Everyone does it

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Presented by: Name: Kazi Md. Nurul Hasan ID: 3-13-25-057 Department of Management Studies University of Dhaka

Transcript of Everyone does it

Presented by: Name: Kazi Md. Nurul Hasan ID: 3-13-25-057 Department of Management Studies University of Dhaka

International Satellite Images (ISI)

ISI is one of the three United States companies permitted by the government to build and launch a satellite system

Capable of identifying images of very small size (one square meter) and the resolution allows a trained photo interpreter to identify images including both military and non-military objects

ISI objectives are to get venture capitalist to invest in the company before a project is launched and acquire advance contracts

The contracts should target at least 150% of the cost of building and launching the actual satellite- in this case ISI has to acquire $300 million in advance contracts

Each contract guarantees the purchase of a minimum amount of imagery per year for five years

Extremely competitive market ISI is ahead than its competitors in

the negotiation Error in the Development of

thermal stabilizer by subcontractor

Four nations that control the market: France, Russia, Israel, and the Unites states

United States has competitive advantage: Technology and image clarity There are only three U.S. companies within the

country

ISI had to compete with other companies to get venture capitalist to invest in the project

Venture capitalist will finance the construction and ongoing operations of the program

Venture capitalist will not invest unless they see that ISI has advance contract acquisitions

Japan was expected to be the third largest market for satellite imagery

HTC- A Japanese company Sent several of their engineers to ISI to

evaluate their satellite and its construction progress

The contract with HTC will represent over the five years, one sixth of the contracts necessary for ISI to ensure sufficient venture capital to complete the satellite Strategy

Jim Willis, Vice President of Marketing and Sales for ISI asked for advice from the president Fred Ballard on deciding launch date to be published in the contract with HTC

Having trouble with the development of thermal stabilizer

Delay would be 12-18 months

President, Fred Ballard who wants to hide the trouble issue of thermal stabilizer from HTC

Doesn’t want to loose the bid Believing that everyone does it Where asJim Willis is very much concerned with the

reputation of both: Organization and Personal

Besides, The fact is:

The truth will come out eventually for sure

Whether: hide or disclose

Disclosing the fact & Hiding the fact

Professional step

Further good relationship might be maintained from both of the sides

More Unprofessional than Unethical

Resulting bad reputation

End of relation: No further interactions

Wastage of time, money and labor

Disclose the fact mentioning delay time

Approaching a revised proposal with possible time duration

Being more focused on the Thermal stabilizer and other technical factors attained by subcontractors