International Management_ Culture, Strategy, and Behavior ( PDFDrive.com )

570 Part 4 Organizational Behavior and Human Resource Management

exciting prospects. Bank of Communications has over The competition in China’s banking industry is
30  million debit cards in issue. Over time, a proportion ­continuing to grow. Recently, foreign banks have
of those is going to convert to credit cards. And we increasingly turned to joint ventures as a strategy for
are  issuing co-branded credit cards with the Bank of increasing investment in China. In 2011, Morgan
Communications.”9 HSBC saw an opportunity to shep- S­ tanley formed a joint venture with Huaxin Securities
herd millions of new people into the banking system. Co. Ltd. to facilitate expansion into China. Morgan
HSBC’s Green acquiesced that emerging markets do Stanley owns a third of the venture, while Huaxin
carry risk. This risk was starkly evident during the Securities maintains two-thirds control. The deal gives
HSBC debacle in Argentina during the country’s eco- Morgan Stanley the ability to underwrite and trade
nomic crisis. China’s epic turnaround could conceivably bonds. UBS, Goldman Sachs, Royal Bank of Scotland,
flop, and heavily invested banks could pay dearly. The and Deutsche Bank have formed similar joint ventures
banking system in China was and is very fragile. Would in recent years, with the foreign bank maintaining a
China’s banks be able to break away from state-directed minority share while the domestic partner holds the
lending and its lasting effects? The banks further rely on majority position.
the continued acceleration of the economy, and many When it comes to utilizing joint ventures as a way to
rely on volatile real estate loans. HSBC recognized other increase investment in mainland China, HSBC has
challenges for China, including the need to strengthen lagged behind its peers. In 2015, HSBC finally
regulations, build social security, stem corruption, and announced its first securities joint venture in China,
fortify the financial system. with Shenzhen Qianhai Financial Holdings as its local
HSBC’s holdings in BoCOM, which are among the partner. The delay, however, may have proved benefi-
largest by a foreign bank in China, have posted mixed cial; unlike most other foreign banks with joint ventures
results over the last ten years. In 2015, BoCOM’s listings in China, HSBC was able to secure a majority share of
on the Hong Kong stock exchange dropped more than the deal.
11 percent. In reaction, BoCOM announced that it would
allow HSBC greater control in decision making, including Shifting towards Asian Operations
the appointment of a new vice chair. Despite the mixed performance results over the last sev-
eral years with its BoCOM joint venture, HSBC shows no
Recent Developments and Future signs of scaling back its operations in China. In fact, CEO
Competitive Conditions Stuart Gulliver announced plans to do just the opposite in
Current Strategies in China 2015. While the abandonment of the “World’s Local
Foreign banks that operate in China have different Bank” strategy resulted in job cuts and branch closings in
strategies. Some of them have purchased smaller stakes many developed markets, Gulliver stated that HSBC was
of Chinese financial institutions, while some prefer to planning to hire more than 25,000 new employees in the
buy a bigger stake of a small bank. Nevertheless, they Asian region in the coming years.
all want to be in China. The best strategy, in theory, Much of HSBC’s future profitability appears to
has turned out to be with a local partner. Bob Edgar, hinge on China and other Asian markets. In 2015,
senior managing director at Australia and New Zealand European and North American holdings accounted for
Banking Group Ltd., said that “it would be very dif- 30 percent and 15 percent of HSBC’s assets, respec-
ficult to go into a market like that and undertake the tively, but only 3 percent and 8 percent of net profits
cost of establishing a branch network, getting a cus- before tax. Additionally, future growth prospects in
tomer base of hundreds of thousands if not millions of those regions appear bleak. In both Europe and the
customers. That already exists, so why would we want United States, revenues have remained stagnated for
to set it up again?”10 several years. Conversely, 40 percent of HSBC’s assets
Many foreign banks, however, experience difficulties were located in Asian markets by 2015. These markets,
when working with a local partner. The credit standards growing at 7 percent annually, accounted for 78 percent
are not as strict as they should be, and there is still of net profits before tax.
endemic corruption at different levels. In addition, the While HSBC only had 200 branches and a deposit
partners gain influence in the foreign bank. This is the base of US$40 billion in mainland China as of 2015,
reason why HSBC has decided to invest “outside the Big GDP growth projections indicate that the Guangdong
Four”: so it would have bigger control in operations. Peter province will be the largest banking center worldwide
Wong, executive director of HSBC’s Hong Kong and by 2025. HSBC’s strategy for future investment in the
Mainland China operations, has commented: “[T]he state- Guangdong area, and specifically in Shenzhen, is
owned banks would be too big.” So only the future will dependent on increasingly liberal banking reforms by
tell what is the best strategy. the Chinese government. As of 2015, China was still

In-Depth Integrative Case 4.1 HSBC in China 571

heavily regulating the opening of new branches, which, environmental charities. In 2015, HSBC received
if it remains unchanged, could hinder HSBC’s expan- T­ aiwan’s Excellence in Corporate Social Responsibil-
sion plans. ity award for its efforts.

