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Scenario: You have achieved great success at Physical Movement Company (PM Co

Business

Scenario:

You have achieved great success at Physical Movement Company (PM Co.) as their Sales Manager. PM Company is a three year old, US$25 million home healthcare company, headquartered in the northeastern part of the United States. The firm creates and sells wheelchairs, walkers or other types of “mobility products” that give a person some level of mobility when they can no longer completely ambulate on their own. Recently due to an influx of inquiries about your mobility products and some very large, direct sales to customers outside your home country, you have been promoted to the position of Vice-President of International Sales, responsible for all sales outside the United States. The job sounds simple enough – just sell your great mobility products around the world! Benefits of the job include traveling globally, eating great food and shopping for bargains in your free time. Life is good!

However, after a few days in your new position you begin to realize there is more to this job than what you were previously accustomed to as a Sales Manager who sold only in your own country. Your previous job responsibilities included finding a need for your mobility products, overcoming any objections and closing the sale. You were very comfortable in this role. As you begin to call on companies around the world by phone and e-mail, you realize that the global business environment is far more complex, involves many more details, and requires much more knowledge than you ever realized! Because of the time zone differences, you are finding yourself working all the time as business is conducted 24 hours a day, 7 days a week around the world, so there is always someone you need to contact or follow-up with. No one in the company has ever sold internationally before. There are a few employees in the company who were not born in this country. They can provide some language skills and can share their cultural knowledge, but they do not have international business experience. However, you are now the global business leader for your company.

Late one night between calls to Singapore and China, you realize you need to quickly learn as much as you can about global business issues and their implications and to communicate these issues and their solutions to senior management so that together you and the company can achieve your new worldwide revenue objectives.

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Some of the major changes which will be required at PM company in order to make their international expansion strategy or foray into international markets successful are:

A sound human resource infrastructure is one of the most critical aspects for being successful in any business and it truly applied to international businesses as well. A professional, experienced human resource base comprising of seasoned international business professionals who have worked in multicultural business environments before is crucial for PM company in order to make their international expansion efforts worthwhile. Since the company currently posses only one person in the international business division, it is extremely necessary that company should either hire new employees who possess the desired experience and qualification to operate in international markets or train their current employees to prepare them for taking the challenges in the international market.

In order to hire the new employees for this division, company should pay utmost attention to qualifications, such as exposure to working in multicultural business environment, level of exposure to international business issues in previous job, knowledge of cultural sensitivity issues and international business practices, language related capabilities, educational exposure in this area, experience of working as an expatriate,etc. Such qualifications will ensure that only experienced people will be hired for this department.

The training programs should be conducted with the help of seasoned HR professionals and external consultants who have previous experienced in training people for international assignments. The training program should extensively cover various aspects of international business, such as dealing and negotiating in cross cultural environments, cultural sensitivity issues with special focus to those countries where the company intends to expand in the near future, cross cultural communication, risks of conducting international business, etc. Such extensive training program will empower the current employees with requisite knowledge to handle communication and inquiries from international customers and will make them more prepare to deal with people from different cultures. It will help them in avoiding critical mistakes which can be made by inexperienced employees in the company and will avoid issues such as communication gaps, misunderstanding, etc. in the organization.

Tools such as simulation programs, mock sessions, etc. can prove to be useful training tools for inexperienced employees who have never dealt in international business environment. Such exposure to simulated work environment will help them to undertake real life assignments in a more confident manner.

Further, management of the organization must ensure that the corporate culture in the organization should be modified and encourage to handle diversity and other related cross culture issues. In order to bring such organization wide change in terms of their cultural outlook, support of the management is extremely necessary.

Each country is unique in terms of its business practices, customs, culture, taste and preferences. Often, professionals who are inexperienced try to replicate marketing strategies which have prove to be successful in their domestic strategies in these international markets as well and thus suffer serious losses. PM company need to make it sure that its international business professionals do not make such mistakes and jeopardize the future of the company in overseas markets.

Further, since the international expansion will involve hiring of local employees at different international locations as well, company needs to chalk out an extensive hiring and training program as well for such international employees in order to make it sure that they are quickly adapted into the corporate culture of the organization and synergize with the organization's processes.

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