Pilya

For avoiding failure, expatriate managers must have certain competencies. Here the competencies to ‘handle stress’ and ‘cultural adaptability’ are discussed. Ability to handle stress is an essential competence that all successful managers must have. Expatriate mangers experience stress due to the culture shock, unhappy family settings, work load, increased responsibilities and due to difficulties of everyday expatriate life. If the manager is competent to manage stress using sufficient stress management techniques, he will be able to control the situation and can become a successful manager. Another important competency required for the expatriate managers is cultural adaptability. An expatriate manage can perform well abroad if he has the competency to adapt to multi-cultural environments. If they have competence of cultural adaptability, they can easily develop a global perspective for their business. Such expatriate managers are able to recognize cross-border opportunities and can identify risks with a global perspective.

FDI allows the home country to invest into the host country to produce, advertise, and distribute products, in order to upsurge their market share and provides a long-term investment and enhancement. (Moosa, 2002)

This essay will give a general introduction about the location choice of foreign direct investment (FDI). After that, it will focus on

From the research it is evident that the western best practice of management is not universally adopted. Several national cultures hold a differing opinion to the west in several areas, however it is the West of the world that provides the majority of research on management (Bealer, D. and Bhanugopan, R., 2014). Hofstede (1983) identified six dimensions of national culture independent of each other that distinguish countries from one another. Nationality is an important factor for management because it has a psychological effect on employees.

In this era of Globalisation, cross cultural management is the biggest challenge that is faced by the organisations. Within the business context, cross culture refers to interaction between different cultures. Cross cultural management refers to managing the employees from different cultural background in one environment (Adler, 2008). Cross culture management is a significant issue within the organisations as the success of an organisation depends upon the smooth interaction of the employees. This paper is aimed at providing insight on the cross cultural management and the main issues and challenges relating to cross cultural management. For the purpose of this paper, two articles, “Cross-cultural Differences in Management”, by Amman & Jordan

There is a big difference in service delivery between service employees based on their country. I prefer the Pilipino employee more than Egyptian and the Indian employee because the Pilipino employee has better personal hygiene so I feel more comfortable when

To be successful in this environment, the manager needs to engender cooperation amongst the employees, create a shared vision within the group and organization, and effectively communicate with his employees. Either expatriate or foreign-national managers can be successful working with these employees. All things being equal between the two managers, because of the cost benefits of employing foreign-national managers, I would recommend hiring a foreign-national manager to run overseas operations when dealing solely with the dimension of Individualism.

Culture will play a major part in the dynamics of the way we operated in international business circles. Managers today will need special skills in order to meet these challenges. Language differences, culture awareness, and management skills are necessary for success. These challenges often lead to a debate in which is better for a company, expatriate or foreign national workers. There are pros and cons to the use of each, but it will depend on several factors to which managers will be better suited for the challenge of

FDI can be defined as a process whereby an investor places money into a business overseas, therefore implying that the investor now has a certain level of control over the foreign business that was purchased (OECD 2008). Due to the vast size of MNCs, it is common for an investor to purchase a section of an overseas MNC as they may wish to expand their own company and branch out (OECD 2008). However, it is also common for the MNC itself to participate in FDI by investing in an overseas company, as again they may wish to expand the size of their corporation and increase their scope and tenancy (OECD 2008). It is therefore

Investments can be categorized as Foreign Direct Investment (FDI) and Foreign Indirect Investment (FII), where Foreign Direct Investment is venturing into an economic activity outside the economy of the investor. It is referred to as Direct Investment because the investor whether as a person or as a company has a direct long term interest in another country's company either through purchase or building and getting involved in the management and control of the operations. An investment qualifies as an FDI when the investor has acquired the voting rights by obtaining 10% of the issuer's common stock.

Generally, there is an extreme conservative business environment in Saudi Arabia and for cross-cultural management to succeed, there is need to practice and maintain a significant level of formality and treat everybody with respect. It is quite important to note that; people who are older or are in positions of leadership are deferred to and treated with respect. Patience in Saudi Arabia may be an important cross-cultural trait because things in the kingdom generally take a considerable amount of time than expected to be decided in the kingdom because of frequent interruption of meetings and also, Saudis take to acquaint with foreign managers. Punctuality is one of the management tenets in western world

"Foreign Direct Investment is the purchase by the investors or corporations of one country of non-financial assets in another country. This involves a flow of capital from one country to another to build a factory, purchase a business or buy real estate." (http://www.afsc.org/trade-matters/learn-about/glossary.htm).

Japan and England are totally different countries in different parts of the world, one is purely western and the other one is Eastern. People living in England and in Japan have a totally different culture, they were brought up in a different way and as a result they have different ideas, customs and expectations. To perform successfully in Britain, the local culture was studied and the companies policies were changed to match people’s expectations in Britain, however there is a mixture of cultures on the company’s site.

However, working with different nationalities is not an easy task to do as managers should understand and learn the cultures of those people. Therefore, employees should have a leadership and managerial skills, so that they can lead and organise their staff from outside of their country (Lee 2012).

Foreign Direct Investment is the investment of a country domestic assets into foreign structures, equipment and organizations, but does not include investment into stock markets. Foreign direct investment reflects the objective of obtaining a lasting interest by a resident entity in one economy (direct investor) in an entity resident in an economy other than that of the investor (direct investment enterprise). The lasting interest implies the existence of a long-term relationship between the direct investor and the enterprise and a significant degree of influence on the management of the enterprise. Direct investment involves both the initial transaction between the two entities and all subsequent capital transactions between them and among affiliated enterprises, both incorporated and unincorporated.