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HBR.ORG

For the exclusive use of Y. HE
September 2011 reprint R1109X

HBR Case Study

Culture Clash in
The Boardroom
Should a German-Chinese joint venture follow the ethical rules of the parent company or the country of operation? by Katherine Xin and Wang Haijie

This document is authorized for use only by yucheng he in ORGANIZATIONAL BEHAVIOR ONLINE (SUMMER
2013) taught by Randall Dunham from June 2013 to August 2013.

For the exclusive use of Y. HE
For article reprints call 800-988-0886 or 617-783-7500, or visit hbr.org

Experience

Case Study

Katherine Xin is a professor of management, an associate dean at
China Europe International Business School (CEIBS), and the editor of HBR China. Wang Haijie is a senior editor at HBR China.

Should a German-Chinese joint venture follow the ethical rules of the parent company or the country of operation? by Katherine Xin and
Wang Haijie

The Experts

Xu Shuibo is the former
CEO of TNT Mainland
China’s subsidiary TNT Hoau.

Culture
Clash in the
Boardroom
T

Illustration: agata nowicka

Zhang Tianbing is the global vice president and the director of the China
Research Center at A.T.
Kearney.

HBR’s fictionalized case studies present dilemmas faced by leaders in real compa­ nies and offer solutions from experts. This one is based on a teaching case at China Europe Inter­ national Business School in Shanghai.

he room was already packed when
Liu Peijin walked in. His flight from
Shanghai to Chongqing had been de­ layed, and he had fretted about missing the training. But fortunately he’d gotten there in time. Liu knew his presence was impor­ tant. As the president of Almond China, he wanted to show his Chongqing colleagues how much he cared about the topic under discussion: ethical business practices.
Taking his seat, Liu nodded at the head of HR, who was running the train­ ing. The two went way back: Both had been with their German parent company,

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