Showing papers in "Journal of International Business Studies in 1972"
TL;DR: The authors examines a hypothesis, modified from one originally stated by Isaiah A. Litvak and Peter Banting, concerning the relationship of U.S. companies' entry strategies into overseas country markets and those countries' positions along an environmental temperature gradient.
Abstract: This research examines a hypothesis, modified from one originally stated by Isaiah A. Litvak and Peter Banting,11Isaiah A. Litvak and Peter Banting, “A Conceptual Framework for InterNational Business Arrangements,” Marketting and the New Science of Planning, ed. Robert L. King (Chicago: American Marketting Association, 1968 Fall Conference Proceedings), pp. 460-467. concerning the relationship of U.S. companies’ entry strategies into overseas country markets and those countries’ positions along an environmental “temperature gradient”. Although Litvak and Banting’s original hypothesis was put forth to explain why international agent middlemen evolve into merchant middlemen, the analytical framework is relevant to explain the evolution of other marketing channel phenomena. The hypothesis is:© 1972 JIBS. Journal of International Business Studies (1972) 3, 33–50
202 citations
TL;DR: The yearly operations of a multinational firm involve a considerable amount of trade between the parent and its subsidiaries as discussed by the authors, and these internal flows include both purchases and sales of raw materials, semi-finished and finished goods, and a wide range of services.
Abstract: The yearly operations of a multinational firm involve a considerable amount of trade between the parent and its subsidiaries. These internal flows include both purchases and sales of raw materials, semi-finished and finished goods, and a wide range of services. They are often the single most important method of effecting capital transfers among the different countries in which the multinational firm operates and comprise an extremely secretive area of decision making.© 1972 JIBS. Journal of International Business Studies (1972) 3, 1–18
48 citations
TL;DR: In this paper, Quinn, Tabor and Gordon conclude that the selection and staffing decisions of a manager when they are seeking to fill an overseas assignment are difficult to answer, and that risks are perceived by the manager making the staffing decision and how does the manager cope with these risks.
Abstract: How do managers make selection and staffing decisions when they are seeking to fill an overseas assignment? What qualifications of the candidate influence the decision-maker's choice the most? What risks are perceived by the manager making the staffing decision, and how does the manager cope with these risks? Given the current state of research into problems of selection these questions are difficult to answer. This is startling in view of the attention that has been directed toward the selection process. However, as Quinn, Tabor and Gordon conclude:© 1972 JIBS. Journal of International Business Studies (1972) 3, 49–65
39 citations
TL;DR: For a discussion of a case of international collective bargaining see David H. Blake, "Multinational Corporation, International Union, and Economic Implications of the 1967 UAW-Chrysler Agreement," in Transnational Industrial Relations, ed. by Hans Gunter (London: Macmillan, 1972). as discussed by the authors.
Abstract: Multinational corporations, by definition, have a multinational work force. However, the trade union institutions which represent the employees of the various subsidiaries have been organized historically on a country basis with little international interaction on industrial relations matters with a specific international employer.11It must be mentioned here that many United States unions are established on a bi-national basis in that they include a sizable Canadian membership. However, elsewhere the principle of organization is the particular nation-state. Union organization and representation activities have remained largely on the polycentric level even where their corporate adversaries operate in an ethnocentric or geocentric fashion. Recently though, international, regional, and national trade union organizations, particularly in the United States and Europe, have become concerned about the problems created by the multinational corporations because of their international nature. To confront these difficulties and to counteract the perceived advantages enjoyed by international firms, the trade union movement is developing a number of different strategies some of which may lead to the internationalization of industrial relations.22For a discussion of a case of international collective bargaining see David H. Blake, "Multinational Corporation, International Union, and Economic Implications of the 1967 UAW—Chrysler Agreement," in Transnational Industrial Relations, ed. by Hans Gunter (London: Macmillan, 1972). To phrase it in another way, in response to the challenge of the multinational corporation in union-management relations, unions are attempting to internationalize their activities and strength.© 1972 JIBS. Journal of International Business Studies (1972) 3, 17–32
38 citations
TL;DR: The simulated international business negotiation has been developed as a pedagogical device to contribute to the special needs of education for international business as discussed by the authors, and has shown considerable promise in development both of intellectual capacities for formulation of international business strategy and development of personal behavioral skills in dealing with international environmental situations.
Abstract: The simulated international business negotiation has been developed as a pedagogical device to contribute to the special needs of education for international business. It was first used by Professor Kapoor in the Spring of 1968 and has since been employed in a variety of other courses with substantial success. It appears to have considerable promise in development both of intellectual capacities for formulation of international business strategy and development of personal behavioral skills in dealing with international environmental situations. This paper will outline the main characteristics of the simulations and discuss their practical utilization.© 1972 JIBS. Journal of International Business Studies (1972) 3, 19–31
19 citations
TL;DR: The authors in this paper reviewed the multinational marketing control practices of large U.S. multinational companies, compared these practices with domestic marketing control, and identified the major factors which influence the design of a multinational control system.
