Preview

Ethical Dilemma

Powerful Essays
Open Document
Open Document
1565 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Ethical Dilemma
Ethical Dilemma
International OB: Managing across Cultures.
3M tries to make a difference Russia

Should 3M export its American ethical standards to Russia?

1. If 3M doesn’t like the way things are done in Russia, it shouldn’t do business there. Explain your rationale. I do not agree with this statement. From my marketing perspective, it is a challenge of 3M in order to go worldwide, and this is a challenge they should take. Russia is booming in oil and gas, mining, construction, IT, retail, and service sectors. (Klumov, 2006). 3M should realize its company is a world leader in a wide range of business areas industrial and office market telecommunication, traffic control materials, and many others (3M.com, 2008). Therefore, I don’t think it is a hard job for 3M to do business in Russia. A ton of 3Mproducts could supply to the Russia local market needs. According to the Organization Behavior (OB) concerns, American and Russia culture are different, but they have some similarities. Both countries are multi-ethnic, continental, great powers, expansionists, tamed a wilderness, and settled by a variety of diverse groups. The countries both think “Big” are energetic and inventive. (Richmond and Goehner, 1998). Another supporting that doing business in Russia is possible is the results of research of Mikhail Gratchev, 1996 CPE Ethics Fellow, (1999). He found, there were certain similarities in ethical perceptions regarding corporate activities. For example, in calling in sick in order to take a day off, in using company time for non-company benefits, and even in divulging confidential information to parties external to the firm. One third of Russian respondents and one-fifth of Americans mentioned it was ethical to use company services for personal use (p. 8). In short, 3M should do business in Russia. It will not be easy at the beginning, but in the long run, success is just around the corner. 2. 3 M should do business in Russia but not meddle in



References: 3M.com. (2008). Our company. Retrieved on January 28, 2008. Carlson, M. (2007). Hall humanities lecture 10 April 2007 7:30 pm. Woodruff Auditorium, Kansa Union. Lawrence: University of Kansas. Retrieved on January 28, 2008 from http://duscholarworks.ku.edu/dspace/bitstream/1808/1368/1/carlson _hall_lecture_10apro7.pdf. Fey, F., C. & Shekshnia, S. (2007). How to do business in Russia. Business Insight. Retrieved on January 28, 2008 from http://sloanreview.mit.edu/wsj/insight/global/2007/10/26/ Goehner, D., & Richmond, Y. Summarized by Goehner, D. (1998). Russian/American cultural contrasts. Mining Co. Retrieved on January 28, 2008 from http://www.goehner.com/russinfo.htm. Gorrill, R., J. (2007). Doing business in Russia/Russian social and business culture. Communicaid Ltd. 2007: Source: CIA the world factbook 2007. Retrieved on January 28, 2008 from http://www.communicaid.com/cross-cultural- training/culture-for-business-and-management/doing-business-in/Russian- business-and-social-culture.php Gratchev, M. (1999). CPE celebrates success with Rosenberg project “drama discussions”: Ethical Russian entrepreneurship: Does it exist? (vol. 1. n. 4). Western Reserve University: Center for professional ethics. Retrieve on January 28, 2008 from http://www. Case.edu/groups/cpe/issues/summer1999.pdf Klumov, G. (2006). Seal your deal in Russia’s economic boom. Australian Government Austrade. Retrieved on January 28, 2008 from www.austrade.gov.au/Article Documents/1418/GK-presentation-whn-Russia-web.pdf.aspx- Kreitner, R. & Kinicki, A. (2007). Organizational behavior. (7th ed.). New York: McGraw-Hill Irwin.

