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Case Study on Medical Equipment Inc.

's Saudi Arabian

Venture
1 Context and Overview:
 Case Focus: Ankur Grover, a sales account manager at Medical Equipment Inc.
 Location: Saudi Arabia.
 Core Challenge: Securing a US$725,000 order for medical equipment in a competitive
and ethically complex environment.
2 Key Elements of the Case:

Overview of the  Opportunity: A significant sales order from a prominent hospital.


 Competition: Presence of a competitor with closer ties to the hospital’s decision-makers.
 Ethical Dilemma: Navigating ethical considerations in the pursuit of the sales order.

Case Study
3
Cultural and Business Dynamics:
 Intersection of ethical standards of Medical Equipment Inc. and local business practices
in Saudi Arabia.
 Emphasis on cultural nuances and their impact on business dealings.
4 Objective of the Case Study Analysis:
To employ a structured approach for decision-making.

5 Significance:
 Balancing ethical integrity with business goals.
 Navigating global business practices and cultural sensitivities.
1 Option A:
Continue ethical persuasion and negotiation, emphasizing

Review or product superiority.

Identification of 2 Option B:
Offer non-monetary incentives within ethical boundaries,

Options
like a showroom visit.

3 Option C:
Seek intervention from higher management at Medical
Equipment Inc. for strategic negotiation.

4 Option D:
Accept the potential loss of the deal, maintaining ethical
standards and company reputation.
1 Ethical Integrity:
Adherence to the company's ethical code and general
business ethics.

Criteria 2 Business Viability:

Selection Potential for securing the order and future business


opportunities.

3 Cultural Sensitivity:
Consideration of the business and cultural environment in
Saudi Arabia.

4 Risk Management:
Evaluation of potential risks, including legal implications and
reputational damage.
1 Option A:
1. Ethical Integrity: High, as it aligns with the company's code of conduct.
2. Business Viability: Medium, given the existing relationship between the client and the competitor.
3. Cultural Sensitivity: Medium, requires understanding of local business practices.
4. Risk Management: Low, as it involves standard business practices.

2 Option B:
Criteria-Based 1. Ethical Integrity: Medium, depends on how the incentive is framed and executed.
2. Business Viability: High, as it could be an attractive proposition for the client.

Analysis 3. Cultural Sensitivity: High, aligns with relational aspects of Saudi business culture.
4. Risk Management: Medium, requires careful documentation and transparency.

3 Option C:
1. Ethical Integrity: High, involves company's internal decision-making.
2. Business Viability: Medium to High, depends on management's influence and strategy.
3. Cultural Sensitivity: Low, as it may not directly engage with local business customs.
4. Risk Management: Medium, could involve complex negotiations and strategies.

4 Option D:
1. Ethical Integrity: High, maintains strict adherence to ethics.
2. Business Viability: Low, as it likely results in losing the deal.
3. Cultural Sensitivity: Low, may not align with local expectations of negotiation.
4. Risk Management: High, as it avoids any potential ethical or legal pitfalls.
Recommended Decision

A combination of Options A and B. Grover should continue to emphasize the


technical superiority of Medical Equipment’s products and also offer a documented,
non-monetary incentive such as a visit to the company’s showroom. This approach
balances ethical integrity with a strong business proposition and is culturally
sensitive, maximizing the chances of securing the order while minimizing risks.
1 Further Detail Product Benefits:
Grover should prepare a detailed comparison of their product's advantages
over the competition.

2 Arrange a Showroom Visit:


Organize a fully documented and transparent trip to Medical Equipment’s

Proposed
showroom for the key decision-makers, highlighting the latest technologies
and innovations.

3 Engage Senior Management:

Actions If the situation becomes more complex, involve higher management from
Medical Equipment Inc. for strategic support.

4 Continuous Monitoring:
Regularly assess the situation for any changes in dynamics or opportunities
to leverage.

5 Documentation and Transparency:


Ensure all actions and offers are well documented and transparent to uphold
ethical standards.
Thank You

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