International Management Individual Report

This report analyzes the UK food retailing industry, comparing its size and trends to Japan and the USA. It uses Hofstede's model to understand cultural differences and explores how a hypothetical company, Air Pie, can respond to and address these differences.

International Management
Individual Report

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Explain the size of UK food retailing industry......................................................................1
Comparison of Hofstede's model between Japan, UK, USA in relation to Air Pie hypothetical
company.................................................................................................................................1
Ways in which Air Pie respond to cultural differences..........................................................3
Ways in which Air Pie food retail company can address cultural differences.......................3
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
International management requires knowledge and skills above and beyond normal
business expertise, such as familiarity with the business (Deresky, 2017). In this report will base
on about the size of the food retailing industry of UK with the comparison of JAPAN and USA.
Further this report will also include Hofstede's model between the countries. Moreover, report
will discuss about the ways of Air Pie company respond to cultural differences and addresses
cultural differences.
TASK 1
Explain the size of UK food retailing industry.
The food retailing supply chain of UK employs 4 million people. Consumers of UK have
a very specific impact on the food retailing industry (Deresky, 2017). Health and wellness is a
trend in the consumers of UK which demands clean eating as well as much wider selection of
products. The UK food retailing industry need 140,000 new recruits by 2022 to feed the
population and meet the market demands (Luthans and Doh, 2018). £203bn total expenditure of
food retailing industry on food, catering and drink in 2016.
The supermarkets in UK increase the chain to retailing industry. The UK food retailing
sector has grown as an overall market and perform well in terms of consumer demands. Food
retailing is the important sector for the economic growth for the country. Expenditure on food in
UK is increased by 3.0% to £96 billion.
Comparison with Japan and USA
Japan is the second highest food consumption country in Asia with the percentage of 23% next to
china whereas USA retail is characterized by leading food retailers in the world like Walmart.
Comparison of Hofstede's model between Japan, UK, USA in relation to Air Pie hypothetical
company.
Hofstede's model studies the regional factors which helps in the culture of the
organization and influence the behavior of the individual employees in the company. It helps in
cross- cultural communication between the organization and their country (Döhner and et.al.,
2016). It shows the effects of the culture on the people and it helps in to analysis the differences
on the basis of dimensions: power distance, individualism, masculinity, uncertainty avoidance,
long term orientation, indulgence.
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 Power Distance
Japan – Japan is a hierarchical society. It is defined as the extent to which the less powerful
members of institutions and organization within a country expect and accept that power is
distributed unequally. This is a fundamental issue in japan how the organization or society
handles inequalities among their people.
UK – In UK society believes that inequalities among people should be minimized. The low
power distance demand justification and people strive to equalize their power (Döhner and et.al.,
2016).
USA – Americans has a high degree of geographical mobility. In USA power defined as a degree
to which a person is able to influence other people's behaviour.
 INDIVIDUALISM
Japan is a paternalistic country. People of japan is famous for their loyalty to their companies
Individualism shows whether people's self image is defined in terms of “i” or “we”. UK has the
second highest individualist scores (Deresky and Christopher, 2015). In Britain the route to
happiness is through personal fulfilment. United States has the highest individualist score. In US
the hierarchy is convenience for managers and superior for individual employees.
 MASCULINITY
It is the most masculine country of the world. Japan is known for their excellence and perfection.
Large society in japan is more competitive. UK is a masculine society with highly success
oriented. People in Britain live in order to work and have a clear ambition. Masculinity is
increasing in US.
 UNCERTAINTY AVOIDANCE
Japan is the most uncertainty avoiding country on earth. Japan is constantly faces natural
disasters like tsunamis, volcano eruptions etc (Raj and Griffin, 2015). It helps in to prepare for
any uncertain situations. UK is quite happy knowing what the next day brings. It shows society
how to deal with the fact that the future can never be known. USA has a fair degree of innovative
products and a willingness to try something different and the acceptance of new ideas.
 LONG TERM ORIENTATION
This shows how society has to maintain some links with its own past while dealing with the
challenges of the present and future. Japan scores most long term orientation oriented societies.
People of Japan see their life as a very short moment. UK efforts in education for the future of
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the people and encourage their thrift. It helps in to maintain traditions and norms of the country
(Cuervo-Cazurra and Ramamurti, 2014). Americans are very practical which measure their
performance. In USA there are many issues like use of drugs, weapons etc. which affect the long
term orientation on the people of their country.
 INDULGENCE
This shows the extent to which people try to control their desires. Japan has a low score in
indulgence which shows the culture of restraint. Societies of Japan has a low tendency of
cynicism and pessimism. UK is classified as an indulgent society. British has a high degree of
importance of time. People of UK has a tendency towards optimism. USA as an indulgent
society with a normative score. United States has waged war with terrorism and drugs.
Ways in which Air Pie respond to cultural differences
Air Pie respond to their customers with the help of effective communication. It is essential for
the success of company(Döhner and et.al., 2016). Air Pie helps in to provide the atmosphere of
understanding which helps their employees and clients. Company should gives the formality of
the address helps in dealing with the business partners and clients from different countries. With
the help of workplace etiquette Air Pie respond to their customers and maintain the business
environment in the company. Organisational hierarchy helps the company to work effectively in
the global business world (Geppert, Matten and Williams, 2016). Hierarchy differentiates the
culture of their employees. It also helps in to find the roles and responsibilities of the employees
across the organization.
Ways in which Air Pie food retail company can address cultural differences
Air Pie consider cultural position relative to their customers and clients. With the help of
Motivational orientation the company addresses their cultural differences in their organization
improves the working environment in the company. Respect of a different foreign culture helps
in their productivity which creates peaceful working condition for their employees (Luthans and
Doh, 2018). Air Pie should minimize differences between their management. Ignore the cultural
differences is helps in to reduce conflict between the employees and helpful in to build
relationship with the different culture. It is very important for Air Pie to deal with complex issues
and convert the differences into benefits.
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CONCLUSION
From the above report it was concluded that the UK retailing food industry is leading
industry in the world. Hofstede's model is essential for the analysis of working condition and
environment in the organization and country. And finally the report will sum up how Air pie
company respond to cultural differences and addresses cultural differences.
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REFERENCES
Books and Journals
Deresky, H., 2017. International management: Managing across borders and cultures. Pearson
Education India.
Luthans, F. and Doh, J.P., 2018. International management: Culture, strategy, and behavior.
McGraw-Hill.
Deresky, H. and Christopher, E., 2015. International management: Managing cultural diversity.
Pearson Higher Education AU.
Geppert, M., Matten, D. and Williams, K. eds., 2016. Challenges for European management in a
global context: Experiences from Britain and Germany. Springer.
Cuervo-Cazurra, A. and Ramamurti, R. eds., 2014. Understanding multinationals from emerging
markets. Cambridge University Press.
Döhner, H. and et.al., 2016. Diagnosis and management of AML in adults: 2017 ELN
recommendations from an international expert panel. Blood, pp.blood-2016.
Raj, R. and Griffin, K.A. eds., 2015. Religious tourism and pilgrimage management: An
international perspective. Cabi.
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