Ethics, Law & Governance · Compliance & Regulation

Trade, Rules and Risk — Saraswati's WTO Bind

A four-round, advanced international-trade-law and sustainability simulation set inside Saraswati Textiles & Exports Ltd., a Tiruppur (Tamil Nadu) cotton-knitwear exporter — INR 1,180 crore revenue, 11% EBITDA (INR 130 crore), ~INR 85 crore free cash flow, 3,200 workers (60% women), a first-in-region

4 rounds Executive English, Español

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About this simulation

A four-round, advanced international-trade-law and sustainability simulation set inside Saraswati Textiles & Exports Ltd., a Tiruppur (Tamil Nadu) cotton-knitwear exporter — INR 1,180 crore revenue, 11% EBITDA (INR 130 crore), ~INR 85 crore free cash flow, 3,200 workers (60% women), a first-in-region zero-liquid-discharge plant, and 14 unaudited sub-contracted dyeing/embroidery units carrying roughly a third of dye volume.

On 4 March 2026 the European Union (48% of exports) freezes a INR 96 crore spring shipment and opens a compliance review citing a new supply-chain environmental and human-rights due-diligence import measure, plus an NGO complaint alleging hazardous effluent and excessive overtime at two sub-contractors. India's trade ministry signals a WTO-style dispute calling the measure a disguised barrier.

But the clocks collide: the dispute runs 18–36 months while the largest buyer (22%, INR 260 crore) will suspend orders within 30 days, a second buyer demands a third-party audit within 60 days, and the NGO publishes a named report in 45 days.

Playing the General Counsel, you (1) diagnose the three exposures — legal, commercial, reputational — and rank them by severity AND speed; (2) choose a legal-compliance posture: Fight (back the WTO challenge), Comply (file an unreserved remediation plan), or Hybrid (comply commercially while reserving the trade-law argument and separating the firm from the state); (3) design a costed, time-phased human-rights due-diligence package within free cash flow — which sub-contractors to audit, remediate, in-source or responsibly exit, whether to engage the NGO, and what verifiable evidence converts a promise into compliance; and (4) integrate it into one board-and-buyer defence.

The math rewards a reserved-rights hybrid, funded and verifiable remediation that protects the women workers, and proactive stakeholder engagement — and punishes the five classic general-counsel errors: litigation tunnel vision, the unreserved confession that undercuts the state's dispute, underfunded remediation auditors will expose, wholesale sub-contractor termination that relocates rather than remediates harm, and single-KPI optimisation.

Four board KPIs track Legal Exposure, Market Access, Compliance Cost and Reputational Risk over an 18-month horizon.

Who it is for

An advanced simulation for participants used to working with the main frameworks and trade-offs of the subject, designed for executive education and experienced professionals.

How a session runs

  1. The instructor creates a session from the Eureka dashboard and invites the participants.
  2. Participants play 4 rounds. In each one they submit their decisions and the simulation calculates the results.
  3. The simulation can be run in English, Español.
  4. The instructor follows each participant's progress and results from the dashboard, and uses the class results for the debrief.

Decisions participants make

The decisions participants make during the simulation:

  • Rank the three exposures by what binds first — severity AND speed.
  • Be honest with the board: is Saraswati itself non-compliant?
  • How sharply do you quantify revenue-at-risk for the board? (% you flag as existential)
  • Choose the legal-compliance posture and justify it.
  • Align with, or distance from, the government's dispute?
  • Which clock do you tell the board governs the next 60 days?
  • For units you will not remediate, how do you exit?
  • The NGO publishes in 45 days. How do you respond?
  • Buyer-facing remediation letter to the largest buyer (22%, ₹260 crore).
  • Board pitch: reconcile the four KPIs into one recommendation.

What participants track

What participants follow on screen as the rounds go by:

  • Market Access, Legal Exposure & Reputational Risk Trajectory

Subjects covered

Designed for courses in Compliance & Regulation.

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