INTERNATIONAL MANAGEMENT

Maximizing Profits by International Management through Multicultural Teams

Maximizing Profits by International Management through Multicultural Teams

Introduction

The trade is now global and companies are forced to work globally to remain competitive. In a globalized business world, cultural differences play a very important role so it is very important to manage to manage those cultural differences. They might enhance the effectiveness of multicultural teams, as well as to prevent it. Consequently, great importance is given to the ability of managers to use all the diverse elements of group performance, focusing on cultural diversity of team members, extracting from them a competitive advantage and, on the other hand, learn to identify socio-cultural differences and manage them wisely, treating national culture as a source of new knowledge and as key factors in achieving competitive advantage. The main basis of the capitalist system is profit maximization and in order to maximize profit international management is very important which can be done through Multicultural teams (Pucik, 2002, 61). The cultural underpinnings of each country are always present and are distinguished from each other. New York is an example of the melting pot, however, there are clear ethnic capita each neighborhood. It is the same in Europe in which cultural differences continue to grow since 1992. The purpose of this paper is to examine profit maximization by international management through multicultural teams.Discussion

Regarding studies on the management, many researchers say that management remains management, where it is practiced. The concept of global village induces a convergence of managerial practices. Management becomes universal as are the sciences and engineering. We all agree that there are different management techniques by level of technological and economic development. Then, for some researchers, there is resistance to foreign ideologies. Indeed it appears that more technical and economic integration increases, the forces opposed to universal management are activated.

As we know that the world is quickly moving towards globalization in order to maximize profit, today, because of a complex and dynamic environment, businesses are organized into small mobile groups, fast and flexible: the teams. This division team is the solution to the problems of external adaptation. Teams collaborate and coordinate, through the integration of constraints from the external environment. This is even more difficult than team members have different cultural assumptions (Snow, 2006, 36). Find solutions to problems of internal integration requires a balance between individual efforts and collective efforts. The team concept originates from quality circles of Japanese management and has been developed and promoted by highly individualistic culture, which is that of America. In other countries, like those of the former Eastern Europe, where individual initiative are prized, management by teams is seen as outdated.

Nevertheless, this type of structure is present everywhere and to be effective in an international context, teams need to develop culturally appropriate strategies. In addition, over time, the teams share their attitudes, values, beliefs and cultural assumptions and they come to create their own culture. One more reason to form multicultural teams is to increase the quality of decision making ...