Case Study #3: Conducting International Business in an Ethical Manner
Global Business Environment
Case Study #3: Conducting International Business in an Ethical Manner
A company that cares
Founded ninety years ago in the US, Panting Steel Inc. is a highly profitable scrap metal company. The firm purchases scrap metal from sites across the US and Europe and recycles it to produce finished steel products that it resells to steel mills. A major part of its operations involves dismantling used automobiles. It sells the reusable car parts at low cost to international customers and processes the remaining scrap.
With the growing global interest in sustainable business practices, Panting Steel’s profits have risen considerably, and it has expanded into new international markets for purchasing scrap metal and selling its products. It has a strong business code of conduct and is committed to conducting global business in a professional and ethical manner. Managers and employees are encouraged to take personal responsibility for ensuring that Panting Steel’s business code of conduct is adhered to. The company has even set up a confidential hotline for employees to report any suspicions they have of unethical behavior.
Making new deals in China
The scrap metal market in Asia has become increasingly profitable in recent years. To take advantage of this, Panting Steel purchased a scrap metal processing company in South Korea called KSN International. This takeover provided Panting Steel with an Asian base without having to make substantial investments in new manufacturing sites and processing equipment. All KSN’s managers and employees were retained after the takeover, and Panting Steel sent over two senior US employees to oversee operations and make sales.
A new way of doing business
The US employees were treated very hospitably by the KSN team and worked hard to forge business links and develop interest in Panting’s used car parts and reprocessed steel. They targeted other companies in South Korea, as well as steel mills
Case Study #3: Conducting International Business in an Ethical Manner
A company that cares
Founded ninety years ago in the US, Panting Steel Inc. is a highly profitable scrap metal company. The firm purchases scrap metal from sites across the US and Europe and recycles it to produce finished steel products that it resells to steel mills. A major part of its operations involves dismantling used automobiles. It sells the reusable car parts at low cost to international customers and processes the remaining scrap.
With the growing global interest in sustainable business practices, Panting Steel’s profits have risen considerably, and it has expanded into new international markets for purchasing scrap metal and selling its products. It has a strong business code of conduct and is committed to conducting global business in a professional and ethical manner. Managers and employees are encouraged to take personal responsibility for ensuring that Panting Steel’s business code of conduct is adhered to. The company has even set up a confidential hotline for employees to report any suspicions they have of unethical behavior.
Making new deals in China
The scrap metal market in Asia has become increasingly profitable in recent years. To take advantage of this, Panting Steel purchased a scrap metal processing company in South Korea called KSN International. This takeover provided Panting Steel with an Asian base without having to make substantial investments in new manufacturing sites and processing equipment. All KSN’s managers and employees were retained after the takeover, and Panting Steel sent over two senior US employees to oversee operations and make sales.
A new way of doing business
The US employees were treated very hospitably by the KSN team and worked hard to forge business links and develop interest in Panting’s used car parts and reprocessed steel. They targeted other companies in South Korea, as well as steel mills