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International Management: Managing Across Borders and Cultures, Text and Cases, Global Edition

International Management: Managing Across Borders and Cultures, Text and Cases, Global Edition

Helen Deresky

(2016)

Additional Information

Book Details

Abstract

For courses in international business, international management, and general management.

 

Management Around the World: Business Strategies and Interpersonal Skills

International Business is conducted around the globe across cultures, languages, traditions, and a range of economic, political, and technological landscapes. International Management: Managing Across Borders and Cultures examines the challenges to the manager’s role associated with adaptive leadership and thoroughly prepares students for the complicated yet fascinating discipline of international and global management.


No matter the size, companies operating overseas are faced with distinct scenarios. In order to be successful, they must accurately assess the components that shape their strategies, operations and overall function. The Ninth Edition trains students and practicing managers for careers in this evolving global environment by exposing them to effective strategic, interpersonal, and organizational skills, while focusing on sustainability.


Table of Contents

Section Title Page Action Price
Cover Cover
Title Page 1
Copyright Page 2
Brief Contents 5
Contents 7
Preface 13
Part 1 The Global Manager’s Environment 21
Chapter 1 Assessing the Environment: Political, Economic, Legal, Technological 22
Opening Profile: Western Businesses Scramble to Assess Their Risks in Russia as Geopolitical Tensions Escalate 23
The Global Business Environment 25
Globalization 25
Global Trends 26
Globality and Emerging Markets 26
Backlash against Globalization 29
Effects of Institutions on Global Trade 30
Effects of Globalization on Corporations 30
Small and Medium-Sized Enterprises (SMEs) 31
The Globalization of Human Capital 32
The Globalization of Information Technology 33
Management in Action: Global Cybertheft of Corporate Secrets an Increasing Risk 33
Regional Trading Blocs 34
The European Union 34
Asia 36
Comparative Management in Focus: China Loses Its Allure 37
The Americas 39
Other Regions in the World 40
The Russian Federation 41
The Middle East 41
Developing Economies 41
The African Union (AU) 41
The Global Manager’s Role 42
The Political and Economic Environment 42
Political Risk 44
Political Risk Assessment 45
Managing Political Risk 45
Managing Terrorism Risk 46
Economic Risk 46
The Legal Environment 47
Contract Law 48
Other Regulatory Issues 48
The Technological Environment 49
Under the Lens: The Global Role of Information Technology (IT) 51
Global E-Business 52
Conclusion 53
Summary of Key Points 54
Discussion Questions 55
Application Exercises 55
Experiential Exercise 55
Case Study: Apple’s iPhones—Not “Made in America” 56
Endnotes 58
Chapter 2 Managing Interdependence: Social Responsibility, Ethics, Sustainability 62
Opening Profile: The Bangladesh Disaster: Can Companies Outsource Responsibility for Workers in Its Supply Chain? 63
The Social Responsibility of MNCs 64
CSR: Global Consensus or Regional Variation? 67
From CSR to Shared Value? 67
Under the Lens: Nestlé Company Creates Shared Value Globally 68
MNC Responsibility toward Human Rights 69
Comparative Management in Focus: Doing Business in China—CSR and the Human Rights Challenge 70
Ethics in Global Management 72
Ethics in Uses of Technology 75
Bribery 76
Under the Lens: Rolls-Royce Accused of Bribery to Obtain $100m Petrobras Contract 78
Making the Right Decision 79
Managing Interdependence 80
Foreign Subsidiaries in the United States 80
Managing Subsidiary–Host Country Interdependence 81
Managing Environmental Interdependence and Sustainability 83
Under the Lens: Mining Corporations and Pollution Charges: Lynas Corporation in Malaysia 85
Management in Action: Recycling Lives—Social Entrepreneurship Breaking Down Barriers 86
Implementing Sustainability Strategies 87
Conclusion 88
Summary of Key Points 88
Discussion Questions 89
Application Exercise 89
Experiential Exercise 89
Case Study: Levi Looks to Cut Its Cloth Differently by Rewarding Responsible Suppliers 90
