Effective management of the cross-cultural interface is a critical source of competitive advantage for a multinational firm. Using suitable theories, analyze why an understanding of the cross-cultural interface was important for Motorola’s success in China.
The Chinese people’s culture had to be understood in order for Motorola to succeed in China. Planning was essential to entry of the company onto the Chinese market. It required setting objectives and then formulating programs and procedures to achieving objectives. Assessments of the external and internal environment for opportunities and threats were done then compared with Motorola’s strengths and weaknesses (Harold & Heinz, 2008). Low levels of education and difference in the Chinese system made it difficult to get qualified personnel affecting the company’s recruitment activities for both junior and senior staff members. The Chinese culture and orientation towards time management affected planning. Cultural attitudes were not conducive for long-range planning in Motorola and it took some time to pick up. The main factor that affected the planning in Motorola was the political or economic instability of the Chinese government, which had a great influence in the forecasting ability of the company and it at first discouraged long-term commitment of resources, but later they permanently moved their head offices to china. Organizational structures in Motorola were established to achieve objectives. Most structures used were like the divisional structure based on Motorola’s product lines (handset manufacturing), geographical areas or customer type (Eastcom and Hubei mobile communications).
Staffing as part of effective management was a major concern to Motorola, all the positions were to be filled with qualified persons of which were scares in China and the company had to train its own managers in order to