...Moving Headquarters Overseas MBAA 604 – International Business Administration Embry – Riddle Aeronautical University April 10th, 2015 Instructor Dr. Thomas O’Meara Table of Contents Introduction 3 Case Discussion Questions 4 Summary 7 References 9 Introduction The following case study examines the decision by a multinational enterprise (MNE) to relocate its businessunit and/or corporate headquarter(HQ) overseas.The next section will answer the case discussion questions related to the benefits and drawbacks associated to moving unit and corporate HQ to another country. Case Discussion Questions 1. What are the drawbacks and benefits associated with moving business unit and corporate HQ to another country? According to the closing case, the benefits associated with moving business unit and corporate HQ(headquarters) to another country must significantly outweigh their drawbacks. At the business unit level, it is likely to achieve efficiency gains by moving business unit HQ closer to the center of gravity of the business. The greater the percentage of business activities (sales units, manufacturing units) overseas, the greater the likelihood of business unit headquarters moving overseas. It makes more effective interaction between the different unit activities and encourages development of firm’s core competence. According to Peng, there are five strategic advantages at the corporate level. First, the firm becomes a global player. Second, stakeholders...
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...Hiring a moving company when moving across the country can often be one of the best things that you can do, mostly because the moving company will be able to take most of the work out of your hands. Listed below are three reasons to hire a moving company when moving across the country. To Avoid Having To Unload On Your Own One of the biggest reasons to hire a moving company when moving across the country is to avoid having to unload a moving truck all on your own. This is extremely important because if you are moving to a brand-new city where you don't know anybody or have any family members living there, then you could end up in a situation where you won't really have any help moving everything out of the truck and into your new home or apartment. As a result, you could very easily end up straining yourself and taking a very long time to get your new home in order. However, when you hire a moving company, they will handle the unloading and you won't have to worry about doing it all on your own or having to find someone to help you in an unfamiliar city. To Complete Your Move In The Shortest Amount Of Time...
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...environment, family etc. * Movement Not necessarily permanent. * E.g. People moving to warmer climates from colder areas moving from Northern Europe to Southern such as Greece. * Finance economic opportunities Poor Economy in Ireland Many young people leaving Ireland due to poor Economy Moving to the US/Australia * Large economic gap in South America poorer leaving to find work in USA * Education Moving to another country for better education e.g. Cambridge, Harvard, Oxford University Large influx of Asian student to Australia. * Must have money in order to voluntarily migrate. * Resettlement migration = International migration. * Contract migrationMigrating to another countryUsually for work * Guest workLiving/Working in another country because there is a shortage of workers in that country for that workAustralian teachers and nurses moving to Internal: * Rural-Urban Migration: * Leaving a countrymoving to a city * ChallengeCan infrastructure handle current rural influx? And who is growing crops? * Push factor out of rural environment (Negative)Sever drought, unemployment, natural disasters etc. * Pull Factors to move to the city (Positive)Employment, Education, Medical etc. * Bright Lights Big City PhenomenonYoung people’s view of being in the city. * Counter-urbanization: * Leaving the citymoving to the country * Life style choice living life at a slower pace * Often associated with retirees...
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...would take the task as soon as I make sure that the bridges on my back are not broken . In another point of view,I would aswell take the chance and the opportunity BUT in this case I would make sure that the life of my family will be safe, eventhough, moving from a country to another always includes many difficulties .its normal and understandable that societies are different. not all the people live with the same life style! Not all people have big apartments with backyards and its not so hard to understand.if you are willing to take the risk and move to another country,you are taking the risk of giving up on something that you may prefer aswell. Its very easy to understand the fact that if you are moving from another country with another culture, to a country with a totally different culture ,you will have problems getting used to the situation and being adapted; atleast at the beginning of the journey ! in this case ,you should be understanding and patient. the first stage of the cultural shocks are always the hardest part to deal with, therefore being patient is the first “unwritten law” in passing by this level of culture shock . to be short ,if you are willing to experience something new and different, being open and understanding in the differences are as necessary as having a preview or an idea about the whole new situation. the more you are educated about the other countries culture, the faster you will be adapted to the host...