Abstract: The multinational enterprise with its operating subsidiaries spread over the globe presents formidable problems to managers responsible for marketing control. Each national market is different from every other market. Distance and differences in language, custom, and practices create communications problems. The size of operations and number of country subsidiaries often results in the creation of an intermediate headquarters, the so-called regional or area headquarters, which adds an organizational level to the control system. This article reviews the multinational marketing control practices of large U.S. multinational companies, compares these practices with domestic marketing control, and identifies the major factors which influence the design of a multinational control system.© 1972 JIBS. Journal of International Business Studies (1972) 3, 33–47
11 citations
TL;DR: In this paper, a number of theories have been advanced in recent years purporting to explain the phenomenon of foreign direct investment, and a limited empirical testing was conducted using fairly elaborate investment data on a single country, Brazil.
Abstract: Several theories have been advanced in recent years purporting to explain the phenomenon of foreign direct investment. This study subjects a number of these theories to limited empirical testing, using fairly elaborate investment data on a single country, Brazil. The theories are discussed in more detail in Section II. The specific hypotheses tested and the methodology used are described in Section III; Section IV and V discuss data and measurement specification; Section VI outlines results of the study.© 1972 JIBS. Journal of International Business Studies (1972) 3, 67–82
7 citations
TL;DR: In Latin American countries, it is often the case that a very high production volume is often required to permit the effective utilization of these technical and organizational inputs in order to minimize the unit costs of final output as mentioned in this paper.
Abstract: The desire of Latin American governments to promote social, economic, and political development can create the necessity for hard choice between sometimes conflicting subaspects of the general developmental goal. An illustration of this is the conflict between the objective of promoting a qualitative and quantitative change in the goods and services produced by their national economies, and the desire for increased national independence defined as the attainment of complete autonomy of decision-making with respect to each economic sector. Such conflict stems from the technological implications of producing “modern” goods and services. To produce these goods efficiently it is imperative that the basic technical relationships of their production not be violated. This often implies heavy capital investment in product development, production process development, and the establishment of extensive distribution networks. The key prerequisite, however, is the organizational ability to develop, accumulate and coordinate the myriad physical and human resources necessary for producing the desired final output. It is often the case that a very high production volume is often required to permit the effective utilization of these technical and organizational inputs in order to minimize the unit costs of final output.© 1972 JIBS. Journal of International Business Studies (1972) 3, 51–68
3 citations
TL;DR: In particular, international investors will tend to overestimate the availability of unskilled labor if they assume that workers in developing countries all have the "industrialized" traits necessary for performing even unskilled labour.
Abstract: Cheap labor is a major incentive for investing in developing countries, especially for export production involving capital extensive processes utilizing unskilled labor. Unfortunately, international investors will tend to overestimate the availability of unskilled labor if they assume that workers in developing countries all have the “industrialized” traits necessary for performing even unskilled labor. These traits are: coming to work on time, following directions, accepting guidance from the boss, working on an established schedule, being sober while working, and so on. (Subsistance agriculture does not inculcate such traits, and a large portion of the labor force in most developing countries are migrants from subsistance agriculture.) Laborers also must be sufficiently healthy to come to work regularly, they must be strong enough to do the job required, and they must be emotionally stable. In addition, frictions to geographical movement could cause local shortages of unskilled labor even if the region as a whole has a labor surplus.© 1972 JIBS. Journal of International Business Studies (1972) 3, 1–18
3 citations
TL;DR: The contemporary Latin American attitude towards private foreign direct investment, especially with respect to investments by international corporations, is summarized in this paper, where the gap between the lip-service paid to, and actual policies adopted regarding private foreign investment in this region, is increasing as rapidly as is the need for such external investment inflows.
Abstract: THE GENERAL LATIN AMERICAN VIEW OF PRIVATE FOREIGN INVESTMENT:The climate for private foreign direct investment is deteriorating rapidly in many countries of Latin America as the socialization of development is becoming not only more widespread, but also more leftist-oriented. Paradoxically, the gap between the lip-service paid to, and actual policies adopted regarding private foreign investment in this region, is increasing as rapidly as is the need for such external investment inflows. The contemporary Latin American attitude towards private foreign direct investment, especially with respect to investments by international corporations, is summarized below.© 1972 JIBS. Journal of International Business Studies (1972) 3, 69–94
1 citations