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The case has the following learning objectives: to understand the dilemmas that an emerging market MNC faces during pre-and post-acquisition scenarios; understand and appreciate the basic tensions that arise when two different companies with different cultural setups are integrated; understand the importance of creating a culture integration road map to leverage the synergies of two successful companies; and understand the role of leadership in leading and managing change.

Asian Paints Ltd. has been a market leader in the Indian paint market for over five decades (since 1967). Over the years, starting in 1978, the company has steadily spread its footprint in the international arena as well. As of 2017, Asian Paints was a leader in 10 overseas markets, one of the top 3 paint companies in the Middle East, the largest paint manufacturing company in South Asia, and served 60 markets across the world. The international business contributed to around 12% of the company’s group turnover. In line with its long-term vision and to consolidate its presence in emerging markets, the company acquired Causeway Paints, a leading paint company in Sri Lanka, in April 2017. Asian Paints had a presence in Sri Lanka since 1999. Mr. Jatin Upadhyay, International Business Unit Head for Asian Paints, had played significant roles in the past in such acquisitions and was well aware of the impending challenges that came with such acquisitions. How would the integration of the two distinct entities be made possible without losing the overarching objective? How would the transition be managed? How would the cultural transition take place? What and how would the role be handled by the General Manager (GM) of Causeway Lanka? How would the new organisational structure support the transition? The case illustrates the complex management challenges that arise when a leading enterprise from a different country (Asian Paints) acquires a leading company in a different country, in this case, Causeway Paints, Sri Lanka.

The target audience for this case study is the students pursuing a post-graduate programme in management or an executive post-graduate programme in management. The case can also be used for management development programmes for experienced participants who are interested in understanding the possible scenarios that may arise after an acquisition when managing an international subsidiary in a different cultural setting.

Teaching notes are available for educators only.

CSS 6: Human Resource Management.

The saga of Market Basket took place over a period of months during which a significant upheaval occurred in the long-successful business. The turmoil drew in a broad range of stakeholders. In a rare chain of events, non-unionized workers and managers engineered a change in senior management of the company. Their willingness to sacrifice their livelihoods in support of one person exemplifies the impact that can be made by a single, authentic, leader. This case draws upon secondary sources which provide insight into broad panoply of business and organizational behavior issues. The primary focus of the case, however, is leadership.

This case was developed using secondary sources and court documents that reported on the events that precipitated the problems at Market Basket as well as the strike and aftermath.

Management principles, organizational behavior. All undergraduate class levels would be appropriate.

This case exemplifies these three major theories in a real-life situation: stakeholder theory, corporate culture theory, organizational commitment.