1. Andrew Robinson goes to Taiwan By: Kishlay Raj

2. Case overview Culture of countries Case Background Expatriate performance Result Cost of Failure Causes of Failure Solutions

3. Cultural differences

8. Andrew Robinson goes to Taiwan

9. The journey begins….

10. Case Background 1.Telequip is a multinational telecommunications equipment supplier in Sydney, Australia 2.They sell their first “world” product to Taicom, a company in Taipei, Taiwan 3.The equipment is estimated to take 6 months to set up the equipment with software programmers working from Sydney, one flying to Taipei and TCNs from India will also be brought in to work on the set up

12. Buys home with wife

13. Andrew is asked to take short term assignment in Taipei

14. Negotiates short term expatriate contract with Telequip Australia

16. Expected to find apartment and work 24/7

17. Wife has to move into new home alone

18. Found an apartment

19. Started learning Chinese on his own

20. Andrew is sent to Taipei for 4 weeks

22. Wife has a million things for him to do

23. Personnel at Telequip tell him that the need to scale back his expatriate allowances and that he may need to pay tax in Taiwan

24. Project and company morale is low

25. Team members sent to different divisions of Telequip

27. Australian work colleagues still detached from culture and country

28. Taicom very dissatisfied with product

29. Taicom cancels project

31. Cost of Failure Direct Costs Airfares Salaries Relocation expenses Indirect Costs Loss of market share Damaged relationships with customers Strained relationship with wife Low morale among the staff Loss of opportunity for international expansion

32. Factors Moderating Performance Length of Assignment 2 month stay turned into a 4 month assignment Willingness to Move Reluctant to continue because of increased tensions with his wife

33. Work-Environment Related Factors Poor planning and execution of expatriate assignment Poor communication between the offices Employment Relationships Relational contract Transactional contract

34. Major issues Accomodation

35. Housing in Taipei Andrew wanted to move into an apartment for his short term assignment Apartments hard to find in English Hard to find shorter than one year lease No help from Telequip to find an agent

37. Real estate agents

38. General housing info should have been shared:

39. Apartments 1/3 smaller in Taipei

40. No ovens

42. Telequip should have Used the affective training approach Since Andrew was sent to Taipei last minute training in Taipei should have been offered to all Telequip staff going to Taipei A large reason Telequip was unsuccessful with Taicom was due to the lack of: Communication Cooperation Cultural understanding Mandarin speaking team members

43. Food

44. Elements for a successful expatriation and repatriation Role of family Cross-cultural perspectives on managing diversity Performance appraisal in organization control Health and Security

47. Between expatriates

50. Health & Security Health issues Weather/climate Food Security Natural disaster IHRM policies and support service

52. Andrew used his personal card and submitted an expense report upon his return

53. While in Taipei the card maxed and his wife had to use cash until his return

54. First Short Term Assignment

55. Offered financial incentive to take assignment

56. Receive salary from Telequip Australia

58. Telequip Australia told Andrew the per diem allowance was much higher then normal guidelines and it would scaled back

59. Told Andrew it was his job to check on his tax liability in Taipei

60. Taxation Approach

61. Telequip Australia used the laissez-faire approach to expatriate taxation

62. Telequip should have:

64. If any…

65. Thank you !!