Linda Bells is the president of a car accessories company inGermany. In order to expand its business to Asia, she has decidedto set up an overseas sales office in Hong Kong. Stephen Crag, thesales and marketing manager, is assigned to be relocated to HongKong to oversee the business there. Stephen has requested thepresident that this overseas sales office be decentralized toprovide him with an opportunity to make timely decision in this newmarket.
a Explain why Stephen requested decentralization of authority inHong Kong.
b What possible disadvantages could result from thedecentralization of the sales and marketing function of theoverseas office?