Sky Essay Example | Topics and Well Written Essays - 2750 words

Sky - Essay Example Ltd, a Chinese car manufacturer that wishes to expand its business internationally with the help of mergers and acquisitions with existing company in host country. For the company, I suggest a business expansion in Mexico country through merger with Mastretta, a Mexican car manufacturer. This company established in 1987 and produced self-developed cars and sports cars with the help of experienced engineers and designers of Mexico. On the other hand, Chery is founded in 1997 and it produced passenger cars, minivans and SUVs (Chery International, 2010). On the basis of output, it is the ninth largest automaker in China. It exports around 25% of total production around the world. The company has various factories in different countries such as Iran, Malaysia, Indonesia, Middle East, Russia, Pakistan, Taiwan, Thailand and many more that produces Chery vehicles (Chery International, 2010). Now, the company wants to expand its business in Mexico. In this, various reasons to expand business in this country, factors that influence the transfer of business and marketing mix for Mexican market will be discussed. Along with this, environmental analysis of Mexico country will be done with the help of evidence and examples. Analysis In the overseas business expansion, companies has faced various issues regarding different political and economic conditions, cyber risks, corruption, different culture, labor laws, education system, infrastructure and ethics. In order to select a country or location for business expansion, various factors are considered such as commute patterns, infrastructure, land availability and labor availability (Russell and Cohn, 2012). According to these factors, US is best choice but in other countries, company can face issues of changes in government and laws, tax systems, labor cost and labor laws. Along with this, timeline, rights and preservation of workers, incentives, working hours organizational and culture management techniques are different in overseas business expansion. Reasoning Chery, a Chinese car manufacturer company wants to expand its business in Mexico. The company selects this country for business expansion because the automotive industry of Mexico is growing industry. It is attractive for automotive manufacturing companies due to proximity to the US and it is the world’s largest automotive market (Contreras, 2008). Along with this, various automobile companies from US, Japan and Europe shifted their plants in this country to get the benefits of strategic location, low labor cost and NAFTA (Moreno and Kellogg, 1996). The automotive industry in Mexico contributes 18% in manufacturing GDP and creates around 56,000 jobs (ProMexico, 2013). Apart from this, there are various reasons to select this country for business expansion such as: Free trade: This country has more free trade agreements as compared to other countries and USA. For example, Mexico has free trade agreements with EU that is helpful to save 1 0% tariff. Along with this, Central Mexico is the highest growth area for the production of vehicles and it is not only for US and Canadian market but also for global production (Russell and Cohn, 2012). Apart from this, due to suitable business conditions, various automakers announced $7.8 billion of investment in Mexico within two years (See: appendix 1). So, this country is good for the business expansion

Small Groups Essay Example | Topics and Well Written Essays - 500 words - 1

Small Groups - Essay Example The great thing was that we coped well without her because we already knew what points we needed to make. It was sometimes unexpected when one group member couldn’t make it, but the rest of us knew our roles and we also helped pitched in to make up for the lack of a group member I would say that the reason why our group was so successful was because there were many different cultures, styles, and personalities. There were times when some group members clashed, but the main advantage to working with such a diverse group is that everyone can offer a different opinion. More than that, everyone was open to the other group members expressing their own opinion and they were not shot down for it. This helped to create a sense of trust within the group and it also helped our meetings run smoother because we were able to work quite quickly. There were not too many factors that contributed to the group’s problems, but if I had to name one I would probably say that we were too relaxed at times. It was good that we all got on well as a group, but sometimes this togetherness would lead to going off topic because we had no one to keep us on track. I would not change the fact that we were friendly with each other, but there could have been a leader appointed at the beginning so that there was someone to keep us all in check. The first time I met Trish I thought that she was a time-orientated person. She just had a look on her face that showed determination and focus. My impression of Trish has stayed relatively the same because for our group she was the one to organize everything even though there was not a group leader. For Paul, I did not know him that well but I saw him as someone who could be useful as a conversation starter. He turned out to be the joker of the group because he would lighten the atmosphere at tense moments, but he was also

