2. Because of an abundance of cheap labor, China has been called “the workshop of the world.” Do you think this will still be the case a decade from now? Why or why not? No, I don’t think this will case decades from now, mainly because, Chinas economy will decline and they will learn the value of treating their workers with the adequate needs necessary.
3. What communication and negotiation approaches are likely to work best when foreign MNCs experience demands from Chinese workers for high wages? An effective communication flow that can be utilize for foreign MNCs who experiencing demands from workers, is downward communication. This type of communication is the transmission of information from managers to subordinates. Negotiation is important to settle an agreement with the Chinese workers who are requesting high wages. Specifically, distributive negotiation is a great cross – cultural managing negotiation technique. Distributive negotiation is barraging that occurs when two parties with opposing goals compete over a set value.