You may say I’m a dreamer, but
I’m not the only one; I hope some
day you’ll join us, and the world will
live as one’.
John Lennon (1940 – 1980) British
musician and songwriter
When I am at Milan, I do as they
do in Milan; but when I go to
Rome, I do as Rome does.
St Augustine (354 – 430) Roman
theologian/philosopher
1.
Power-Distance, or the degree of inequity
among people that a country’s population sees
as normal.
Countries such as such as the USA, Germany
and the Netherlands scored low on powerdistance, while Russia and China scored high.
2.
Individualism versus collectivism, or the
degree to which people prefer to act as
individuals rather than as members of groups.
Countries or regions such as Hong Kong,
Indonesia and West Africa scored Low on
individualism; while the USA and the
Netherlands scored high.
Hofstede’s five cultural dimensions (1)
3. Masculinity v. femininity, or the degree to which values
often labelled masculine (e.g., assertiveness,
competitiveness, performance orientation) prevail over
those often labelled feminine (e.g., relationships,
solidarity, service).
Scandinavian countries, the Netherlands and Russia scored
low on masculinity, Japan and Germany scored high.
4. Uncertainty avoidance, or the degree to which people
preferred structured rather than unstructured situations.
Countries such as Hong Kong, Indonesia, and the USA
scored low, while Japan, Russia and France scored high.
5. Long-term versus short-term orientation.
Countries such as Japan and China scored high on longterm orientation, whereas the USA and Britain scored low.
Hofstede’s five cultural dimensions (2)
1. Why is Kodak considering
expanding into China?
2. In what ways might Kodak
be a tiger in relation to local
Chinese competition and why,
as the Chinese proverb
suggests, ‘although you may
be a superior force, in
unfamiliar territory, you may
be weaker than local forces’.
3. What strategy should
Kodak pursue?
4. In negotiating with the
Chinese, what insights can be
gained from models in this
chapter?
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1. Why was I surprised by
Biggles during the flight to
Seoul? Why would Korean
Airlines be hiring British pilots?
2. Why might culture be part of
the explanation for the poor
safety record of Korean
Airlines?
3. What other factors may also
play a part?
4. What solution could you
suggest for this difficulty?
1. Why might the world be
‘Californianising’?

2. What forces exist for
localization?
3. How might the bank in the
case address the need for
global efficiencies on the one
hand and the pressure for
local customization on the
other?
4. Why did Philips and
WalMart misinterpret their
foreign consumers?
IKEA: Glass or vase?
1. Why might the three
European countries have
acted differently in Guyana?
2. Why did the different
approaches lead to different
types of outcome?
3. Why did the English adjust
their approach towards that of
the Dutch?
4. What lessons can we learn
about the differences between
Guyana, Suriname and
French Guiana today?

1. Why did Vodaphone
launch its hostile bid for
Mannesman?
2. Why was there German
outcry at the prospect of
Vodaphone acquiring
Mannesman?
3. Why did Mannesman
lose the contest?
4. Was this a good
outcome for all
stakeholders?

1. What were the benefits to Coke
of going global?
2. How was this global approach
mirrored in Coke’s… structure?
3. Why has Coke now decided to
go local?
4. What effect might this new local
strategy have on Coke’s
organization?...
5. Why is McDonalds persisted with
a global approach?
6. What risks does McDonalds face
with this strategy?
7. Where would you position Coke
and McDonalds on the Global
Integration/Local Responsiveness
grid?

1. HSBC has grown primarily through
acquisitions. What are the virtues of
this approach?
2. Why was James Bond not the best
choice of personality for HSBC?
3. Why does Michael Palin resonate
so strongly with HSBC executives?
4. HSBC claims distinctiveness in
persistence and commitment to
markets. How is this possible and
why might it confer advantage?
5. How can HSBC compete
effectively by championing local
diversity and yet proclaiming itself as
a global bank?

John Bond
James Bond
Michael Palin
1. Why is Rover trying to enter into a
strategic alliance with SAIC?
2. What are the attractions for SAIC to
enter into this alliance with Rover?
3. Why has Honda chosen to
manufacture and distribute for itself in
China rather than using some form of
strategic alliance?
4. What insights can international
business theories give us in comparing
the expansions of Rover and Honda
into China?
5. What are the implications for the
two international strategies in the UK
car market?
