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• W290770081 abstract "CASE DESCRIPTION The primary objective of this case concerns the need to resolve a worsening financial situation by establishing new strategic initiatives. Secondary issues include the role of mission in establishing strategic plans and the importance of company and country culture in strategic decisions. The case is appropriate for level 3 (Junior) or 4 (Senior) courses in international management, small business or strategic management. The case is designed to be taught in a 75-minute class period and is expected to require three hours of outside preparation by students. CASE SYNOPSIS Manos Del Uruguay is a non-profit cooperative based in Montevideo, Uruguay. Manos produces high quality hand-made woolen goods. Its customers include major design houses in South America, Europe, the U.S. and Japan. However, despite a 30-year history of operations, Manos is currently struggling for survival. It is experiencing rapidly falling export sales and dramatic changes in the local and global economy. The cooperative was originally formed to provide job opportunities for women artisans' producing hand crafted goods. Can Manos hold to its original mission or must it change fundamentally in order to survive? The General Manager has developed four strategic alternatives for the Board of Directors to consider in addressing this difficult situation. MANOS DEL URUQUAY At this rate, in two years our exports will cease to exist! Rodolfo Gioscia, General Manager of Manos del Uruguay moaned to himself after analyzing the year-end financial results compared with those of previous years (Appendix 1). The results showed a continuing decline in the company's export sales and a net loss for the year. In addition, the company had been experiencing cash flow problems. It was Friday, the last week of January, and many questions whirled around in his head: What can we do to break this pattern of losses? Do we need to make company wide changes or will a small focused effort turn things around? Is the problem with our export markets or does it extent to local markets too? Rodolfo Gioscia had been the General Manager of Manos del Uruguay since 1998. This position had represented a significant challenge for him because Manos was a nonprofit, co-op organization with a concept different from other companies that he had previously managed. Co-ops have significantly different risks and opportunities. One cannot manage a group of independent artisans in the same manner as regular, full-time employees. Mr. Gioscia decided to call together his Board of Directors for a meeting at the beginning of next week. This would give him the weekend to think things over and try to generate some strategic alternatives for their consideration. URUGUAY Most first-time visitors from the United States are surprised that Uruguay is nothing like Mexico (apparently the prototypical Latin American image). Original colonists of Uruguay displaced nearly all native peoples resulting in a largely European-based population that is nearly 90% white. Unlike Mexico, there are no spicy foods (Uruguayans eat a lot of beef, noodles, and rice), there are no ancient ruins, and the people look different from Mexicans. Even though Spanish is the official language of Uruguay, it is somewhat different from the type most Americans learn in school. For example, a taco is not something you eat, but rather the heel of a shoe and a pancho is a hot dog, as opposed to a poncho which is something you wear. Uruguay is a land of rolling hills and gauchos (cowboys). There is no jungle, and there are no mountains. The weather is quite temperate, with rare freezes, and no Amazonian heat. Cattle and sheep, and their by-products, have been the mainstay of the economy for decades. There are nice beaches and several large modern cities, the largest of which, Montevideo, is modern and vibrant. The entire country is about the size of the state of Washington with 3. …" @default.
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• W290770081 date "2004-01-01" @default.
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• W290770081 title "Hands of Uruguay" @default.
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