Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 1 Chapter 7 Global Management Managing Effectively 4th Edition Chuck Williams.

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Presentation transcript:

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 1 Chapter 7 Global Management Managing Effectively 4th Edition Chuck Williams

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 2 What Is Global Business? Global Business 1 1 Multinational Corporation Direct Foreign Investment

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 3 Trade Barriers Nontariff Barriers Tariff 1.2

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 4 Trade Agreements Regional Trading Zones General Agreement on Tariffs and Trade 1.3

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 5 Consistency or Adaptation? Global Consistency Local Adaptation 2 2

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 6 Exporting Advantages 3.1             Disadvantages

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 7 Licensing 3.2 Advantages             Disadvantages

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 8 Franchising 3.2 Advantages             Disadvantages

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 9 Joint Ventures 3.3 Advantages                 Disadvantages

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 10 Wholly Owned Affiliates (Build or Buy) Advantages         Disadvantages 3.4

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 11 Global New Ventures 3.5

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 12 Growing Markets Purchasing Power Degree of Global Competition – Qualitative factors – Quantitative factors – 4.1

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 13 Minimizing Political Risk Political uncertainty – Policy uncertainty – Strategies – 4.3

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 14 Becoming Aware of Cultural Differences National Culture 5 5 Cultural Dimensions Power distance Individualism Masculinity and femininity Uncertainty avoidance Short-term/long-term orientation

Chapter 7 Copyright ©2009 by Cengage Learning Inc. All rights reserved 15 Language and Cross-Cultural Training Documentary Training Cultural Simulation Field Experiences 6.1 Adaptability Screening Crosscultural Training

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