...In today’s economy China has become a big player. If you look at many of the products in your house, most of them probably say made in China. With China being a partner to a lot of US businesses we have to be sensitive to the culture and traditions in China. To put this simple China has a different way of doing business than we do and in order to become successful when expanding into China we need to understand and accommodate those differences. While there are many cross-cultural differences between the US and China I will look at three of them. Three of those cross-cultural differences you need to understand and accommodate before you expand into China are ethnic culture, priorities, and decision making. The ethnic culture of China varies greatly from that of the US. Chinese people are more focused on relationships and group work while Americans are more individuals. Chinese tend to be more courteous and create personal relationships with their co-workers. Americans tend to be more direct and put business above personal relationships. Because of these differences, Americans tend to put conflicts behind them quicker for the betterment of the business and Chinese tend to take things more personally and it takes them longer to put conflicts in the past. Chinese also respect people based on age and wisdom whereas Americans tend to respect success and achievement. When expanding into China you need to address the ethnic culture in order to build a strong team and work...
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...Business Communication 04/19/2015 How to prepare business in Saudi Arabia and China There are a lot of elements that make life different between countries around the world, which makes it harder for people to communicate and understand each other. Elements like geography, population, features, economic systems, verbal and nonverbal languages, religions, genders and customs are common important elements that make conflicts between people around the world. Understanding and respecting these elements will make a safe life. However, the most important reason that attracts people to know more about each other is business. Countries like Saudi Arabia and China are two of the most important business countries around the world. So, learning about how to prepare international businesses in China and Saudi Arabia are necessary. Geography Saudi Arabia is located in the Middle East, which has very important navigational routes that connect between the east and west. That location gives Saudi Arabia an advantage when it comes to international trading. Saudi Arabia shares borders with Iraq 814 km, Jordan 744 km, Kuwait 222 km, Oman 676 km, Qatar 60 km, UAE 457 km and Yemen 1,458 km. Those countries are unstable and that makes it hard to do business and investments in such a region. Although, Saudi Arabia is on the borders of those countries, the investment still is going well. On the other hand, China stretches about 5026 kilometers across the East Asian landmarks. It is bordered...
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...selected business activities within a selected organisation, in two different economic environments. It is very common in large businesses to expand abroad but there are a lot of factors to be considered when planning to start operation in a different country as countries differ depending on their background, policies, infrastructure and stability. In this report I will compare the challenges to business activities within Tesco Plc. In two different economic environments: China and UK. I have chosen China and UK as two contrasting countries and my chosen business is Tesco Plc., a large retail store in the UK. China is the 2nd most populated country in the world and is the largest economy in the wold in contrast UK has a significantly smaller population than China and is the second largest economy in the world. Chinese businesses have become much more efficient and China is now the largest Asian economy by a long way: meaning that if Tesco wanted to expand into China it would face a lot of competition and successful businesses with similar products. Tesco’s main most popular products are food and beverage where China is one of the world’s top producers of cereals: wheat, rice and sugar also meat, fruit, vegetables, tea and coffee which shows that in case where Tesco decides to start operating in China this could be considered as a challenge as locals would refuse to buy food from a retailer such as Tesco when they’ve got their own products. The media industry in China is doing...
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...Executive summary Claytan Fine China (tableware) Sdn. Bhd (CFC) is the only surviving pioneer in Malaysia’s ceramic industry. CFC manufactures stoneware and fine china tableware which contributes part of tableware product line under Claytan Group. The company intends to invest in China as part of its international expansion project. The cultural distance between Malaysia and China is small. Based on Hofstede’s Value Dimensions Framework, China has almost similar cultural dimension compared with Malaysia. Malaysia is a collectivism society whose give priority to the goals of the group than personal goals. Besides that, there is high power distance between society members. Cultures that are relatively collectivistic generally have higher power distance. Both Malaysia and China has weak uncertainty avoidance. Collectivistic felt that uncertainty is a normal feature of life and each day is accepted as it comes. CFC will expand the production plant to China as a wholly owned subsidiary under the CLAYTAN Group due to cost-reduction motive. The implementation of minimum wage rate system in Malaysia, lower transportation cost, and the form of China-ASEAN Free Trade Area (CAFTA) induce the company to expand its production plant to China. China and Malaysia categorized under high context communication style. However, certain degree of adoption is still needed. In term of negotiation, collectivism society such as China and Malaysia are more concern about in-group. The high power...
