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5/19/2018 Lascu Chapter 15
1/21Copyright Atomic Dog Publishing, 2002Copyright Atomic Dog Publishing, 2002
International Personal Selling
and Personnel Management
Dana-Nicoleta Lascu
Chapter 15
5/19/2018 Lascu Chapter 15
2/21Copyright Atomic Dog Publishing, 2002Copyright Atomic Dog Publishing, 2002
Chapter Objectives
Examine companies' expatriate management
strategies
Describe the different types of employees suited for a
company's international operations
Address issues related to expatriate management,
such as motivating international employees and
ensuring successful assignment performance and
repatriation
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International Personnel Issues
Hiring expatriates or locals is a function of the
companys involvement in the market
Market presence, entry mode and commitment to
market determine: Size of the sales team
Types of sales representatives
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International Presence
Companies using home-country middlemen
Rely on sales force of the intermediary for international sales
Companies using host-country brokers and agents
Rely on sales force of the intermediary for international sales
Companies using host-country manufacturers
representatives and distributors
Are engaged, at some level, in personal selling
Hires local salespeople to call on distributors
May have local sales office, or a wholly-owned subsidiary that
engages in the marketing function
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Expatriates: Home-Country Nationals
Preferred by companies whose products are at theforefront of technology:
Preferred when selling relies on extensive training and highly
specialized information
Preferred where there is a greater interdependence betweenoverseas unit and corporate headquarters
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Expatriates: Home-Country
Nationals, continued
Disadvantages:
High costs
Cultural barriers
Lack of local personal connections in the local
environment
Difficulty finding employees willing to take on
international assignments
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Expatriates: Third-Country Nationals
Employees working temporarily in the assignmentcountry who are NOT nationals of that country OR ofcountry in which headquarters is located
Speak numerous languages
Familiar with customs and business practices indifferent environments
Have learned, through experience, to adapt optimallyfor international assignments
Cost less than home-country nationals
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Host-Country Nationals
Local salespeople who work in the home country for
an international corporation
Understands the business environment and business
practices in the companys home country Well trained technically
Willing to return to home country to work for the
multinational firm
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Long Distance International Selling
Selling via the Internet or mail is likely to become an
important venue in approaching new customers
overseas in the near future.
Costs of distance selling are lower,
allowing for greater market coverage,but the selling
infrastructure (mail, Internet accessibility) lags
behind in developing countries.
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Managing International Employees
Companies that attempt to
transplant personnel policies
proven successful in the home
country will run against
obstacles in different
international environments.
Issues related to culture
come into play
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Buyer-Seller Relationship
Certain selling approaches
work better than others
Hard sell
Eye-to-eye contact
Business cards
Negotiation
Building relationships
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Understanding Values
National Character
Organizational Culture
Individual Personality
CONTENT: substantive aspects of the
interaction
STYLE: rituals, format, mannerisms, and
ground rules
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National Character
Personality traits shared at the national level
Individualism
Power Distance
Uncertainty Avoidance
Masculinity/Femininity
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Low- and High-Context Cultures
Low Contextcultures use formal,
direct communication that is
verbally expressed.
High Contextculturesuse
extensive nonverbal information to
convey the message: cues,
gestures, and facial expressions.
5/19/2018 Lascu Chapter 15
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Successfully Managing Expatriates
Success requires:
1) Effective selection / screening
2) Training and development
strategies3) Motivating for peak performance
4) Ensuring successful repatriation
50% of
expatriate
assignments
FAIL
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Recruiting Expatriates:
Ideal Expatriate
Has high cultural sensitivity and awareness
Has the ability to adapt behavior in cross-national
settings
Has high level of resiliency
Has extensive international knowledge and willingness
to gain it
Has a strong desire to work overseas
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Culture Shock and Motivation
A pervasive feel ing o f anx iety result ing
from ones presence in an unfamiliar culture.
Lessen shock by:
Helping employees know what to expect:Physical Environment
Social Environment
Creating additional incentives:
- Extrinsic factors: compensation, leave and family policies, and
career incentives
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Compensation Incentives
Cost of living adjustment
Housing allowance
Education allowance
Home-leave allowance
Moving allowance
Repatriation allowance
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Expatriate Obstacles
Gravitating toward home-country expatriates
Relying extensively on expatriate groups and forums(websites that unite expatriates in a region,newspapers, etc.)
Isolation
Isolation Going Native
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Repatriation Issues
Vast company changes
Loss of status
Lack of community
Reverse culture shock
AVOID by maintaining connection to company headquarters
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Chapter Summary
Addressed expatriate management strategies
Described the different types of employees hired for
firms international operations
Addressed issues related to ensuring the success of
international assignments