Student advocacy and “sweatshop labor”; the case of Russell Athletic Q1
* Culture of the particular country
It is very important to study the different elements of culture of the country. When consider China and India, being large countries, the cultural diversity is higher and varies with the geographical areas. In some cultures, the value systems and ethics will be critically affected on the business. Some businesses are almost impossible to start in some regions due to cultural factors such as religion and value systems. Particularly, in Chinese culture, collectivism plays a major role in decision making. Therefore, a thorough knowledge about the culture is necessary before going to start a business.
* Government regulations
The government regulations are to be understood and adopted. In some countries labor laws are very strict, where the welfare and working conditions are highly supervised by the government and any foreign company should comply with. In China, mainly the businesses are run by the government and strict regulations are there on trade mark, business names and logos, partnerships and shares. On the other hand, some regulations are not well stated and interpreted, which leads foreign investors to many hardships. A good example is regulations over counterfeiting.
* Political background
The political environment may not help some foreign investors to come in. Also, the political system may be different from the home country of the company. Especially in China, the political system is communist and in India it is the democratic system with some control over the economy. Therefore, before entering to a country, a study on political stability and political environment is necessary.
* Socio economic background
The education level, skills, health, age categories, trade union activities, types of NGOs and income levels are very important. The location should be selected on the background...