INTERNATIONAL MANAGEMENT

International Management



Table of Contents

Introduction1

Discussion1

Cross-Culture Models3

National Management Style6

Reasons Of Ignoring Cultural Differences8

Preparing Workers for Operations In Multicultural Conditions9

Processes of Overcoming Cultural Differences9

Good Knowledge of the Other Culture10

Respect of the Other Culture10

Helpful Steps in Relationship to The Other Culture10

Conclusion11

References13

International Management

Introduction

The globalization of businesses has provided employees with the ability to work effectively across borders, which has become increasingly critical for the success of the business.

It is important for individuals and organizations to understand the concept of cross-culture, and the organization helps employees to eliminate their misunderstanding, which could harm the business and maximize the best attributes each business and nation have to offer (Yavas et al. 2003: 213).

The studies have provided sufficient evidence that there are cultural differences that impact the efficiency of a business in various aspects, such as the quality of communication between the staff and management is affected (Sackmann et al. 2004: 372). In addition to that, commitment and motivation of employees, and different management styles adopted by employers based on their specific culture (Sorge 1999: 100).

Discussion

International management is typically applied in the business sector, which means the managers employed in this sector are involved in profit-related activities conducted across national boundaries. These managers may also get employed by International and Governmental Agencies, and by nonprofit organizations (Kostova et al. 2002: 219).

The need of businesses to grow their multinational operations reflects a range of factors. These factors include (Jeannet 2000: 19):

Greater ease of transportation,

Wider political and economic ties,

The formation of multinational trading blocs such as NAFTA, EU, AFTA, ANDEAN.

The development of communications networks (electronic communications mean that enormous sums of money can be moved across the world's money markets almost instantaneously),

The expense of new technologies, and the investments that firms must make in order to compete. Companies can no longer afford to limit their operations to national markets and are driven to develop international markets.

In order to understand the concept of international management in detail, it is important to understand what does 'International Management' mean? International is defined as the involvement of more than one nation (Kostova et al. 2002: 216). For instance, international activities are those activities that involve trade or operations between two different nations. Countries can be neighboring countries or they can be distinctive nations, as well (Laurent 1980: 45). For a country to do international activities there has to be another nation involved. If for instance, there is only one nation in the world then words such as international trade or international boundaries will not exist and as a result there will not be any international business either (Child 2000: 29). It is also important to include transfer of management resources across borders rather than including tangible and intangible transfers.

Transfer of management resources means exporting resources such as financial resources, inventory, human skills, and production. When an organization shows willingness to trade with another organization outside its home country then, both the organization and its managers experience internal and external environmental diversity and the interaction between ...