Discussion Questions In Class Essay Example | Topics and Well Written Essays - 750 words

Discussion Questions In Class - Essay Example A limited liability partnership is an organization in which a number of partners or all of them have limited liability. It is true that this type of organization provides the protection of limited liability, characteristics of a corporation and tax advantages of a partnership, and that there exists many similarities between the limited liability corporation and this kind of partnership. According to Sutton (2001), the limited liability corporation reports its income on a â€Å"schedule corporation tax form and computes its self-employment tax on a schedule self employment tax form†. In the case of multiple member liability limited corporation, self employment tax is paid on the member’s allocations on profits. The corporation’s income is reported separately on a 1065 tax return for partnership with each partner computing the bills for self employment tax on their allocations of partnership gains on the schedule self employment tax forms that go along with the 1040 returns on personal tax (Clifford and Warner 2008). It is therefore not true to say that the profit is not subject to self employment tax. A corporation is taxed and also files taxes. It is also important to note that individuals in the partnership are protected against joint liability in the case of one partner or many in the business commits an act of malpractice or misconduct. It is only the assets of the member who has been proofed to have caused failure due to negligence which are attached in case of business failure (Sutton 2001). When it is treated as a corporation, pay self employment tax is not charged on the corporation’s profit. However, according to Sutton (2001), the 1120 of the liability Limited Corporation reports the corporate income tax that is subjected on the profits. The corporation is usually limited by the shares. Non U.S. residents are allowed to own limited liability corporations. It is

Small Groups Essay Example | Topics and Well Written Essays - 500 words - 1

Small Groups - Essay Example The great thing was that we coped well without her because we already knew what points we needed to make. It was sometimes unexpected when one group member couldn’t make it, but the rest of us knew our roles and we also helped pitched in to make up for the lack of a group member I would say that the reason why our group was so successful was because there were many different cultures, styles, and personalities. There were times when some group members clashed, but the main advantage to working with such a diverse group is that everyone can offer a different opinion. More than that, everyone was open to the other group members expressing their own opinion and they were not shot down for it. This helped to create a sense of trust within the group and it also helped our meetings run smoother because we were able to work quite quickly. There were not too many factors that contributed to the group’s problems, but if I had to name one I would probably say that we were too relaxed at times. It was good that we all got on well as a group, but sometimes this togetherness would lead to going off topic because we had no one to keep us on track. I would not change the fact that we were friendly with each other, but there could have been a leader appointed at the beginning so that there was someone to keep us all in check. The first time I met Trish I thought that she was a time-orientated person. She just had a look on her face that showed determination and focus. My impression of Trish has stayed relatively the same because for our group she was the one to organize everything even though there was not a group leader. For Paul, I did not know him that well but I saw him as someone who could be useful as a conversation starter. He turned out to be the joker of the group because he would lighten the atmosphere at tense moments, but he was also

Hills Like White Elephants by Ernest Hemingway Essay Example for Free