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...ESL INVESTMENT IN CHINA Investment in ESL Education Business in China: Making Decisions through Comparison Analysis Karen Ning University of Delaware When English has been recognized as the universal language in globalization (Nunan, 2003), English language service has become a lucrative business in Asian emerging markets, especially in China. A large number of professionals have conducted research regarding English language service in nations where students learn English as a Second Language (ESL). However, it appears that research has stopped since investors started making money from the ESL business. Although private ESL courses have been well received by both children and adults in China in the recent decade, entrepreneurs usually prefer to invest their money in one project to test its market potential in the beginning. Hence, businessmen should at least undertake a comparison analysis involving children’s and adults’ courses before investing their capital in the ESL education business in China. According to Jules Dupuit, a famous economist in nineteenth century (Boardman, Greenberg, Vining, & Weimer, 1996), the evaluation before making a sound investment decision involves comparing the total expected cost of each option against the total expected benefits. Without a doubt, cost, sales record, and long-term benefits are vitally important for ESL education business investors in China today. Low cost is crucial for any competing business. It appears that the...
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...Case Name: GEELY’s ACQUISITION of VOLVO 1. INTRODUCTION INDUSTRY | AUTOMOTIVE INDUSTRY | TIME OF CASE | 2010 | ISSUE ON HAND | ACQUISITION OF “VOLVO” BY “GEELY” | KEY PLAYERS | “VOLVO” AND “GEELY” | COMPANY COUNTRY | CHINA | FOUNDER OF THE COMPANY | LI SHUFU | PRODUCT | LUXURY CARS | 2. SITUATIONAL ANALYSIS Li Shufu was born in China in 1963, the son of a small business owner. He started the business from making photographs of tourists, then he shifted to making refrigerators and refrigerator parts, and from there he diversified again to motorcycle production business. At the age of 35, in 1998, he started the business of producing cars. The name “Geely” came to him in a dream. Geely was a privately owned firm, which was involved in producing non-luxury cars for its local market of China. For the acquisition of Volvo, Li obtained financing from state-owned banks and governments in China and this acquisition made Geely able to enter in the new market of luxury cars by following a “related diversification” strategy. Now Geely is heading towards lowering the costs and making Volvo more profitable in the industry and following a growth strategy in its business 3. DEEP LIST ANALYSIS Demographics Volvo was a Swedish company; Geely was planning to produce luxury cars at Volvo plants and offering these cars to local Chinese, who desire to drive these luxury cars. This strategy enabled the Geely to target a new market segment in the country...
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...1.0 Back ground of the study America and China are two major names in the business industry. Both of it have their own character and ways in handling the business. Understanding the cultural background of these two countries will help us understands the style of each countries in managing the leadership culture. Due to globalization, organizations face many changes. It is such as changes in behaviour and technology. Steffi Biester had said that “Value the differences but also discover the similarities and then learn from one another, start to understand each other and start to change perspectives.” Leaders need to change their style for a certain purpose. By investigating two different cultures, we can see the ways that the organizations adapt the culture in their organization. It is important for multinational companies (MNCs) to be knowledgeable and improve their working strategy to stay in the right side with the cultural changes. 2.0 Introduction to Leadership And Culture Leadership come from the word leader which means an individual who are the leaders in an organization. Leadership also is the process of influencing the members of the organization. It may involve goal setting and become the person who give information and guide the employees in achieving those goals. In the process of achieving goals, the leader must lead the employees to make sure they are in the right path in doing their task. A quote from John Maxwell, “Leader become great not because of their...
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...Conference on Research Methodology for Business and Management Studies Using PEST Analysis as a Tool for Refining and Focusing Contexts for Information Systems Research Guo Chao Alex Peng, Miguel Baptista Nunes Department of Information Studies, University of Sheffield, Regent Court, Sheffield, S1 4DP, UK lip05gcp@sheffield.ac.uk, j.m.nunes@sheffield.ac.uk Abstract It is common for inexperienced researchers and research students to aim at investigating very wide contexts such as countries (e.g. China, India, UK), regions (e.g. the Arab Countries) or even continents (e.g. Africa). Such studies in Information Systems (IS) are not only unrealistic and potentially unfeasible, but may result in findings that are neither significant nor meaningful. Research supervisors often face difficulties in explaining and resolving these common pitfalls in research proposals. This paper proposes the use of Political, Economic, Social and Technological (PEST, also often referred to as STEP) analysis as a tool to identify narrower contexts and focus research questions around feasible and meaningful regional contexts. It illustrates this process with the results of an analysis carried out as part of an ongoing PhD research project. The project aims to investigate the barriers and risks associated with the post-implementation of Enterprise Resource Planning (ERP) systems in Chinese companies. PEST analysis was used to define an appropriate region in China (i.e. Guangdong), as well as the type...
