Plan estratégico.

controls on international trade. In some instances, the government of a country may decide that foreign competition is hurting domestic trade. To protect domestic business, such governments may enact barriers to international trade.

These barriers include tariffs, quotas, export restraint agreement, and “buy

national” laws. Let us briefly consider the meaning of these terms

Brazil, Colombia, Chile, Argentina and other South American countries. We also have the Caribbean Common Market which covers the Bahamas, Belize, Jamaica, Antigua, Barbados, and twelve other countries. Here in West Africa, we have the Economic countries of West Africa States (ECOWAS) which consists of Nigeria, and other West African countries that came together to promote trade in the area.

It should be noted that these trade relations between countries can either help or hinder international business. Restrictions on other countries such as quotas, tariffs, and others can hurt international trade. However there are plans around the world to reduce many of these barriers. If done successfully, this movement will promote international business.

3.3 The Cultural Environment

Another global environmental challenge of international business is cultural environment. There are cultural differences between nations. As organizations have different cultures so do countries have their own cultures. National culture is the values, and attitudes shared by individuals from a specific country that shape their behavior and their beliefs about what is important.

The question is which is more important- national culture or organizational culture? For example, is an IBM facility in Germany more likely to reflect Germany culture or IBM’s corporate culture? Research indicates that National culture has a greater effect on employees than does their organization’s culture.

Germany employees at an IBM facility in Munich will be influenced more by Germany culture than IBM’s culture. This means that as influential as organizational culture may be on managerial practice, national culture is even more influential.

4.0 CONCLUSION

The international business environment presents new challenges for managers of international organizations. Three environmental challenges are very important to an international manager. These varies were highlighted under the economic, legal/political and the cultural environment.

5.0 SUMMARY

In this unit, we have discussed the environmental factors that influence

international business environment. The economic environment is one of the

variables that influence the international business. Important challenges here include the economic system, natural resources, and infrastructure. Another environmental challenge we considered was the political/ legal environmental challenges. Four important factors considered here were government stability, incentives for multinational trade, controls on international trade and the influence of economic communities on international trade. We also highlighted the importance of cultural dynamics at work and noted the nation culture where a company operates could be more influential to the company than the organization’s culture.

6.0 TUTOR MARKED ASSIGNMENT

Discuss three environmental factors that affect the operations of an international business organization.

7.0 REFERENCES/FURTHER READING

Bateman T.S & Snell S. A , Management, leading & collaborating in a competitive world, Boston, McGraw-Hill,

Daft R. L. (1997) Management, San Diego, Harcourt Grace College Publishers.

Griffin R.W (2002), management, Boston, Houghton Mifflin Company

Hellriegel D., Jackson, S. E & Slocum J. W. J (2002) management, a Competency-Based Approach, South-Western – Library of Congress Cataloging – in – Publications Data.

Robbins S.P & Coulter M (2003), Management, New Jersey, Prentice Hall

Rue L. W. & Byars L. L (2001) Business management-Road wild applications &

connections, New York Boston, McGraw Hill Irwin.

Rue L. W. & Byars L. L (2007) management, Boston, McGraw Hill Irwin.

Smith on (2011) Fundamentals of management, London, McGraw Hill.

Stoner J. A. F. (1978) Management, New Jersey, Prentice Hall.

Stoner, J. A. F, Freeman A. E, and Gilbert Jr. D.R , management, New Jersey, Prentice Hall

Worthington I, and Britton. C, (2009), the business environment, London, Prentice Hall.

UNIT 15 Global comparative management

CONTENT

1.0 Introduction 2.0 Objectives 3.0 Main content

3.1 Selected Factors Influencing Managing in Western Countries

3.2 Korean Management

3.3 Japanese Management and Theory Z 3.4 Germany Management

4.0 Conclusion 5.0 Summary

6.0 Tutor-Marked Assignment 8.0 References/further reading

INTRODUCTION

This unit considers some of the factors that influence management in some few selected countries of the world. We shall consider mostly the advanced nations of the world since most of the international businesses are found in these countries.

9.0 After reading this unit , you should be able to explain . Factors influencing managing in Western countries . Management in Korean

. Management in Japan . Management in Germany 3.0 MAIN CONTENT

3.1 Selected Factors Influencing Managing in Western Countries

Managing in Australia is influenced by the country’s moralistic stance and emphasis on political and social values, achievement, and risk taking.

Italian managers operate in an environment of low tolerance for risks.

Italians are very competitive, but at the same time they like group decision making.

Management in Austria (and Germany) is characterized by self-realization and leadership. Independence and competitiveness are valued.

Tolerance for risk taking is rather low.

In Britain, job security is important, and so are resourcefulness, adaptability, and logic. Individualism is also highly valued.

Managers in European countries manage in different ways. Yet there are some commonalities, as interviews with top managers from European firms found:

• European managers think of themselves as being more people-oriented then American managers are.

• A great deal of negotiation takes place within European firms, such as between management and workers or unions and between headquarters and subsidiaries. The practice of codetermination in large German firms may be an illustration of such extensive negotiations. European managers perceive the American style as more top-down.

• Europeans also have developed great skills in managing international diversity. Managing across borders is achieved more through people than through structures and procedures. The ability of most European managers to speak several languages facilitates the “people approach”.

• European mangers operate between the extremes of short-term profit

orientation (of American managers, as perceived by European managers)

and the long-term growth orientation of Japanese managers.

European managers, on the other hand, have adopted many managerial

techniques from the Americans, they also could learn from American

entrepreneurship. In the global environment, with free flow of

information and MNCs operating in many countries, there may be some

convergence of managerial approaches.