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...prominent developed country, while other countries are still developing. This gives GE the possibility to expand their business by giving the country new products and opportunities to develop their economy. GE takes advantage of the economic uncertainty of foreign countries to move into the country at a lower cost. For example, when “Asia slipped into an economic crisis GE spent $15 billion acquiring companies in just six months” (International Business, textbook p. 37). Companies moving into foreign countries often rework their products to fit the countries culture, but they will also use the new way of thinking among people to save money when developing their products. Cheaper products will be more successful in developing countries. 2. By GE moving some of its headquarters to foreign countries they are trying to achieve a closer relationship with the people and government of the country. In many cultures like China, it is necessary to have great level of cultural sensitivity in order to be successful. This is very difficult for outsiders to obtain, so by having a local office you can gain this by bringing people of that culture into the company. By getting to know the culture and customs of the country GE would be less likely to make marketing mistakes. Making a mistake of any size can be disrespectful to the people of the country and cause them to boycott the company’s products. Another benefit of moving the company’s headquarters to a foreign country is that people are...
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...Definition Essay: Final Draft Kristopher Kirkpatrick September 19, 2011 English 002 Kris Kirkpatrick Definition Essay Where would the African-American community be today if they were all still living in the south? America would not be the country that it is today if people did not immigrate here from their respective countries, or migrate here from their respective areas. Due to immigration and migration, the culture in heavily populated cities, such as Harlem, Cleveland, Chicago, and Philadelphia, has given African-Americans, and European-Americans an identity and sense of belonging in the United States. Immigration is defined as the action to come to a country of which one is not a native, usually for permanent residency. Migration is defined as the action to move from a country, place, or locality to another. Why do Economist and Politicians seem to define blacks moving from the south to the north immigration? Certain groups of people still called the action of blacks moving from one part of the country to another immigration, instead of migration, because they didn’t see African-Americans as United States citizens. Economist believes migration has turned out to be a great strategy for the poor to make their lives a little better. African-Americans have migrated to the North for better opportunities, and the economy has boomed because of them. Economist can view the Great Migration and say that it resembles immigration in many ways. When foreigners immigrated...
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...Traditionally a failed assignment is when the expatriate come back home before he/she is scheduled to do so. However a ‘failed’ assignment can also be defined in terms of poor quality performance & not meeting the expectations of their supervisors. Research done by Black & Gregerson (1999) show that 10%-20% of expatriates returned home before the scheduled to do so. 30% of expatriates fail to meet the expectations of their supriviours and 25% soon left their jobs after returning home. Why did so many assignments failed? The three main reseasons for the international assignemnts failer is the expatriates spouse/partner failer to adapt to the new culture/place/way of living, family concers and the expatraites inabily to adapt. Another problem with expatriates is the process of repatriation. The perception of organisations is that all it is need for repatriation process is to buy the expatriate and his/her family a plane ticket back home, however the studies suggests that the process...
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...1. Why do you think General Electric has invested so aggressively in foreign expansion? What opportunities is it trying to exploit? General Electric CEO main goal was to be number 1 or 2 globally for one reason. Also General Electric also sees foreign expansion as a great way to capitalized abroad. Also international revenues grow faster than domestic revenue. 2. What is General Electric trying to achieve by moving some of the headquarters of its global businesses to foreign locations? How might such moves benefit the company? Do these moves benefit the United States? 3. What is the goal behind trying to “internationalize” the senior management General Electric ranks General Electric? What do you think it means to “Internationalize” these ranks? 4. What does the General Electric example tell you about the nature of true global business? Company name/corporate headquarters location Company size (number of employees) Description of products/services Description of manufacturing operations - how and where the products/services are produced Description of marketing activities Where the company advertises and promotes its products/services The type of marketing the company emphasizes (newspaper, TV, magazine advertising, etc.) Identify where the company's corporate headquarters are located and how many people the company employs. History of the company (When was the company founded and by whom?) What are the major events in its history and when...