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...BUSINESS 427 GLOBAL ISSUES IN BUSINESS DeVry University Global Business Opportunities Project: Burlington Coat Factory/China Prepared By: Group A March 30, 2013 TABLE OF CONTENTS EXECUTIVE SUMMARY 3 Module 1: IDENTIFYING GLOBAL BUSINESS OPPORTUNITIES 3 Module 2: ANALYZING INTERNATIONAL COMPETITORS 7 Module 3: ASSESSING THE ECONOMIC-GEOGRAPHIC ENVIRONMENT 9 Module 4: ASSESSING THE SOCIAL-CULTURAL ENVIRONMENT 11 Module 5: ASSESSING THE POLITICAL LEGAL ENVIRONMENT 14 Module 6: SELECTING A GLOBAL COMPANY STRUCTURE 16 Module 7: FINANCING SOURCES FOR GLOBAL BUSINESS OPERATIONS 18 Module 8: CREATING A GLOBAL MANAGEMENT INFORMATION SYSTEM 20 Module 9: IDENTIFYING HUMAN RESOURCES FOR GLOBAL BUSINESS 23 Module 10: MANAGING INTERNATIONAL FINANCIAL AND BUSINESS RISKS 25 Module 11: PRODUCT AND TARGET MARKET PLANNING 27 Module 12: DESIGNING A GLOBAL DISTRIBUTION STRATEGY 28 Module 13: PLANNING A GLOBAL PROMOTION STRATEGY 30 Module 14: SELECTING AN INTERNATIONAL PRICING STRATEGY 31 Module 15: DETERMINING ORGANIZATIONAL FINANCIAL RESULTS 34 Module 16: MEASURING INTERNATIONAL BUSINESS SUCCESS 35 CONCLUSION 36 BIBLIOGRAPHY 36 EXECUTIVE SUMMARY Burlington Coat Factory was originally formed in the year 1924 as a wholesaler of junior’s coats and women’s coats. Its original location was in Burlington, New Jersey and they are now a national retail chain. Burlington Coat Factory offers...
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...Ethics Case Study - Student Gets a Better Job Offer Step 1: Recognize: Define the ethical problem from all perspectives. • The student did not tell company B after accepting to work there that he already accepted to work company A. • The student did not notify career services office about any of this. Step 2: Clarify the Facts • The student agreed to work for company A at the beginning, because he did not hear from company B (yet). • The student later was accepted to work for company B; since this was his first choice he accepted that offer as well. • The student went back on his words and declined company A after already accepting it. • Career services office only found out about this after the student had reneged upon the job offer. Step 3: Create Alternatives • The student will not be permitted to work in company A or B. • The student will go work for company A, as he approved that offer first. • The student will work for company B, but will never be allowed to use career services again. • The student will be kicked out of school. Step 4: Evaluate Alternatives (short/long term effects) • Short term: student will not have a job Long term: the student might not be able to find another job that year but will learn an important lesson for life. • Short term: student will work for company A and be disappointed since he is not fulfilling his true ability. Long term: student will realize that what he did was the ethically correct choice. • Short term:...
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...MSc Management Cross-cultural Management module Cross Cultural Study of China and America Name of Student Name of Instructor Dated: Table of Contents S. No. | Topic | Page No. | Cross Cultural Study of China and America | | 1- | Introduction | 3 | 2- | Chinese Culture | 3 | 3- | Leadership styles and skills of China | 4 | 4- | Motivating others | 4 | 5- | Trust Builder | 5 | 6- | Talent retention | 5 | 7- | High Performance team | 5 | 8- | Management Style of China | 5 | 9- | The Guanxi | 6 | 10- | Individualism and collectivism | 6 | 11 | America’s Culture | 6 | 12 | Leadership Styles in America | 7 | 13 | Directive leadership | 7 | 14 | Participative leadership | 7 | 15 | Empowering leadership | 8 | 16 | Charismatic leadership | 8 | 17 | Management Styles of America | 8 | 18 | Ethical issues in cross cultural of China and America | 8 | 19 | Compare and contrast between China and USA | 9 | 20 | Conclusion | 11 | 21 | References | 12 | Introduction: This paper consists of cross cultural study of two developed countries named USA and China. These countries are well developed and exist in the major countries of the world. Both have an entire different culture in reference of behavior, leadership styles and management. China is the part of eastern countries and USA is a western country, both have entirely different environment and too far from each other. There are many roles that are involved in any organization...
