Everyone does it
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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
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