Hills Like White Elephants by Ernest Hemingway Essay Hemingways story Hills Like White Elephants appears on the surface as a brief and unremarkable vignette written almost all in dialogue, with minimal action and an unclear final resolution, the story is actually a watershed of narrative invention and a radical shift from Hemingways usual perspective, as it is most often defined by readers and critics. As Alan Cheuse remarks in his essay Reflections on Dialogue: How Dyuh Get tEighteent Avenoo and Sixty-Sevent Street? American writers, possess an acute ability to create skeins of seemingly natural language that make up a world out of human speech (Cheuse) and also represent a special gift for create entire worlds through dialogue, as is readily manifest in Hills Like White Elephants. Hemingways style of natural language is an elementary base of his technique in Hills Like White Elephants. Another narrative strategy is that he strips away the expository writing or the direct information to the reader which would help the reader to place the action of the story in context. Rather than weigh down the narrative, Hemingway leaves his story lean and bare, primarily relying on conflict-charged dialogue between the storys two main characters. By refusing to included background information or even internal monologue on behalf of the two characters, Hemingway leaves virtually everything, even what is at issue between the girl and the American, for the reader to figure out, and this strategy includes the storys final resolution: whether or not the girl in story opts to have the couples child or whether she chooses as is the mans desire, to have an abortion. The lack of final resolution is notable enough that even critics are left to their own devices to decide what happens to finish the story and conclude the conflict between the two characters. As one scholar commented, the ending has seemed stubbornly indeterminate (Renner); however, the same critic, Renner, has forwarded a compelling theory as to how the resolution of Hills Like White Elephants can be deduced from a careful study of its narrative form, imagery, and symbolism, The conflict in the title: the burden of something unwanted a white elephant merged with the symbol of hills suggesting rich fertility extends throughout the story, forms its basic theme, and functions as an axis on which the changing attitudes and evolving conflict between the characters spins. In order to integrate the various levels of narrative along Renners theoretical lines in order to find the storys true resolution, the piece must be examined from a formal perspective with due note given to its imagery and symbolism a well as the nuances contained in the storys plentiful dialogue, (Renner) which leaves the reader able to deduce that the man in the story has indeed been sensitive to the womans situation. According to Renner, the story takes place in four distinct movements and these movements are the key components to understanding the resolution of the story. Renners distinction of the four movements follows an ascending structure of character development and character conflict: In the first movement we are shown the stereotypical passive female, not even knowing her own mind, accustomed to following a masterful male for her direction in life, the next movement illustrates the girls character development toward a dramatic realization of her own mind-her own welfare, dreams, and values; by the third movement, the girl begins to assert herself, and by the fourth and final movement, we see the result of her development toward self-realization which Renner insists reveals, also, the actual conclusion of the story, (Renner). To extrapolate a probable resolution for the conflict in Hills Like White Elephants it becomes necessary to examine the conflict which lies under the overt abortion-question of the story. If the story is, indeed, about the capitulation of the girl, then her refusal to capitulate is evident form the action of the story. When the girl says Would you please, please, please, please, please, please, please stop talking, her victory is indicated. The abortion will not be performed and the realization of her independence form the man has been attained. In this way, Hemingways story reveals a feminine point of view and a feminine dominance which is usually not associated with his fiction (Renner). Works Cited Cheuse, Alan. Reflections on Dialogue: How Dyuh Get tEighteent Avenoo and Sixty-Sevent Street? . The Antioch Review Spring 2005: 222+. Meyers, Jeffrey, ed. Ernest Hemingway: The Critical Heritage. London: Routledge, 1997. Renner, Stanley. Moving to the Girls Side of Hills like White Elephants. . The Hemingway Review 15. 1 (1995): 27+.

Importance Of National And Organisational Culture Management Essay