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...in the world, they certainly have a different background, such as country, language, race, culture, religion, customs etc. People as a human being cannot live alone without others people. They must communicate with each other. Language is the way of communication. Therefore, the purpose of this paper is to show to the people how to communicate with each other in different background especially in Global Business Communication. The expectation is the readers will learn how to using and understand the way people communicate, base on every aspect of their background. Business definition itself is a commercial activity engaged in as a means of livelihood or profit, or an entity which engages in such activities (WebFinance, 2012). In this paper, there will be the research and analyzing personal behavior and attitudes in a country and the relationship with others country. The countries that will be research and analyze are: Indonesia-Malaysia, Indonesia-China, Indonesia Singapore. Chapter II: Research The research divided into three groups: Indonesia-Malaysia, Indonesia-China, Indonesia-Singapore. Because those countries located in the same area that is Asia and also because those countries is Relationship-Focused Country, and there’s so much interesting about issue that happened in those countries, so that will be more challenge working on it. Indonesia-Malaysia Firstly this is more...
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...Executive Summary “ We are moving rapidly away from a world in which national economies were relatively self-contained entities, isolated from each other by barriers to cross-border trade and investment; by distance, time zones, and language; and by national differences in government regulation, culture, and business systems.”(Hill, 4). The company was founded in the 1870 by Joseph Dixon as The Joseph Dixon Crucible Company. He introduced the No. 2 yellow pencil to the United Sates, and came to be the world’s largest dealer, and consumer of graphite world wide What began as a small business in Salem, Massachusetts with the discovery of graphite as a stove polish and an additive in lubricants, foundry facing, brake linings, oilless bearings, and non corrosive paint and manufactured lubricants soon expanded nation wide with annual revenues of a hundred million dollars and more. In 1982 Joseph Dixon Crucible merged with Bryn Mawr Corporation forming the Dixon Ticonderoga Company (www.dixonusa.com). However, in 1990 business was not as easy (refer to Appendix 2). The Company was faced with some foreign competition .Which could put the American pencil industry out of business. “The Chinese were dumping pencils on the U.S market” (Hill, 32). The American pencil industry felt threatened and heavy antidumping duties where placed on Chinese pencils which raised their price. However the Chinese still had a better product and continued to eat up the...
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...Case Study Analysis Template Analyst’s Name: ¶ Levi Mohorich Date: ¶ 2/23/14 Case Study Name: ¶ Google, Inc., in China I. The Pre-Analysis: A. Perspective: 1. Author’s Perspective. Describe the perspective of the author(s) of the case study and possible biases of the author(s): ¶ The case was wrote by Kirsten E. Martin, the Assistant Professor of Business Administration at George Washington University, School of Business. She has her Ph.D. from Darden Graduate School of Business, University of Virginia. Her main research interests are business ethics, privacy, technology and stakeholder theory. It might be possible that she is biased towards China for their privacy restrictions and ethical values. Based on her previous research work, she probably values ethical behavior highly and technology innovations. 2. Analyst’s Perspective. Describe your perspective as the analyst: ¶ My perspective is that of a college student majoring in Marketing and Advertising Management. I am a strong believer in ethics and moral behavior. I have worked for an entertainment company for 8 years and my boss taught me to always do the right thing. I don’t know much about China and the details of their privacy laws or their government regulations. I do know that they block social media sites such as Facebook and YouTube but that's about it. I am an avid Google user though, I probably use Google almost every single day, or at least...
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...Making Friends in China SGT Robert, Wade H. SFC Franklin, Jeremy ALC 728-12 15 September 2012 Making Friends in China I. Public Life Displays of affection Greetings Dining In a person’s home In a restaurant Business Bargaining Saving Face Gifting Meanings Taboos SGT Robert, Wade H. SFC Franklin, Jeremy ALC 728-12 15 September 2012 Making Friends in China As with any culture to be successful in China socially, one needs to understand the manners and etiquettes that the culture follows. Many cultures have changed greatly over the centuries, but China’s remains very similar to its roots around the family and authoritarian. Unlike western cultures, much of the Chinese etiquette continues to be very rigid. Understanding and putting into practice the manners and etiquettes of Chinese culture will help a person to create new friendships, rather than enemies, and be accepted by more people within the country. These manners and etiquettes cover behavior in public, dining, conducting business, and even gift giving. In public Chinese people are very formal in their behaviors. Public displays of affection such as kissing, hugging, making eye contact, or hand holding are strongly discouraged; however, hand holding amongst friends of the same sex commonly occurs. Personal space is given very little concern within China, especially during national celebrations when most people go out, and the streets become very crowded from the largest cities to...
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