International Business free essay sample

Earlier on, biscuits were regarded as part of people who were ill, but at present is one of the most preferred fast foods across various age groups. This was the time when the urban population was looking for ready-made food at a convenient cost. The London Biscuits Berhad (LBB) is one of the most prominent biscuits brands in Malaysia. The company was established during 1981 and till today has managed to maintain a distinctive position in the Malaysia biscuits industry. London Biscuits Berhad was operating on a small scale with a few production lines the company’s main business was manufacturing corn-based snacks from its rented factory premises in Tampoi, Johor. Dato’ Sri Liew Kuek Hin as a board of directors London Biscuits Berhad saw the potential of turning the company around to become a leading food manufacturer in Malaysia. Through financial allocations provided and management practices, the entry of the Dato’ Sri Liew Kuek Hin brought new and progressive winds of change to the company. 534). b. Research suggests that many expatriate employees encounter problems that limit both their effectiveness in a foreign posting and their contribution to the company when they return home. What are the main causes and consequences of these problems, and how might a firm reduce the occurrence of such problems? â€Å"The number one reason for expatriate failure is the spouses’ inability to adjust. Some other reasons include manager’s inability to adjust, other amily problems, managers’ personal or emotional maturity, and inability to cope with larger overseas responsibilities†(Hill, p. 536). The main cause is the spouse is like a â€Å"fish out of water† so to speak. Meaning they are an unfamiliar setting. They don’t know anyone and more than likely don’t speak the language. This makes it impossible to adjust with people you can’t even communicate with. I can relate to this because I moved to Arizona to be with my fiance an d even though it’s not as far as overseas I understand the frustration. They often feel alienated. The spouse who is feeling trapped at home is probably not the easiest person to get along with either causing the expatriate to be miserable as well. Immigration regulations often prohibit the spouse from having employment so that intensifies the issues. The consequences could be the expatriate resigns from the overseas position, divorces the spouse, or the spouse divorces and leaves. Either outcome is horrible. c. What is the link between an international business’s strategy and its human resource management policies, particularly with regard to the use of expatriate employees and their pay scale? The most common approach to expatriate pay is the balance sheet approach. This approach aims to equalize purchasing power so employees can enjoy the same living standard in their foreign posting that they had at home†(Hill,p. 551). d. In what ways can organized labor constrain the strategic choices of an international business? How can an international business limit these con straints? Organized labor can significantly constrain the choices firms make with respect to location. International firms often choose to locate new facilities in places where there is relative labor peace and harmonious working relations. Labor can also raise objections and threaten disruptive behavior if a firm decides to move some activities to other locations, which in some cases only reinforces the need for relocating the activities. â€Å"Organized labor has tried to counter the bargaining power of multinationals by forming international labor organizations. In, general these efforts have not been effective† (Hill, p. 551).