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Essay on Business And Workforce Culture In China
When an American firm starts operations in a developing country such as China, it has to incorporate three operational and environmental dimensions: (a) host country human reserve practices and the supplementary cultural, economic, and political determinants,(b) home country human resource practices as adapted by the foreign firm to its corporate needs, and (c) a set of human resource practices that will assist the managers in the additional in the host country to achieve the business objectives of the firm.( Chen, Kathy. (1998))
Thus, managers in foreign firms must take into consideration the distinguishing host country conditions and become accustomed home country practices to this setting. Transferring home country practices from an advanced industrial nation such as the U.S. to a increasing county going through rapid change without making concessions to the local environment is likely to lead to disappointing subsidiary performance the practices may not be transferable or there may be conflict to their acceptance.
Accordingly, benefits systems in foreign firms must be flexible to keep up with the changing surroundings and to be in correspondence with the cultural expectations and past practices in the host country. The ability to do these is more likely to make a payment to the subsidiary's success than would the blanket imposition of a set of home-tried and home-appropriate practices.( Chen, Kathy. (1998))
It would, consequently, appear suitable for a foreign firm, in its early stages of operations in a developing country, to institute benefits systems for its rank and file employees that are similar to those prevalent in domestic firms. With the passage of time, the foreign firm can gradually introduce home country practices in its supplementary, abandon certain host country practices, and fuse together some home country practices with those of the host country into hybrid practices....