Endnotes 90
Comprehensive Cases 93
New: Case 1 Facebook’s Internet.org Initiative: Serving the Bottom of the Pyramid? (several countries) 93
Case 2 An Ethics Role-Playing Case: Stockholders versus Stakeholders (Global/Sri Lanka) 103
Part 2 The Cultural Context of Global Management 105
Chapter 3 Understanding the Role of Culture 106
Opening Profile: Social Media Bring Changes to Saudi Arabian Culture 107
Culture and Its Effects on Organizations 109
Societal Culture 109
Organizational Culture 109
Culture’s Effects on Management 110
Influences on National Culture 114
Under the Lens: Religion and the Workplace 114
Cultural Value Dimensions 116
Project GLOBE Cultural Dimensions 116
Cultural Clusters 118
Hofstede’s Value Dimensions 118
Trompenaars’s Value Dimensions 122
Consequence or Cause? 123
Critical Operational Value Differences 124
The Internet and Culture 125
Management in Action: Google’s Street View Makes Friends in Japan but Clashes with European Culture 127
Developing Cultural Profiles 128
Comparative Management in Focus: Profiles in Culture—Japan, Germany, Latin America 129
Culture and Management Styles around the World 134
Under the Lens: Doing Business in Brazil—Language, Culture, Customs, and Etiquette 134
Saudi Arabia 138
Chinese Family Small Businesses 140
Conclusion 140
Summary of Key Points 141
Discussion Questions 141
Application Exercises 141
Experiential Exercises 142
Case Study: An Australian Manager in an American Company 142
Endnotes 145
Chapter 4 Communicating Across Cultures 148
Opening Profile: The Impact of Social Media on Global Business 149
The Communication Process 150
Cultural Noise in the Communication Process 151
The Culture–Communication Link 152
Trust in Communication 152
The GLOBE Project 153
Cultural Variables in the Communication Process 153
Under the Lens: Communicating in India—Language, Culture, Customs, and Etiquette 154
Nonverbal Communication 161
Under the Lens: Communicating Italian Style 162
Under the Lens: How Feng Shui Affects Business 163
Context 165
Management in Action: Oriental Poker Face: Eastern Deception or Western Inscrutability? 167
Comparative Management in Focus: Communicating with Arabs 168
Communication Channels 170
Information Technology: Going Global and Acting Local 173
Managing Cross-Cultural Communication 174
Developing Cultural Sensitivity 174
Careful Encoding 174
Selective Transmission 175
Careful Decoding of Feedback 175
Follow-up Actions 175
Conclusion 176
Summary of Key Points 177
Discussion Questions 177
Application Exercises 177
Experiential Exercise 177
Case Study: Miscommunications with a Brazilian Auto Parts\rManufacturer 178
Endnotes 180
Chapter 5 Cross-Cultural Negotiation and Decision Making 182
Opening Profile: Facebook’s Continued Negotiationsin China 183
Negotiation 184
The Negotiation Process 185
Stage One: Preparation 185
Negotiating Teams 186
Variables in the Negotiation Process 186
Stage Two: Relationship Building 186
Nontask Sounding 187
Stage Three: Exchanging Task-Related Information 188
Stage Four: Persuasion 188
Stage Five: Concessions and Agreement 189
Understanding Negotiation Styles 189
Successful Negotiators around the World 191
Comparing Profiles 192
Managing Negotiation 192
Using the Internet to Support Negotiations 194
Managing Conflict Resolution 194
Context in Negotiations 194
Comparative Management in Focus: Negotiating with the Chinese 195
Decision Making 199
The Influence of Culture on Decision Making 200
Under the Lens: Negotiations and Decisions to Save the Eurozone System 200
Management in Action: Target: Frozen Out 202
Approaches to Decision Making 203
Comparative Management in Focus: Decision Making in Japanese Companies 204
Conclusion 206
Summary of Key Points 206
Discussion Questions 206
Experiential Exercises 207
Case Study: Search Engines Aid Decision Making and Negotiation 208
Endnotes 209
Comprehensive Cases 213
New: Case 3 Vodafone in Egypt: National Crises and Their Implications for Multinational Corporations (Egypt) 213
New: Case 4 Hailing a New Era: Haier in Japan (China/Japan) 223
Part 3 Formulating and Implementing Strategy for International and Global Operations 233
Chapter 6 Formulating Strategy 234