Importance Of National And Organisational Culture Management Essay With the recent acquisition of Nexen Inc. by CNOOC Limited, the problem of managing cross cultural challenges arises. This is because of the cultural differences between China and Canada which both companies represent. This management report addresses the envisaged challenges of national and organisational culture arising from CNOOC acquisition of Nexen, by applying Hofstede cultural models. The report commences with introduction, followed by background of CNOOC acquisition of Nexen. It also discusses meaning and importance NC and OC culture; it then discusses the challenges and management strategies. It would conclude and make recommendations on how to mitigate the challenges. WORD COUNT: 2,498 PRESENTED TO: MS. Gillian Pallis CONTRACT CONCERNING PLAGIARISM I have read the code of practice regarding plagiarism contained in the students introductory Handbook. I realize that this code governs the way in which the Centre for Energy, and Mineral Law and Policy regards and treats the issue of plagiarism. I have understood the code and in particular I am aware of the consequences, which may follow if, I breach the code. I also authorize the centre to scan the e-copy of my research paper through the plagiarism detection software to detect plagiarism. SIGNED: ___________________________________ Date: TERMS OF REFERENCE This is a report by 110024120 an MSC student in International Oil and Gas Management, University of Dundee, Centre for Energy, Petroleum Law and Policy (CEPMLP). The report has been prepared exclusively for and at the request of the Senior Strategy Team of CNOOC Limited to address potential management challenges to the continued effective control of business arising from the acquisition of Nexen Inc. This report is focused on the perspective of delivering suitable management practices in meeting the envisaged challenges. The aim of the report is to present a critical and informed analysis of appropriate managerial strategies and practices for the challenges of national and organisational culture differences in post-acquisition performance. It concludes with some recommendations for consideration by the Senior Strategy Team of CNOOC and Nexen. TABLE OF CONTENTS TERMS OF REFERENCE 2 TABLE OF CONTENTS 2 LIST OF ABBREVIATIONS 4 KIFs Knowledge Intensive Firms 4 KIWs Knowledge Intensive Workers 4 CHAPTER ONE 5 1. INTRODUCTION 5 CHAPTER TWO 6 2. BACKGROUND OF CNOOC ACQUISITION OF NEXEN 6 CHAPTER THREE 7 3. MEANING AND IMPORTANCE OF NATIONAL AND ORGANISATIONAL CULTURE 7 CHAPTER FOUR 8 4. THE CHALLENGES OF NATIONAL AND ORGANISATIONAL CULTURE 8 4.1. HOFSTEDE FOUR DIMENSIONS MODELS FOR NATIONAL CULTURE 8 4.2. HOFSTEDE SIX DIMENSION MODEL FOR ORGANISATIONAL CULTURE 9 4.3. ANALYSIS OF THE MODELS AND CHALLENGES OF NC AND OC DIFFERENCES 10 4.4. STRATEGIES FOR MANAGING CULTURAL CHALLENGES 11 13 13 13 13 13 CHAPTER FIVE 13 5. CONCLUSION 13 CHAPTER SIX 14 6. RECOMMENDATION 14 BIBLOGRAPHY 15 APPENDIX 18 HOFSTEDS CULTURAL INDEX, SCORES FOR SELECTED COUNTRIES 18 LIST OF ABBREVIATIONS NC National Culture OC Organisational Culture NXY New York Stock Exchange KIFs Knowledge Intensive Firms KIWs Knowledge Intensive Workers CHAPTER ONE 1. INTRODUCTION CNOOC Limited made global headlines on July 23, 2012 when it announced the acquisition of NEXEN, a Canadian based oil and Gas Company at the cost of $15.1 Billion. The acquisition is seen as Chinas largest Oil and Gas Company overseas acquisition Lauren (2012). NEXEN was founded in 1971 and is headquartered in Calgary, Canada. Nexen is a global energy company and is listed on the Toronto and New Yorks stock exchange under the symbol of NXY (www.nexeninc.com). Nexen is strategically located in different regions of the world; it has over 3,067 employees that add value for shareholders through successful oil and gas exploration and development. Consequent to the acquisition of Nexen, CNOOC Limited is now among one of the largest independent oil and gas exploration and production companies in the world (www.cnooc.com). According to Barney (1988) many international acquisitions creates value for the acquirer through cooperation and integration to enhance sustainable growth. The objective of acquisition is to bring companies together and increase their competitive advantage through knowledge transfer, innovations and management skills. This is also a justification for an acquisition Fitzgibbon Seeger (2002). However, most international acquisitions come with complex management challenges Hitt, Harrison and Ireland (2001). Many factors are responsible for these challenges. Thus, this management report is aimed to address the envisaged challenges of national and organisational culture to the effective business performance in CNOOC acquisition of Nexen. This report will apply Hofstede (1980) four dimensions models and Hofstede (1990) six dimensions models as literature to argue that the challenges of NC and OC will affect post acquisition performance. The application of the two models is in line with a separate model developed by Hofstede for comparing OC differences. This is also consistent with Schein (1985) argument that organisational culture differences are not the same with national culture. The report will discuss the background of CNOOC acquisition of Nexen. It also discusses the meaning and importance of NC and OC culture; it then discusses the challenges and management strategies. It would conclude and make recommendations on how to mitigate the challenges. CHAPTER TWO 2. BACKGROUND OF CNOOC ACQUISITION OF NEXEN CNOOC Limited was established in 1999 and listed on the Hong Kong Stock Exchange and New York Stock Exchange in 2001 and is 70 percent owned by