Case study 2-Charles Martin in Uganda

Question 1: Describe Ugandan cultural attributes that might affect operations of a foreign company operating there? Nepotism (favoritism granted to relatives regardless of merit) is the norm, and the government is considered one of the most corrupt in the world. Paying extra for everything, people could get the work done on being paid tips. Tribal rituals: belief that the Bujagali Falls was a home to sacred spirits. Had to appease them by paying a fee for the sacrifice of animals and then also take part in a dancing ritual. Given Ugandas history of political instability, the company ran the risk that todays friends in high places might be tomorrows enemies of the state. The philosophy and values of a foreign company might be against the rituals and the beliefs of the Ugandan people as it was considered pagan and probably a sham.

There are many Ugandan culture attributes that might affect operations of a foreign company doing business there. This includes corruption in the government that is also the highest degree of difficulty and risk any company could face. Moreover, Ugandan tends to hire relatives the locals recommend, though it might seem as a smart solution to hiring best human resources, this could cause complications in the future. Since more employees could be potentially closely connected with each other in different sectors, this could even involve the government. As a result this might create employees conducting favorites and perhaps even fraud. For instance, charging extra for imports clearance due to transaction agreement between friends within the company and a custom officer. The end result of such action is illegal and could result the company being sued. Furthermore, paying extra in order to get things done is common within the Ugandan culture; this affects foreign company doing business because bribe or extra payments is illegal and or ethically unacceptable in powerhouse countries such as U.S. Finally, one last aspect is Ugandans trial rituals, this sometimes involves the international manager or representative themselves to participate in the ritual in order to continue the work needed to be done. Firms need to be aware of this culture enforcement because it could damage image of the corporation since many are under religious influence that are incompatible with the Ugandan culture. Question 2: How would you describe the respective attitudes of Martin and Green? Ethnocentric, polycentric, or geocentric? Which factors attempt to their respective attitudes? The respective attitudes of Martin and Green are completely opposite of each other. Greens attitude was ethnocentric, as he judged the Ugandan culture by comparing it to the norms and culture of his company and ignore that in another country with another

people and ethnic, the American way is not the most effective way to do business, he believes the company should operate under the same morals and values as it does at home. Green, had never conducted business in Uganda prior to this project; therefore, he was not familiar with African culture. While trying to maintain home-country policies, Green maintained an objective; he believed that it was important to uphold HGs company values. Greens primary goal was following company and home-country procedures and accepting cultural variations that were necessary to perform business. Martins attitude was more geocentric, although he did not believe in the tribal ritual in which he took part and even thought them to be pagan and a sham, he adapted to the Ugandan culture and even lived like them. In this way he was cooperating with the locals for the project. Martin developed knowledge of how things were done in African culture (Uganda) and how things should be done. Unfortunately, Martin seemed to have taken what he learned of the culture to an extreme and he was close to adopt Ugandan ways. Martin seemed to make decisions before examining the possible consequences, such as if the decision was borderline illegal or unethical in his home-country.