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...and custody of 14 year old daughter, Chastity. John Bright (Respondent) also requested custody. The court ordered temporary custody of the minor child to Petitioner and visitation with Respondent every weekend. Petitioner will be moving to another part of the country to take a job. Respondent has realized he is gay and has met a male companion who doesn’t reside with him presently, but someday might. Chastity testified that she feels weird around Respondent’s male companion. Psychologist, Dr. Samuel Stoller, testified that Chastity would prefer to stay in the area so she can be with her friends as she moves into high school as she has been having problems in school since the divorce. Psychologist, Dr. Frank Edwards, testified that Chastity has stated she feels uncomfortable around her father’s new companion. Respondent has, on several occasions, physically abused Petitioner, but not in front of Chastity and has never abused Chastity. Both parents have been actively, and almost equally, involved in day-to-day care of Chastity throughout her life. II. SHOULD PETITIONER RETAIN CUSTODY OF 14 YEAR OLD DAUGHTER? A. PETITIONER MOVING TO ANOTHER PART OF THE COUNTRY Petitioner will be moving to take a job in another part of the country. She is seeking to relocate with Chastity out of the state of Nevada to live with her. NRS 125C.200 states as follows: If custody has been established and the custodial parent intends to move his or her residence to a place...
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...international. During the 1980s and 1990s, when General Electric was led by Jack Welch, the company was an American company doing business in foreign markets. Today, under the leadership of Jeffery Immelt, General Electric is moving toward becoming a global corporation. Question:1-Why do you think GE has invested so agressively in foreign expantion?What opportunities is it trying to exploit? Answer to the question NO. 1 I think GE acted so agressively because if they didn’t then another company would have grapped the opportunity & purchase the companies that were in trouble.Other companies could have also formed there & that would have made it harder for GE to establish their business in other countries.Some companies may object to a foreign company trying to establish a company on their land but by buying out the business that were in financial trouble, GE came out as the heroes.They helped to save the jobs that these companies also acted agressively because they wanted the revenue that it would produce. I think that GE is trying to exploit lower wages. They are always trying to find ways to reduce their cost .Moving to other countries would mean lower cost in labor hours for General Electric. Question:2-What is GE trying to acheive by moving some of the headquaters of its of its global business to foreign location?How might such moves benefits the company ?Do these moves benefit the United states? Answer to the question NO....
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...Describe how society defines the social issue. So, what is Social Mobility? First, let’s go to its technical or dictionary definition. Social mobility is the movement of people from one social class or economic level to another (“Social Mobility”, Random House Unabridged Dictionary, 2nd Edition). This term is widely used both in Sociology and Economics. It usually refers to vertical movement or moving up or down in rank. For example, if a soldier becomes a sergeant from a corporal, that would be vertical movement. However, it may also refer to horizontal movement or moving from one rank to another of the same social level. Example of this would be a principal who resigns from one school to become the principal of another school. With this definition in mind, we can see that Social Mobility is “movement”. The technical definition doesn’t restrict about the direction – whether you move up or down or just within what’s mentioned before as horizontal movement. Social Mobility is a term used in the objective comparison of economic or social states. Looking at the events around us, we can see that people care more about upward movement. When people talk about Social Mobility, they are likely referring to progress or development. Everyone wants to move up. Like what we commonly see in families. Almost everyone gives importance to good education. Parents keep reminding their children to be good in their studies so they can have good jobs. People want the opportunity to move up. People...