China National Offshore Oil Corporation (www.cnoocltd.com). CNOOC is one of Chinas largest producers of oil and natural gas and is also among the largest independent oil and gas exploration and production Companies in the world (www.cnoocltd.com). According to the chairman Mr Wang Yilin, based on the strategic business objective to expand CNOOC overseas business and deliver sustainable growth, thus complementing the large offshore production footprint in China. Extending its global presence to oil rich region like Western Canada, and other parts of the world are mandates for management to achieve. Consequently, the opportunity for the acquisition of NEXEN is an important part in CNOOC international business growth platform as mentioned by Chief Executive Officer of CNOOC Mr Li Fanrong, CNOOC Press release (2012). The acquisition of NEXEN by CNOOC Limited was announced on July 23, 2012 and approved by NEXEN shareholders on September 20, 2012 at the cost of $15.1 Billion (www.nexeninc.com). The acquisition will bring in benefits for both firms. CNOOC brings in a reassurance of stable company and strong financial base for investment, while Nexen Inc. will play an important part in international business growth platform. However, securing approval and making purchase does not end acquisition challenges. The challenges of acquisition may be ahead of what happens afterwards, the issues after takeover Lauren (2012). For NEXEN a Canadian company with western values and culture, the management and staff are accustomed to working independently. But with the acquisition, they will align with CNOOC as their new Chinese owner with a different culture and orientation Lauren (2012). As both companies are knowledge intensive firms (KIFs) with knowledge intensive workers (KIW) there will be challenging issues on NC and OC differences Alvesson (2004). Thus, this report addresses the challenges of NC and OC in CNOOC acquisition of NEXEN. We will proceed by looking at the meaning and importance of NC and OC. CHAPTER THREE 3. MEANING AND IMPORTANCE OF NATIONAL AND ORGANISATIONAL CULTURE NATIONAL CULTURE This was defined as the collective programming of the mind acquired by growing up in a particular country Hofstede (1991). National culture is reflected in basic values, such as feelings of right and wrong, good and evil, beautiful and ugly, rational and irrational Olie (1990). NC impacts many forms of organisational behaviour, ranging from decision-making styles and human resources management to behaviour in groups Kirkman, Love Gibson (2006). NC is treated as a relatively stable feature that changes very slowly Erez Earley, 1993; Hofstede (2001). ORGANSATIONAL CULTURE Hofstede (1980) defined organisational culture as the collective programming of the mind that differentiates the members of one organisation from others. Trice and Beyer (1984) views it is a system of publicly accepted meanings which operate for a group at a particular time; it is a pattern of shared basic assumptions developed by a group or organisation on how to cope with its environment, that are stable and difficult to change, and difficult to observe because many important parts of culture are invisible Schein (1985); and more so it can simply imply the way we do things around here Deal and Kennedy (1982). IMPORTANCE The importance of national and organisational culture in international acquisition cannot be disregarded Hatch, 1993; Schein, 1985 and Hofstede (1980). Managing international business or acquisition means handling and understanding both cultural differences at the same time. Knowledge of cultural practices across borders is significant for multinationals in order to hold the company together. National cultures are embedded in values, whereas organisational cultures are embedded in practices, when both cultures are ignored there could create challenges that affects post-acquisition performance. CHAPTER FOUR 4. THE CHALLENGES OF NATIONAL AND ORGANISATIONAL CULTURE For the purpose of analysing the challenges of national and organisational culture, this report applies Hofstede cultural models to illustrate the major cultural differences which CNOOC of China and Nexen of Canada represent. Canada reflects the western cultural values wheras China reflects the Oriental Confucian group. The models are identified as follows: 4.1. HOFSTEDE FOUR DIMENSIONS MODELS FOR NATIONAL CULTURE INDIVIDUALISM/COLLECTIVISM This implies disharmony of interests on personal and collective goals Parsons and Shils (1951). Hofstede (1980) culture index (from the appendix) scored Canada 80 while China scored 20. This shows that the Canadians are highly independent of their organizations, preferring personal time, freedom, and challenge, whereas the Chinese employees have a stronger sense of belonging to their organization. POWER DISTANCE This refers to how different societies find different solutions on social inequality Mauk (1977). China scored 80 while Canada scored 39, indicating that Chinese employees are more comfortable with structured hierarchical levels and supervisors who make decisions. Canadians, on the other hand, prefer a more participatory style. UNCERTAINTY AVOIDANCE This implies the degree to which cultural members are willing to accept and deal with risky situations or unknown future Hofstede (1980). China scored 30 while Canada scored 48, meaning that the Chinese try to avoid risk and anxiety, while the Canadians neither seek nor avoid ambiguous situations. MASCULINITY/FEMININITY This refers to stereotyping gender expectations in organisations Hofstede (1984). China scored 66 while Canada scored 52, meaning that China has medium/high masculinity culture; whereas Canada has a medium/low masculinity culture. 