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2023 ZA not chosen - Coggle Diagram

- - - - Unified corporate culture
        
        Better able to replicate its practices globally
        
        Aids in transfer of core competencies
        
        Overcomes lack of unqualified talent pool
      - Cultural myopia
        
        Limits advancement of host-country nationals
        
        not aware of PESTEL
      - Most useful: - At early stages
        
        When knowledge transfer is crucial
        
        Objective is to have tight control over its operations
        
        Least useful: - In markets that need adaptability
      - Toyota the Japanese multinational automotive manufacturer, initially adopted an ethnocentric staffing approach when expanding globally, with heavy reliance on Japanese expatriates to manage its overseas subsidiaries.
    - - tailoring of strategies
        
        Avoids cultural myopia
        
        less expensive
      - Creates a gap between home and host country operations making it difficult to transfer core competencies EoS and location economies or experiences economies
        
        Host country nationals are limited in progressing beyond certain positions since they are limited in experience
      - Most Useful:
        
        when the strategy emphasizes local responsiveness and adaptation
        
        Where consumer practices vary significantly
        
        Least useful:
        
        In industries needing standardization and global integration
        
        Where EoS are crucial for operations
      - McDonald's hires predominantly local staff for managerial positions as they understand the market dynamics, consumer preferences, and cultural nuances better than expatriates, allowing McDonald's to tailor its menus and marketing strategies to each country.
    - - Promotes global mindset
        
        Sharing best practices and facilitating knowledge transfer and innovation
        
        supports development of a cohesive culture and informal management practices enchaining cross-cultural understanding
        
        A multicultural team brings new ideas and diverse perspective
        
        promotes optimal allocation of human resources
      - Tight immigration policies
        
        Expensive
        
        Sensitivity toward certain nations
      - Most useful: - Where innovation, knowledge sharing, and talent mobility across borders are critical for sustained competitiveness