Global Leaders face many challenges when they want to make business or joint ventures around the world. And would be necessary to know how they are in order to have better knowledge how a culture or country is before a decision is taken to invest in this country

It is important for a Global leader to know the fact there is a genetic connection between countries. (Penn State World campus OLEAD 410). Those connections are explained in Hofstede’s theory of cultural dimensions indexes.  Those cultural dimensions could be power distance, collectivism vs, individualism, uncertainty avoidance, femininity vs masculinity, short term vs long term orientation, restrain vs indulgence.

 

Therefore, will be necessary to explain what those indexes are. The first is the power distance consider the extent to which inequality and power are tolerated. High power distance means the culture accepts inequality and power differences have bureaucracy and show respect for authority. Low power index means the culture has organizational structures that are flat, participative style management.

The second index Individualism vs collectivism means the degree in which societies are integrated into groups and depends on groups.  The third is the uncertainty avoidance index, consider the level to which uncertainty and ambiguity are tolerated. High uncertainty means strict rules and regulations. Low uncertainty means lax rules and regulations.  The fourth index is masculinity vs Femininity, meaning though vs tender, and the preference of society for achievement. The fifth index is long term orientation vs short term orientation, high long-term orientation means delaying short terms success to give preference to long term, emphasizes perseverance, persistence, and long-term growth.  Ad finally the sixth index is Indulgence vs restraint, meaning how society controls its impulses and desires. (corporate finance institute 2019)

 

 

For example, in the pic above we observe individualism is very high in the USA and low in China. Power distance is very high in China and low in Switzerland and Germany.  Uncertainty avoidance is very high in Brazil and low  China. Masculinity is very high in Switzerland and Germany and low in Brazil.  Those indexes show us how different might be between cultures.

Consequently, knowing those indexes will give a wider view to a businessman how to deal with cultures around the world to understand better the right way to deal with businessmen from other countries. Hofstede’s theory explains very clear the culture indexes between countries and as Global leaders will be very useful for us to know this tool to manage better the leadership paper it is necessary to do.

 

 

References:

Corporate Finance Institute, What is the Hofstede’s Cultural Dimension theory? 2019

Retrieved from: www.corporatefinanceinstitute.com/resources/knowledge/other/hofstedes-cultural-dimension-theory 

Penn State OLEAD 410 Lesson 13

In the second decade of the second millennium, new countries align to be potencies of the economic market in Asia like India, China, Australia, Thailand, etc. In those countries, poverty was the common characteristic of their people and also the business.   But now it is different because those countries had social transformations in its, people, society and economy.

India will be a good choice for business, despite the competition of other countries like China, Thailand, because India is showing a good growth rate in his economy and the projection of the growth of the acquisition power in the middle class is promissory also.

India was a country with low economic rates and poverty in raise, India though it did not have the same growth as China, this growth is maintained at a rate of 3%. According to Price Waterhosuecoopers, the growth of India’s income will be $1 trillion in markets for goods and services in the next 10 years. (Moran 2014).

The Urbanization growth is also another rate in India, raising quickly, and has the biggest growing middle class, by 2021 they will have about 600 million people in the middle class.  This economy is estimated to grow 6.9 percent in 2011-2012 and 7.6 by 2013. According to the analyst, India will be, by  2025,  the biggest consumer market in the world, comparing Indian society with European middle-class standards of living. The median age from Indian people is 25, which gives them an advantage from other Asian countries.  (Shyamal Mukherjee 2012).

Also, India has as main manufacture products, engineering products, petroleum products, jewelry, gems, and chemicals. Further, there is a center of high technology in Bangalore which shows a contrast between the high technology in software and the surrounding that need some renewal. These companies are hiring 1000 employees per month. And external companies come to set up business here as three per week.  About Human resources, India is producing in Bangalore a good rate of 29,000  graduates in engineering every year and 2 million English speaking graduates. (Moran 2014)

However, not everything is easy in India there are some challenges to overcome. Starting the business is very expensive and lasts about a month. Bureaucracy exists here, and you have to deal with that. There are 12 steps to get the business open. To get a construction permit requires 34 steps and the last 196 days.  It’s the same to get water which takes almost a month, but it is cheap the service though. (TMF Group)

Similarly, another challenge is to be prepared to deal with the culture in India. Despite the fact that they are very friendly and hardworking. The culture of business in India is hierarchical also. The typical greeting between businessmen is to put together the palms in the chest level and say “namaste” which means greeting to you.  Wearing a business suit would be proper but needs to be light because the weather in India is hot.  The hierarchical culture in business in India means the boss is the top and he would never do a job that is considered an inferior level. Meetings are informal and sometimes there are many meetings in one room. The time for a meeting is flexible they could start late and may also end late.

All this information would be beneficial to know how to properly interact with Indian businessmen and learn how to treat them right to become partners.  And the way we treat them and prepare ourselves before to go would be fundamental to give a good impression to the businessmen of India and make successful business deals with them. For all the statements above will be convenient to do business in India because it is a country in Asia with a stable socio-economic environment and have a good rate of economic growth in the next ten years, its people are friendly and open for business.

 

 

 

References:

Moran, Abramson. Managing Cultural Differences. 9^th 2014.

