IHRM and Online Advertising in International Business

This assignment delves into the role of International Human Resource Management (IHRM) in navigating the complexities of global business. It examines how effective IHRM strategies, including recruitment processes and cultural sensitivity, contribute to organizational success in the international market. The assignment also analyzes the influence of online advertising as a cost-effective tool for enhancing brand recognition and reach. Furthermore, it discusses the importance of cultural awareness and diversity management in fostering a positive and productive work environment.

MANAGING INTERNATIONAL BUSINESS
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Table of Contents
Introduction................................................................................................................................3
Analysis of macro environmental factors of Mackie’s Crisps...................................................3
IHRM Approaches.....................................................................................................................5
What is Culture?.........................................................................................................................7
International business on culture................................................................................................7
Cultural dimensions...................................................................................................................8
IHRM Approaches.....................................................................................................................8
Conclusion................................................................................................................................10
Reference List..........................................................................................................................11
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Introduction
Different macro environmental factors of the organization along with certain other factors
such as HRM influence the organisational performance of an organisation. This study is
intending to evaluate the macro factors of Mackie in the context of UK. It is willing to
analyse organisational strategies regarding the expansion of the business. Hence, this study is
intending to present the functions of different strategies including joint ventures and
licensing. This study is also intending to evaluate different IHRM approaches in the context
of Mackie. This study also presents the influence of culture on the organisational operations
of Mackie.
Analysis of macro environmental factors of Mackie’s Crisps
Political Stable government
Fluctuations in political situations
Economic High Inflation rate in Britain
Economic fluctuation because of Brexit
Reduction of the value of sterling
Socio-cultural Change of demands of the customers
Customers awareness regarding health
Technological Application of modern technology
Legal Food safety Act
General food regulation
Environmenta
l
Global warming
Changing atmosphere
Emission of carbon footprint
Table 1: PESTLE Analysis
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Different macro factors are influencing the organisational performance of Mackie Crisp.
Britain has entertained a stable government and political atmosphere. This allows the
organisation to determine the policy of the organisation regarding their business operation.
Stable political situation means that the organisation could consider certain policy regarding
the operation of the organisation Economic situation of the country has been fluctuated
during the periods because of certain factors. Inflation rate of Britain has been raising and it
has reached at the highest point in the context of last 5 years. Inflation rate of UK has reached
at 3 (tradingeconomics.com 2017). This suggests the challenges faced by the organisations as
well as people of the country. Brexit has influenced the economic condition of the country. It
has put a major impact in the organisation regarding its business policies. Value of the
sterling also decreased in recent period. It has reached at 1.3% from 1.5%. This suggests the
fluctuations and vulnerability of the economic system of UK. Rising of the rate of inflation
and decrease of the value of sterling suggests the financial challenges that are the prime
challenges for the organisations regarding the determinations of their policies. Mackie also
faced such challenges while determine the organisational strategies regarding their business
and its expansion. People are becoming mo\re and more aware about the impact of crispy
food and changing their approaches towards such products.
Requirements of the people are also changing. Hence, the organisation is required to consider
such factors in order to determine their business policies. Otherwise, the sales and revenue of
the organisation will face a negative curve. Another important macro factor regarding the
organisational performance of Mackie is the application of modern technologies. This could
allow the organisation to produce quality products at minimum time. This will also save the
expenses if the organisation applies modern technology during the production of their
product. This will also helps the organisation regarding the regulation of emission of carbon
footprint.
In order to manage the organisational performance, Mackie is required to consider the factors
of global warming (mackies.co.uk 2017). While the organisation is considering its policy
regarding its resource and supply chain management, it has to consider the factor of changing
atmosphere as well as different atmosphere in different areas. In order to perform their
business, the organisation is also required to consider the legal reforms of UK. There are
certain reforms that determine the spaces for different organisations in order to perform their
business. Such as in the context of UK, food safety act and general food regulation act are
such acts that Mackie is required to follow (legislation.gov.uk 2017).
