Immigrant Effect in International Expansion

The key problem for commitment to international business activities is the lack of knowledge about a host country and its (business) culture. A firm’s host country experience and its history of entry patterns in other countries shape entry preferences into a foreign country (Pan, 2000; Chung, 2001; Yiu, 2002; Li, 2008). In the past decade, scholars have become aware of the effect of a specific kind of international experience within the firm: the immigrant effect (Chung, 2001; Tadesse, 2008; White, 2008; Madhavan, 2009). The present chapter reports on the role immigrants fulfil in foreign entry plans and how their involvement relates to the outcome of the foreign entry go/no-go decision. Findings confirm that among the firms that continue in entry, the presence of immigrants in the firm is relatively high. But, and this is unexpected, the same is true for firms that cancel entry plans (Oortwijn, 2010).

Business Performance Management from the Systemic Communicative and Linguistic Side

The purpose of this chapter is to discuss Business Performance Management (BPM) by taking into account its communicative and linguistic aspects. To narrow the scope of the research, the author concentrates on the systemic approaches to highlight the role of communication and language in BPM. To discuss this issue in greater detail, two concepts have been created, namely, the corporate linguistic allostasis and the calibrated corporate linguistic identity, which are used to show the role of corporate identity and communication in business performance management and their implications for creating and sustaining competitive advantage.

China’s “Harmonious Society” Challenges Corporate Japan

Anti-Japanese sentiment in China since the Second World War has been exacerbated by recent territorial disputes involving the Senkaku Islands and the natural resources of the East China Sea. The widespread dissemination of anti-Japanese propaganda by the Chinese media has further contributed to this negative image of Japanese corporations. This pervasive climate of anti-Japanese sentiment has forced Japanese companies seeking to expand their businesses abroad to grapple with the unique challenges of navigating the highly politicized environment of Chinese harmonious society. Still, the success of any foreign companies in China fundamentally depends on whether China’s market economy continues to develop in the face of harsh political conditions and growing social unrest. To date, only a handful of studies have addressed the effects of Chinese harmonious society on the performance of Japanese corporations operating in China. This study is an attempt to fill that gap.

Bicultural Managers and their Role in Multinational Corporations

Exposure to other cultures is common through extensive travel, living in ethnically diverse environments, attending universities abroad, or having work assignments in other countries. In places like the US, more and more people cannot fit themselves into certain ethnic categories, thinking of themselves as being “mixed” (Goldstein & Morning, 2000) or bicultural. This phenomenon has been recognized and researched increasingly in recent years. One aspect is the question on how different societies deal with bicultural people. In this chapter, the authors investigate individuals with a bicultural family background and investigate how this biculturality reflects on their role in business. The survey presented in this paper investigates the relevance of bicultural skills and consequently the roles that bicultural managers play in multinational corporations. To investigate this issue the survey was conducted among managers who had one Japanese and a Non-Japanese parent and worked in a multinational corporation in Japan. Japan was chosen, because it is a more controversial issue in Japan than in other industrialized countries.

Human Resource Management for the 21st Century Global Economy

The purpose of this chapter is to concentrate on Global Human Resource Management (GHRM) by demonstrating how the functional areas of Human Resource Management, such as talent acquisition, leadership capacity, training/development, and compensation/benefits, need to be fused with a higher level of strategic endeavor through cultural intelligence (CQ), system thinking, and the applications of related system archetypes. Understanding the role cultural intelligence plays in the global business community, knowledge of how systems and subsystems operate, and how variables impact the immediate landscape, as well as overall business performance, are the key drivers for competing successfully in the global marketplace.

Cultural Models and Variations

This chapter provides the models and variation of culture. Specifically, the following concepts will be introduced: an understanding of the original of culture and how culture is studies in the academic field; the most influential culture theories which are adapted in business and management research. A detailed exploration on the methodology, dimensions, and implications of each model will be provided. An understanding of culture’s impact on manufacturing systems which stems from traditional factory-based model to inter-firm network with the increase of collaboration in globalization is given Some understanding of culture’s variation in the fast growing inter-firm collaboration with case observations are also elucidated.

Globalism, Culture and Business Environment

In contemporary globalization, companies need to be entrepreneurial, innovative, creative, and dynamic since the life cycle of products is shortening and competition is stiffening; hence companies need to increase investment in research and development (R&D) to remain competitive or even just to survive. Global sourcing and evolving markets demand that companies become proactive in their business approaches. Considering all these changes and challenges facing business organizations, this chapter focuses on how Latin American companies cope with globalization, cultural differences and diverse business environments. The authors start with a discussion on culture, globalization, and business performance of Latin American companies, followed by solutions to their shortcomings, and conclusions. A case study of business performance in Brazil and Mexico will be presented at the end of the chapter. The authors believe there is enough reason why foreign businessmen and women should seriously consider the Latin American option when making their business decisions. The authors hope this chapter will convince them that, without a shadow of doubt, cultural differences can be understood and overcome for the benefit of everyone. Undertanding Latin American culture could be a winning strategy for foreign investors in Latin American markets.

The Impact of Culture on Workplace Conflict in the Caribbean

There are many subtleties within a culture that affect decision-making. Lack of understanding of these nuances enhances the mystique of cross-cultural business. Global managers need to better understand trans-cultural decision-making to maximize the benefits of alliances and business relationships abroad. One of these subtleties, often discussed in relation to business in the Orient, is conflict management. The notion of “face” and the importance of individual honor pervade cultural briefing materials on countries such as Japan. It is a defining difference in human relationship management between East and West. Yet when dealing with employees in nations speaking the same language, as a U.S. manager to a Caribbean manager, one often fails to account for equally significant differences in managing conflict. This chapter discusses the impact of culture-specific attitudes concerning workplace conflict on business performance in the Caribbean, using examples specifically from Grenada.

Globalism, Culture, and Business Environment

As the international business environment becomes increasingly global and competitive, a manager’s job becomes more challenging and diverse. The recent trends of globalization and competition are attributed to several triggering factors such as technological development, new emerging and investment-friendly markets, and the availability of globally-scaled logistics. Companies increasingly seek a variety of growth options including cross-border mergers, joint ventures, direct investments, and strategic alliances. Similarly, markets are integrating via a variety of mechanisms ranging from a simple trade level integration (witness the growth of free trade agreements) to a more complex political unification, such as the European Union (EU).

Resource Based Internationalization from Small Developing Countries

Small developing countries, in contrast to their developed counterparts, are characterized by a narrow resource base, (relatively) weak institutions, and a high degree of openness. For organizations from these states, internationalization is an imperative rather than a choice due to the small home market. However, they face severe resource constraints. When compared to developed countries, the level of formal support is relatively low, and firms need to build capabilities under resource constrained conditions. Further, as open economies, firms face intense competition from imports. Internationalization has largely remained unexplored in firms from these countries. Therefore, the objective of this chapter is to build a framework to explain internationalization of SMEs from small states. First, the various modes of international activity are discussed along with market entry strategies. The historical development of internationalization theory is then examined, identifying the major research paradigms and their underlying theoretical basis. Applicable theories are then assessed using an epistemological framework. The resulting research gap of resource development during internationalization was then examined using case studies of firms from a small state, Trinidad and Tobago.