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Chapter113.ppt1
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To set the stage for the rest of the book and provide a context for discussion international organizational behavior topics.
To sketch out the important shifts that have taken place in recent years with respect to developing nations.
To examine key trends facing companies today as they manage people across cultures and borders.
To explore the present conceptual foundations of culture that will be used throughout the book.
To identify how firms evolve internationally and the strategies they use to compete abroad.
Learning Goals for This Chapter
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International Business Growth: Globalization and the Rise of Emerging Markets
China’s economy has grown 1,000% in the past 30 years.
Foreign direct investment (FDI) is flowing into developing countries, especially the BRIC (Brazil, Russia, India, and China) nations.
Increased gross domestic product (GDP) of developing nations is creating newly affluent consumers with disposable income.
The potential in African markets is yet to be developed.
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International Challenges in Doing Business and Managing Talent
Emerging market complexity
Competition for talent
Offshoring and onshoring
Workforce diversity
Currency volatility
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Table 1.1 The 25 Most Competitive Nations in 2010
1 Singapore
2 Hong Kong
3 United States
4 Switzerland
5 Australia
6 Sweden
7 Canada
8 Taiwan
9 Norway
10 Malaysia
11 Luxembourg
12 Netherlands
13 Denmark
14 Austria
15 Qatar
16 Germany
17 Israel
18 Mainland China
19 Finland
20 New Zealand
21 Ireland
22 United Kingdom
23 Korea
24 France
25 Belgium
Effectively Managing International Organizational Behavior: A Skills Profile
Business practices
Change agent
Cultural adaptability
Cultural sensitivity
Decision making
Delegation
Line management
Mental maturity
Multidimensional perspective
Negotiation
Resourcefulness
Team building
Vision
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Table 1.2 Measuring Up: Desired Skills and Attributes for Managing International Organizational Behavior
| Area | Description of Desired Skills and Attributes |
| Business practices | Understands differences in business practices across countries |
| Change agent | Record of successfully initiating and implementing change |
| Cultural adaptability | Adapts quickly to foreign cultures, diverse cross-cultural experience |
| Cultural sensitivity | Effective at leading people from many cultures, nationalities, and religions |
| Decision making | Successful strategic planner across different international situations |
| Delegation | Delegates effectively in cross-cultural contexts |
| Line management | Record of success in overseas projects and assignments |
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Table 1.2 Measuring Up: Desired Skills and Attributes for Managing International Organizational Behavior (cont.)
| Area | Description of Desired Skills and Attributes |
| Mental maturity | Possesses the endurance required for the rigors of foreign postings |
| Multidimensional perspective | Extensive multifunctional, multicountry, and multienvironment experience |
| Negotiation | Record of successful business negotiations in multicultural contexts |
| Resourcefulness | Record of acceptance by host country’s government and business elite |
| Team building | Record of creating culturally diverse work groups that meet the firm’s goals |
| Vision | Quickly spots and responds to threats and opportunities in the host country |
Developing and Growing Internationally: Conceptual Building Blocks
The Pervasive Impact of Culture
“Collective programming of the mind”
Cultural differences within countries
Views and behaviors of managers
Cultural convergence and globalization
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Multinational Enterprises: History, Development, and Strategic Options
Stages in international corporate development
Stage 1: Exporting
Stage 2: Sales subsidiaries
Stage 3: International division
Stage 4: Multinational
Stage 5: Global or transnational
Stage 6: Alliances and partnerships
Different drummers: Emerging market multinationals
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Strategic Choices for International Business
Global integration and local responsiveness
The international strategy
The multidomestic strategy
The global strategy
The transnational strategy
The regional strategy
The key: creating buy-in when developing an international strategy
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Figure 1.1 Choosing an International Strategy: Horses for Courses
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Figure 1.2 Developing International Strategy: Recommendations for a Fair Process
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Developing Your International Career: Do You Have a “Global Mindset?”
Global Mindset
Social capital
Intellectual capital
Psychological capital
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