2. Objectives
1. An understanding of international management and its importance to modern managers
2. An understanding of what constitutes a multinational corporation
3. Insights concerning the risk involved in investing in international operations
4. Insights into those who work in multinational corporations
5. Knowledge about managing multinational corporations
6. Knowledge about managing multinational organizations versus transnational organizations
7. An understanding of how ethics and the preparation of expatriates relate to managing internationally

3. Managing Across the Globe: Why?
Great opportunities in the international marketplace today
U.S. population growth slow but steady
Other countries having population explosions
Strong profit potential has serious risk
Some challenges are:
Cultural differences
Different technology levels
Laws and political systems

4. Fundamentals of International Management

5. Categorizing Organizations by International Involvement

6. Categorizing Organizations by International Involvement
Domestic Organizations
International Organizations
Multinational Organizations: The Multinational Corporation
Defining the Multinational Corporation

7. Categorizing Organizations by International Involvement

8. Categorizing Organizations by International Involvement
Complexities of Managing the Multinational Corporation
1. Within different national sovereignties
2. Under widely disparate economic conditions
3. Among people living within different value systems and institutions
4. In places experiencing the industrial revolution at different times
5. Often over greater geographical distance
6. In national markets varying greatly in population and area

9. Categorizing Organizations by International Involvement

10. Categorizing Organizations by International Involvement
Risk and the Multinational Corporation
1. Reduce or eliminate high transportation costs
2. Allow participation in the rapid expansion of a market abroad
3. Provide foreign technical, design, and marketing skills
4. Earn higher profits
The Workforce of Multinational Corporations
Types of Organization Members Found in Multinational Corporations
Expatriates
Host-Country Nationals
Third-Country Nationals
Workforce Adjustments
Adjusting to a New Culture
Repatriation

11. Management Functions and Multinational Corporations
Planning in Multinational Corporations
Plans for multinational organizations could include:
1. Establishing a new sales force in a foreign country
2. Developing new manufacturing plants in other countries
3. Financing international expansion
4. Determining which countries are most suitable
Components of International Plans
Imports/Exports
License Agreements
Direct Investing
Joint Ventures
Planning and International Market Agreements
The European Union (EU)
North American Free Trade Agreement (NAFTA)
Asian-Pacific Economic Cooperation (APEC)

12. Management Functions and Multinational Corporations

13. Management Functions and Multinational Corporations

14. Management Functions and Multinational Corporations
Organizing Multinational Corporations
Organization Structure
Selection of Managers
Managerial Attitudes Toward Foreign Operations
Advantages and Disadvantages of Each Management Attitude
Influencing People in Multinational Corporations
Culture
1. Acquire a working knowledge of the languages
2. Understand the attitudes of people
3. Understand the needs that motivate people
Controlling Multinational Corporations
Special Difficulties
Improving Communication
Transnational Organizations

15. Management Functions and Multinational Corporations

16. International Management: Special Issues
Maintaining Ethics in International Management
Respecting Core Human Rights
Respecting Local Traditions
Determining Right from Wrong by Examining Context
Preparing Expatriates for Foreign Assignments
Culture profiles
Cultural adaptation
Logistical information
Application