Managing Across Cultures Case Study
Managing Across Cultures Semester 1 2013
Sally Anne Gaunt sallyanne@chameleontraining.com.au Tel 0405 814 906
Everyone should form the most diverse team possible, if not please see your tutor Each team will be given a group number on 2 dimension to present for the peer reviewed presentation
East team must choose to counties one host country and home county you can choose any countries expect:
Your own country Those countries covered in the case studies i.e. China, India,
Sweden, Japan, Italy, Switzerland, US, Mexico, Venezuela, Mongolia, Hong Kong, The Netherlands, Japan
Any country already chosen by any other team in your tutorial
group
Each team must have chosen a case study (Does …show more content…
not have to be completed until week 3 but is based on first come first serve)
Case study to have read in the textbook case-study: Young, MN & Liu, D 2009, 'Hong Kong Disneyland', pp.
148 -60
If you need a consolation with any member of MGMT2102 staff please book an appointment
Where possible request your consolation on the same day as your tutorial
In your first tutorial, wk 1, you will form a diverse team with other class members. Please aim to have at least 2 different nationalities in each team (if you do not have a diverse team it will be very difficult to complete your reflection exercise in your final exam). There must be at least six teams in each tutorial consisting of no more than 5 people per team
wk 1: Course introduction
wk 2: Managing in the global …show more content…
environment wk 3: Understanding the role of culture wk 4: Communicating across cultures
Mid Semester break
wk 5: Cross-cultural negotiations bribery and plagiarism wk 6: Exam
Codes at the bottom left of the page Examples 80 Page number further information can be found in the textbook Relevant reading to the subject under discussion Information covered in lecture only
Rifkin, G. 2006 L/O
Cultural variables Managing international risk Trading blocks
The Law of Requisite Variety:
The species with the most flexibility of behaviour will control the system
L/O
How is the world of business changing? What a the cultural management implications?
What are the three key things you need to create wealth and economic growth?
How have these factors changed in the last 50 years ?
Hotelier
Country A
Hotelier
What political and legal factors would a hotelier from Country A
consider if they were going to open a hotel in one of the Pacific
Islands:
What economic and technological factors would a Managing Director
of a large hotel chain in Sydney need to consider if they were going to open a hotel in one of the Pacific Islands:
57, 59, 66-67 289 -297
Reliability of the postal service
Competition Customer base (is there a need for the product or service) 57, 59, 66-67 289 -297
10
By 2029 80% of the world’s output will derive from global markets
Alon, I & Higgins, JM 2005 p. 1
Global Rank
24 25 26 28 41 56
Company
Wal-Mart Stores Exxon Mobil Royal Dutch Shell Saudi Arabia Thailand Malaysia
2007 Revenues ($ millions)
361,139.0 347,250.0 318,845.0 286,200.0 196,600.0 131,800.0 10
Political Environment
Economic Environment
Legal Environment
Technological Environment
Managing political, legal and economic risk
Direct Indirect
Defensive/ reactive
1. Legal action 2. Host operations dependent on home control 3. Makeup of management 4. Diversification
1. Risk insurance 2. Contingency planning 3. Home-country government pressure on Host-country government
Proactive/ merging
1. Joint ventures 2. Licensing agreements 2. Other host partners 3. Promote host goals
1. Lobbying home and host governments 2. Corporate citizenship in host country
78
The legal environment of international business
International Law
Regional Laws EU
National Laws
NAFTA
Consider the costs and feasibility of winning a court case
Sebenius, JK 2002 81
Free trade – No economic barrier to trade – tariffs and customs removed
Customs union – Same customs used by all member states creating fair competition Common market – Freedom of movement for resources including labour
Economic union – Harmony established for environmental, health, safety, agricultural and technical standards Political union - Standards set to prevent civil unrest and civil war
Sebenius, JK 2002 30-31 and 90 -91
AANZFTA ASEAN Australia New Zealand Free Trade Agreement (took four years to negotiate) Underway is FTA’s with India, China, Korean and Japan but we are unsure which will be finished first
Is free trade always good?
Paine, LS, Deshpande, R, Margolis, JD & Bettcher, KE 2005 p.8
Economy Politics - Democratic, communist, or dictatorial, imposes varying constraints on an organization and its freedom to do business History – Occupation by other cultures, wars including civil wars and revolutions
Education – Level’s of awareness Technology - Including transport telecommunications and household i.e. refrigeration Legal environment Religion
Health
Recreation – Dominance of sport, arts and other activities
115
Is free trade always good? Has any one changed their minds
Economy Politics - Democratic, communist, or dictatorial, imposes varying constraints on an organization and its freedom to do business History – Occupation by other cultures, wars including civil wars and revolutions
Education – Level’s of awareness Technology - Including transport telecommunications and household i.e. refrigeration Legal environment Religion
Health
Recreation – Dominance of sport, arts and other activities
115
How has history influenced your culture?
L/O
How can we understand the effects of all these variables when we need to manage diversity
One option is to break them down and categorize them
How can we understand the effects of all these variables when we need to manage diversity
One option is to break them down and categorize them
‘In his book The beak of the Finch Jonathan Weiner talks about an insect that was found preserved in amber. The specimen, millions of years old, is identical in appearance to that species living today – with one big
difference. The present-day insect has developed the ability to shed its legs and regenerate new ones after touching plants covered with pesticides. Surprisingly, this ability has evolved just since the time of World War II, when
pesticide use began. The lesson to be learned is that evolution (change) doesn’t happen without stress, and it can happen quickly.’
Chouinard, Y 2006, Let My People Go Surfing: The Education of a Reluctant
Businessman, Penguin Group, New York pp.