4.2. HOFSTEDE SIX DIMENSION MODEL FOR ORGANISATIONAL CULTURE PROCESS ORIENTED VERSUS RESULT ORIENTED Process oriented cultures are dominated by technical and bureaucratic routines, while results oriented by a common concern for outcomes. In results-oriented units, everybody perceived their practices in about the same way; in process-oriented units, vast differences exist in perception among different levels and parts of the unit Hofstede (2011). JOB ORIENTED VERSUS EMPLOYEE ORIENTED Job oriented assumes responsibility for the employees job performance, while employee-oriented cultures assume a broad responsibility for their members wellbeing. At the level of individual managers, the distinction between job orientation and employee orientation has been popularized Blake and Moutons Managerial Grid (1964). PROFESSIONAL VERSUS PAROCHIAL Professionals usually imply the highly educated members identified primarily with their profession; while in Parochial, the members derive their identity from the organization for which they work. This is widely known as local versus cosmopolitan. OPEN SYSTEM VERSUS CLOSED SYSTEMS This dimension refers to the common style of internal and external communication, and to the ease with which outsiders and newcomers are admitted. It shows that organizational openness is a societal characteristic which means organization cultures also contain elements from national culture differences. TIGHT VERSUS LOOSE CONTROL This dimension deals with the degree of formality and punctuality within the organization; it is partly a function of the units technology: as most companies tend to show tight control, while others like advertising agencies show loose control. PRAGMATIC VERSUS NORMATIVE This last dimension describes the prevailing way of being flexible or rigid in dealing with the environment, particularly with customers. This dimension measures the degree of customer orientation, which is a highly popular topic in the marketing literature Hofstede et al. (1990). 4.3. ANALYSIS OF THE MODELS AND CHALLENGES OF NC AND OC DIFFERENCES By analysing the above cultural models as postulated by Hofstede, in the four dimension models we can identify differences in power distance, uncertainty avoidance, individualism/collectivism and femininity/masculinity between Canada and China which both companies represent. For the six dimensions models, CNOOC has process oriented culture with beurocratic routines while Nexen is more result oriented having concern for outcomes (www.nexeninc.com). Also Nexen culture are more job oriented while CNOOC have employee oriented culture with broad responsibility for their members wellbeing (www.cnoocltd.com). These cultural differences as illustrated creates challenges of conflicts, costs, and difficulties Hosted (1980; 2001). The cultural differences are also responsible for challenges and obstacles to achieving integration benefits Bjorkman, Stahl, Vaara (2007). It leads to decrease in shareholders value Datta and Puia (1995). It can complicate post acquisition integration and resource sharing Brock (2005). It causes human resource challenges like feeling of uncertainty and insecurity, causing culture clash and negative emotional reactions of employees towards acquisition Elsass and Veiga (1994) and culture collision Cartwright and Cooper (1993). They also lead to communication problems, ego clashes, inter-group conflicts, low employee morale, poor performance and ultimately retention Adkins and Caldwell (2004). However, these challenges can be mitigated by applying management practices and strategies. 