You May Also Find These Documents Helpful

  • Good Essays

    I. The world has wondered what to believe about Russia for centuries. The country has been known to have unbelievable riches, tyrants, great minds, beautiful ballets and indescribable poverty. St. Basil Cathedral, the Moscow Kremlin, the Red Square.…

    • 651 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    3M refer to themselves as a global Innovation Company. They have five major departments that they specialize in consumer, electronics and energies, health care, industry, and safety and graphics. As a whole the company dates back to 1902, however they have only had there foot in the medical field since the 1980’s. They have a global sales of $30 billion last year reinvesting 1.5 billion of that to research and development. They have three CACS programs available for implementation with a…

    • 979 Words
    • 4 Pages
    Powerful Essays
  • Satisfactory Essays

    1. Why are Russia and Eastern Europe of interest to international managers? Identify and describe some reasons for such interest.…

    • 455 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    It is no secret that the Russian government is very different from the United States, which may be a bit intimidating for an American journalist entering into the unfamiliar political world of Bloomberg. Relocating from a completely individualistic society to a collectivist society will require major adjustments when collaborating in an intercultural environment. Since Russia is mainly collectivist, the power distance between power holders and society is very approachable. When compared to the United States, this may not always be the case; this is very different from the American way of life because power distance is obvious, while it may not always be in the Russian culture. “Power distance is defined as the extent to which less powerful members of society expect and accept that power is distributed unequally” (Jandt, p.168). Geert Hofstede explains this power distance and how it is measured in his cultural dimensions theory.…

    • 1546 Words
    • 7 Pages
    Good Essays
  • Good Essays

    Dti in Russia

    • 2471 Words
    • 10 Pages

    Lesson 2~Granum learned from the analyses of the GLOBE indicators and rankings for Russia that there where some cross-cultural differences that could create serious obstacles for developing an organizational culture for the Russian subsidiary. That most Russian managers’ willingness to launch large-scale projects, decisiveness, and ability to make decisions and assume responsibility, ability to react quickly and operate in an unstable environment were conveyed through the comparison of the Russian and American Globe profiles. But with the recent changes, Granum feels that these are examples of positive corporate cultures.…

    • 2471 Words
    • 10 Pages
    Good Essays
  • Powerful Essays

    Many reports, studies and TV programs are stating that corruption is a way of life for Government officials in Russia and bribe-taking is a routine practice throughout the Russian bureaucracy. There are many cases of government officials demanding bribes, also of their connections and even partnership with criminals and others covert business groups. Solving difficulties by bribing officials became some kind of natural policy for doing business for Russian businessmen and for foreign investors, even for the ordinary people too. According to a poll conducted in early 2010, 15% of Russians…

    • 3378 Words
    • 14 Pages
    Powerful Essays
  • Powerful Essays

    Most 3M products involve expertise in product development, manufacturing and marketing, and are subject to competition from products manufactured and sold by other technologically oriented companies.…

    • 3242 Words
    • 13 Pages
    Powerful Essays
  • Satisfactory Essays

    Russia is currently involved in several forms of international economic integrations, and is also trying to gain access to new ones in the future. Russia is a member of the Asian-Pacific Economic Cooperation(APEC), Black Sea Economic Cooperation(BSEC), Eurasian Economic Community, and is currently petitioning to join the European Union, as well as, the World Trade Organization.…

    • 414 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    There are many cultural differences between France and Russia that a businessman should know before he goes to Russia in order to adapt himself and limit the risk of an intercultural issue. First, it is important to consider the past of Russia, who was part of the former Soviet Union. People who experienced this regime do not have the same mindset as younger people. The same phenomenon can also be observed with companies. Corporate culture can be totally different depending on its historical background. For example, companies who are less than ten years old usually have a low distance with hierarchy, whereas older ones are much more vertical and bureaucratic. Russia is in fact a very fragmented country and it is important to get a maximum of information about your interlocutors before you meet them. One of the main differences between France and Russia is certainly the importance of relations as a success factor in business. It is crucial to develop and keep alive a strong network of contacts in Russia. Without the help of a Russian, it is almost impossible to do business there. This point can be explained by the fact that Russians do not trust their legal system to solve conflicts. For example, reforms can be taken anytime and two laws can be contradictory. That is why they value human relations much more and need to trust the person they are…