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In order to enter in the new markets, organisation required to follow certain strategies.
Mackie could apply different strategies such as licensing, joint venture or other strategies in
order to enter in new markets of China. These forms of strategies allow certain advantages
and disadvantages to the organisation. Such as Joint venture reduce the level of liabilities
while licensing suggest the organisation to bear all the risks regarding the expansion of new
market. Certain external factors including economy of the country, socio-cultural issues, legal
reforms, political conditions also influence the organizational strategies in the context of
China. On the other hand, joint venture allows the new entrants to start the organisational
performance based on the customers of the partners, while licensing suggests the individual
performance that requires developing own customer based market. Hence, in order to expand
in new country, Mackie should analyse the risk factors and chances while determining their
strategies.
IHRM Approaches
Ethnocentric:
The HR professional recruits the perfect candidate in the organisation for the right job.
Hofstede (2014, p.14) stated that the candidate skills are thoroughly tested by the HR team in
order to prevent the negative issues from the candidate. During interview the HR team judged
the psychological mind, history, qualification of the candidates so that the Mackie can get the
perfect employee who will enhance the recognition of the enterprise in global market.
Mission, vision of the enterprise are followed by the candidates and the willingness of
candidate to mix the enterprise’s culture. The HR recruits the perfect candidate for right job
in international business.
Geocentric:
It allows the enterprise to recruit the right candidate in the Mackie. The HR professional
performs the personal interview so that the organisation can get the right candidate
irrespective of nationality. Multiple nationality help the enterprise to increase their cultural
values and the enterprise can easily achieve their global objectives. Blankenburg and
Johanson (2013, p.5) opined that the geocentric approaches help the company to meet the
global objectives instead of local objectives. The management team modifies the strategy in
order to diminish the negative issues of the enterprise and prevent the chaos in the enterprise.
Polycentric:
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Polycentric staffing is the international method of staffing where the multinational
corporations treat each of the subsidiaries as separate national entity. The HR professional
recruits the candidate by following the psychological mind, willingness of the candidate and
attitude of the candidate. Professionals recruit the candidate for different position in the
company who can easily carry out different operations in the subsidiary organisation.
Regiocentric
This is the transitional phase between the geocentric and polycentric orientation. There are
regional marketing policies which increase the awareness about the enterprise in global
community. It covers different countries so that the company can select the right candidate
for the right job. The Mackie follows the operational strategies depend on the entire region
instead of individual or single country.
The most appropriate approach is the geocentric approach. It helps to draw the whole world
into smaller zone. It helps to easily perform the market analysis and the organisation can
improve their strategy in order to enhance their recognition among global community. The
enterprise management team performs the macro and micro analysis in order to create an
accurate strategy. Hill (2017, p.56) demonstrated that geocentric approaches increases the
communication, interaction and cooperation among higher and lower hierarchy. This
approach increases the culture of the organisation and perfect strategy improves the
identification of the enterprise. It help to hire the right candidate who will enhance the
productivity, culture, recognition and profit margin of the enterprise in global market.
Training is given to the worker by following their strategy. The management teams perform
the strategy by following the rules of the internal government business law. This prevents the
enterprise from governmental penalties and internal chaotic behaviour.
International recruitment diminishes the performances of the HR professional in Tesco. The
HR cannot read the psychological mind and attitude of the candidate. Thus, the candidate can
diminish the disciplinary attitude from the company. The candidate cannot adjust the
environment of the enterprise and it diminishes the profit level of the enterprise and
recognition in global market. Roth (2015, p.201) commented that training is given to the
employee but the international employers cannot adjust the working environment of the
company. This raises the chaotic issues in the enterprise and decrease the recognition of the
enterprise. Calof and Beamish (2017, p.115) commented that poor management skill of the
HR professionals also cannot identify the negative attitude of the employee and therefore the
candidate raise the negative issues in the company.
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What is Culture?
