1. Tips for Going Global
Barbara M Fowler, JD, LL.M
Management Development Consultant
April 19, 2011

2. Decisions
What do your core values indicate should be considered?
(example, worthy of trust, respect for each other,
customer focused, winning)
What is the law in the country?
What are the “common business practices”?
How will this impact future decisions?
How will this affect the company globally?
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3. Current PII Operations
Poland (1998)
Korea
China (1989)
Italy
(1990) Japan
(1987, 2001)
Mexico Taiwan
(2006) Brazil India (1989)
(1997) (JV 2008)
Argentina (1998)
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4. Critical Factors To Consider
1. Market Attractiveness
2. Political and Economic Stability
3. Employment Law
4. Consumer Protection
Overall
5. Financial Picture Recommendation
6. Regulatory Environment
7. Competitive Situation
8. Labor Pool for your industry
9. Synergies/Obstacles
10. Ease of Implementation
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5. Country Snapshot—Selected Data
(2008)
Agnieska Bonanza
82 million Population 88. million
0.04% Population Growth (annual) 1.53%
1.2 Fertility (births/woman) 2.49
80.0 years Life expectancy 74 years
41.3 years Median Age 23.8 years
26.6% % of Pop. under age 25 54.0%
20% of workers % Univ. Grad, Target Cities 15% of people over 15
99% Literacy Rate 92%
US $1,976 billion GDP (US$ basis) US $637 billion
1.61% Inflation 4.78%
9.8% overall Unemployment 9.8% overall
US $ 50,000 Average Income US$30,000
31st of 100 countries Corruption Index 72nd of 100 countries
th of 100-Moderate to High
28th of 100 -Low Country Risk 68
81st of 100 countries Business Friendly Environment 30th of 100 countries
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6. Country Indexes
With one being the best country and 100 the worst country,
CORRUPTION INDEX -- Agnieska is at 31 and Bonanza is at 72.
COUNTRY RISK – Agnieska is at 28 and Bonanza is at 68.
BUSINESS FRIENDLY ENVIRONMENT - Agnieska is at 81 and Bonanza is at
30.
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7. Agnieska
• Large, Stable Middle Class
• High Income Taxes
• Disability, Unemployment, Retirement Support
• Low Birth Rate
• Established Industries
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8. Bonanza
Class Disparity
Rapidly Growing Middle Class
Women leave work force when children born
Industry just beginning
Low Government Benefits
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9. Labor Pool
Will we find sufficient number of candidates?
Will these candidates be able to develop the
markets?
Will they be willing to work long hours? 2300/1700
What about entrepreneurial spirit? Do workers here
want more security or more opportunity?
How do people feel about careers?
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10. Other Issues
In Bonanza, English speaking management salaries are
very high and specialists are recruited heavily. Turnover is
high.
In Agnieska, there are many labor suits and the employee
usually wins.
In Bonanza, the concept that hard work brings success is
not believed. In Agnieska, it is part of the culture.
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11. The Decision Has Been Made
You have been asked to lead a team of five ex-pats to
start the operation. The team is told that they will be
in-country for approximately 18 to 24 months.
What are your concerns?
What about your family?
Will you accept this opportunity?
What about when you come back?
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12. Issues that arise in first year
Free Coffee
Broken Leg
Maternity Leave
University Classes
Marriage Leave
Company Money
Volunteer Activity
Lunches
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13. Questions:
1. There are two final candidates for the CEO position. Both
are good. One is especially well regarded for his people
development skills but his English language skills are
average at best. The other is highly regarded for her
financial acumen and her English is excellent. How
important are the language skills?
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14. Questions:
2. You install a coffee/tea machine with a nominal fee.
However, you quickly learn that many employees are
upset. They expected complimentary coffee/tea. Should
you provide it?
3. You are interviewing a candidate for a Director position. In
answer to several questions during the interview, the
candidate starts by saying, “I talked to my psychologist
about this” or “My psychologist and I discussed this.”
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15. Questions
4. You are interviewing one of the finalists for the IT
manager position. The in-country executive asks what
is the candidates blood type. He later explains that A
blood type is better for IT and he prefers that
candidate for the position.
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16. Questions
5. You are driving with your child and are stopped by a
policeman but do not understand why. Local custom
is to give the policeman your license with a 20 dollar
bill wrapped around it. You do not know the
language but it is apparent the policeman is
expecting this.
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17. Mr. Toilet
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18. For further questions, contact me at
barbfow50@gmail.com
Thank you!