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Chapter 2 - The Global Environment

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The Global Environment: Culture, Ethics, and Social Responsibility
Learning Outcomes ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],After studying this chapter, you should be able to:
Learning Outcomes (cont’d) ,[object Object],[object Object],[object Object],After studying this chapter, you should be able to:
IDEAS ON MANAGEMENT at Amazon.com ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Internal Environment ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 2 – 1 ● Internal Environmental Means and Ends Exhibit 2 – 1 ● Internal Environmental Means and Ends
The Internal Environment (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 2 –2 ● The Systems Process
The Internal Environment (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The Internal Environment (cont’d) ,[object Object],[object Object],[object Object],[object Object]
Exhibit 2 –3 ● Components of the Internal Environment
 
Join the Discussion Ethics & Social Responsibility ,[object Object],[object Object],[object Object]
Organizational Culture ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 2 –4 ● Three Levels of Organizational Culture Direction of effect
Organizational Culture (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
 
Organizational Culture (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The External Environment ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
The External Environment ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
 
Join the Discussion Ethics & Social Responsibility ,[object Object],[object Object],[object Object],[object Object]
The External Environment (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 2 –5 ● The Organizational Environment
The Global Environment ,[object Object],[object Object],[object Object],[object Object],[object Object]
Join the Discussion Ethics & Social Responsibility ,[object Object],[object Object]
Foreign Trade Balance of Trade World Trade Organization (WTO) Trade Alliances Protectionism Currency Exchange Rates
Exhibit 2 –6 ● Exchange Rates Suppose you are selling a product in China for 8,000 yuan. With an exchange rate of 8 yuan to 1 dollar, you get $1,000 [8,000 (yuan selling price) divided by 8 (8 yuan = $1)] for each product you sell. Suppose that this price and exchange rate give you a 25 percent profit margin. Now let’s see what happens with the extreme fluctuations in exchange rates that sometimes occur: ,[object Object],[object Object],You can either change your yuan selling price to maintain your 25 percent profit margin or make more or less based on the exchange rate. Now think about the complexity of FedEx doing business in over 100 currencies.
Global Trading Agreements ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 2 –7 ● Trading Blocs
Classifying Businesses in the Global Village ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 2 –8 ● Taking a Business Global
Taking a Business Global ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Taking a Business Global (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object]
Taking a Business Global (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
 
Exhibit 2 –9 ● Practices of Global Companies
 
Join the Discussion Ethics & Social Responsibility ,[object Object],[object Object],[object Object]
Join the Discussion Ethics & Social Responsibility ,[object Object],[object Object],[object Object]
Exhibit 2 – 10 ● GLOBE Dimensions Source: Adapted from M. Javidan and R. J. House, “Cultural Acumen for the Global Manager: Lessons from Project GLOBE,” Organizational Dynamics (Spring 2001), pp. 289–305
 
Business Ethics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Business Ethics (cont’d) ,[object Object],[object Object],[object Object],[object Object],[object Object]
Factors Affecting Ethical Behavior The Situation Personality Traits and Attitudes Moral Development Ethical Behavior
Levels of Moral Development ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Exhibit 2 – 11 ● Levels of Moral Development Level
How People Justify Unethical Behavior ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Simple Guides to Ethical Behavior ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Managing Ethics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Social Responsibility ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Join the Discussion Ethics & Social Responsibility ,[object Object],[object Object],[object Object],[object Object],[object Object]
KEY TERMS ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

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Chapter 2 - The Global Environment

  • 1. The Global Environment: Culture, Ethics, and Social Responsibility
  • 2.
  • 3.
  • 4.
  • 5.
  • 6. Exhibit 2 – 1 ● Internal Environmental Means and Ends Exhibit 2 – 1 ● Internal Environmental Means and Ends
  • 7.
  • 8. Exhibit 2 –2 ● The Systems Process
  • 9.
  • 10.
  • 11. Exhibit 2 –3 ● Components of the Internal Environment
  • 12.  
  • 13.
  • 14.
  • 15. Exhibit 2 –4 ● Three Levels of Organizational Culture Direction of effect
  • 16.
  • 17.  
  • 18.
  • 19.
  • 20.
  • 21.  
  • 22.
  • 23.
  • 24. Exhibit 2 –5 ● The Organizational Environment
  • 25.
  • 26.
  • 27. Foreign Trade Balance of Trade World Trade Organization (WTO) Trade Alliances Protectionism Currency Exchange Rates
  • 28.
  • 29.
  • 30. Exhibit 2 –7 ● Trading Blocs
  • 31.
  • 32. Exhibit 2 –8 ● Taking a Business Global
  • 33.
  • 34.
  • 35.
  • 36.  
  • 37. Exhibit 2 –9 ● Practices of Global Companies
  • 38.  
  • 39.
  • 40.
  • 41. Exhibit 2 – 10 ● GLOBE Dimensions Source: Adapted from M. Javidan and R. J. House, “Cultural Acumen for the Global Manager: Lessons from Project GLOBE,” Organizational Dynamics (Spring 2001), pp. 289–305
  • 42.  
  • 43.
  • 44.
  • 45. Factors Affecting Ethical Behavior The Situation Personality Traits and Attitudes Moral Development Ethical Behavior
  • 46.
  • 47. Exhibit 2 – 11 ● Levels of Moral Development Level
  • 48.
  • 49.
  • 50.
  • 51.
  • 52.
  • 53.