The concepts and policies associated with culture lays forward towards description of sets of
values beliefs undertaken by class of people of domain of residences. Culture mainly
associated with the values as well as living and inhibiting conditions of majority of tradition
and culture of the living populations. In addition to that cultures and tradition mostly deals
with the inhabitation and social conditions of inhabitants. The culture and tradition largely
depends upon living and situational conditions
International business on culture
Strategies and concepts associated with international business not only depends upon borders
but also on the cultures as well. It mainly influences the thinking, mind sets of personal,
communication and their behavior respects. It also impacts the kind of monetary transactions
they make and their negotiating abilities regarding them. The important ways in which
culture may impact international business are
Negotiation of goal
Negotiators belonging to different cultures as well as traditions view the process of
negotiation in a different manner. The negotiation abilities varies largely with different
parameters associated with traditional aspects
Personal style
Brody et al. (2015, p.250) commented that personal style mainly concerns in a effective ways
and principles associated to the party of concern. The impact of culture as well the tradition
of persons of concerned country plays an important role in the regard. Each culture deals with
different formalities. The culture and traditions in important business venture such as Mackie
carrying its business around the world gives importance to culture and living conditions
Culture of communication
Methods as well as well as communication process varies with different communication
styles among the world. The communication process gets largely impact on the living as well
as in activating conditions of personal
Sensibility
Discussions regarding culture and its\ associated impact a lot to the business functioning as
well. The impacts associated with communication process lay importance to negotiation in
any business enterprise. In important business ventures such as Mackei carrying out its major
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functions around the corners of the world lays importance as well as differences in
communication process. Different cultures varies with respect to places of its operations
around the world
Forms of agreements
Agreements associated in business ventures leads effective as well as important role in
international business operation. The impacts associated with forms and agreement patterns
impacts a lot on business consideration perspectives. Different forms of agreement is carried
nad implemented in many places around the world
Cultural dimensions
Walsh et al. (2016, p.200) claimed that the dimensions as well as impacts associated with cultural
consideration plays an important role an international business operations. Impacts associated with
cultural dimensions offers significant amount of effects to the international business domains. An
important business venture such as Mackie plays an important role an international business.
The factors associated to international business takes sufficient notes of cultural
considerations in international business operations. It plays a major as well as an important
role in cultural consideration practice. The important and major impacts associated with
agreement patterns impacts a lot on business consideration perspectives.
IHRM Approaches
Ethnocentric:
The HR professional recruits the perfect candidate in the organisation for the right job.
Hofstede (2014, p.14) stated that the candidate skills are thoroughly tested by the HR team in
order to prevent the negative issues from the candidate. During interview the HR team judged
the psychological mind, history, qualification of the candidates so that the Mackie can get the
perfect employee who will enhance the recognition of the enterprise in global market.
Mission, vision of the enterprise are followed by the candidates and the willingness of
candidate to mix the enterprise’s culture. The HR recruits the perfect candidate for right job
in international business.
Geocentric:
It allows the enterprise to recruit the right candidate in the Mackie. The HR professional
performs the personal interview so that the organisation can get the right candidate
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irrespective of nationality. Multiple nationality help the enterprise to increase their cultural
values and the enterprise can easily achieve their global objectives. Blankenburg and
Johanson (2013, p.5) opined that the geocentric approaches help the company to meet the
global objectives instead of local objectives. The management team modifies the strategy in
order to diminish the negative issues of the enterprise and prevent the chaos in the enterprise.
Polycentric:
Polycentric staffing is the international method of staffing where the multinational
corporations treat each of the subsidiaries as separate national entity. The HR professional
recruits the candidate by following the psychological mind, willingness of the candidate and
attitude of the candidate. Professionals recruit the candidate for different position in the
company who can easily carry out different operations in the subsidiary organisation.
Regiocentric
This is the transitional phase between the geocentric and polycentric orientation. There are
regional marketing policies which increase the awareness about the enterprise in global
community. It covers different countries so that the company can select the right candidate
for the right job. The Mackie follows the operational strategies depend on the entire region
instead of individual or single country.
