Ethical Issues With International Business

Knowledge of other cultures is one of the keys to being successful in business dealings. This paper reports on real experiences in cross-cultural business interactions from three different perspectives. I interviewed three successful businessmen, one who worked with Iranians, one with Chinese, and one with Indians. I interviewed them independently, and my questions covered four different elements: cultural behavior in business negotiations, management as symbol of high power distance in the companies, knowledge of high context or low context culture, and finally knowledge of each of culture to have better business negotiation in future.

These happenings promote growth and help to build relationships with other countries. I see it as a way to help each other out. The reason why firms engage in International business is because they have a need that they cannot provide themselves. To fulfill these needs, firms use international business to compensate for low resources, to save and make more money, and to grow and expand their business. For example, Starbucks started as a stand-alone company, and then they expanded within in the U.S, and then eventually went international. Starbucks decision to do international business has expanded their brand; as a result, they have become the most recognizable coffee brand in the world. International business is important because it influences growth of a business; it creates partnerships with many different countries, and most likely increases profits. If a business wants to reach the maximum success, participating in international business is a great

In doing business so many times an organization must think globally. This might be done to increase sales and/or profits or to lower labor costs. In either case problems can occur due to ethical and cultural barriers in global expansion. In this paper I will attempt to show some of what a global organization and a cultural issue that affects their interactions outside the United States by identifying and comparing some of these cultural differences.

We are living in a period were trade is becoming more global by the day. Taxes and economic barriers seem to be like symptoms - from a disease - that fade away, as time goes by. The ability of fast communication between people and places has boosted many companies to expand in other countries. Yet, cultural and linguistic differentiations are the most sustainable features companies need to take under consideration, in a strategic planning of setting up abroad. A firm needs to become progressively more aware of the foreign cultures when aiming in a successful future in an international business environment. Attitudes towards work and material possessions, entrepreneurship, willingness to accept risk, politics, religion, customs, the role of

Satterlee (2014) states that a “difficulty often faced by the global business manager is with customs, which can vary greatly from one country to another (p. 11). However, acknowledging and understanding the culture before engaging in the global business process substantiates the difference between success and failure. Also, “one of the greatest challenges of working in this environment is doing so without sacrificing corporate or personal integrity” (Satterlee, 2014, p. 11). For example, “What is seen as an ethical decision in China may not be seen as such in Canada” due to global ethical standards (Robbins & Judge, 2009, p. 161). As a result, a Canadian would be in a dilemma working in China which commonly practices bribery in business transactions (Robbins & Judge, 2009, p.

Overview of Environmental, Health and Safety Laws in Singapore. (n.d.) Corporate Learning and Consultancy. Retrieved on September 26, 2010 from http://www.psb-academy.edu.sg/clc/detail/159/0/Overview-of-Environmental-Health-and-Safety-Laws-in-Singapore/

Many companies today want to expand their business to the international business, which can bring cost down and profits up. Taking a business internationally means knowing the rules and regulations of the countries you are entering. There can be many issues with going global which include cultural barriers, diversity issues, multicultural issues, political issues, and economical issues. It is very important to know how important expansion is to the company and what implications will come from going global.

The purpose of this paper is to define common nomenclatures for international business (definitions), identify the impact of cultural diversities on international business ethics (problems), provide diverse cultural examples from China, India, Figi, Japan and Indonesia (case studies), and suggest recommendations to improve ethical

For multinational businesses to be successful they must continue to grow and make drastic moves to find new markets where there is a need and want for their products. For any business that wants to conduct themselves in a new environment they must understand the cultural norms but must also understand the nuances of local and federal laws that govern the operations of businesses in that country. The same effort must be made to understanding the host countries laws while conducting business in an external nation and international laws and mandates. All these aspects are part of

Cultural negotiations are business negotiations with different cultural conditions. Under the background of economic globalization and international economic integration, the business ties between countries are becoming more and more closely. In order to avoid cultural conflicts, it is important to understand the different cultures of different countries.

Michael R. Quinlan is the chairman and chief executive officer of McDonald’s Corp. He advises organizations when they decide to go international to “do it their way, not your way” (Advice for Companies Going Global, 1991, p. 244). I do agree with his motto because international practices, laws, and politics vary from country to country. Multinational enterprises normally delegate certain areas to the foreign subsidiaries because of difference in economic, political, and legal systems (Dowling, Festing, & Engle Sr, International Human Resource Management, 2013, p. 243). If an organization tries to impose its policies in another country and that country does not agree or they feel offended in any way, it could be the end of their international venture in that area. There are some places that will immediately shut a business down with no warning, resulting in a potential financial disaster. When an organization makes the decision to go international, they must not only look into details such as the economy, but also the culture and political stance. In some countries

There are five things that can be done by the international business and its managers to ensure that ethical issues are calculated into the organization's business decisions. Those five are as follows: (1) hiring and promotion is accomplished within a framework of personal ethics; (2) the organizational culture is constructed with value placed on behavior that is ethical; (3) the organization ensure that leaders not only speak of ethical behavior but follow through in their actions as well; (4) decision-making processes in the organization make the requirement that the ethical aspect of business decisions are considered; and (5) moral courage is developed. (Ethics in International Business, nd)

Most of the companies in the word have the need to negotiate to obtain the resources they require to produce, transport or sell their services or products. Negotiation is a process that requires two or more parts involve that need something that only the counterpart can offer. Is in that moment when the negotiation begins, so the parties can find a solution that will satisfy the needs they have. In this process, the parties may assume they have different interest that can go against their best interests, based on the impression or stereotype they have of the counterpart. This mistrust may increase when the parties are from different cultures or have different backgrounds, since negotiations are not only between companies from the same country, but also with companies from different countries. An example of this is the negotiations between international companies from American and Asian countries, a situation that is increasing a cause of the globalization. An even though this cultures know that negotiations is a significant component in business, there are differences in how this process is approached by American and Asian cultures.

In this essay, I will discuss three sections of business among many which hold ethical issues. Those sections are advertising, product liability, and leadership ethics. Within the three sections, I will identify and briefly discuss three specific ethical issues. I will then choose one ethical issue and go into the detail about how ABC Widgets Inc. will implement a policy on how to avoid the ethical issue.

When cultural becomes a complication in the workplace, the best negotiation strategy is for the people within the company to collaborate. Everyone must take the time to recognize that we are all different and that we all have different perspectives. By collaborating everyone gives up something to come to a common ground. Realizing that different countries negotiate various ways will be beneficial to all companies. In most most culture, there will always be a collaborator, an accommodator, a competitor, a avoider and a compromiser. The tradition in China is reading the Art of War and following it as a negotiation tool throughout life. China prefers to handle negotiations during lunch