MMD Asia Pacific Ltd. and the Development of a Global Business

MMD is a company founded in the United Kingdom by a brilliant technologist and entrepreneur, who developed a highly successful proprietary technology used in large-scale equipment used by the mining industry worldwide. MMD’s markets are increasingly found in the developing world, where the company’s clients are mining companies supplying minerals and fuels to global customers. Urged on by a Chinese entrepreneur looking for a growth opportunity, the business agreed to set up a Chinese subsidiary. This case deals with the development of the Chinese subsidiary and the impact it has had on the parent corporation. The focus of the case is the development of the Chinese operation, the reasons for its success in the China market and regionally, and the reverse flow of influence on the parent company, leading to a strengthening of MMD’s global competitive position. The case also provides the opportunity to study an alternative approach to management philosophy and culture based on Confucian values, the role of the leader as mentor and teacher, and whether such a management philosophy can be effective in a different cultural setting.