International companies, international companies strategies, global strategy, multinational strategy, transnational strategy, Saudi Arabia
As a result of the globalisation that we are witnessing for more than twenty decades, the smallest of companies could cross seas and establish business in foreign lands, as a consequence of that, many names have been given to these companies that succeeded in doing business abroad. The three main types, which are multinational, global, and transnational. These types are what we will discuss in detail.
Bartlett and Ghoshal (1989) grouped these businesses within two criteria, "global integration" and "local responsiveness". Companies that have a high level of global integration, have for the objective to cut down on costs by conceiving standard goods and services for a worldwide use. Meanwhile, companies that have a high level of local responsiveness, have for the objective to adjust and customise products and services for the local need. (Business to you, 2017)
[...] (no date), International Organisational Structures (With Diagram), Your Article Library, [online], Available at: http://www.yourarticlelibrary.com/international-business/international- organizational-structures-with-diagram/77149, (Accessed: 18 April 2019) Tiwari, N. (2013), ‘Managing human resources in international organisations', Global Journal of Management and Business Studies, pp. 355-360 [online], Available at: https://www.ripublication.com/gjmbs_spl/gjmbsv3n4_02.pdf, (Accessed: 18 April 2019) Monawar, M. (no date), Strategy, Structure and HRM Practises in Multinational Subsidiaries: European MNCs in a Developing Country Context, [online], Available at: https://pdfs.semanticscholar.org/b53d/7c4f8bc81c64c098645de521e67a71738976.p df, (Accessed: 18 April 2019) Payne, N. (2011) The impact of culture, Training zone, [online], Available at: https://www.trainingzone.co.uk/develop/talent/the-impact-of-culture, (Accessed: 19 April 2019) Nakagawa, K. [...]
[...] As for attributes that are very much wanted in a leader in the Mena region, we can count, visionary skills, high levels of Integrity, Inspirational, Administrative Competencies, and last but not Performance-Oriented attributes. (Kabasal and all, 2012) Figure 10: (Kabasal and All, 2012) Market of Saudi Arabia Market of Saudi Arabia is known for being greatly independent on foreign workforce. Moreover, many key points should be taken and consideration: Female workers: in Saudi Arabia, females are prohibited from working in just ‘any' job and certain industries, as well as they are required to work separately from male employees, so I suggest that no female should be employed, to keep the working environment homogeneous. [...]
[...] Moreover, most value chain workload is done at the headquarters. Needless to say, this strategy can be perceived as being an exporting strategy. Goods are produced in the country of origin and sent to customers abroad. In this case, subsidiaries are only a means of distribution channels to the customers. Example: Ballantine's (Business to You, 2017) Figure Multinational Analysis Creating as successful organisational structure is very challenging, no matter what type of MNC strategy a company is using, it is also among the most difficult tasks given to top management, and an exceptionally well designed and built organisational structure makes it achievable for any company to maximise their profits. [...]
[...] Geocentric approach is the policy involve recruitment based on skills and experiences regardless of their nationality, it involves companies that adopt a transnational strategy orientation, as well as global strategy. (Tiwari p. 356) The policy orientation of headquarters explained above have a very important effect on the configurations of subsidiaries' human resources approach and practices, MNCs adopting the ethnocentric policy orientation mostly follows an exportive human resource management approach, meanwhile, the polycentric and geocentric orientation share the adaptive and integrative or as commonly used best practices approach (Kopp, 1994; Pudelko and Harzing, 2008; Taylor et al cited in Monawar, no date, p. [...]
[...] The three main types, which are multinational, global, and transnational. These types are what we will discuss in detail. Bartlett and Ghoshal (1989) grouped these businesses within two criteria, “global integration” and “local responsiveness”. Companies that have a high level of global integration, have for the objective to cut down on costs by conceiving standard goods and services for a worldwide use. Meanwhile, companies that have a high level of local responsiveness, have for the objective to adjust and customise products and services for the local need. [...]
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