Write a six (6) page paper in which you:
1. Specify what cultural determinants about this country would be most important to you as you reach a decision about whether or not to do business in this country(ENGLAND) .
2. Specify what governmental, compliance management, and security requirements concerning this country would be most important to your decision.
3. Create action steps you would take to initiate export / import activities in this country.
4. Recommend the governmental and private assistance and resources you would choose to streamline the initiation of business in this country.
5. Use at least three (3) quality references. Note: Wikipedia and other Websites do not quality as academic resources.
Your assignment must follow these formatting requirements:
o Be typed, double spaced, using Times New Roman font (size 12), with one-inch margins on all sides; references must follow APA or school-specific format. Check with your professor for any additional instructions.
o Include a cover page containing the title of the assignment, the student’s name, the professor’s name, the course title, and the date. The cover page and the reference page are not included in the required page length.
Import-export research paper 1
Business Culture
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Introduction
Business culture refers to the style and model of conducting business within a specified region and in this case, within a country. The business culture influences mode of communication between companies, consumers, and the government. It also encompasses any governmental activities or policies that affect and influences the business environment within the country. For any multinational corporation, understanding the business culture of their host countries could be a stepping-stone to success. This is because the multinational corporations will gain the knowledge necessary to plan, budget, and produce goods and services in line with the cultural norms of the countries. Business culture influences all the activities undertaken by a corporation and it is also susceptible to changes with time. Thus, organizations should also adjust their operations with respect to the changes of the business cultures. Otherwise, the organizations that remain static will gradually become obsolete. To some extent, business culture also influences the goods and services that can be trade within a country. This therefore underlines the importance of knowing the business culture of a country by an organization (Ardichvili, Mitchell &Jondle, 2009).
Business Culture in England
In England, the business culture resembles more of the societal culture. This means that in England, the societal culture has a lot of influence on the business culture. For any organization to be successful in England, the organization will have to respect the societal culture as well as the business culture. The business culture in England favors communication, etiquette, general cost and the infrastructure within the country. The Business communication in England is highly efficient. The communication between an organization to another organization, an organization to its consumer market, the consumer market and the organization, and the government to the organization and the citizens is very efficient. The efficient communication is also honest communication. The stakeholders convey their intended message to one another in a clear and sincere manner thus reducing any chance of any ambiguity.The major advantage of having efficient communication amongst all the business stakeholders is that the business environment assumes amicable relationships. The resultant of the sincere and honest communication is the general business etiquette within the country. Mutual respect is a prevalent amongst the organization. Thus, there are very few cases of unfair business activities by organizations. This is in direct reflection of the societal culture that favors etiquette, manner, and decency.
The government of England does not interfere in the running of the business environment. This lowers the political interference in the business environment thus making the environment to be a free affair. The government has also made sure that the necessary infrastructure is present within the country to conduct any business endeavor. This includes transport, communication, and technology infrastructure.The market policies within the country also promote the business environment as well as the business culture. Minimal political interference favors and attracts more investors to the country thus promoting competition and subsequently improvement in quality of products and services. Therefore, the business culture demands quality due to the high competition. Organizations therefore engage in healthy and sincere competition subsequently causing organization to adopt certain management styles and strategies that will instigate their survival in the market. Being a liberal society, the leadership style in organizations within the country is largely democratic leadership style and occasionally laissez-faire. This is because the society does not like any form of oppression thus championing the rights of employees (Crane, 2000).
Another key element in England’s business culture is the high quality of manufacturing. This education focuses largely on manufacturing production. This is evidently clear, as the most successful organizations are manufacturing organizations. The emphasis on manufacturing is in line with the government’s pursuit of comparative advantage in manufacturing industry. Analysis of England’s business culture shows that the key elements are communication, infrastructure, minimum government interference, and all round inclusivity. The dimensions of the culture are in consideration of the general effects of an organization’s activity to the entire stakeholders.
