Kongstrup Machine Factory

Learning goal:
• Describe the different strategic approaches in decision making process.
• Apply the various concepts involved in international business.
• Comment on the design of an organization engaged in international business.

Assignment: Read the case careful first. You have to answer the following questions:

1. List the challenges facing Kongstrup after the collapse of the alliance with MB. How could they have prepared better for the break-up?

2. It is unusual in many organizations for top management to allow employees significant input into their strategy, as Kongstrup did. What are the advantages and disadvantages of an open approach to decision-making?

3. Describe the environmental uncertainty for Kongstrup. How should they interact with and control their external environment?

4. Make a new organizational structure for Kongstrup, based on their current situation and that builds further on their strengths while it prepares them for international expansion. You need to apply the concepts and theories from the book of Chapter 1 to 5 in order to answer the questions properly. You can use other sources if needed. Make sure you use proper referencing. Use the BA assignment cover page (on SharePoint site). Use in MS Word Arial 10, single line spacing, normal margin setting, page numbers, and footnotes for references.

Hand in: You have to hand in a printed Word document of 1000-1500(max.) words, about 2-3 A4 pages (excl. cover page). The deadline is the start of the feedback session of 5.1 class. Handing in after the deadline means failing this assignment (Make sure you have your printed copy ready before the start of the class). Criteria: There should be a thorough analysis (so broad research, did you think of all aspects?). The appropriate theories and concepts from the book chapter 1 to 4 should be applied. There should be enough detail in the answer (so deep research, from the facts presented logical arguments should follow). There should be no inconsistencies, logical flaws in your reasoning. Furthermore the report should have a proper layout and proper use of English. If the use of English is too low (meaning too incomprehensible for the lecturer to read your assignment) you will receive an insufficient regardless of the content.

Teams: a team consists of 3 students maximum. If not a team of 3 can be formed anymore in your group, a team of 2 is allowed. Individual work can’t be accepted. As it is team work, the assessment is also based upon the result that the team produced. There are no individual assessments. Although the assessment is written, the assessor is entitled to ask questions about the report on an appointed moment (oral defense).