Analyze Cultural and Legal Environments of MNCs
Analysis of conducting business in International Business
Cross cultural issues can crop up in a number of business environment. Internal companies should have the top leadership, who are from different countries, be conversant with the local staff from host countries that may need different models and processes. In international business operations, getting to be aware of the set structures and processes that include the varied cultures of the company in a balanced manner. Cross cultural interaction in the business world calls for cultural compromise; the aspect of ignoring or favoring one culture over the other one would bring revenue to a decline and general decline of the whole company. For success to be acquired, varied decision making process and organizational models have to be considered with regard to how they change and cultures involved.
Culture affect the behavior and preferences of customers and business partners. To be effective in a foreign market, the manager has to adapt their products to acquire the varied needs of a certain group of clients. Any change that has to be made in advertising or features of products among others will to some extend be based on cultural context. The success or inefficiency of a company is reliant upon how well the staff undertake their business and technical skills in a new environment. This capacity is reliant upon the job-based skills and personal sensitivity and how they handle a new cultural setting. One of the common issues that lead to the downfall of companies is the belief that success at home will go on to reflect success abroad.
Studies show that ineffectiveness to manage business in foreign countries is attributed to inability to adapt to the model of thinking from a technical and professional perspective. Locally, the business people arm themselves