Q1
Vodafone Egypt and other two principal telco operators in Egypt were adversely affected during the Egyptian revolution. The companies received orders from the Egyptian government to shut down the mobile network in selected areas in a strategy where the government sought to neutralize protests in the 2011 Egypt revolution. The Egyptian government had violated several human rights, including rights to participate in elections, the right to an opinion, and the right to a fair hearing, among others. The people were determined, and the government was now seeking to shut down the main communication channels provided by Vodafone and its peer companies in the telco industry (Korotayev & Zinkina 2011). The entire world was watching the turn of events in Egypt while the government was desperate.
As a reputable company with subscribers from across the world, Vodafone was at an awkward position of decision making. The decision to either obey or disobey the Egyptian government directive would both come along with consequences. The company was made to choose either to follow the government or not in a move which would compromise their profits or loyalty to the Egyptian government. Besides, Vodafone had a mission to become one of the most admirable companies and to create a diverse ethical ground for everyone and to maintain a profitable business among others. Any choice of action would hamper one or two of their missions and objectives as a company.
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One possible course of action for Vodafone was to obey the directive given by the Egyptian government. This would mean shutting down mobile network in the listed areas and sending the propaganda SMS messages to their subscribers beseeching them to support the military rather than the protestors (Holmes 2012). Another alternative course of action would be partially obeying the government directive. This particular alternative would mean refusing to shut down mobile services in the selected areas. Instead, Vodafone would send the SMS messages to the people and beseech them to side with the Egyptian military rather than the protestors.
Disobeying the Egyptian government directive entirely was yet another alternative course of action for the giant telco company, Vodafone. Selecting this particular option would mean refusing to shut down mobile services in the chosen areas or sending SMS messages to their subscribers. This move would typically mean ignoring to help the Egyptian government in their desperate situation. Vodafone also had the option of setting proxy limits for mobile services in the country. This would mean verifying messages and limiting pro-evolution content generated by users and send SMS messages to its subscribers. This move would partially help the government achieve its goal but not in the way they wanted. Finally, the last possible course of action for Vodafone was shutting down data use except for cellular data. For this particular option, the telco company would shut down access to the internet and let their subscribers enjoy SMS and call services.
Q2
Choosing to obey the directive of the Egyptian government was one of the best options for Vodafone. Defying the government directive would possibly attract some consequences from the Egyptian government. Consequences like operational license withdrawal by the government and that would have stopped the company from operating in Egypt. Besides, Vodafone had a mission to expand its market share in Egypt, defying a government directive would not help them achieve that goal. Partially obeying the instruction by the Egyptian government would be a smart move to avoid making any mistakes. This would mean seeking to please the government and their customers/ the protestors at the same time. Being an international company of repute, it was important for Vodafone to preserve human rights. Doing that without triggering the wrath of the Egyptian government would best be through partially obeying the directives.
Completely disobeying the Egyptian government directive would be the most daring alternative action for Vodafone. The main reason behind this alternative would be the desire of the company to preserve human rights. The company had an aim of being ethical, responsible, and honest as well as the desire to create a sustainable community. Additionally, Vodafone needed to maximize profits. Therefore, refusing to support the government in their ill-intended drive against protestors would help succeed in these aims. Setting network proxy limits would also be a wise decision. Vodafone needed to do this to support the Egyptian government and maintain fairness on their subscribers. This move would mean suspending only inciting messages and letting other people enjoy the network. Notably, shutting down system would punish everyone, including non-protestors. This, therefore, was an alternative to punish the protestors alone.
Finally, banning the internet and sparing cellular data was another option to exhibit leniency on the side of Vodafone. The Egyptian government was asking for a way harsh punishment for mobile service users. As a way to salvage themselves from possible negative perception, Vodafone needed to impose a lesser harsh move on the people. Suspending data only and sparing cellular data offered such an opportunity for Vodafone.
Q3
The Egyptian Revolution put the Vodafone Chief Executive Officer (CEO), Hatem Dowidar in the most challenging position anyone can ever wish. Selecting the best alternative course of action after the government directive was such a decision that no other CEO would have wished to be tasked with. He stands in a position to defend the business position of his company, uphold the rule of law, observe ethics, win the hearts of the people, and meet their objectives at the same time. As CEO, I would have decided to obey the directive given by the Egyptian government. I would specifically shut down the mobile network in the selected places and proceed to send the SMS messages of propaganda to the people. I would use this to persuade the Egyptians to side with the Egyptian military instead of the protestors. Just like any other company operating in Egypt, Vodafone had a legal responsibility to obey the law and any directive given by the government regulating authority. The directive given by the Egyptian government was so direct and disobeying it meant disobeying the government of Egypt, which could attract possible sanctions. Having struggled to reach the levels of Vodafone in the Egyptian market, falling to government sanctions was the least I would allow my company falls to.
The telecommunication Industry had two other companies, Etisalat and Mohibinil had complied to the government directive, and it would, therefore, be fruitless to fight a losing battle. In as much as many people would have wished we disobey the Egyptian government, there was no way we would have succeeded with such plans when other players had already bowed to the government — refusing to disobey the orders when everyone else would make Vodafone an easy target for government intimidation. It would, therefore, be wise to obey the government and suspend mobile services in the selected areas as recommended by the Egyptian government.
Long periods of political instability are known reasons for economic downfalls in any country; such periods are characterized by riots, violence, and wars in general. The longer the revolution lasted, the worse situations got for the Egyptian economy, and the more losses companies were prepared to count, including Vodafone. Choosing to spread the message of patriotism and assist the government in putting an end to the protests would bring back hopes of a stable economy and a conducive environment for business. Moreover, shutting down mobile network shortly to achieve peace and a stable economy was inevitably the best choice to make. I would send the SMS and shut down the network to put an end to everything because that would be eventually good for business.
The Egyptian government had a significant impact on the country’s telecommunication industry. The government had a direct effect on market share. This, therefore, mean that defying the government directive would be suicidal. As CEO, I would make a decision that is in the best interest of the company. The company has an objective of being continuously profitable. Obeying the government directive would, therefore, be in our best interest. This is because it would secure the company’s market share as well as the company’s profits.
Q4
As CEO of Vodafone, I would need a lot of information to guide me decide on anything for the company, including the decision on the alternative course of action in a situation like above. The information on the vision and mission of the company is critical in making decisions because every decision must get along with the two. However, this information is not available in the case. If I were the CEO of the company, I would contact other long-life managers at the company and read through the company’s mission and vision statements to acquire this information.
The information on the culture of the organization is yet another critical piece of information which is missing from the case. Making decisions would require that I am well informed of the organization’s culture. To acquire such information, I would talk to other organizational employees, including top and middle-level managers, to get a glimpse of the culture of the organization. This will ensure that all decisions align with the organization culture and that the culture is not thrown to trash.
References
Korotayev, A., & Zinkina, J. (2011). Egyptian revolution: a demographic structural analysis. Entelequia. Revista Interdisciplinar , 13 (2011), 139-169.
Holmes, A. (2012). There are weeks when decades happen: structure and strategy in the Egyptian revolution. Mobilization: An International Quarterly , 17 (4), 391-410.
Clarke, K. (2014). Unexpected brokers of mobilization: Contingency and networks in the 2011 Egyptian uprising. Comparative Politics , 46 (4), 379-397.
Castells, M. (2014). The egyptian revolution. The Social Movements Reader: Cases and Concepts , 12 .