183-185
Sally Anne Gaunt sallyanne@chameleontraining.com.au Tel 0405 814 906
Everyone should form the most diverse team possible, if not please see your tutor Each team will be given a group number on 2 dimension to present for the peer reviewed presentation
East team must choose to counties one host country and home county you can choose any countries expect:
Your own country Those countries covered in the case studies i.e. China, India,
Sweden, Japan, Italy, Switzerland, US, Mexico, Venezuela, Mongolia, Hong Kong, The Netherlands, Japan
Any country already chosen by any other team in your tutorial
group
Each team must have chosen a case study (Does …show more content…
not have to be completed until week 3 but is based on first come first serve)
Case study to have read in the textbook case-study: Young, MN & Liu, D 2009, 'Hong Kong Disneyland', pp.
148 -60
If you need a consolation with any member of MGMT2102 staff please book an appointment
Where possible request your consolation on the same day as your tutorial
In your first tutorial, wk 1, you will form a diverse team with other class members. Please aim to have at least 2 different nationalities in each team (if you do not have a diverse team it will be very difficult to complete your reflection exercise in your final exam). There must be at least six teams in each tutorial consisting of no more than 5 people per team
wk 1: Course introduction
wk 2: Managing in the global …show more content…
environment wk 3: Understanding the role of culture wk 4: Communicating across cultures
Mid Semester break
wk 5: Cross-cultural negotiations bribery and plagiarism wk 6: Exam
Codes at the bottom left of the page Examples 80 Page number further information can be found in the textbook Relevant reading to the subject under discussion Information covered in lecture only
Rifkin, G. 2006 L/O
Cultural variables Managing international risk Trading blocks
The Law of Requisite Variety:
The species with the most flexibility of behaviour will control the system
L/O
How is the world of business changing? What a the cultural management implications?
What are the three key things you need to create wealth and economic growth?
How have these factors changed in the last 50 years ?
Hotelier
Country A
Hotelier
What political and legal factors would a hotelier from Country A
consider if they were going to open a hotel in one of the Pacific
Islands:
What economic and technological factors would a Managing Director
of a large hotel chain in Sydney need to consider if they were going to open a hotel in one of the Pacific Islands:
57, 59, 66-67 289 -297
Reliability of the postal service
Competition Customer base (is there a need for the product or service) 57, 59, 66-67 289 -297
10
By 2029 80% of the world’s output will derive from global markets
Alon, I & Higgins, JM 2005 p. 1
Global Rank
24 25 26 28 41 56
Company
Wal-Mart Stores Exxon Mobil Royal Dutch Shell Saudi Arabia Thailand Malaysia
2007 Revenues ($ millions)
361,139.0 347,250.0 318,845.0 286,200.0 196,600.0 131,800.0 10
Political Environment
Economic Environment
Legal Environment
Technological Environment
Managing political, legal and economic risk
Direct Indirect
Defensive/ reactive
1. Legal action 2. Host operations dependent on home control 3. Makeup of management 4. Diversification
1. Risk insurance 2. Contingency planning 3. Home-country government pressure on Host-country government
Proactive/ merging
1. Joint ventures 2. Licensing agreements 2. Other host partners 3. Promote host goals
1. Lobbying home and host governments 2. Corporate citizenship in host country
78
The legal environment of international business
International Law
Regional Laws EU
National Laws
NAFTA
Consider the costs and feasibility of winning a court case
Sebenius, JK 2002 81
Free trade – No economic barrier to trade – tariffs and customs removed
Customs union – Same customs used by all member states creating fair competition Common market – Freedom of movement for resources including labour
Economic union – Harmony established for environmental, health, safety, agricultural and technical standards Political union - Standards set to prevent civil unrest and civil war
Sebenius, JK 2002 30-31 and 90 -91
AANZFTA ASEAN Australia New Zealand Free Trade Agreement (took four years to negotiate) Underway is FTA’s with India, China, Korean and Japan but we are unsure which will be finished first
Is free trade always good?
Paine, LS, Deshpande, R, Margolis, JD & Bettcher, KE 2005 p.8
Economy Politics - Democratic, communist, or dictatorial, imposes varying constraints on an organization and its freedom to do business History – Occupation by other cultures, wars including civil wars and revolutions
Education – Level’s of awareness Technology - Including transport telecommunications and household i.e. refrigeration Legal environment Religion
Health
Recreation – Dominance of sport, arts and other activities
115
Is free trade always good? Has any one changed their minds
Economy Politics - Democratic, communist, or dictatorial, imposes varying constraints on an organization and its freedom to do business History – Occupation by other cultures, wars including civil wars and revolutions
Education – Level’s of awareness Technology - Including transport telecommunications and household i.e. refrigeration Legal environment Religion
Health
Recreation – Dominance of sport, arts and other activities
115
How has history influenced your culture?
L/O
How can we understand the effects of all these variables when we need to manage diversity
One option is to break them down and categorize them
How can we understand the effects of all these variables when we need to manage diversity
One option is to break them down and categorize them
‘In his book The beak of the Finch Jonathan Weiner talks about an insect that was found preserved in amber. The specimen, millions of years old, is identical in appearance to that species living today – with one big
difference. The present-day insect has developed the ability to shed its legs and regenerate new ones after touching plants covered with pesticides. Surprisingly, this ability has evolved just since the time of World War II, when
pesticide use began. The lesson to be learned is that evolution (change) doesn’t happen without stress, and it can happen quickly.’
Chouinard, Y 2006, Let My People Go Surfing: The Education of a Reluctant
Businessman, Penguin Group, New York pp.
183-185