Intel in China

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The challenges faced by intel china

03/05/2013 03:22

The challenges faced by intel china
Newly Appointed manager of marketing programs of Intel in China, Charles Tang was facing resistance from an account manager is his division Yong Li. Conflict between Chinese and Western management styles is evident and needs to be considered carefully besides the individual traits of personnel. Western management processes and style should be developed to suit the Chinese style of management as the former style will not be effective if implemented directly due to cultural restraints. More training to the Chinese staff was required to change attitudes towards the western style of management and expat managers were required to show more restraint and caution using western management patterns. In the case of Tang he should have given Li an option of either stopping work on the project or to complete the project within a specific time frame. This would allow Li to save “face” which is very important in Chinese culture.

Introduction
Intel was operating in China from 1985 but only in 1993 that it went ahead with two wholly owned foreign enterprises. The enterprise in reference is Intel Architecture Development Co. Ltd. (IADL). On taking over his new position at Intel, Tang started restructuring of the company staff to make them more effective in achieving the goals of the company. Tang had been away from his home country for eight years and working in western environments, his perspectives and perceptions had changed. During this same period China had gone through some drastic changes due to the economic situations prevailing but the basic Chinese principles did not change. Chinese culture is collectivist whereas western culture is more individualistic which led Tang to see each individual rather than the overall team performance. This led to problems that Tang faced in establishing himself within his new role. Home country culture and themes was reflected in the multinational companies setting up in new countries. Such establishments tend to face problems when they duplicate these values in other cultural backgrounds. Organisations of this nature may need to modify their home country settings to suit the local norms. The Intel ideology of “disagree and commit” may be working well in western cultures but would need http://www.ukessays.com/essays/business/the-challenges-faced-by-intel-china-business-essay.php Page 1 of 7

The challenges faced by intel china

03/05/2013 03:22

to be adjusted if it needed to be adopted within the Chinese cultural setting. The conflict that occurred between Tang and Li could be analysed against the Chinese cultural hallmarks as follows: Harmony: Harmony in an organization is created when people have the same thoughts and beliefs and no conflicts exist. Li was seeking harmony but then Tang came along and disagreed with the continuation of his project. Tang disturbed the harmony that existed when the former manager was supervising Li’s project. Another fact to be noted is that in the face of conflict Chinese will try to maintain harmony between the parties but there is also a belief that there is a limit to everything. Time and Patience: Tang did not wait for Li to finish the project at hand considering that it would be a waste of time which is characteristic of western culture where time is considered as very important. Contrary in Chinese culture where the virtues of patience and calmness symbolize sincerity, seriousness, competence and self-control. Li might have been offended, considering that his sincerity and competence to complete the project could be in question. Flexibility: Li was not given a chance to discuss the options for completing his project and was ordered to stop work. As per popular Chinese proverb "to be successful in life and to achieve greatness, one must be flexible". Another Chinese saying teaches "Nothing in life is impossible, unless one has doubts in one's own...
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