4.4. STRATEGIES FOR MANAGING CULTURAL CHALLENGES Managing the challenges of national and organisational culture involves applying management practices or strategies by managers to reduce the challenges. The strategies are as follows: CULTURE INTEGRATION It involves the varying extent to which we can integrate more than one cultural perspective, mind-set, and behaviour into ones identity and worldview. It implies being able to move easily among cultures. It highlights the central importance of developing leaders and managers to the point where they have an ethno-relative experience of cultural difference Randy and Jacob (2009). SYNERGY APPROACH The approach involves adopting the strategy of managing the differences in culture. This implies recognising the challenges and using them to their advantage, rather than ignoring or allowing the challenges to cause problems Adler (1997). Managers therefore should be taught how to respect culture differences at work and how to work with them to maximise the contribution of each employee Cascio (1998). RESPECT FOR HOST COUNTRY CULTURE This means accepting the cultural difference without any judgment. No particular culture should claim perfection over the other culture. Cultures are different and for people they represent the ability to manage life situations and conditions the way they are familiar with for a long time Anisha (2011). IGNORING THE CULTURAL DIFFERENCES The strategy implies a stage where the managers ignore the differences. It later becomes irrelevant as the managers and employees would be having good understanding about each others cultures and practices and they would have to respect the cultures. The employees and managers in this strategy feel that our way is the only way Adler (1997). CULTURAL ADAPTATION This strategy involves mutual understanding and simplification of complicated demanding processes of behaving in a different cultural condition. This step does not mean that the participating partner should give up their cultural background, but rather they should use their knowledge of their own culture to gain knowledge about the partners culture Anisha (2011). CHAPTER FIVE 5. CONCLUSION The challenges of national and organisational culture remain crucial in post-acquisition performance. Although CNOOC may experience many complex problems during the integration process, however the challenges of national and organisational culture differences can be very devastating. This is because most successes and failures of international acquisitions have been attributed to the challenges of cultural differences ( From the analysis of Hofstede cultural models we identify cultural differences between China and Canada which CNOOC and Nexen represent. For individualism/collectivism, it implies that Canadian employees are more independent of their organization, preferring freedom, whereas Chineese employees have a stronger sense of belonging to their organization. In power distance, China employees are more comfortable with structured hierarchical levels while Canada, on the other hand, prefer a more participatory style. With respect to uncertainty avoidance, Chineese tries to avoid risk and anxiety, while Canadians neither seek nor avoid ambiguous situations. In masculinity/femininity, China has medium/high masculinity culture whereas Canada has a medium/low masculinity culture. In terms of the organisational culture six dimensions models; there are cultural disparities between CNOOC and Nexen in the OC. Consequently, we can surmise that national and organisational culture differences are the biggest challenges that could affect international acquisition performance Hofstede (2001) such as that of CNOOC and Nexen. Thus, in order to mitigate these challenges, the recommendations below are made for the senior strategic team to adopt. CHAPTER SIX 6. RECOMMENDATION For CNOOC to enjoy sustained business performance in the acquisition of Nexen, the following recommendations are made to mitigate the challenges of NC and OC: Firstly, CNOOC should adopt culture management approach. This implies the process of developing or reinforcing an appropriate culture in the organisation Pretorius (2004). Culture management is also concerned with culture change, culture reinforcement, implementation and change management. The approach will achieve effective control of cultural difference challenges between CNOOC and Nexen. Secondly, culture training for employees is vital. It will sensitize them to the discriminations, biases and negative feelings of the diverse employees in the organisation Farren and Nelson (1999). Through training, employees can understand cultural diversity that exists between CNOOC and Nexen. Cultural training will also promote cooperation and coordination among employees to enable them live harmoniously and work comfortably. Thirdly, CNOOC should create awareness on cross cultural communication. This is because all levels of communication are affected by cultural dimensions like words, language, body language, gestures, etiquette dos and donts, clothing, gift giving, dining, customs and protocols William (2005). The knowledge of cross cultural communication is necessary because what may be considered perfectly acceptable and natural in China, can be uncultured or offensive in Canada. BIBLOGRAPHY BOOKS SOURCE Alvessson, M. (2004). Knowledge Work and Knowledge Intensive Firms. Oxford University Press, May 20th , 2004. pg102. Deal, T. E. and Kennedy, A. A. (1982). Corporate cultures: The rites and rituals of corporate life. Reading MA: Addison-Wesley. Cited in; Management An Introduction, by David Boddy with Steve Paton. Pearson Education Limited, 2011, Fifth