Shyamal Murherjee. Doing Business with India, 2012

Retrieved from: www.hsbc.co.in

TMF Group 2019, 10 challenges of doing business with India.

Retrieved from: www.tmf-group.com/en/news-insight/business-culture/top-challenges-india

 

 

 

Thinking about the meaning of Synergy and the relation this word has with a developing country like the USA or Germany and the undeveloped country like Venezuela or Nigeria. Then I understand why the influence of synergy makes a country poor or rich.  In the context of global leadership is possible to connect the power of synergy also when leaders have a global mindset are successful but when they do not the success they could have is debatable.

In a nation with a high synergy is common to have social institutions to promote individual and group development. Looking into the USA is normal to see many foundations that help to fight poverty or hunger inside and outside the country. Also, in universities scholarships reward the best students to encourage them to improve themselves, even if the come from a poor home. Usually, this does not happen in poor countries like Venezuela or Honduras, where the institutions can not help too much. Because they have the characteristic of low synergy society: “social arrangements self-centered collaboration is not reinforced as desired behavior. (Moran 2014)

Also, the same culture in America is high in synergy because they help each other and feel compassion for the fellow.  “Open system of secure people who tend to be benevolent, helpful, friendly, and generous, its heroes are altruistic and philanthropic”. (Moran 2014). But this does not happen all over the world unfortunately in undeveloped countries reigns selfishness and rudeness.  This is why the poor people in Venezuela sometimes need to find food in the trash cans and nobody cares, because they are too many that nobody knows or figure that out.  The leader in Venezuela is very rich and all his family but surrounded by a huge number of people starving to death. The issue of lack of synergy in countries like that causes poverty and misery to most the people and must have a change in urgent way to stop this problem.

The influence of leaders has to buildup synergy in a team is basic to lead on the right path to be a team winner. There are some characteristics that make possible a global leader to grow a successful team like tolerance, interest, feedback, nonjudgmental, good environment, relationships, communication, constructive criticism, group morale maintenance, delegation, trust, sensitivity, synchronizes efforts, high performance, listening skills. (Moran 2014) All those traits allow a leader to build a good team with the capacity to get goals and be satisfied with the task.

The synergy is basic in an effective group either in a local or global leadership context.  The global mindset is also important when we talk of synergy at the global level. This means working together as countries to fight world problems as, hunger, pollution, immigration, etc.  A global leader uses synergy to comply with global goals between different countries and cultures. They should look at the big picture, understand change,  be process-oriented, consider diversity,  open to new experiences. (Reinsmith, Moran 2014) Those characteristics make synergy possible in the world level and enable a global leader to enhance the world how it is necessary to be and make this planet a better place to live.

 

References:

Robert Moran, Neil Abrahamson, 2014, Managing Cultural Differences, 9^th

Routledge, Taylor and Francis Group, 2014

Penn State World Campus, OLEAD410 Leadership in Global context, Cultural Synergy,

Retrieved from: www.psu.instructure.com/courses/2008449/modules/items/27026977

Effective communication is very important in nowadays. Because we understand correctly what other person is trying to tell us, to do, to know, to postpone, to keep in mind, etc. Even it is more important when you work or if you are a leader in a organization. That needs to know what you think what are your ideas, your vision, your goals, your values, your life.  To avoid miss understanding what is the real message you are listening or try to express. It is necessary to be clear, concise, to the point what we need to express.

Also for a leader it is basic to have a good communication with his followers. So they keep following him and know what he needs for them to do.  A good complement for effective communication is the body language because many times some people try to express something but with their body language they say other thing. Body language add expression and meaning to our message and more character.

In some professions communication is basic to get forwarded what it is necessary to tell. For example if a lawyer is not able to communicate to the judge why his defendant is innocent, then the judge likely will charge him/her with many years in prison. Or if a insurance agent is not clear how to explain the benefits from an insurance to a client ,then the client wont buy it. In our private life communication is very important also to keep a marriage and a family informed about what is going on in certain situations, the rules the family is looking for to keep the order in the house.

Effective communication lead us to reach, success, trust, problem solving and right decision making.  For this is important to be a good listener. Because if we do not listen very well what the other person is saying, then  the conclusion we are going to get will be false and wrong. Listening wit empathy and open mind will help the process of good understanding.

In a leadership context good communication is essential, because this allow transparency, trust, organization growing, employee managing, and keep good relationships with stakeholders. with no other better way a leader could inspire his followers than with enthusiasm and emotive communication and motivate them to reach their goals.

References:

Reference, 2019

www.reference.com/business-finance/important-communicate-effectively

AIB. Australian Institute of business. 2019, 6 reasons why effective communication should be a focus in your business.

Retrieved from: www.aib.edu/au/communication/6-reasons-effective-communication-focus

 

 

My name is Alejandro and I will be graduated the  next Summer 2020 with major Labor and Employment relations. After I will pursue a Master degree in Human Resources. I am taking this course because is a requirement of graduation and this is the second course of OLEAD I am taking. I live in York Pa with my wife and son he is studying also in Penn State York. I  in my time off like to play chess and do exercise with weights and Tai Chi and I also like to cook and bakery. I wish everybody a great semester.