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...Moving headquarters overseas has been a growing trend since the 1990s as more and more countries become open to the idea of relocation. In our case, we saw examples of big multi-national companies moving headquarters across continents, like Nokia moving from Finland to the United States, IBM from the United States to China and HSBC from London to Hong Kong. This report will examine the reason behind this phenomenon and what are the consequences as a result of that. There are some key reasons that lead to this trend. i) Moving closer to the Asian market As Asia continues to charge ahead in its development, many companies want to fight for a slice of the pie and are moving into Asia to take advantage of the growing demand there. For example, Procter & Gamble (P&G) has this year moved its global headquarters for their beauty and baby-care business, including its biggest brand, Pampers, from Cincinnati to Singapore. They have expressed that the move to Singapore was motivated by a need for P&G brands to be closer to the growing number of consumers in Asia. As we can see from this, multi-national companies see the importance of the Asian market and believe that in order to take advantage of the potential there, need to relocate their headquarters. It is no longer enough to just have operations in Asia, but it is also helpful to have headquarters within the region to facilitate development. ii) Moving away from heavy corporate taxes The next trend is that of...
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...Steps to Moving to a new country Mayar Lampkin Everest University Ever wonder what it is like to move to a new country? Well wonder no more I will tell you. Moving to a new country can be fun and exciting adventure but it takes a lot of work and planning. Before you go and experience the new culture make sure you do research on the country. Another is to make sure you have the right paper work and documentation. The last step is to make sure you pack up essentials. It sounds like a lot and hard work but in the end it is all worth it. Doing research about the country you will live in is very important because you will be informed about the cultures and customs of the country. Also researching what cities are safe to live in and what cities are dangerous is good way of keeping yourself safe and out of trouble. Make sure to research living situations is it mostly apartment/condo living or is it houses? Knowing that information is good for when you are packing because you will know how much space you will have. A good way of research is finding a group on a social media website and asking them questions about the country and living situations. This step will be the most important step out of all three. Having the right paperwork and documentation is very important or you can get in serious trouble and or road blocks along the way. Making sure you know what you need is important. For example if you do not already have a passport make sure you apply for one right...
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...Summary Globalization has created opportunities for employers to find the skilled professionals they desire, whether they are in their own national market or elsewhere. These professionals that are being recruited from other nations are called expatriates, and they are chosen to live in another country either temporarily or permanently. There has been an increase of expatriates starting at the end of the 20th century due to the variety employers are now capable of finding. In fact, globalization has actually doubled the number of expatriates within only a matter of a few years (worldatwork.org). Now, expatriates are recruited based on desired skill and income level. Companies tend to require training for this role in order to ease the transition of both the employee and the family members involved. This training tends to be quite extensive as this is a great undertaking for everyone involved in the move. Though some employees are chosen directly by management to go and others simply volunteer, much is at stake emotionally and mentally. I will discuss the various problems that are encountered by uprooting the lives of the employees and moving to another country, and more importantly another culture. The largest transitional issue encountered is culture shock. Other concerns include missing family and friends back home, losing out on other employment opportunities, not completing projects due to distractions, and some employees even have to leave their immediate family home,...
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...prevent the influx of illegal immigrants in the United States; why are they not being enforced or do the people feel that illegal immigration should be ignored in the United States? Everyone in the United States of America is an immigrant or has descended from immigrants. The Constitution of the United States begins: “We the People of the United States…” Nonetheless, we know the United States was not and then and is not now made up of a single group of people. It is made up of many peoples. Immigration is defined as action of coming to live permanently in a foreign country; Migration is defined as the act or process of moving from one region or country to another; Populating is defined as a place with permanent residents or becoming a permanent resident in a place; and An immigrant is defined as an act of entering a new country to settle permanently the act of moving to or establish yourself in another country or region, temporarily or permanently. America is a nation of immigrants. Our American journey and our success would simply not be possible without the generations of immigrants who have come to our shores from every corner of the globe. It is helpful to take a moment to reflect on the important contributions by the generations of immigrants who have helped us build our economy, and made America the economic engine of the world. It would be a national shame if, in the name of security, we closed the door to immigrants who come here to work, save and build a better...
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