Good Case Study On Cdg Case

The CDG case focuses on the China Data Group and an incident involving its vice president, Ming Chen. The firm has realized steady growth in the Chinese market and could be considered successful in its industry. There emerges a case where the Vice President, Mr. Chen buys a potential customer a mobile phone and argues that it might help in the company securing a deal worth about one million dollars. In the business world, there needs to be a clear understanding of the extent of business ethics and the techniques that a professional needs to use to make the firm profitable. This paper will focus on this aspect and the dilemma that the company’s Co-Founder and chief executive officer (CEO) experiences in handling the issue.
The cellphone incident is indeed a big deal because it seems unprofessional and a bit more personal. Securing such a client needs to be done amicably through processes that anyone in the firm can adopt. In this case, the company cannot promote the workers applying the technique that its vice president has used in an attempt to secure a deal because there are no guarantees in the expense incurred. Furthermore, if the other workers adopted this approach, they would do so for clients who probably will not sign a contract with the company. In addition, it is difficult to assess if the purchase is of a business or personal nature consider it is a company expense. As such, it can be concluded that this approach adopted by Mr. Chen is a big deal because there is a chance that it will affect the actions and perceptions of other workers in the company. The fact that the executives are also focusing on this issue proves that it is a major deal. Professionalism is a key component for such a firm and conducting deals in ways that seem personal cannot be condoned if the firm intends to keep its image.
The CEO, Mr. Roc Yang had a dilemma of this phone incident because of the culture that has been in the company for years. When CDG still operated as part of CyberSky Technologies, the business deals used to be conducted in a more informal manner, even though the set up and intention was always professionally oriented. At this time the firm was not even financially stable, yet the rather personal approach to conducting business seems to have worked well for the firm. In fact, it is this technique that helped this company when it could not even settle salaries. Furthermore, gifts in business deals have been existent for years in this part of the world because they are usually viewed as tokens of appreciation for good service rendered or gratitude to the customer. The CEO is in a dilemma because the firm is in a different league now and needs a more professional approach to conducting business, however, the social technique Mr. Chen used has always been working for the firm, meaning that it is still beneficial.
If I were to handle this incident, I would encourage the firm to adopt both techniques depending on the client. There are customers, who were attracted to the firm because of Mr. Chen’s technique, yet there is need to uphold the reputation of the firm despite the local business culture. In encouraging that the firm adheres to the professional approach, there is a risk of losing some customers because locals are used to this culture and a change in this act would lead to the firm’s consideration as a company with foreign conduct. Despite the need to lose the middle way approach, I would adhere to the approach because it helps the company in securing different kinds of customers.