Global Management Analysis of Nintendo: Project Assignment

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This project analyzes Nintendo, a multinational consumer electronics and gaming company, from a global management perspective. It explores the company's operations in the United States, United Kingdom, and Japan, examining trade practices, institutional structures, and the impact of globalization. The project evaluates the benefits of multilateral trade liberalization versus regional trading blocs for Nintendo. It also addresses cultural knowledge needed for international negotiations, the company's policies regarding governance, competitive markets, property rights, and corruption. Furthermore, the project identifies Nintendo's products and services, export strategies, tariff and non-tariff barriers, and regional trading blocs. It also evaluates Nintendo's operations based on Hofstede's cultural dimensions, providing examples of how managers should adapt their behavior when communicating with executives from different countries.
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Running head: GLOBAL MANAGEMENT PERSPECTIVE
Global management perspective
Name of the student
Name of the university
Author note
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2GLOBAL MANAGEMENT PERSPECTIVE
Introduction
The company that is chosen for this particular project is Nintendo that can be held as
one of the largest multinational consumer electronics and gaming company. The headquarter
of the company is situated in Kyoto. The company is considered to be one of the largest video
game companies and it is famous for creating some of the most popular and top selling
franchises for the video games, like Mario, The Legend of Zelda and Pokemon. The
following project would assess the various questions that is related to the multinational video
gaming company in relation to the countries that includes United States, United Kingdom and
Japan. This includes the overview of the process of the way the countries do the trade and the
way the products are outsourced.
Compare the institutional structure of these three countries to determine if they
promote globalization, i.e., (a) are their political institutions transparent and (b) do they
have a functioning judiciary system?
The United States of America, the United Kingdom and Japan advocate the concept of
globalization. Nevertheless, apart from the United States and the United Kingdom, Japan
follows a conservative perspective towards its community and are usually conscious about
the hierarchical position the prevails within such society. The political institutions signify
transparency and are generally driven by the factors like achievement, success and
competition. On the other hand, the United States and the United Kingdom are of the opinion
that the prevalence of inequality amongst people is something that should be eliminated for
the better progress of the society altogether.
One striking common features between the three nations that is, the United States,
United Kingdom and Japan is that the judiciary sys tem of these nations are effective in
carrying out it responsibilities. The High Court, District Court, Family Court, the Supreme
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3GLOBAL MANAGEMENT PERSPECTIVE
Court and the Summary Court are the five forms of courts that operate in Japan. It is believed
that the judiciary system of Japan is similar to the judiciary system of the United States of
America. However, the judicial system of the United Kingdom is more wide and include
varieties compared to that of the judicial systems of the United States and Japan. This is
evident from the variety of additional courts that operates within the United Kingdom. Such
courts include the Magistrate Court, the Coroners Court, the Crown Court and the
Ecclesiastical Court.
Would your company be better off under a system of multilateral trade liberalization
like the WTO, or with bilateral or regional trading blocs?
The company would get better with a liberalization of the trade like WTO as
they would help the trade throughout the flow of the world smoothly. This provided the
members with the fair methods in order to settle the disputes related to the trade, so that they
do not have to resort to the harmful measures like the war (Dutt, Mihov & Van Zandt, 2013).
On the contrary this is not necessary that the trade blocs are not helpful. They are helpful as
they remain within a geographical location that usually reduces any kind of barriers that is
related to the tariffs that are exported and therefore considered to be better (Khandelwal,
Schott & Wei, 2013).
If you were visiting a foreign country to negotiate a transaction on behalf of this
company, what cultural knowledge would you need to gain before the visit? How and
from where would you get the information?
The culture of the foreign country is the most important thing in this context. For a
video gaming company like Nintendo, the international market has a huge preference towards
the quality. Apart from this the language is an important factor. It is important in the field of
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4GLOBAL MANAGEMENT PERSPECTIVE
negotiation. The ethics and the value makes an impact towards the international business. The
factors like region, ethnicity, race and region should be taken into consideration in this
situation (Tang, Snowden, & Höök, 2013).
Do you believe that the three countries under consideration practice policies that
promote globalization? For example, what are those countries’ policies toward (a)
governance, (b) competitive markets, (c) property rights, and (d) corruption?
The term globalization is become a serious issue now days and there are three
countries who are promoting the commencement of the issue. The names of the countries
have been mentioned in early context. However, governance plays an important role in this
case regarding the foreign policy challenges. When talking about the factor of bloodthirsty
markets, all the three countries mentioned are in top of the most ready for exploit markets list
in the world. Property rights are recognized and imposed in all the mentioned countries
(Scaglioni-Solano & Aragón-Vargas, 2014). Property can be rented or leashed sub-lease is
not justifiable with the consent of the owner. It is debatable whether globalization has
actually made corruption even inferior. As research shows that, some businesses in
developing economics have furthered.