    • 1853 Words
    • 8 Pages
    Better Essays
  • Powerful Essays

    Doing Business in Russia

    • 5062 Words
    • 21 Pages

    CIA – The World Factbook Suutari, Vesa., International Journal of Human Resource Management, Apr98, Vol. 9 Issue 2, p235, 24p [4176324] Roemer, C., Garb, P., Neu, J., & Graham, J. (1999). A Comparison of American and Russian Patterns of Behavior in Buyer-Seller Negotiations Using Observational Measures. International Negotiation, 4(1), 37-61. doi: 10.1163/15718069920848363. A Country Study: Russia (Federal Research Division, Library of Congress) Russian/American Culture Contrasts - Research by Duane Goehner and Yale Richmond Gilbert, Kate. In Search of Russian Culture: the interplay of organisational, environmental and cultural factors in Russian-Western partnerships. University of Wolverhampton. Working Paper Series 2001 Naumov A, Puffer S. Measuring Russian Culture using Hofstede 's Dimensions. Applied Psychology: An International Review [serial online]. October 2000;49(4):709. Available from: Business Source Complete, Ipswich, MA. Accessed September 26, 2010. Bollinger, D. (1994). The four cornerstones and three pillars in the 'House of Russia ' management system. Journal of Management Development, 13(2), 49-54. Veiga, J.F., Yanouzas, J.N., and Buchholtz, A.K. (1995). Emerging cultural values among Russian managers: What will tomorrow bring? Business Horizons, July-August: 20-27. "Russia Country Insight". globalEDGE. Accessed 3 February 2010. Ivanchuk, Sergei . "Russia - ExecutivePlanet.com." Main Page - ExecutivePlanet.com. Accessed 3 February 2010. http://www.clamart.net/cross-culture/Pages/well2eng.html http://www.worldbusinessculture.com/Business-in-Russia.html…

    • 5062 Words
    • 21 Pages
    Powerful Essays
  • Good Essays

    3M has an impressive performance when it comes to developing new products. 3M hires good hardworking people and puts trust in them; this brings about innovation and excellent performance. 3M ensured that developing new products is much higher on the agenda in management meetings than in other companies. Moreover, the success of the approach is due to the continual reinforcement of its objectives. 3M has concentrated the internal development of new products in a variety of different industries. 3M manufacture over 60,000 products; they have operations in 61 countries and have achieved an n average year-on-year growth in sales of 10 percent. New products that are less than 4 years old represent Thirty Percent of 3M’s sales.…

    • 789 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Russia Legal System

    • 448 Words
    • 2 Pages

    The business culture of Russia stems around superiority. Firm handshakes are a sign of power and coincide with their dictatorship attitudes. They are resistant to the western civilized ways which is a measure of…

    • 448 Words
    • 2 Pages
    Good Essays
  • Better Essays

    An important part of international exchange is to understand the foreign culture of a country in terms of background, practice and business protocol of the country. In their book Morrison and Conway (2006, p. viii) demonstrate how a simple mistake could have irreversible consequences in international trade. As they explain , every country has a different background which influences businesses behaviour. For example, Belarus proclaimed its independence in 1991. Morrison and Conway (2006, pp. 29, 31) state that even though Russia still influences its education and media interest, it is important to consider its own identity. In fact, Belarusians could be intransigeant for some minor mistakes made about their culture. Then, all businesses need to know the overseas companies practice which are indispensable to create and maintain a good…

    • 1446 Words
    • 5 Pages
    Better Essays
  • Powerful Essays

    Besides huge research costs and different/complicated diversions you are facing when investing in Russia, it would definitely be worth taking it in consideration in my opinion.…

    • 2378 Words
    • 10 Pages
    Powerful Essays
  • Satisfactory Essays

    We, Russians, may drive to work in a car designed in Europe, assembled in Korea, manufactured in China, and shipped by a Middle Eastern company. We may wear clothes and shoes made in China, and sometimes depending on your dining preferences eat Italian, Japanese, Chinese, or Georgian food. And as for entertainment flat screen televisions manufactured in China, the Sony PlayStation, the Apple iPod and iPhones, which have become more and more popular gadgets in the Russia.…

    • 319 Words
    • 2 Pages
    Satisfactory Essays