Opening Profile: Amazon, eBay, and Flipkart Bet Big on India 235
Reasons for Going International 237
Reactive Reasons 237
Proactive Reasons 238
Comparative Management in Focus: Global Companies Take Advantage of Growth Opportunities in South Africa 239
Strategic Formulation Process 242
Steps in Developing International and Global Strategies 243
Step 1. Establish Mission and Objectives 244
Step 2. Assess External Environment 245
Under the Lens: 2012: US Bans Huawei from Government Contracts: in 2015, China Bans Cisco. Politics or Business as Usual? 246
Step 3. Analyze Internal Factors 248
Competitive Analysis 249
Step 4. Evaluate Global and International Strategic Alternatives 251
Approaches to World Markets 252
Global Integrative Strategies 254
Using E-Business for Global Expansion 255
Step 5. Evaluate Entry Strategy Alternatives 257
Under the Lens: Modern Mexico: Reshoring—Location and Young Workforce Prove Attractive 260
Strategic Planning for Emerging Markets 265
Management in Action: Strategic Planning for Emerging Markets 266
Step 6. Decide on Strategy 271
Timing Entry and Scheduling Expansions 272
The Influence of Culture on Strategic Choices 272
Conclusion 273
Summary of Key Points 273
Discussion Questions 274
Application Exercises 274
Experiential Exercise 274
Case Study: “Foreign Businesses Tread Carefully as Cuba Opens Up” 274
Endnotes 276
Chapter 7 Implementing Strategy: Small Businesses, Global Alliances, Emerging Market Firms 279
Opening Profile: TAG Heuer in Smartwatch Alliance with Google\rand Intel 280
Strategic Alliances 280
Joint Ventures 281
Equity Strategic Alliances 282
Non-equity Strategic Alliances 282
Global Strategic Alliances 282
Global and Cross-Border Alliances: Motivations and Benefits 283
Challenges in Implementing Global Alliances 284
Implementing Alliances between SMEs and MNCs 285
Guidelines for Successful Alliances 285
Implementing Strategy 286
Comparative Management in Focus: Joint Ventures in the Russian Federation 287
Implementing Strategies for SMEs 289
Under the Lens: Breaking Down Barriers for Small-Business Exports 290
Implementing a Global Sourcing Strategy: From Offshoring to Next-Shoring? 291
Under the Lens: Global Supply Chain Risks—The Japanese Disaster 292
Implementing Strategies for Emerging Economy Firms 293
Management in Action: Infosys’s Path From Emerging Start-up to EMNE 294
Challenges in Implementing Strategies in Emerging Markets 295
Managing Performance in International Joint Ventures 295
Knowledge Management in IJVs 297
Government Influences on Strategic Implementation 297
Cultural Influences on Strategic Implementation 298
E-Commerce Impact on Strategy Implementation 300
Conclusion 301
Summary of Key Points 301
Discussion Questions 301
Application Exercise 302
Case Study: Foreign Companies in China Under Attack 302
Endnotes 303
Chapter 8 Organization Structure and Control Systems 306
Opening Profile: BMG Signs Distribution Dealwith Alibaba 307
Organizational Structure 308
Evolution and Change in MNC Organizational Structures 308
Integrated Global Structures 310
Organizing for Globalization 312
Organizing to Be Global, Act Local 314
Under the Lens: Amazon of India Uses Curry-Carrying Dabawallas to Spice Up Parcel Delivery 314
Management in Action: Procter & Gamble’s Think Globally–Act Locally Structure 315
Emergent Structural Forms 317
Teams as a Global–Local Structure 317
Comparative Management in Focus: Changing Organizational Structures of Emerging Market Companies 318
Interorganizational Networks 318
The Global E-Corporation Network Structure 319
The Transnational Corporation (TNC) Network Structure 320
Choice of Organizational Form 321
Organizational Change and Design Variables 322
Control Systems for Global Operations 323
Under the Lens: FIFA—Restructuring for Governance Oversight of Ethics 324
Direct Coordinating Mechanisms 325
Indirect Coordinating Mechanisms 326
Managing Effective Monitoring Systems 327
The Appropriateness of Monitoring and Reporting Systems 327
The Role of Information Systems 327
Evaluation Variables across Countries 328
Conclusion 328
Summary of Key Points 329
Discussion Questions 329
Application Exercises 329
Experiential Exercise 330
Case Study: HSBC in 2015: Complex Global Operations and Downsizing 330
Endnotes 332