Societal Integration
The English society has embraced their business culture seamlessly easy. This is because the business culture is an indirect derivative of the societal culture. Local organizations observe high efficiency in communication amongst all the stakeholders. The communication is very sincere and honest but sometimes, the correct feedback does not see the light of day because the English society does not believe in offending either anyone justified or not justified, a person may conceal the truth so that he or she does not offend the other party. The locals also believe in efficiency at service delivery and production. Therefore, the local organizations strive to meet their obligation to the consumers with the least time lag. The local organizations also incorporate all democratic leadership styles to run their organizations. The organizations do this because the society champions freedom in all aspects. In addition, the government plays a residual role in the business environment. The policies initiated to manage the business environment do not introduce favoritism in anywaybut allow and facilitate the business organizations to conduct fair business activities by protecting the smaller organizations from any form of unfair competition. The English business culture thus displays a form of free market with minimal government interference.
Comparison of America’s and England’s Business Culture
The two business cultures exhibit similarities and differences. One similarity is the emphasis in quality. Quality is important to the survival of any organization within the markets in these two countries. The organizations in both countries thus employ skills and tools that aid in the production of quality goods and services. The environments also offer high competition to the market players. The high competition present thus sometimes locks out new organizations from joining the markets. However, the competition is also healthy as it promotes technological improvements, innovation and integration in the production of goods and services thus improving the quality of goods and services. The two countries also promote minimal government interference only when need arises. In England, the government only interferes when an organization practices unfair exercises thus putting the other organizations at a disadvantage. The same case scenario applies in America. The governments also interfere when an organization files for bankruptcy and is about to shut down thus endangering the employment of its citizens. The governments may instigate an economic stimulus package to strengthen faltering organizations or inject a bail out for the faltering organizations.
Various differences exist between the cultures of the two countries. These differences shape key aspects regarding organizations within the countries. One key difference is the leadership styles organizations employ. In England, the prevalent leadership is democratic where by organizations give the employees a say in the running and management of the organization. In America, the organizations employ paternalistic, authoritarian, and transactional leadership styles. The most prevalent leadership style is the transactional while the democratic leadership style is almost residual. This difference largely arises due to the employment laws in the countries. In America, Employment-at-will states that a person’s employment is subject to termination either by the employer or by the person with or without valid reason. In England, employment has protection under law thus an employer has to provide valid reasons for the termination of an employee’s contract. Thus in America, the organizations demand both quality and quantity from the employees and sometimes at minimum wages. In England, contractual agreements control the employment of a person. Thus, organizations focus largely on quality from employees and at fair wages (Moore, 2012).
Challenges for American Organizations in England
For any American multinational organization trying to set up in England, the organization will face a definite challenge in managerial aspects. This is because of the cultural differences present in the two countries. The American organization will have to adjust to business strategies favored in England such as the democratic leadership style. The American organization may also have to increase its wages brackets and simultaneously demand more quality than quantity because of the difference in the employment laws for the two countries. Hence, the operational cost for the American organization may become significantly high in comparison to the operational cost in America.
Conclusion
A country’s business culture influences to a great effect, the entire operations an organization undertakes within the country. Organizations should pay close attention to the business culture present in its host country. This will allow the organization the chance to modify its operation to suit the host country otherwise risk elimination from the market. For England and America, the differences and similarities that shape their business environments have a bearing on each other’s international operations. Analysis of the challenges an American organization may face in England clearly show the importance of an organization respecting the business culture of its host country (Harris & McDonald (Eds.), 2004).
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References
Ardichvili, A., Mitchell, J. A., & Jondle, D. (2009). Characteristics of ethical business cultures. Journal of Business Ethics, 85(4), 445-451.
Crane, R. (2000). European business cultures.Prentice Hall.
Harris, P., & McDonald, F. (Eds.).(2004). European business and marketing.Sage.
Moore, F. (2012). Transnational business cultures: Life and work in a multinational corporation.Ashgate Publishing, Ltd..
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