Tanzania Case Study

In: Business and Management

Submitted By Gorilla10
Words 324
Pages 2
Introduction This case study discusses the E-coli problem in Tanzania. The major issue is that Jim Teague's client, KiraFlour, has been selling unlicensed products containing E-coli. Baba, the owner of KiraFlour, is in denial that their products are contaminated. Baba is accusing TCA and TFC for attempting bribery and extortion. Jim has a dilemma about whether or not to give the ok to Allen, the global vice president of AgriFund, for the continuance of the loan given the information that he knows. Giving the 'ok' to continue the loan could endanger the health of thousands of customers and put AgriFund at severe risk. However, telling Allen not to continue on the loan will cause farmers to lose an abundance of crops as well as their livelihoods along with the livelihoods of the employees. This report will discuss relevant assumptions and ideas to conclude what Jim should do.
Cultural Differences/Challenges In Tanzania, based on the closeness that they share with each other and others around them within the business, we can assume that they are collectivists much like those in China. Jim, from the United States (U.S.), is an individualist. They also have different traditions. For example, Mrs. Kiravu, or Mama, took on the name of ‘Mama Jimmy’ because they have gotten so close. In the U.S. we simple consider ourselves close friends but we do not take on the names of others. In the video ‘Emerging Markets: Spotlight on India and Mexico’, many emerging markets are family owned businesses in which they control majority of economic activity and employment. This is the case for the KiraFlour Company. Whereas, U.S. governments impose heavy penalties on bribery and corruption, Tanzania is not as harsh (Gesteland, 2012).
However, KiraFlour seems to lack the ethics within their business. In fact, Baba, or Mr. Kiravu, is in denial and will not adhere to the notices that he…...

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