Comprehensive Cases 335
New: Case 5 Alibaba versus Tencent: The Battle for China’s M-Commerce Space (China/Global) 335
New: Case 6 Business Model and Competitive Strategy of IKEA in India (India) 343
New: Case 7 Wal-Mart in Africa (Africa) 355
New: Case 8 Fiat Chrysler Automobiles N.V. (2015): From an Alliance to a Cross-Border Merger (Global) 365
Part 4 Global Human Resources Management 371
Chapter 9 Staffing, Training, and Compensation for Global Operations 372
Opening Profile: Staffing Company Operations in Emerging Markets 373
The Role of IHRM in Global Strategy Implementation 374
Staffing for Global Operations 376
Under the Lens: HSBC’s Staffing Challenges in the UAE 378
Managing Expatriates 382
Expatriate Selection 383
Expatriate Performance Management 383
Under the Lens: Tales from Trailing Husbands 384
Global Team Performance Management 386
Expatriate Training and Development 386
Comparative Management in Focus: Expatriate Performance Management Practices: Samples from Five Countries 386
Cross-Cultural Training 388
Training Techniques 390
Compensating Expatriates 392
Training and Compensating Host-Country Nationals 394
Training HCNs 394
Management in Action: Success! Starbucks’ Java Style Helps to Recruit, Train, and Retain Local Managers in Beijing 395
Training Priorities for E-Business Development 397
Compensating HCNs 397
Conclusion 398
Summary of Key Points 398
Discussion Questions 398
Application Exercises 399
Experiential Exercise 399
Case Study: Kelly’s Assignment in Japan 399
Endnotes 402
Chapter 10 Developing a Global Management Cadre 404
Opening Profile: The Expat Life 405
Expatriate Career Management 407
Preparation, Adaptation, and Repatriation 407
The Role of the Expatriate Spouse 408
Expatriate Retention 409
The Role of Repatriation in Developing a Global Management Cadre 410
Knowledge Transfer 410
Under the Lens: Expatriates’ Careers Add to Knowledge Transfer 412
Global Management Teams 413
Virtual Transnational Teams 413
Managing Transnational Teams 416
The Role of Women in International Management 417
Management in Action: Women in Management Around the World 418
Working Within Local Labor Relations Systems 419
The Impact of Unions on Businesses 420
Under the Lens: Ford’s Bitter Struggle to Close a Plant in Belgium 420
Organized Labor around the World 421
Convergence versus Divergence in Labor Systems 423
Under the Lens: Vietnam: The Union Role in Achieving Manufacturing Sustainability and Global Competitiveness 424
Adapting to Local Industrial Relations Systems 426
NAFTA and Labor Relations in Mexico 427
Comparative Management in Focus: Labor Relations in Germany 427
Conclusion 430
Summary of Key Points 430
Discussion Questions 430
Application Exercise 430
Experiential Exercise 431
Case Study: Expatriate Management at AstraZeneca Plc 431
Endnotes 433
Chapter 11 Motivating and Leading 436
Opening Profile: The EU Business Leader—Myth Or Reality? 437
Motivating 438
Cross-Cultural Research on Motivation 438
The Meaning of Work 440
The Needs Hierarchy in the International Context 442
Comparative Management in Focus: Motivation in Mexico 443
Under the Lens: Managing in Russia—Motivation and Leadership Challenges 446
Reward Systems 447
Leading 448
The Global Leader’s Role And Environment 449
Under the Lens: Interview: Yoshiaki Fujimori: Lixil Builds a New Style of Japanese Multinational 451
Women in Global Leadership Roles 452
Global Team Leadership 452
The Role of Technology in Leadership 452
Under the Lens: Women in Business Leadership 453
Cross-Cultural Research on Leadership 454
Management in Action: Leadership in a Digital World 455
Contingency Leadership: The Culture Variable 456
The GLOBE Project 456
Earlier Leadership Research 458
Conclusion 460
Summary of Key Points 460
Discussion Questions 461
Application Exercises 461
Experiential Exercise 461
Case Study: Interview: Carlo D’Asaro Biondo, Google’s Europe Strategy Chief in Charm Offensive 461
Endnotes 463
Comprehensive Cases 465
New: Case 9 Ethical Leadership: Ratan Tata and India’s Tata Group (Global) 465
Part 5: Integrative Section 475
Integrative Term Project 475
New: Integrative Case: Case 10 IKEA in Russia: Emerging Market Strategies and Ethical Dilemmas (Russia) 477
Glossary 485
Index 491