Cortelazzi Case

Essay by havana1University, Bachelor'sA, September 2003

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Cortelazzi Case

What is the single most pressing issue facing Cortelazzi? Why did you choose this?

The most pressing issue Cortelazzi faces is ineffective and distrustful Czech personnel combined with problems with domestic - Italian management and its impossibility of permanent serving in Czech republic.

Cortelazzi fears the Czech mentality that had been negatively influenced by communism times from which traditional thinking and work motivation has disappeared. Cortelazzi also distrust the Czechs as he had acquired bad experience with his recent Czech employees. This aspect can be misleading as the majority of his unfortunate working experience with Czechs had an origin in the period closely following the political change from communism to capitalism when locals were not yet accustomed with capitalism, open-market principles. However during last couple of years this negative aspect of labor mentality might have changed a lot as Czechs where recently under relatively massive influence of huge inflow of direct capital investments from abroad what have caused restructuring the labor market and remodeling it to suiting the foreign requirements.

Combining the "modern" Czech management together with Italian base could therefore, from long run perspective, drive the Cortelazzi Group to a successful enterprise with attributes of stabilized, customer and result oriented personnel.

I believe that the most pressing problem of Cortelazzi Group presented above matches with reality as it is very unstable and risky to successfully operate the company in Czech republic (with a necessity of performing on site management duties), with a manager from Italy. Diego - Italian manager promoted to run the Czech operations is, because of his heart illness, hospitalized for a greater period of time as he performs his on-site duties. Also Cortelazzi daughter is inexperienced and therefore hardly to rely on.

Evaluation of product/market opportunities:

1. Strong Market Share position

Cortelazzi Group posses...