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SUBMITTED BY:-GROUP IVSOMA THAKUR

JYOTI BHATIA

NEERAJ BAJPAIHIMANSU KUMAWAT

SAURABH ARORA

UMESH CHANDRA

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INTRODUCTION

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INTERNATIONAL MANAGEMENTInternational Management refers to the particulartype of skills, knowledge & understanding needed bymanagers who are in charge of operations that involves

people from different countries & cultures.

In Indian ContextBefore 1991

Comprehensive approach to development More Emphasis to Public Sector

Policies of Import Substitution

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In 1991

Liberalization Privatization Globalization

In Present Context

World A Global Village No Tariff Barriers Free Trade Doctrine Declining of Barriers of distances and culture.

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POLITICAL ENVIRONMENT Political ideologies and economics systems are

interwoven

Trend towards privatization Economic integrations

NGOs and MNCs

Strategies of MNCs

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CULTURAL ENVIRONMENT Different country has different culture

Understanding culture helps

Hofstedes research MNCs should take special concern for local culture

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TRADE BARRIERS Tariff barriers

Non tariff barriers

Counter trade Trade of services

Free trade zone

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SOUTH AFRICAS CONCEPT OF UBUNTU UBUNTU:

Ancient African word meaning humanity to others IT PREACHES:

- Human interdependence

- Reciprocity suppression of self interest and the virtue of

symbiosis

- Umntu ngumntu ngabanye

MANAGERS CAN USE THE CONCEPT IN :

- Placement, promotion, transfer, reward discipline- Improve efficiency

- Solving disputes

- Striking similar to Chesterd Bernard

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CHINESE NEGOTIATING STYLE

THE PING PONG MODEL

HOW THIS MODEL CAN HELP:

Give managers systematic way to negotiate Help in long term relation building

PRE NEGOTIATION: Lobbying, presentation, informal, discussion, trustbuilding

FORMAL NEGOTIATION: Task related exchange of information,persuasion, concession , argument

POST NEGOTIATION: Implementation and new rounds of discussion

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STUDYING AMERICAN AND JAPANESE

CULTUREJAPANESE CULTURE AMERICAN CULTURE

MAN WITHIN NATURE OUTSPOKEN

PATIENCE CAUTION CONFRONTING ACTION

SILENCE RISK TAKING

GROUP CONTENTION PERSONAL PRINCIPLE

HARMONY HUMBLE CO-OPERATION PROVING ONESELF FREEDOM

REWARDING SOCIETY BEING HEARD

LOYALTY REWARDING PERFORMANCE

HEIRARCHY UNTIRING EFFORT OPPORTUNITY EQUALITY

DEPENDANCY FAIR EFFORT

HOW MANAGERS CAN USE THIS:

Expatriate can use these two different styles estimate the needs of people in different

cultures and act accordingly

A h /Thi k

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Authors/Thinkers

of International Management

Theories Heckscher and Ohlin:- Differences In factor endowments determinedifferences in comparative advantage , which themselves shape the pattern ofinternational trade.

M.E.Porter:-Propositions:-(a)Diminishing Importance of work costs and competencies(b)Easy shifting of operations(c) Independence of MNC from one international bases for resources.(d)Comparability of workforces and capital market arrangements.

Conclusion:-

1. Firms need to constantly to seek new sources of competitive advantage.

2. Need to operate internationally in order to fine-tune their competitivestrengths and to identify and then remove weaknesses.

3. The key determinant of contemporary national advantage is product andprocess innovation.-not cheap labour or an abundance of national resources.

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More Authors/Thinkers

of International Management Theories John Dunning:- Eclectic Theory

Likelihood of a firms investing abroad essentially on firm-specific factors ,location-specific

factors that make it advantageous to invest in a particular country, and Internalization

Advantages which cause the internal transfer of labour,capital and technical knowledge.

Geert Hofstede:- Four Dimensions of a culture:-

1. Power Distance:-The extent to which less powerful members of institutions and organizations

accept that power is distributed unequally.

2. Uncertainty avoidance:-The extent to which people feel threatened by ambiguous situations,

and have created beliefs and institutions that avoid these.

3. Individualism:-Tendency of people to look after themselves and their immediate family only.

4. Masculinity:-A situation in which the dominant values in society are success ,money and

material things.

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Global market offers large opportunities and threats

Limited resources want for optimization

Effective production-produce that commodity that youcan produce most effectively

Benefits of cheap labour-outsourcing

Quality services at economical prices

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ANALYSIS BEFORE ENTERING A NEW COUNTRY PESTEL-political, ecological, social,

technological, economical, logical

SWOT strength , weakness , opportunities , threats Dynamic management

Involving the locals

Synergy of cultural ideas and managerial practices

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PRODUCT PORTFOLIO ANALYSIS

USE OF BOSTON GRIDHIGH GROWTHRATE STARS PROBLEM

CHILDREN

LOW GROWTH

RATE CASHCOWS DOGS

HIGH MARKET

SHARE

LOW MARKET

SHARE

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StrategiesJoint ventures

Technology sharing

Franchising licensing

Copyrights

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SUMMARY No Demographic boundaries, as corporate became

transnational corporate.

Increasing its efficiency by reducing overcapacity,differentiating product offerings.

Allowing for the rapid exploitation of the learningcurve.

An important change is of training managers in thecustoms and cultures of those geographic areas wherethey will be working and being willing to pay the priceto hire and retain the best possible talent.

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Contd... The joint venture became a way for TNCs to effectively

compete in the global economy and continuedinternational research is needed to learn and innovatefor the future success.TNCs form aVIRTUALCORPORATION, defined as a network of companiesthat came together to exploit fast-changingopportunities and share cost ,skills and access to global

markets.

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THANK YOU