October 28, 2012
Ray Betzell and Chiu Wai’s perspective on Shui Fabrics
Ray general manager of the American company feels the disappointment of the low Return of Interest (ROI). In launching this business on Chinese soil there were many barriers from Chinese government. Economically the business venture is more advantageous to the Chinese government rather than the American business because of the high tariffs placed upon American companies. Chinese’ textile trade market allows no negotiations on exports. Per capita, Chinese employees have the lowest wage (below world average). Chinese work for lower wages than Americans but American’s technology advances allow American workers to be more efficient and require fewer employees than their counterpart. Americans are struggling in their own country with high unemployment rates and rising poverty due to the economic downturn. The overall disappointment is that there is no flexibility in expanding in the American capital plan in the scheme of the Globe project. Chiu is pleased because the business is economically beneficial to the Chinese government and the local area. The business is providing jobs for the Chinese people and stimulating economic growth for the Chinese government. China is the largest exporter in the world. Chiu feels that Americans should be satisfied with the ROI. Americans seem to be thought as greedy; Chiu along with local authorities may feel that Americans exploit Chinese people and their land. Legal
Ray’s company is controlled by China’s government regulations on foreign businesses. America is a capitalistic nation, whereas, they are unobtrusive to regulate foreign businesses but instead have specific expectations and rules to be maintained with overseas companies. America is influential with the organization of Occupation Safety and Health Administration (OSHA). America also has a great concern for the environment itself and works closely with rules of the Environmental Protection agency (EPA). Chiu’s local government oversees the company because it is on their soil. Tariffs are volatile and quotas can change at any time. In contrast, China is not a capitalistic country, therefore, allowing their government to intervene at any time with foreign businesses. There can be interventions by the local, state, and federal government, therefore Chiu feels protected because he has managed to contribute to his people and government. The government has an impact upon Chiu’s attitude toward the company. Chiu is influenced by conceived notions from his government about Americans. Sociocultural
Ray is a general manager for a company that has allowed him to work and live in China. Ray and Chiu have worked in a team-oriented leadership. He enjoys the people and living in China. There are diversities between the Americans and the Chinese including religion, culture, government, and within each society. American businesses on foreign ground tend to have higher expectations because they want the cheapest labor possible, but in this case productivity is not as efficient as it would be in America. This is another global dimension for being self-protective and autonomous. Ray is a representative of his company and feels the disappointment of his bosses. Ray is disappointed also because he had hoped to satisfy his bosses. Referring to GLOBE, culture is defined as “shared motives, values, beliefs, identities, and interpretations or meanings of significant events that result from common experiences” (House). Chiu feels that he has had a strong influence in cutting labor cost and given the American company access to the Chinese market. Chiu has helped in matters concerning U.S.-Chinese textile trade negotiations. It is certain that Chiu has been a great asset to Ray, but he does not have to deal with the stress of failure because he feels that the company should be happy to receive...
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