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Chapter 1:Globalization and International Linkages全球化和国际化Characteristics of MNCs:1. manufacturing, distribution, R&D, high-value-activities abroad2. develop international management expertise10 flatteners:1. 11 / 9 / 89 柏林围墙倒塌 2. 8 /9 /95 网景浏览器的诞生 3. Work flow software工作流程整合的软件 4. Uploading 开放原始码运动 5. Outsourcing 业务流程外包 6. Offshoring 境外生产 7. Supply-chaining 供应链 8. Insourcing 承包企业内部业务 9. In forming 资讯搜索革命 10. The Steroids 高科技工具 The influence of MNCs:1. Poverty: Enhanced or Diminished?(贫困:增强还是减弱)2. Child Labor: Increased or Reduced?3. Women: Harmed or Helped?4. Democracy? (民主)5. Culture: Imperiled or Enriched?(濒危或丰富)6. Wages and Labor Standards?7. Environment?8. Corporations: Predatory (掠夺性)or Beneficial?Chapter3:Ethics and Social responsibility(商业伦理和社会责任)Pyramid of Corporate Social Responsibility (CSR)Economic Components (Responsibilities)1. It is important to perform in a manner consistent with maximizing earnings per share.2. It is important to be committed to being as profitable as possible.3. It is important to maintain a strong competitive position.4. It is important to maintain a high level of operating efficiency.5. It is important that a successful firm be defined as one that is consistently profitable.Legal Components (Responsibilities)1. It is important to perform in a manner consistent with expectations of government and law.2. It is important to comply with various federal, state, and local regulations.3. It is important to be a law-abiding corporate citizen.4. It is important that a successful firm be defined as one that fulfills its legal obligations.5. It is important to provide goods and services that at least meet minimal legal requirements.Ethical Components (Responsibilities)1. It is important to perform in a manner consistent with expectations of societal mores and ethical norms.2. It is important to recognize and respect new or evolving ethical / moral norms adopted by society.3. It is important to prevent ethical norms from being compromised in order to achieve corporate goals.4. It is important that good corporate citizenship be defined as doing what is expected morally or ethically.5. It is important to recognize that corporate integrity and ethical behavior go beyond mere compliance with laws and regulations.Philanthropic Components (Responsibilities)1. It is important to perform in a manner consistent with the philanthropic and charitable expectations of society.2. It is important to assist the fine and performing arts.3. It is important that managers and employees and participate in voluntary and charitable activities within their local communities.4. It is important to provide assistance to private and public educational institutions.5. It is important to assist voluntarily those projects that enhance a communitys “quality of life.”Conclusion:1. Social responsibility can only become reality if more managers become moral instead of amoral or immoral.2. A corporation has different responsibilities to different stakeholderChapter8:Strategy Formulation and Implementation(战略制定与实施)Strategic managementTo determine: Basic missionLong-term objectionsImplement a plan to achieve these goalsWhy MNEs need strategic management?Citibank in chinaOpportunities:1.Elite local corporations will all be able to turn to foreign banks for local currency loans. 2.The bank is allowed to offer consumer financial services such as credit cards and home mortgages. 3.The business-to-business (B2B) commerceRisks: 1. The Chinese government imposed a limit on the number of branches that foreign banks could open as well as to whom they could lend money and in what amounts. 2. The Chinese government is likely to move quickly to open up the banking market.Four approaches to formulating and implementing strategyEconomic imperative (经济规则导向)Political imperative (政治规则导向)Quality imperative (质量规则导向)Administrative coordination strategy (行政协调)1.Economic imperative (经济规则导向)Worldwide strategyValue added in the upstream of value chain-R&D, manufacturingBasically homogeneous products- PCNot based on name brand or support service-matured market & technologyGlobal sourcing (全球采购)-low cost2.Political imperative (政治规则导向)Country responsive (国家回应)- to protect local marketValue added in the downstream of value chain-insurance, consumer packaged goods-marketing, sales, servicesCountry-centered or multi-domestic strategy - Coca-cola in IndiaKodak-Fuji3. Quality imperative (质量规则导向)Total quality management (TQM) 全面质量管理Change attitude and raise expectation for qualityPractices to make quality improvement an ongoing processTQM forms:cross-training personnelProcess re-engineeringReward systemsNintendo, Toyota, Motorola4. Administrative coordination strategy (行政协调)Strategic decisions based on the merits of individual situationWal-MartGlobal & Regional strategiesGlobal integration世界范围内生产和销售相同类型、质量的产品和服务National responsiveness理解各细分区域市场客户的不同口味并且对各政府和机构颁布的不同标准和规则作出回应。全球整合与国家回应矩阵中的四种国际化经营战略及其优缺点1. 全球战略(全球整合高,国家回应低):追求规模经济且以价格为竞争基础,优点:成本低 缺点:经济效益需求针对差3. 国际战略(双低):优:无成本压力和当地需求压力,以产品和服务的国际标准化程度的提高为特点。缺:采用时间较短,适应性差。2. 跨国战略(双高):全球关注的焦点进行本土化(文化挑战),要求适应各地不同市场,同时控制成本4. 多国战略(全球整合低,国家回应高):强调公司在国外市场的利润和竞争能力,有效满足当地需要,成本高Strategy implementationWhere to locate operations country & local issuesthe countryInvest in advanced industrialized countriesThe amount of the government controlRestrictions on foreign investmentThe specific benefits offered by host countriesLocal issuesAccess to market, proximity to competitors, transportation and electric power, desirability of the location for employees coming from outsideNature of workforce The presence and strength of organized laborCost of doing businessStrategies for emerging marketsFirst - mover strategiesStrategies for the Base of the Pyramid (BOP) large market due to the largest population in the worldBOP:challenges:1. offer affordable goods2. Bring awareness of the product3. The balance between the ads. and the low cost4. illiteracy issues, poor infrastructure, corruption, nonexistent distribution channelsChapter9: Entry Strategies and Organizational Structures (进入战略和组织结构)Entry strategies and ownership structures1. Export / import2. Wholly owned subsidiary (独资子公司)3. Mergers / acquisitions (兼并/收购)4. Alliance and joint venture (联盟,合资企业)5. Licensing (许可证经营)6. Franchising (特许经营)1.Export / importSmall and new firms wanting to go internationalGo international with minimum investmentTransitional in nature (过渡性)3.Mergers / acquisitionsThe cross-border purchase or exchange of equity involving two or more companies.Pre-merger agreement & post-merger integrationBarriers: Pre-merger: Cultural differences , time constraintsPost-merger: transition costs (转换成本)4.Alliance / joint venturesAlliance: any type of cooperative relationship among different firms.A joint venture: a specific type of alliance agreement under which two or more partners own or control a businessNon-equity venture: one group only provide a service for another.Equity joint venture: a financial investment by the MNC in a business enterprise with a local partner.Advantages:Improvement of efficiencyAccess to knowledgePolitical factorsCollusion or restriction in competition(竞争中结盟或限制)5.LicensingAn agreement that allows one party to use an industrial property right in exchange for payment to the other party.Industrial property: patent, trademark, proprietary information(专有资讯)The licensing fee based on the salesThe licensor(许可人) restricts licensee(被许可人) sales to a particular geographic locale and limits the time period covered by the agreement.Disadvantage: Competition will develop improvement patents that allow it to sell similar goods or
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