Determine whether your company is a producer of goods or services. What are the
major products and/ or services provided by your company? Are those outputs sold
only domestically or are they also exported?
It has been proved from the case study that Nintendo is the producer of goods. They
have ripen off their hands in the businesses like cab or hotel sectors. According to the case, it
has been observed that the company has started up one gaming plan and change the idea of
gaming all over. The company has started their own playing card business and developed
their own business and system hardware. After then, they have developed various consoles
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5GLOBAL MANAGEMENT PERSPECTIVE
based on their games and after that; they have started to manufacture for arcades (Condry,
2013). The success that followed gave Nintendo a huge boost, which in turn led to create
iconic franchises like Mario and Donkey Kong. The company saw the major success that
their games created, from the 1980s, they started outsourcing their products internationally,
and they are widely acclaimed right through the world.
Do these products and services face tariff or non-tariff barriers in the target export
markets? What are the tariff rates or non-tariff barriers imposed on these items?
The term tariff has been mentioned in this case. Tariff is a kind of tax, which is generally
imposed on a product. There are certain goods exported in various countries and sell in a
higher rate from where the seller has earned much profit. In Nintendo’s case, certain tariff has
been imposed on the cost of the consoles, as major parts of the instruments are made of
Japan. Further, certain ground rules have been implemented by the government on the ground
that demand of the products are international in nature and is rare in certain countries (Egger
at al., 2015).
Identify regional trading blocs with which your chosen company operates as well as the
benefits that your company gains because it is part of those trading blocs.
All the countries that have been discussed in the previously mentioned paragraphs are
engaging them to pay for the importing process and exporting certain kinds of goods in
various countries. Japan is also not an exception to this rule. Many of its products are
exported in USA, UK or other states. Due to the trade bloc system, the process of trading
becomes simple.
Evaluate the nations where the chosen company does business according to their rank
in Hofstede’s cultural dimensions.
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6GLOBAL MANAGEMENT PERSPECTIVE
It has been observed that Nintendo operates in more than 30 countries across Europe,
Asia Pacific regions and in America. Each of the nations has a score in Hofstede’s cultural
dimension scale depending on the 6 major aspects which are individualism, masculinity,
power distance, uncertainty advantage, indulgence and long term orientation. The table
exhibits the scores which were derived from hofstede-insights.com (hofstede-insights.com,
2018):
Country Power
Distanc
e
Individualis
m
Masculinit
y
Uncertaint
y
Advantage
Long term
Orientatio
n
Indulgenc
e
USA 40 91 62 46 26 68
Canada 39 80 52 48 36 68
Mexico 81 30 69 82 24 97
Brazil 69 38 49 76 44 59
Japan 54 46 95 92 88 42
South
Korea
60 18 39 85 100 29
Taiwan 58 17 45 69 93 49
Hong Kong 68 25 57 29 61 17
Australia 36 90 61 51 21 71
New
Zealand
22 79 58 49 33 75
Austria 11 55 79 70 60 63
Belgium 65 75 54 94 82 57
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7GLOBAL MANAGEMENT PERSPECTIVE
Czech
Republic
57 58 57 74 70 29
Denmark 18 74 16 23 35 70
Germany 35 67 66 65 83 40
Spain 57 51 42 86 48 44
Finland 33 63 26 59 38 57
France 68 71 43 86 63 48
Greece 60 35 57 100 45 50
Hungary 46 80 88 82 58 31
Italy 50 76 70 75 61 30
Netherland
s
38 80 14 53 67 68
Norway 31 69 8 50 35 55
Poland 68 60 64 93 38 29
Portugal 63 27 31 99 28 33
Russia 93 39 36 95 81 20
South
Africa
49 65 63 49 34 63
Sweden 31 71 5 29 53 78
Switzerlan
d
34 68 70 58 74 66
UK 35 89 66 35 51 69
Ireland 28 70 68 35 24 65
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8GLOBAL MANAGEMENT PERSPECTIVE
Examples of how managers of US would be modifying her or his behavior while
communicating with the executives hailing from different countries
In order to communicate with executives who come from numerous other nations, a manager
who hails from United States should be able to understand the culture of the countries from
which those people hail. And the manager should have the ability to develop a cultural
competency in order to interact with those individuals.
