Hello brother , long time no see ! now we will talk about the managing across borders .
In this time we have 5 main point , that is :
1. Globalization
2. International Management
3. Companies International Expansion
4. World of free trade
5. Cultural difference
Lets start !
1. Globalization .
What is globalization ? globalization is the condition in the world that make distance between one country and another country are not the main problem for the information exchange , and also we can go to anywhere easly. The main key that support the globalization are transportation and internet. We can eassly know what happens in the autralia even we are at indonesian . So globalization make little bit change and new system trend in economy. Here we will discuss about that , That is : Global village & e-commerce, One big world market or global economy , megamergers & minifirms
A. Global Village & E-Commerce
we know , globalization make there is no distance again between one country to the another country . You can easly use things call internet to access all information arround the world , This globalization make you to be global village because you know all of the problem ,trend, culture, so far and so on about the world . Because there is global village , there will be a trade between people from one country to the another country . When they do trading , should they meet each other ? the answer is not . In this day you all can easly do trade at the internet . You can buy anything that you want at the internet , thats we called it as E-commerce.
B. One Big World Market .
As you know , globalization make us can easly go to anywhere in anytime this things used by the big company to expand their business. All of the coorporations are try to expand their business to all the country that they can reach . Lets say the KFC , MCD , HONDA, SUZUKI, KAWASAKI . All of that are not our local product , That company is come from another country and they expand their business to the indonesia . So these freedom for doing the business around the world we can call it as One Big World Market . Because market not only have a small area at the country, but now marke have a big area that is our world / global.
C.Megamergers and Minifirms
What is megamergers ? Megamergers are the condition when some company decide to united eachother to create their company more bigger than before . The example is the mandiri bank in indonesia is the bank which created from the megamergers from : Bank Bumi Daya (BBD), Bank Dagang Negara (BDN), Bank Ekspor Impor Indonesia (Bank Exim), dan Bank Pembangunan Indonesia (Bapindo) . That we call it megamergers. Mini firms is look lite firms but mini , a lot of people today usually dont want to work at the firms , they decide to create their our job for theirself . Because of these things today there are a lot of minifirms .
2. International Management
Simply , the people who faces, who conduct, who run the operations in or with organization in foreign countries can we call International Management. No matter a multinational organization or a multi national coorporation . For the example , There are business trade of sun glases at china, you are the people who handdle the customer or buyer from indonesian . Even you are not in china but you run or conduct the operations from bali you still called the international management
question is why we should learn about international management ?
a. Because we deal with foreign customers or partners
b. Because we deal with employees or suppliers
c. Because we work for foreign firm in indonesia
d. Because we work for an foreign or indonesian firm outside indonesia
There are 3 Primary attitudes of international managers :
a. Ethnocentric managers ("we know best")
Simply this managers think if their nation , language, culture and so far and so on are superior to all others . Imagine if i are the manager from the arie ganteng hotel , and i open my new hotel in the malaysia . Im are the balinesse people , so because im balinesse i choose all of my employe for my new hotel at malaysia from balinesse people, because i think balinesse people are the best then the other.
b. Polycentric managers ("they know best")
Simply this managers take view that native managers in the foreign office best understand native personnel and pratices. Imagine if im the manager from the arie ganteng hotel , and i open my new hotel in the malaysia . Im are the balinesse people . And in my opinion or in my mind i think australian people is more good to be placed as employes at my coorporation. Because i think they acctually know the characteristic of their peoples
c. Geocentric managers ("what is the best , what is effective, regardless origin)
This managers accept that there are difference and similarities between home and foreign personnel and pratices and they should use whatever techniques are most effective
3. Companies International Expansion
As we know from number 1 about the one big world market make a lot of company in the world wanna to expand their companies . Why the companies wanna to expand to the world ?
the answer are :
1. Availability of supplies
For the
2. New markets
3. Lower labor cost
4. Acces to finance capital
5. Avoidance of tariffs and import quotas
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