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Globalisation as strategic approach

to deal with the individuals and country-specific patterns

Globalisations as social constructivism phenomenon

to pay attention to group contexts with inherent dynamics of identity info

Development of globalisation

1) 1960 internationalisation as market expansion

2) 1975 internationalisation as competitive strategy

3) 1985 battle in the triade

4) 1995 Europeanisation + globalisation

5) 2005 repositioning of europe

6) 2015 focus on Pacific region + economic crisis

7) 2025 trade wars+e commerce

What is FDI?

FDI, foreign direct investment, is a controlling ownership in a company in one country by an investor from another country

Advantage of FDI?

A company can strengthen its foreign market power, decrease conflicts related to its expansion strategy in a foreign country

Globalisation risks

  • geopolitical conflicts
  • nationalism and resource control
  • terrorist attacks
  • trade relation tensions (trade wars)
  • hyperinflation

Levers of culture (Stein)

1) artifacts (dress code, language, slang, rituals)


2) espoused beliefs and values (adopted values:company guidelines, internalised values: performance)


3) basic underlying assumptions (relations to environment; image of HR)


2 Basis propositions

  • culture-free (universalists)
  • culture-bound (culturalists)

Basic dimensions by Hall

  • temporal (mono "one thing at a time"/polychronic "multitasking")
  • spatial (public/intimate)
  • coping with environmental info (high context "networks difficult to enter, task < relations"; low context "networks easy to enter, task>relations)

6 Cultural dimensions by Hofstede

  1. Individualism/collectivism
  2. Masculinity=competition/femininity=cooperation
  3. High=want to know future/low=it is as it is uncertainty avoidance
  4. High=are satisfied/low=people want more equality power distance
  5. Long-term=changes, future/Short-term=traditions, past Normative Orientation
  6. Indulgence=enjoy life/Restraint=strict normal rules

Advantages and disadvantages of Hofstede approach

Advantages:

  • ambitious for measuring cultural differences
  • sensitization for culture instead of cultural ignorance
  • high correlation with cultural dimension of comparable studies


Disadvantages:

  • selection of the cultural dimensions
  • limited representativeness

Basic dimension by Hampden Turner

  1. Universalism=treat all people the same way/particularism=favor certain groups, all different
  2. Analysing/Integrating
  3. Individualism/Communitarianism
  4. Inner-Directed/Outer-Directed Orientation
  5. Time as Sequence/as Synchronisation
  6. Achieved Status/ Ascribed Status
  7. Equality/ Hierarchy

2 types of identity

Individual, collective

How is collective identity is divided?

identity of organisations, identity of nations

how is identity of organisations is divided?

spatial (essence, difference) aspect, temporal (continuity) aspect

What is meant by perception?

the process by that people select, organise, interpret, preserve and react to information

When are stereotypes are useful according to Adler?

  1. a person is aware of them
  2. they are descriptive rather than valuing
  3. they describe the norms accurately
  4. reflect the first impression rather than the background info
  5. modified in the light of new expressions and observations

What is meant by expatriate management?

the situation when someone works in another culture/country

Who are third-country-nationals?

were born in one country, moved to another country and work in another one for the company of the country they moved to

What is international Virtual Team (IVT)?

a work between a group of people from different countries (highly skilled performers)

What are success factors in IVT?

  • configuration
  • multiculturalism
  • IVT trainings
  • technological IVT equipment ("separately together")
  • KPI and KRI (R=Risk)

Patterns of intercultural behaviour

  • Cultural chameleon (assimilates culture, learns adaptation, thinks multinationally)
  • Cultural cowboy (colonizes culture, thinks nationally, confrontation)
  • Cultural leveler (ignores culture, thinks universally, task-oriented)
  • Cultural positivist (differentiates culture, thinks internationally, strategic behaviour)

International Strategies by Perlmutter

  • ethnocentric (focus on home base)
  • polycentric (foreign subsidiaries+country specific strategies)
  • geocentric (global integration of all company activities)
  • regiocentric (current & future markets, international revenue)

3 types of culture in International HR Marketing

  • mono-culture (domestic market, national HR for international positions)
  • multi-culture (positive corporate image abroad)
  • mixed-culture (standardise, international HR-marketing, culture related differences)

What DECG stands for?

Differentiation, expertise, continuity, governance

9 intercultural strategies by Scholz

Divided to decision strategy (central, decentral, federal) and culture strategy (mono culture, multi culture, mixed culture)