Managerial Paradigms

BUSI604: Forum – Part 2

Management Paradigms: Ethnocentric, Polycentric, Geocentrics

Cheryl Young

Liberty University

October 31, 2015

Key Term and Why I am Interested in it

The key term I am selecting for Forum 1 is Management Paradigms: Ethnocentric, Polycentric, and Geocentric. I am interested in this topic because I am not familiar with these terms pertaining to management paradigms. Since my cognitive for my MBA is in Human Resources and I work for a multi-national nonprofit organization, I thought I should learn more about this term. I do not have plans to work on the international level with my position, but I do try to understand all levels and departments where I work. The more I learn about global areas of the organization I work for, the more I can understand the reasons why senior management obtained resolutions.

Key Term

Management paradigms can include three major models. They are ethnocentric, polycentric, and geocentric. There are pros and cons between the three models. Ethnocentric is when the main headquarters chooses employees and management from the home office (parent nation) and not the country where the international business is located (host nation). Polycentric is when the main headquarters hires people in the country where the international business is located (host nation), but expects the business to run the human resources the same as the parent nation. Geocentric is when the main headquarters (parent nation) hires from the country where the international business is located and considers the culture of that particular country (host nation) when running the international business.

Major Article Summary

Neha Tiwari explains the importance of modifying management strategies to each international business in her article, “Managing Human Resources in International Organizations,” that was published in the Global Journal of management and Business Studies (2013). There is not just one way to manage a...