Ed. Pg. 79. Hitt, M., Harrison, J. and Ireland, R. (2001). Mergers and acquisitions: A guide to creating value for stakeholders. Newyork: Oxford University Press. Copyright 2001, Pg5-6. Hofstede, G. (1984). International Differences in Work Related Values (2nd ed.) Beverly Hills CA: SAGE Publications. ISBN 0-8039-1444-X Hofstede, G. (1980). Cultures Consequences: International differences in work related values, 1980, p.25, Beverly Hills, CA: Sage Publications. JOURNALS AND ARTICLE SOURCE Adler, N. J. (1997). International Dimensions of Organisational Behaviour, Cincinnati, Ohio: South-Western College Publishing. Adkins, B. and Caldwell, D. (2004). Firm or subgroup culture: Where does fitting in matter most? Journal of Organisational Behaviour, 25 (8) pp. 969-978. Barney, J. (1988). Returns to biding firms in merger and acquisitions: Reconsidering the relatedness hypothesis. Strategic Management Journal, 9(S1), 71-78. Bjorkman, I., Stahl, G., and Vaara, E. (2007). Impact of cultural differences on capability transfer in acquisitions: The mediating roles of capability complementarity, absorptive capacity, and social integration. Journal of International Business Studies, 38: 658-672. Brock, D. M. (2005). Multinational acquisition integration: the role of national culture in creating synergies. 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The dynamics of organisational culture. Academy of Management Review 18: 657-694. Hofstede, G. and Bond, M. H. (1988). The Confucius connection: From cultural roots to economic growth. Organisational Dynamics, 14, 483-503. Hofstede et al., (1990). Attitude, Values and Organisational Culture: Disentangling the concepts. Geert Hofstede. Institute research on Intercultural Cooperation, Maastricht and Tilburg, the Netherlands. Hofstede, G. (1991). Cultures and Organisations: Software of mind. Intellectual Cooperation and its Importance for survival, Harper Collins, 1991, pp. 79. Kirkman, B. L., Lowe, K. B. and Gibson, C. B. (2006). A Quarter Century of Cultures Consequences: A Review of Emperical Research Incorporating Hofstedes Cultural Values Framework. Journal of International Business Studies; Washington, 37(3), 285-320. Lodorfos, G. and Boateng, A. (2006). The Role of Culture in the Merger and Acquisition Process. Management Decision, 44(10), 1405-1421. Marks, M. L. and Marvis, P. M. 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Case Study for AcuScan, Inc :: Business Management Essays

Case Study for AcuScan, Inc I am the newly hired Vice President of Organizational Development. My responsibilities include creating the Organizational Development Department. I look forward to working with all of you especially with finding a new and improved product based on our already developed retinal scanning system iScanner. First of all I am going to discuss assumptions made by Kelly Thomas, Pat Lambert, Cliff O’Connor and Chris Martinas. After each employee assumptions will be their arguments and my evaluation of whether the argument is sound or unsound and why. Kelly Thomas – Senior Engineer, Product Development 1. Assumed that Pat, Director of Marketing knew nothing about QC (quality control). 2. Assumed that all the features for the retinal scanner could not be developed in the time frame allotted. 3. Assumed that due to lay-offs last year they would not have the staff to develop a new product. 4. Assumed the customer would be â€Å"short changed† because the company may not be able to comply with the customers expectations. 5. Assumed Pat did not have any technology experience because his past experience was with the cereal business. 6. Assumed Pat was going behind his back because Pat spoke to the programmers first without consulting with Kelly.   Ã‚  Ã‚  Ã‚  Ã‚  Kelly argued that new product was much more complicated to produce than Pat had implied. He also argued that Pat had no understanding as to how the iScanner worked and would have a better understanding if Pat took the time to involve him in other areas of the business not just marketing.   Ã‚  Ã‚  Ã‚  Ã‚  Kelly’s argument was logical and sound because he based his decision on the time it took the staff to develop the iScanner. Past history of creating a new product can give you an idea of how long it would take to produce a new product. He also did not want to jeopardize his reputation or the company’s by producing and inadequate product. Pat Lambert – Director of Marketing 1. Assumed the new product would be a simple addition to the new product. 2. Assumed programmers had plenty of time to work on new product even though he knew staff was cut last year. 3. Assumed because they were not agreeing with him they were not committed to the new product. 4. Assumed that the job could be done by outside contractors in the specified time frame. Also with money being a problem. 5.  Ã‚  Ã‚  Ã‚  Ã‚   Assumed a meeting would resolve all problems. 6.  Ã‚  Ã‚  Ã‚  Ã‚   Assumed the customer would be happy with whatever product was developed and launched.