience. Once Krasnow leaves, Lewis can hire Shapiro as an EVP for marketing to take care of both advertising and marketing and also advertising and marketing features.

The advantage of this approach is that it will certainly incorporate both functions while reducing the need for employing an extra resource for advertising. Along with this, Lewis would certainly be heading the advertising division and also in any case her replacement would be needed for the present role that she is performing. The disadvantage of this option is that external hiring might produce resentment from internal personnel who may be looking at the placement of EVP after Lewis takes control of Krasnow's position.

Separating Adverting and Manufacturing: Given the competitive stress and high quality work required from the advertising company, it is advised that Lewis ought to permit the manufacturing system to be a different function from the advertising unit. Because most advertising and marketing companies had these two functions as separate systems, it makes even more sense to adhere to the standard.

Integration of Marketing with Workflows: Given that Lewis is already taking care of the advertising and also operations departments simultaneously; it makes sense to integrate the two features considering that she has actually been efficiently taking care of both ends. The truth that Lewis has to adjust her management style for the advertising division recommends that these two departments would certainly be culturally diverse.


An analysis of the three choices shows that assimilation of advertising and marketing as well as procedures would certainly not be a possible step as a result of the large differences between both departments despite the fact that presently Lewis is managing both. While separation of the production function may have been a beneficial relocation for the advertising and marketing department, the truth that it would certainly imply putting a 3rd feature under Lewis's wing implies this must be stayed clear of. The combination of the marketing division is the best option in regards to obtaining the optimum arise from the department. An action prepare for this alternative is discussed below.

Activity Strategy.
Lewis will take over the function of EVP Marketing after Krasnow leaves.

Marketing and advertising features would certainly be combined.

Judith Shapiro will be hired to take Lewis's place as SVP of marketing and advertising.

Production function will certainly remain component of marketing under marketing feature.

Lewis will certainly divide herself from operations.

A democratic leadership style with staff member empowerment will be used in advertising department.

Open up door policy and also focus on cross departmental interaction will certainly be targeted at eliminating discord.

Contingency plan.

If the assimilation does not work out as intended, a backup strategy would certainly adhere to which would divide the manufacturing function from the marketing feature to reduce the lots on the SVP of marketing and advertising. In case Judith Shapiro does not get worked with, Lewis will certainly be heading the advertising department without an SVP. In that case the production feature will certainly be separated by placing it under an SVP production.