International Business Study Guide
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List and discuss the 3 forms by which MNC's run the risk of their assests becoming hostage to host control?
- Nationalism: Public opinions is rallied in favor of national goals and against foreign influence
- Protectionism: Host institutes of partial or complete closing of borders to withstand competitive foreign products
- Governmentalism: Government uses its policy setting role to favor national interests
- ex. Britains decision to privatized its telephone system
Describe the influence of marketing, production, human resources and finance of the Host Country culture?
- Marketing :Price fixing, graphic advertisement
- Production: labor laws, safety and hazard
- finance: taxes
- hr: employee pay
How can we reduce noise in cross cultural communication?
- Trust in communication.
- Understand the differences in communicating styles and values will help to reduce barriers.
What problems may a person form a high context culture encounter in your first low context culture?
High context communicators perceive low contexters as rude or abrupt and not concerned about building a relationship. Low context communicators perceive high contexters as ambiguous,having something to hide or beating around the bush. Lazy, never having done what was agreed.
List and discuss six variables in the negotiation process.
- Concern with protocol
- complexity of the communicative context
- nature of the persuasive context
- role of individual aspiration
- risktaking propensity
- value of time
- bases of trust
- decision making system
In what ways might the American style of negotiation may be misinterpret in another culture. Give example
- The american desire to get down to business quickly may be perceived as a lack of interest.
- Americans think in a time frame that emphasizes the present and theshort-term future, while the Japanese think in a long-term rangeAmericans think in a time frame that emphasizes the present and theshort-term future, while the Japanese think in a long-term range
To what extent do you feel national culture is influenced by the country's educational system? and what other influences are they?
- Creates clear basis for mutual benefit
- improves predictability / strive to conflict and keep communication opened
- develops mutual binding
- Other Factors:
List and discuss 8 categories that form the subsystem of any society?
- Kinship: system adapted to guide family relationship
- education: formal or informal education of workers in a foreign firm affects the expectations placed on those workers int he workplace
- economy: whatever the economic system is, it has a powerful influence; sourcing,distribution incentives and repatriation of capital
- politics: the system of govt possess various constraints and its freedom to do business
- religion: spiritual beliefs of a society are so powerful that they transcend other cultural aspects
- associations: many arise out of formal/informal groups that make up a society
- health: system of healthcare affects employees productivity,expectations and attitude
- recreation: affects work behavior and perception of work role
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