Some Western business leaders are moving into China without any clear knowledge of the many pitfalls they will encounter: the weak rule of law, forceful governmental intervention, a scarcity of managerial talent, the likelihood of counterfeiting, the fast paced business environment and surprisingly aggressive local competitors. This book uses case studies to both illuminate and examine these key managerial challenges. Each case focuses on a specific topic and is complemented with commentaries from professors and executives who have extensive front-line experience in China. The cases are the product of three-year research and are well-tested in MBA and executive courses.
The authors' philosophy is that readers can learn most effectively through the experience of others captured in real cases! The book includes a broad range of companies, such as Emerson, Eli Lily, General Motors, Peugeot, Carrefour, Daimler-Chrysler, Picanol. It also includes more personal experiences concerning the many challenges of expatriate-living in China , some of whom have started their own businesses.
The book provides concise but insightful analysis to help readers to get the most from the case studies. As a result, this book will help you get better prepared to face the varied challenges you will find in China. These cases complement the material presented in a previous work, China CEO: Voices of Experience from 20 International Business Leaders, also published by John Wiley & Sons.
Asian Academy of Management Journal of Accounting and Finance
Corporate social responsibility (CSR) as a common business practice has only recently established a foothold in developing countries. This is evidenced by a lack of literature in the area of CSR among these countries. In Malaysia, for instance, only a third of large businesses can be considered CSR active. The purpose of this paper is to determine if there is a link between CSR performance and financial performance among these large businesses. We compare the monthly average returns of a portfolio of CSR active companies (based on disclosure) against a portfolio of inactive CSR companies as well as against the market, represented by the Kuala Lumpur Stock Exchange Composite Index (KLSE-CI). Both risk unadjusted and risk adjusted returns were utilized in this study. In either case, we do not find strong statistical evidence to show that our CSR portfolio outperforms the market; neither does it beat the non-CSR portfolio. Nevertheless, based on the results obtained by similar studies in the US, UK and Australia, there is reason to believe that CSR active companies may outperform their counterparts when consumers, employees and other stakeholders increase the value they place on socially responsible activities of a firm. Our findings also imply that international investors looking for socially responsible companies in developing companies to invest in need not incur significant opportunity costs when carrying out their investment strategies. Given that developing countries like Malaysia feature strongly in international investment portfolios like the Morgan Stanley International Composite Index (MSCI), socially responsible investors could extend their portfolios internationally without compromising their rate of returns.
corporate social responsibility
In a globalized business world it is often necessary to compare companies across national boundaries. This comparison often includes an examination of financial statements. While the harmonization of accounting standards continues to progress, there still remain differences in how accounting information is reported between companies located in different countries, especially with regard to the format used to present the balance sheet. It is consequently important that students be able to both identify these differences, and have a method for coping with them. Using three oil and gas firms from three different countries (Exxon in the United States, Sinopec in China, and Total in France), this paper provides a setting for students to identify differences in balance sheet formats across countries. The paper then introduces a standardizing model—the Statement of Financial Structure—that enables students to cope with these differences. In working with this Statement, students develop their financial analysis skills. In particular, the concept of working capital is reinforced, as is the importance of understanding the local business environment in order to interpret the numbers and ratios within the proper context.
The place of multinational corporations in China has rapidly changed since the 1970s. No longer expected to bring cash and management expertise to China, the authors argue that MNCs have taken on a new role as teachers and role models. However, recent high-profile mistakes including a McDonalds Corp. (of Oak Brook, Illinois) ad that over 80% of Chinese surveyed found offensive, show that MNCs are not entirely up to this task. They illustrate the consequences of this inability to cope and suggest eight strategies for improving MNCs success in China: Think local-act global, dont apply double standards, dont bend the rules, avoid making symbolic acquisitions, avoid employing aggressive tactics over intellectual property rights, guard against management insensitivity, dont strip mine profits and dont use China as a lab. The authors then go on to show how these strategies can be executed to increase MNCs profits and standing in China.
As firms evolve in an ever-changing environment, new perspectives of firms are needed to explain management practices. Partnership - a relationship that emphasizes equality, shared responsibility and cooperation - and the concept of internal networking (which characterizes an organizational structure that is catalysed by and embedded in partnership relations), form the central theme of this paper in examining the success of an Asian high-tech giant. Given the existence of other similar Western models deploying the partnership concept, the paper also questions the importance of contextual factors in corporate management.
The literature on strategy in small and medium-sized enterprises (SMEs) is fairly limited despite their great innovative talents. This book provides the reader with a thorough insight into six companies and their prerequisites for creating growth. Strategy Execution focuses on a varied picture of Scandinavian SMEs, and illustrates how this group of companies can contribute with new ways of managerial thinking and progress in the business community. It presents the best practice framework for strategic management.