Essay on Ecl in China

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ECL in China Case Study Problem Identification and Situational Analysis ECL is a multi-national corporation that continues to expand its core business as well as create opportunities for foreign divisions to influence the direction of the company in addition to bringing cohesion and unity throughout the workforce. ECL developed a division in China that allowed the company to integrate into the Chinese market but also presented it with issues it would need to manage successfully in order to progress in this venture. There are various cultural issues facing ECL in China. The first is the qualities not often seen in American industries and those are the obedience and humility among the Chinese workers. In the Chinese culture this is…show more content…
Chinese workers believe that close personal relationships are imperative to effective communication. American companies don’t share the same views and some organizations have even related this to workplace fraternization, which can result in disciplinary action. Since we don’t believe that these relationships are necessary, or even appropriate, we don’t form them and this could affect a bi-national workplace and possibly even carry over to business dealings outside of the company. The Chinese believe that, when conducting business with other people, a relationship must first be formed to gain the trust of business partners. American companies rely heavily on systems and processes, which is viewed as highly efficient by the American standard while the Chinese workers with ECL aren’t accustomed to this and believe that it’s not always necessary to establish a system to follow in order to complete a task. The difference in views on this could also present some serious problems for ECL, as the Chinese workers may view the American management style as inefficient or sluggish. Recommendations ECL manages cultural diversity by having “Constant respect for people” and “Uncompromising integrity”. (Wo, 2001) A significant number of companies that have ventured into international business did not attempt to adjust to the foreign culture and rather tried to take the ‘business
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