...CHAPTER 2 ENRIRONMENTAL INFLUENCE ON ACCOUNTING DEVELOPMENT 1 2.1 Introduction In international accounting research, environmental influence is the key to understanding one country’s accounting system. "To a large extent, accounting is a product of its environment. That is, it is shaped by, reflects, and reinforces particular characteristics unique to its national environment" (Radebaugh and Gray 1997). From the late 1960s, researchers in international accounting have tried to categorize countries according to a series of criteria, which have been developed on a deductive or conductive basis. These criteria tried to explain the reasons for accounting differences between countries; they aimed to describe and compare different systems with each other in an efficient way. There are several advantages to categorize and analyze the differences among countries: First, it promotes improved understanding of the complex realities of accounting practices, as well as the factors that shape a country’s accounting regulations; Second, it provides useful information for solving some of the important accounting problems that exist in the world. For example, it can help policymakers assess the prospects and problems of international harmonization; Third, it can assist in the training of accountants and auditors who operate internationally; And finally, it can enable a developing country to better understand the available and appropriate types of financial...
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...boldface, lowercase heading with a period. Begin body text after the period. | 4 | Indented, boldface, italicized, lowercase heading with a period. Begin body text after the period. | 5 | Indented, italicized, lowercase heading with a period. Begin body text after the period. | 1. Introduction. Provide a brief focus statement about your paper and what the reader can expect. 2. Global World Economy. Discuss the importance of globalization in today’s global economy. 3. Cultural and Political Differences. Discuss cultural and political differences that global managers consider when expanding abroad. Are values and ethics different in each culture? Explain. 4. Going Global Strategies. Explain why companies are forced to expand globally. Discuss possible strategies for competing globally. Evaluate the advantages and disadvantages of the different strategies and policies that firms use to enter foreign markets. What are the main factors that influence a firm’s decision of market entry? 5. Suggestions and Recommendations. Provide practical and specific recommendations and suggestions for managers and expatriate to expand in this country of your choice for this project. 6. Summary. Provide a few concluding paragraphs about what your paper discussed and how it can be beneficial for practitioners. Introduction This paper will The New Global Economy Hill (2011) defines globalization as the multifaceted shift toward a more integrated...
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...Hofstede’s Six Cultural Dimensions Princess Smith BUS 600 Management Communications with Technology Tools Instructor: Brian Shaw March 10, 2013 Hofstede’s Six Cultural Dimensions “Hofstede’s research has been instrumental in furthering an understanding of cross-cultural management theory and practice, revealing that members of different societies hold divergent values concerning the nature of organizations and interpersonal relationship within them.” (Fernandez, Carlson, Stepina, & Nicholson, 1997). His work involves the identification of key work-related dimensions of national culture and six cultural dimensions such as power distance, uncertainty avoidance, individualism, masculinity, pragmatism, and indulgence. “Conducting business in today's modern business environment presents exciting opportunities for businesses and individuals.” (Baack, 2012). These dimensions, when considered together, were viewed as providing a framework for understanding how a culture resolves some of their most basic problems of life within organizations. Using the Hofstede Center, I did a cultural survey report on Australia and China which happens to be two of my favorite countries; one of which I have visited in the past. This type of report can be helpful in comparing the U.S.’s culture to others as well and how the U.S.’s culture can influence the way I understand the world around me. Culture has a very significant influence of people, especially managers and executives in...
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...PEOPLE CROSS-CULTURAL CHALLENGES IN INTERNATIONAL BUSINESS Word Count: 2170 Cross-cultural Challenges in International Business Management has been one of the key elements of companies in most cases. A major responsibility of managers at all levels is to encourage organization members to perform to the best of their abilities in ways that help the organization achieve its goals (George & Jones 2002). In order to do so, managers need to first have an understanding of their subordinates. The better managers perceive subordinates, the more they are capable to motivate them. In addition, it is the same situation for manager and customer relations. A manager cannot satisfy his customer unless he has a very good sense of perception. Globalization is a very popular term recently. In a way, this term represents the shortening of distances and disappearance of borders (Friedman 2007). Borders within Europe, at the present, are almost forgotten. As the regulations on FDI were loosened in China with her accession to World Trade Organisation (WTO) in 2001, the three continents America, Europe and Asia are much closer to each other than they have ever been. Multinational corporations (MNC) have spread all over the world. Collaboration with many companies independent of national borders became a must for MNCs to survive. Collaboration with companies all around the world cannot be managed without a multicultural workforce and cultural differences in it. Having...
