Keywords: downsizing, emerging markets, entrepreneurship, organisational theory, leadership, Iran, culture, necessity, business owners, changing forces, environmental forces, small and medium–sized enterprises, SMEs, economy, economic policies, internal politics, external politics, China, global competition, global relations, managerial decentralisation, culturally sensitive changes, employee support, management support, globalisation
Downsizing in Iran: culture versus necessity
This case follows the experience of an Iranian small business owner facing changing environmental forces. The most notable forces of change are the Iranian economy and policies, internal/external Iranian politics and global competition and relations. In order to save the organisation the owner decides to downsize and decentralise aspects of managing the organisation. These changes are initially unpopular and culturally sensitive. Eventually, the owner succeeds with the changes and gains employee and management support.