AccuForm, German-Hong Kong joint venture specializing in the manufacture of chemical coatings for use on clothing, faced with a situation where an unauthorized Chinese manufacturer had stolen one of the experimental coatings AccuForm, applied to their own brand of clothing, and sold it to the public as a product AccuForm. Product has caused allergic reactions in some children, and the media widely reported the incident. It was later discovered that there was more to the situation than the cover stolen, as some staff members were found to have engaged in money laundering, misappropriation of assets, taking bribes and illegal rebates. General Manager AccuForm, in addition to having to deal with the media, and had to find a way to resolve the differences in business practices between the German company and Hong Kong parents, who are believed to have been partially responsible for the incident, and restore morale and customer confidence in the products in AccuForm. Demonstration of the difference in the cultures of the company can make it difficult to control, and what is the formula for success in one country can be no guarantee of failure in another. "Hide
by Claudia HL Woo, Amy Lau, Raymond Wong Source: University of Hong Kong, 13 pages. Publication Date: March 13, 2006. Prod. #: HKU622-PDF-ENG
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