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...field of the environment of most managers, today more than ever. In addition, several groups are pushing for new forms and higher levels of ethical behavior of managers and greater corporate social responsibility. The overall feel, sometimes called macro environment, includes the external factors that usually affect all organizations or most of it, in every company is present although the specific types of forces and environmental conditions vary from industry to another. International business transactions are understood as all commercial, private or government between two or more countries. Private companies conduct such transactions for profit; governments may or may not do the same in their transactions. Enter these transactions are sales, investment and transport. For firms involved in international trade. When a company operates internationally should be considered his mission (he tried to do and that will become long-term), goals (specific performance goals to fulfill its mission) and strategy (the means of achieving its objectives) are presented below : • Expand sales • Acquire resources • Minimize the risk EXPAND SALES: Sales of businesses depend on two factors: consumer interest in their products and services and their willingness and ability to purchase. The number of people and amount of their purchasing power are higher in the whole world in one country, so companies can increase their potential market to go find international markets. ...
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...Cultural “Glasses” Cultural differences vary greatly between unique groups of people. Due to the sentiments it’s based on, culture is commonly passed on through generations, creating long–lasting bonds and traditions. When visiting or researching foreign cultures, there is no “right” or “wrong” and it is important to distinguish and respect opposing ideas that may arise. Both the United States and China have very large, established cultures that are known throughout the international community. Though there are many differences between these two vast cultures, it is precisely these diverse factors that shape the cultural atmosphere of each nation. In this paper I will discuss the similarities and differences between these two cultures using first-hand accounts in the form of a personal interview and factual evidence backed by research. Language Language is a universal form of communication, using different symbols and/or sounds to portray emotions, thoughts, or information; the meaning behind each language is unique to the culture of origin. In China, the predominant language – at about 94% of the population – is Mandarin, which has been influenced over the years by various forms of dialect (Ebrey, 1996). “In schools, I was taught both Mandarin (as a primary language) and English (as a secondary language).” (Haruno, S., personal communication, September 25, 2015). The U.S. is very similar in this manner, as we have adopted English as an official language, while simultaneously...
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...Cross-Cultural Human Resource Management BUS 357 February 20, 2012 Cross-Cultural Human Resource Management Today’s business world continues to evolve to worldly new levels due to the global market. Before globalization began taking place, business was primarily localized or regionalized within villages, townships and kingdoms. The initial changes of transportation’s or shipping’s delivery methods from the beginning of time by just human delivery to the transportation or shipping of goods and people by methods using horses, donkeys, camels, elephants and other animals began to change access to goods and services from more distant areas, lands and cultures. The innovative minds of humanity began the progression of new transportation, travel, shipping and delivery methods with the inventions of wagons, boats, trains and airplanes. These inventions changed the access to goods and peoples from every point on the globe, resulting in numerous progressions and changes to travel, business and industry around the world. Other new technologies of the telegraph, phone, radio, televisions, satellites and the computer have all changed the communication techniques and access to people and information all over the globe. Where it once took possibly hours, days, weeks and even months for communications or information to flow from different locations, the world is able to communicate or access information in seconds today. Different cultures began the progression from receiving...
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...investment via sole ownership, the advantages and disadvantages of the countries should be considered. For example, China is a developing country, and during the past 30 years, China’s rapid economic development shows that China has a strong power in developing economic. In recent decades, China stays on one of the leading positions in direct investment and therefore a lot of investments to this country are considered to be profitable for any company or investor. The reasons are simple: the growth of the economy and a large number of different projects. Foreign direct investment in China, due to stable growth potential of the economy and a huge production resources, aimed at both the external and the internal market.The innovative ability is a great attraction for investment managers around the world. In contrast, a lot of foreign investors had chosen China for investment and this resulted in a very big competition. Nevertheless, USA is a successfully developed country. And its economy is the top one in the world. As the most important country in the first world countries, the USA has many good experiences in global business. The most strong enterprises were set in the USA and it means that the competition in the USA is very huge. This competition affects many areas, not only the market place but also the labour market and the use of resources. All of these causes higher costs and reduces the profits.Also, American “antitrust law” regulates that a company with market...
