-2 The next five questions (A. 1, 2, 3 and B. 1, 2) involve Green Move, a startu

Question

-2 The next five questions (A. 1, 2, 3 and B. 1, 2) involve Green Move, a startup company which focuses on environmentally friendly and sustainable transportation products Background on Green Move Company: Much of its startup money came from a $15 million U. S. government loan at zero % interest as part of the Federal government's investment in the Green Technology Initiative. Green Move's three founders, who are also among the current shareholders, are Robert, Lewis and Viktor. All attended the same MBA program at Suffolk University in Boston. Robert and Lewis were born and raised in Boston, while Viktor grew up in Russia. In founding Green Move, the three agreed that their collective mindset could best be described as "competitive with a conscience." They support the fundamentals of capitalism and agree that the free market operates to the benefit of society. Robert serves as CEO, Viktor as Chief Technology Officer and Lewis has moved on to other opportunities Green Move has experienced recent success from the much anticipated launch of its "Zero Pedal," a solar-powered bike that includes a small throttle and break system. The company received a patent on the technology for the use of a small solar panel that propels the bike at speeds close to 15 mph. Zero Pedal is unregulated by the National Highway Safety Administration because the bike is not "gas powered." The anticipated launch of Zero Pedal appears to be popular among college students in the northeastern part of the United States resulting from advertising in social media among area colleges and universities. Green Move maintains a corporate office in Boston where it employs 50 people who are young and energetic and the company has potential for tremendous growth. PART A-SUPPLY CHAIN Green Move's recent success is due largely to two reasons: (1) popularity of the anticipated Zero Pedal launching r Group. The Solar Group is Green Move's only supplier that manufactures the solar panels which are critical in the Zero Panel. The Solar Group is located in Bangladesh where it employs

Explanation / Answer

1. Robert needs to address the work condition problem at Solar Group. He needs to set a meeting with the important stakeholders and discuss the concerns regarding work conditions of employees and the factory conditions. The interests of the Green Move is at stake in this situation but it is imperative that every company works in accordance with labor and factory law of the host country. Any random audit can raise the same concerns as was raised by the online blogger and if caught in any audit, the company license of Solar Group can be withdrawn with heavy penalties.

2. Robert must study the labor and factory laws of Bangladesh. They will serve as a standard for revising the working conditions and wages of Solar Group. For wage comparison, he can also conduct an industry benchmarking study to identify the best wage and benefits practices followed by the industry in Bangladesh. Based on his research, he can devise a strategic plan for change in Solar Group.

3. 21st century is the age of social media. Social media has emerged as a biggest marketing platform in the world. Any news in social media spreads like wildfire across the world. A negative publicity on the online blog can negatively impact the brand image of the Green Move. Both solar Group and Green Move will come under the wire of legal implications of the local government and the companies, may lose opportunities of doing business.

B1. In my views, Viktor must not bid for the property lease, as the deal will not be fair and ethical. The bid involved bribing the property manager, which is completely unethical. The government, to keep a check on these illegal proceedings has laid much anti-corruption machinery. Getting into such a controversy will not be favorable for any business.

B2. Green Move needs to conduct Porter’s 5 forces analysis to check the feasibility of expansion in Russia. Analysis on various strategic tools like SWOT analysis and a study of the cultural differences between Russia and that of America needs to be conducted to address the culture change in the potential business. If the study portrays potential business existence in Russia, then Green Move must expand its operations there.

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