Mgt 501 Mod 1 Case

Touro University International

Management and Organizational Behavior

(MGT501)

“Doing Business Abroad”

Module 1 Case Assignment

Dr. Devona Smith

“Doing Business Abroad”

In my case assignment I will be talking about businesses abroad and why I think there are disadvantages. I will also list the disadvantages an organization might have when they are going international.

One of the first things I should say that when an organization is going international is the different ethnic and cultural background in the country they will build up in. An organization should be prepared to when sending employees overseas to handle international business from the location they are located in. It is crucial that an organization to select the proper personnel to represent the organization as an American expatriate. This is why in today’s society organizations that are exploring overseas to produce their products and services must maintain adequate understanding on the rules and regulations for the country they are going into. Like in the following quote from Geert Hofstede:

“For those who work in international business, it is sometimes amazing how different people in other cultures behave. We tend to have a human instinct that 'deep inside' all people are the same - but they are not. Therefore, if we go into another country and make decisions based on how we operate in our own home country - the chances are we'll make some very bad decisions”.

When a US organization is established in a foreign country and all rules and policies legal documentation is done, the must understand that the country they are settling in might have a difference in opinion on how the company or organization is being runner back in the US. This is why an American expatriate is important to an American organization to go overseas to have a successful future. Many organizations will face dilemmas when establishing in foreign countries. Habits that a person has in an American organization will...