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...Culture Impact on German Negotiation Style Chen Shuqi SEIB Abstract As the increasing frequency of international trades， international negotiation skills draw a lot of attention. Regarded as a major barrier for cross-cultural communication, understanding culture difference is of signification . This essay will firstly introduce the study history and relevant definitions of international negotiation and how culture factors impact on negotiation style. Considering the gradual closed trade relationship between Germany and China and the commonly acknowledged differences of national cultures between them, this essay would firstly analyzes images of Germans for the general Chinese in a book, Die Langnasen . Further, it clarifies German negotiation style basing on analysis from Hofstede's cultural dimensions theory. We find out that some of German business behaviors from the theory don’t fit with our general impression as the book concludes. After discussion about the deficiency of the theory or possible stereotype of the book, we try to present a modification of the prevalent impression about German negotiation style, and give some suggestion about how to carry out a better international business negotiation with Germans. It may be possible to provide us a better understanding in successful negotiation process with Germans. Key words: International negotiation, German culture, German negotiation style 德国文化对其谈判风格的影响 陈舒祺 国际商务英语学院 2011级国际商务管理 摘 要: 随着跨国贸易的频率迅速增长，国际商务谈判技巧尤为重要。...
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...macro-economic data. While appropriate in providing an initial screening of countries, other factors, notably contextual factors, can provide important insights in assessing international market opportunities. The purpose of this paper is to examine the impact of context at four distinct levels. Design/methodology/approach – The literature on the influence of context on consumption and purchase behavior is reviewed to provide a framework to understand contextual factors as a means to refine entry strategy and develop effective segmentation strategies. Findings – A wide range of contextual factors exert influence on consumption choices and contribute to within-country heterogeneity. These are typically examined at the macro-level, but also need to be examined at the meso-level, micro-level and situational level to fully assess market opportunities and establish viable market segments. Practical implications – Examination of contextual factors provides a richer and deeper understanding of which international markets to enter and which segments to target. Within-country cultural diversity, dramatic economic and regional disparities and marked differences in the infrastructure need to be assessed. In particular, examination of contextual factors helps to shed light on heterogeneity within countries not only in customer behavior, but...
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...cheaper labor such as IT support now done in India (neoIT, 2007) and the People’s Republic of China is nowadays by some referred to as ‘the factory of the world’ (Chang 2006). China’s WTO accession accelerates the trend giving hope for a greater market access and a more predictable commercial environment. In 1984, 3M established its China branch and was the first foreign-invested enterprise established outside the Shenzhen special economic zone. Then, the US multinational 3M Company developed its business and worked on developing a research and development (R&D) center in Shanghai like many other MNCS (158th set up in Shanghai by multinationals). Recently, 3M even doubled its China's R&D center size and staffing, giving birth to an important R&D hub for 3M's global business enabling the company to better supply products needed in the industries of electronics, telecommunications, automobiles, shipping, aviation, medical care, housing and leisure," company officials said. Today, 3M has 11 companies and 19 offices across the country, employing more than 5,000, showing a long-term commitment for the Chinese market. Through those trends, we can notice how R&D is now important in the globalization process. Li-Hua and Khalil (2006) argue that the international business environment is affected by globalization and this emphasizes the importance of studying synergies and differences between Western and Eastern management concepts. The present essay will analyze the reasons...
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...GLOBALISATION AND HIGHER EDUCATION DEVELOPMENT: A CRITICAL ANALYSIS RUI YANG Abstract – This article sets out to analyse critically the nature of globalisation and how it is affecting higher education. The author first reviews the nature of globalisation, and then examines its international impact on higher education development. He contends that globalisation is predominantly economic, and points out that global exchanges in the economic, cultural and educational domains continue to be unequal. At the same time, education is increasingly treated as a business. By exposing the negative side of globalisation and its effects on universities, the author aims to counter the uncritical acceptance of globalisation as a positive force for higher education and society as a whole. Zusammenfassung – Ziel dieses Artikels ist eine kritische Analyse der Natur der Globalisierung und ihrer Auswirkungen auf die höhere Bildung. Der Autor beginnt mit einem Rückblick auf die Eigenheiten der Globalisierung und untersucht dann ihren internationalen Einfluss auf die Entwicklung der höheren Bildung. Er behauptet, dass Globalisierung vorherrschend wirtschaftlicher Art sei und weist darauf hin, dass ein globaler Austausch in wirtschaftlicher, kultureller und erzieherischer Hinsicht ungleich bleibt. Gleichzeitig wird Bildung immer mehr als eine Art Geschäft behandelt. Indem der Autor die negative Seite der Globalisierung herausstellt sowie ihre Auswirkung auf die Universitäten, will er der unkritischen...