The most appropriate approach is the geocentric approach. It helps to draw the whole world
into smaller zone. It helps to easily perform the market analysis and the organisation can
improve their strategy in order to enhance their recognition among global community. The
enterprise management team performs the macro and micro analysis in order to create an
accurate strategy. Hill (2017, p.56) demonstrated that geocentric approaches increases the
communication, interaction and cooperation among higher and lower hierarchy. This
approach increases the culture of the organisation and perfect strategy improves the
identification of the enterprise. It helps to hire the right candidate who will enhance the
productivity, culture, recognition and profit margin of the enterprise in global market.
Training is given to the worker by following their strategy. The management teams perform
the strategy by following the rules of the internal government business law. This prevents the
enterprise from governmental penalties and internal chaotic behaviour.
International recruitment diminishes the performances of the HR professional in Tesco.
The HR cannot read the psychological mind and attitude of the candidate. Thus, the candidate
can diminish the disciplinary attitude from the company. The candidate cannot adjust the
environment of the enterprise and it diminishes the profit level of the enterprise and
9

recognition in global market. Roth (2015, p.201) commented that training is given to the
employee but the international employers cannot adjust the working environment of the
company. This raises the chaotic issues in the enterprise and decrease the recognition of the
enterprise. Calof and Beamish (2017, p.115) commented that poor management skill of the
HR professionals also cannot identify the negative attitude of the employee and therefore the
candidate raise the negative issues in the company.
Conclusion
The international business can easily enhance their identification in recent market by the help
of online advertising. Online advertisement diminishes the budget of the enterprise and raises
their recognition in recent market. The IHRM approaches help the organisation to recruit the
international candidate in the enterprise. Right candidate can easily enhance the productivity
and profit level of the enterprise. The HR professional often face chaotic and negative issues
due to recruiting the wrong candidate in the company. Thus, the HR team perform personal
interview so that easily read among of the candidate, qualification and history. These
approaches can decrease the negative issues from the enterprise. International candidate also
increases the cultural and disciplinary attitude in the company. In this approach the HR
management skills are thoroughly jugged and this skill enhances the recognition of the
company in recent market. Geocentric approach is the best approach since it focuses the skills
of both the candidate and the HR professionals.
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Reference List
Blankenburg, D. and Johanson, J., (2013). Managing network connections in international
business. Scandinavian International Business Review, 1(1), pp.5-19.
Brody, D.L. and Hadar, L.L., 2015. Personal professional trajectories of novice and
experienced teacher educators in a professional development community. Teacher
Development, 19(2), pp.246-266
Calof, J.L. and Beamish, P.W., (2017). Adapting to foreign markets: Explaining
internationalization. International business review, 4(2), pp.115-131.
Edwards, C.C., (2016). Critical Moments in Personal and Professional
Development. Transformational Learning Experiences: A Conversation with Counselors
about Their Personal and Professional Developmental Journeys, p.649.
Hill, C., (2017). International business: Competing in the global market place. Strategic
Direction, 24(9), pp. 56-89.
Hofstede, G., (2014). The business of international business is culture. International business
review, 3(1), pp.1-14.
legislation.gov.uk (2017), The General Food Regulations 2004 Available At:
http://www.legislation.gov.uk/uksi/2004/3279/made Accessed On: 25th Nov 2017
mackies.co.uk (2017), Mackies of Scotland Available At:
http://www.mackies.co.uk/ Accessed On: 25th Nov 2017
Roth, K., (2015). Managing international interdependence: CEO characteristics in a resource-
based framework. Academy of Management Journal, 38(1), pp.200-231.
tradingeconomics.com (2017), Inflation rate of UK Available At:
https://tradingeconomics.com/united-kingdom/inflation-cpi Accessed On: 25th Nov 2017
Walsh, R. and Craig, A., (2016). Radiation Therapists’ and Diagnostic Radiographers’
participation in continuing professional development and knowledge of Regulatory Body
Registration. Journal of Radiotherapy in Practice, 15(2), pp.150-160.
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