1. How would you characterize the main economic, legal-political, and sociocultural difference influencing the relationship between the partners in Shui Fabrics? What GLOBE Project dimensions would help you understand the differences in Chinese and American perspectives illustrated in the case?
2. How would you define Shui’s core problem? Are sociocultural differences the main underlying cause of this problem? Why or why not? How would you handle the conflict with your boss back in the United States?
3. If you were Ray Betzell, what other options to the 50-50 joint venture would you consider for manufacturing textiles in China? Make the argument that one of these options is more likely to meet Rocky River’s expectations than the partnership already in place.

Ray Betzell, general manager for the past five years of a joint venture between Ohio-based Rocky River Industries and Shanghai Fabric Ltd., was feeling caught in the middle these days. As he looked out over Shanghai’s modern, gleaming skyline from his corner office, Ray knew that his Chinese deputy general manager, Chiu Wai, couldn’t be more pleased with the way things were going. Ten years ago Rocky River had launched Shui Fabrics, a 50–50 joint venture between the U.S. textile manufacturer and the Chinese company, to produce, dye, and coat fabric for sale to both Chinese and international sportswear manufacturers.