Language Barrier: Sales Challenges in a

Multicultural Environment

• Ralph was a sales representative of a small but

fast-growing new mobile and social advertising

platform, working directly with the co-founder,

Mike. Ralph was responsible for door-to-door

sales by approaching new small and medium

businesses to sell this platform which would

allow the businesses to gain a virtual customer

following. These business owners often spoke

English as a second language and thus clear

communication was key.

• Still in college, Ralph approached a small

haircutting salon and secured them as a

client with a $100 signup fee. Ralph was

happy as he was paid on commission.

However, the situation soon turned sour

as the hairdresser was furious upon

learning that she did not receive $100

worth of customers but instead had signed

up for a mobile customer platform.

• Mike as the founder was now stuck in

tough situation. Ralph claimed that there

was a large language barrier and thus the

hairdresser wrongly presumed that she

was receiving $100 of customers.

• Ralph was also aware of similar situations

with other small business owners for

whom English was a second language and

who thus had difficulty in understanding

the nature of the product.

• Ralph was also aware that, as a startup,

the company had no funds or time to use

translating services to alleviate the

situation.

• Should Mike make the executive decision

to work only with English-speaking

customers, and is that an ethical solution?

• A customer asked for a product from us

today. After telling him our price, he said

he could not afford it. I know he could get

it cheaper from a competitor. Should I tell

him about the competitor -- or let him go

without getting what he needs? What is

the guideline for us? The societal interest

or the personal interest?

• Our company prides itself on its merit-

based pay system. One of our employees

has done a tremendous job all year, so he

deserves strong recognition. However, he

has already paid at the top of the salary

range for his job grade and our company

has too many people in the grade above

him, so we cannot promote him. What

should I do?"

• Our company prides itself on hiring

minorities. One Asian candidate fully fits

the job requirements for our open position.

However, we are concerned that our

customers will not understand his limited

command of the English language. What

should be done in these circumstances?

• My boss told me that one of my

employees is among several others to be

laid off soon, and that I'm not to tell my

employee yet or he might tell the whole

organization which would soon be in an

uproar. Meanwhile, I heard from my

employee that he plans to join his

daughter in an engineering college. What

should I do?"

• My computer operator told me he had

noticed several personal letters printed

from a computer that I was responsible to

manage. While we had no specific policies

then against personal use of company

facilities, I was concerned. I approached

the letter writer to discuss the situation.

She told me she had written the letters on

her own time to practice using our word

processor. What should I do?"

• A fellow employee told me that he plans to

quit the company in two months and start

a new job, which has been guaranteed to

him. Meanwhile, my boss told me that he

wasn't going to give me a new opportunity

in our company because he was going to

give it to my fellow employee now. What

should I do?"

INDIAN BUSINESS LAWS

AND THEIR IMPACT ON

ETHICAL

BEHAVIOUR:

• All laws relating to business in India, can

be broadly classified into 2 categories-

– Business laws

– Labour laws

The Industries development and

regulation act

– This Act enacted in 1951 with the main

objective of giving practical effect to the

industrial policy, gave the government

sweeping powers to control industries.

– It empowers the central government to

develop and regulate the industrial sector in

India, through suitable and appropriate

means.

Foreign Exchange Regulation

Act, 1973:• This Act applies to all citizens of India,

outside India and to branches of

companies registered in India.

• The main objective of FERA is the

conservation of the foreign exchange

resources of the country and the proper

utilization thereof in the interests of the

economic developments of the country.

The Companies Act, 1956

• This Act provides for a greater government

control over the formation and

management of companies.

The Monopolies and restrictive Trade

Practices Act, 1969

• The main objective of this Act is to control

the concentration of economic power and

monopolies and to prohibit monopolistic

restrictive and unfair trade practices. The

act has restricted and stopped many

misleading advertisements, adulteration

and all sorts of false trade practices.

The Essential Commodities

Act, 1955• It was set to provide in the interest of the

general public, control of production,

supply and distribution of trade and

commerce in certain commodities.

Some of the other laws to control

business behaviour are

• The capital issues control act 1956

• The securities contracts act 1956

• The imports and exports act 1947

• The Indian Patents Act.1970

• The partnership Act.1932

• The sale of goods act 1930

• The consumer Protection act 1986

Laws relating to weaker Section

(ie, children and women)

• The Factories Act, 1948

• The Mines Act, 1952

• The Plantation Labour Act, 1951

• The employment of children Act, 1938

• Maternity Benefit Act, 1961

Laws relating to Specific

Matters-• Wages

– The payment of wages Act, 1963

– The minimum Wages Act, 1948

– The Equal Remuneration Act, 1976

Laws relating to Specific

Matters-• Social Security

– Workmen Compensation Act, 1923

– Retrenchment Benefit Act

– The payment of Bonus Act, 1965

– Employee State Insurance Act, 1948

– Fatal Accident Act, 1955

• Trade union Act, 1926

• Industrial dispute Act, 1947

• The workmen compensation Act, 1923

• Bonded Labour system(Abolition)Act,

1976