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...Teenage pregnancy – an old problem in the US, a new issue in China Wang Yannan Academic Writing Skills Group 15 Dymond Ayre October 3, 2006 Abstract Teenage pregnancy has been a serious social problem all over the world these years. This paper discusses the teenage pregnancy rates in both the US and China. It briefly talks about the situation of teenage pregnancy in both countries. Two points are being argued: the rate of teenage pregnancy rate has declined in the US, but it remains very high; and the rate of teenage pregnancy is on the rise in China. Analysis of why the rate declines but remains high in the US and why it rises in China is also given in the paper. It is followed by a comparison between the situation in the US and China. Finally, this paper concludes with an overall summary of the issue and the conclusion of the causes discussed in the paper. Teenage pregnancy – an old problem in the US, a new issue in China Introduction When mentioned about teenage pregnancy 10 years ago, most of us must think that it mainly happens in the US; while China is never taken into consideration. However, now, ten years later, you can no longer think so. The problem is concerned in both the US and China, and is becoming worldwide. In the US, although owing to some effective programs and better sex education teenage pregnancy rate has declined during the past twenty years, statistics show that the US still has the highest rate of teenage pregnancy compared with...
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...THE KOREAN MANAGEMENT SYSTEM Cultural, Political, Economic Foundations Chan Sup Chang and Nahn Joo Chang Q Quorum Books Westport, Connecticut London Preface We approached the Korean management system from a cultural context. Although they share a common Oriental culture with other neighboring nations, Koreans maintain a unique culture. This culture, combined with the impact of the geopolitical environment of the Korean peninsula, results in a unique behavioral pattern. Thus, managers and workers in the Korean management system behave differently from their counterparts in other countries. The Koreans have accomplished remarkable economic success since the 1960s, and their management system has played a major role in contributing to this phenomenal economic achievement. Entrepreneurs, top executives, managers, and workers in the management system are all integral parts of the system, and they have performed their assigned jobs effectively. Therefore, to comprehend the unique nature of this Korean management system, we performed an in-depth analysis on its performance. The external environment of the Korean management system is a crucial factor in understanding it. In this kind of environment, the role of government is prominent because without active support from the government, no enterprise can survive and prosper. The government, in return, demands some favors from these enterprises, making this a quid pro quo, a unique feature of the Korean management system. We will...
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...INDEX Introduction The challenge of crossing cultural boundaries The meaning of culture: foundation concepts Why culture matters in international business National, professional, and corporate culture Interpretations of culture Key dimensions of culture Language as a key dimension of culture Culture and contemporary issues Managerial guidelines for cross-cultural success Page 1 to 1 Page 1 to 5 Page 5 to 6 Page 7 to 9 Page 9 to 9 Page 10 to 14 Page 14 to 17 Page 17 to 19 Page 19 to 21 Page 21 to 23 1 Introduction There are few things more representative of U.S. culture than American football. It is an extravaganza, complete with exciting halftime shows and peppy cheerleaders. The game exemplifies national pride. The national anthem is played, flags are unfurled, and uniformed players charge up and down the field like an army in the throes of often violent conflict. The teams’ huddles divide the game into small planning sessions for the next play. In the United States, the National Football League (NFL) oversees the sport and, like any successful business, wants to score in new markets. The NFL first tackled Europe in 1991, with plans to establish American football there. After years of failed attempts, NFL Europe emerged as six teams, five of which were based in Germany (such as the Berlin Thunder, the Cologne Centurions, and the Hamburg Sea Devils). Earlier teams established in Spain had failed. Why did American football triumph in Germany but fail in Spain? An...
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