Sustainable Growth:

Strategic Partnerships

International Business

What You Need to Succeed

 

Vadim Kotelnikov personal logo Vadim Kotelnikov

Founder, Ten3 Business e-Coach Inspiration and Innovation Unlimited!

"Unless you know the mountains and the forests, the defiles and impasses, the lay of the marshes and swamps, you cannot maneuver with an armed force. Unless you use local guides, you cannot get the advantages of the land." ~ Sun Tzu, 'The Art of War'

 

Incorporating International Business Considerations into Your Thinking & Planning

International Issues to Consider1

  • How will your idea, good, or service fit into the international market?

  • Should you enter the market through trade or through investment?

  • Should you obtain your supplies domestically or from abroad?

  • What product/service adjustments are necessary to be responsive to local conditions?

  • What threats from global/local competition should be expected and how can you counteract these threats?

Six Features of Emerging Markets6

  1. a high concentration of ownership

  2. weak recruitment processes and a shortage of experienced directors

  3. poor focus

  4. an inadequate supply of information

  5. complex cultural traditions

  6. underdeveloped legal regimes.

Lessons from Jack Welch, the Former Legendary CEO of GE

Penetrating Foreign Markets: Main Principles

  • Move into global markets fast and powerfully.

  • Build a solid, domestic base before launching the attack.

  • Use acquisitions to create or enlarge a bridgehead.

  • Strengthen under-performing businesses by acquisition and pooling assets.

  • Concentrate on major businesses where you can win.

  • Develop local management, and bring expatriates home as soon as possible.

12 Tips for Global Business Travelers

  • Learn something about the country, local customs, and cultural sensitivities to avoid making faux pas while abroad... More

Cultural Intelligence

World Cultures

Eastern vs. Western Philosophy

Pearls of Wisdom

Managing Cross-cultural Differences

Culture Dimension Scores of 10 Selected Countries

Competitive Advantage: US versus Japan

Cultural Differences: Chinese vs. Americans

Russians: Comparative Character Features

12 Tips for Global Business Travelers

Ten3 Global Business Learning Report Ten3 Global Business Self-Learning Report Ten3 e-Coaching Products HARNESSING CULTURAL INTELLIGENCE (CQ) mini-course AUSTRALIA (list of Ten3 Licensed Consultants and Trainers) CANADA (list of Ten3 Licensed Consultants and Trainers) CHINA (list of Ten3 Licensed Consultants and Trainers) GERMANY (list of Ten3 Licensed Consultants and Trainers) INDIA (list of Ten3 Licensed Consultants and Trainers) SINGAPORE (list of Ten3 Licensed Consultants and Trainers) SOUTH AFRICA (list of Ten3 Licensed Consultants and Trainers) UNITED KINGDOM (list of Ten3 Licensed Consultants and Trainers) UNITED STATES (list of Ten3 Licensed Consultants and Trainers) CECSI.ru - Russian Centre for Entrepreneurial Creativity and Systemic Innovation Cultural Intelligence (Ten3 Global Business Learning Report - Africa, Asia-Pacific, Europe, North America, South America)

Harnessing the Power of Diversity

Synergy

Jokes

Cross-Cultural Differences

International Business Defined

International business consists of transactions and collaborations that are devised and carried out across national borders to satisfy the strategic intent and objectives of companies, organizations, and individuals. Two primary types of international business are trade and investment. These transactions and collaborations take on various forms export-import trade, co-innovation, consultancy services  and sub-contracting, business process outsourcing (BPO), and direct foreign investment which are often interrelated  Direct foreign investment "is carried out in varied forms, including wholly owned subsidiaries and joint ventures. Additional types of international business are licensing, franchising, and management contracts."1

Managing Cross-Cultural Differences

Cultural Differences

If you wish to reach foreign buyers or sellers or need to bring joint venture projects to a successful outcome, you must be culturally competent. You must understand intercultural communication and effectiveness if you wish to avoid such serious problems as:

  • Unmet commitments from suppliers;

  • Stalled joint projects, deals coming undone;

  • Frequent miscommunications, failed meetings, and unanswered routine communications;

  • Low productivity.

Cultures both national and organizational differ along many dimensions. Four of the most important are:

  1. Directness (get to the point versus imply the messages)

  2. Hierarchy (follow orders versus engage in debate)

  3. Consensus (dissent is accepted versus unanimity is needed)

  4. Individualism (individual winners versus team effectiveness)2... More

HARNESSING CULTURAL INTELLIGENCE (CQ) - Building Cross-cultural Competence and Leveraging Diversity (mini-course, PowerPoint presentation download, Vadim Kotelnikov, One World One Way Many Paths)

 

 Case in Point  Lessons from Jack Welch

To Jack Welch, the legendary former CEO of GE, "There will only be one standard for corporate success: international market share... The winning corporations those who can dictate their destiny will win by finding markets all over the world."

3 Strategies of Market Leaders

Under Welch's leadership, GE's sales rose by US$60.1 billion within just one year. Over half that increase came from abroad. Welch developed strong, direct and simple principles to increase GE's global sales. He regarded globalization as a three-stage process.

  1. Going after markets and expanding the company's horizons.

  2. Globalizing components and products, and sourcing around the world.

  3. Globalizing the intellect.

 

References:

  1. "International Business", Sixth Edition; Michael R. Czinkota, Ilkka A. Ronkainen and Michael H. Moffett, 2002, South-Western

  2. "Cultures and Organizations: Software of the Mind", Geert Hofstede

  3. "Control Your Destiny or Someone Else Will", Noel M. Tichy and Stratford Sherman

  4. "Improving Board Performance in Emerging Markets," McKinsey

  5. Ten3 Global Business Self-Learning Report

SMART Business Architect (Ten3 Mini-course)