Evaluate the nations where the chosen company does business according to their rank
in Hofstede’s cultural dimensions.
It has been observed that Nintendo operates in more than 30 countries across Europe,
Asia Pacific regions and in America. Each of the nations has a score in Hofstede’s cultural
dimension scale depending on the 6 major aspects which are individualism, masculinity,
power distance, uncertainty advantage, indulgence and long term orientation. The table
exhibits the scores which were derived from hofstede-insights.com (hofstede-insights.com,
2018):
Country Power
Distanc
e
Individualis
m
Masculinit
y
Uncertaint
y
Advantage
Long term
Orientatio
n
Indulgenc
e
USA 40 91 62 46 26 68
Canada 39 80 52 48 36 68
Mexico 81 30 69 82 24 97
Brazil 69 38 49 76 44 59
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9GLOBAL MANAGEMENT PERSPECTIVE
Japan 54 46 95 92 88 42
South
Korea
60 18 39 85 100 29
Taiwan 58 17 45 69 93 49
Hong Kong 68 25 57 29 61 17
Australia 36 90 61 51 21 71
New
Zealand
22 79 58 49 33 75
Austria 11 55 79 70 60 63
Belgium 65 75 54 94 82 57
Czech
Republic
57 58 57 74 70 29
Denmark 18 74 16 23 35 70
Germany 35 67 66 65 83 40
Spain 57 51 42 86 48 44
Finland 33 63 26 59 38 57
France 68 71 43 86 63 48
Greece 60 35 57 100 45 50
Hungary 46 80 88 82 58 31
Italy 50 76 70 75 61 30
Netherland
s
38 80 14 53 67 68
Norway 31 69 8 50 35 55
Poland 68 60 64 93 38 29
Portugal 63 27 31 99 28 33
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10GLOBAL MANAGEMENT PERSPECTIVE
Russia 93 39 36 95 81 20
South
Africa
49 65 63 49 34 63
Sweden 31 71 5 29 53 78
Switzerlan
d
34 68 70 58 74 66
UK 35 89 66 35 51 69
Ireland 28 70 68 35 24 65
Examples of how managers of US would be modifying her or his behavior while
communicating with the executives hailing from different countries
In order to communicate with executives who come from numerous other nations, a manager
who hails from United States should be able to understand the culture of the countries from
which those people hail. And the manager should have the ability to develop a cultural
competency in order to interact with those individuals.
Evaluate the nations where the chosen company does business according to their rank
in Hofstede’s cultural dimensions.
It has been observed that Nintendo operates in more than 30 countries across Europe,
Asia Pacific regions and in America. Each of the nations has a score in Hofstede’s cultural
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11GLOBAL MANAGEMENT PERSPECTIVE
dimension scale depending on the 6 major aspects which are individualism, masculinity,
power distance, uncertainty advantage, indulgence and long term orientation. The table
exhibits the scores which were derived from hofstede-insights.com (hofstede-insights.com,
2018):
Country Power
Distanc
e
Individualis
m
Masculinit
y
Uncertaint
y
Advantage
Long term
Orientatio
n
Indulgenc
e
USA 40 91 62 46 26 68
Canada 39 80 52 48 36 68
Mexico 81 30 69 82 24 97
Brazil 69 38 49 76 44 59
Japan 54 46 95 92 88 42
South
Korea
60 18 39 85 100 29
Taiwan 58 17 45 69 93 49
Hong Kong 68 25 57 29 61 17
Australia 36 90 61 51 21 71
New
Zealand
22 79 58 49 33 75
Austria 11 55 79 70 60 63
Belgium 65 75 54 94 82 57
Czech
Republic
57 58 57 74 70 29
Denmark 18 74 16 23 35 70
Germany 35 67 66 65 83 40
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12GLOBAL MANAGEMENT PERSPECTIVE
Spain 57 51 42 86 48 44
Finland 33 63 26 59 38 57
France 68 71 43 86 63 48
Greece 60 35 57 100 45 50
Hungary 46 80 88 82 58 31
Italy 50 76 70 75 61 30
Netherland
s
38 80 14 53 67 68
Norway 31 69 8 50 35 55
Poland 68 60 64 93 38 29
Portugal 63 27 31 99 28 33
Russia 93 39 36 95 81 20
South
Africa
49 65 63 49 34 63
Sweden 31 71 5 29 53 78
Switzerlan
d
34 68 70 58 74 66
UK 35 89 66 35 51 69
Ireland 28 70 68 35 24 65
Examples of how managers of US would be modifying her or his behavior while
communicating with the executives hailing from different countries
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