HSBC’s Expansion in Vietnam and Taiwan Future Competitive Conditions
HSBC has found success in other Asian markets over Despite the economic crisis, there were several geo-
the last decade. In 2009, HSBC won approval from the graphical regions that did not fall into economic reces-
Vietnamese government to become the first foreign sion in the 2008–2010 period. China, foremost,
bank to set up a locally incorporated entity. New laws experienced strong economic growth throughout this
that have helped open Vietnam’s banking sector to for- period. China’s gross domestic product expanded
eign companies were introduced as part of the commu- 10.7 percent in the fourth quarter of 2009, bringing full-
nist country’s inclusion in the World Trade Organization. year growth to 8.7 percent. That came in above the gov-
The change in legal status in Vietnam has made it eas- ernment’s targeted 8 percent growth and well above
ier for HSBC’s local operations to set up branches many economists’ estimates. China officially surpassed
across the country. That year, HSBC hired more than Japan as the world’s second-largest economy in mid
400 additional staff in Vietnam in anticipation of its 2010. The growth numbers demonstrate that Beijing’s
expansion. This has brought the number of staff mem- stimulus program—a response to the global economic
bers there to more than 1,000. In Vietnam, HSBC also slowdown that focused on massive bank lending and
owns 10 percent of Bao Viet Holdings, an insurance public investments in infrastructure—helped avert an
company, and 20 percent of Vietnam Technological & economic slowdown. However, as the developed world
Commercial Joint Stock Bank, or Techcombank. In has begun to recover and economies like the United
2015, HSBC was named both Best Foreign Investment States, Germany, and the United Kingdom have seen
Bank in Vietnam and Best Foreign Commercial Bank modest gain in GDP growth, China has shown signs of
in Vietnam by FinanceAsia. a significant slowdown. By 2015, China’s growth rate
Similarly, in 2009 HSBC was the first bank to had slipped to less than 7 percent.
incorporate locally within Taiwan. Growth has been In 2014, China surpassed the United States to
slow but steady; by 2015, HSBC was operating become the largest recipient of FDI worldwide. More
40  branches throughout the island, with half of those than US$128 billion in investments flowed into China
located in Taipei. HSBC has incorpated various cor- in 2014 alone. Despite the economic slowdown that
porate sustainability initiatives into its Taiwan opera- China is experiencing, FDI inflows continue to increase
tions, including donating to various educational and year over year.

Locally incorporated foreign banks by network

HSBC China—largest and most geographically widespread network of all foreign
banks in mainland China

90

80

70

60 46 10 6
50 64 7
40 37 5 DBS
30 23 ABN
20 21
10 19
18 15 11 8
0 HSBC BEA Stanchart Hang Seng Citi
China

Sub-branches Branches

Note: As of end-April 2009 (excluding representative o ces, administrative o ces, etc.)

572 Part 4 Organizational Behavior and Human Resource Management

HSBC group structure chart as of December 2015

HSBC
Holdings plc

HSBC HSBC HSBC HSBC Bank HSBC UK HSBC Bank 94% HSBC
Latin America Latin Overseas Canada Bank plc HSBC Private Egypt S.A.E. Holdings
America BV Holdings
Holdings 99% (UK) Limited UK Banking BV
(UK) Limited HSBC Bank HSBC North Holdings
Argentina America (Suisse) S.A.
S.A. Holdings Inc. The Saudi 40%
HSBC British Bank
Private Bank
(Suisse) S.A.

HSBC HSBC HSBC 99% HSBC HSBC Bank HSBC Asia The Hongkong HSBC Bank
Mexico SA Investments Finance France Middle East Holdings and Shanghai (China) Co.
Corporation (UK) Limited Banking Corp-
(North Limited HSBC Bank Limited
America) Inc. USA Malaysia oration Ltd HSBC Bank
HSBC Berhad HK
Securities (Taiwan)
(USA) Inc. 80% HSBC Limited
Trinkaus &
Burkhardt AG

Germany Bank of
Commun-
HSBC HSBC Bank HSBC Bank 19% ications
USA Inc. USA, N.A. Australia Co Limited
Limited 62%
Hang Seng PRC

Bank Hang Seng
Limited Bank (China)

HK Limited

Latin America North America Europe MENA∗ Asia

Holding company Intermediate holding company Operating company Associate

∗Middle East and North Africa
Source:  “Simplified Structure Chart: Principal Entities,”  The HSBC Group,  http://www.hsbc.com/about-hsbc/structure-and-network.

Exhibit 4  Top 10 Banks in China, Ranked by Tier 1 Capital in 2014

Rank Foreign
Tier 1 (by Bank
Rank Bank Capital Assets Assets) Shareholder

 1 ICBC 207,614 3,100,254 1

  2 China Construction Bank 173,992 2,517,734 2

  3 Bank of China 149,729 2,273,730 4

  4 Agricultural Bank of China 137,410 2,386,447 3

  5 Bank of Communications 68,333 976,882 5 HSBC

  6 China Merchants Bank 41,690 658,210 7

  7 China Citic Bank 37,427 596,721 10 BBVA

  8 Shanghai Pudong Development Bank 34,042 603,101 8

  9 China Minsheng Bank 33,232 528,714 11

10 Industrial Bank 32,965 602,661 9 Hang Seng

Bank

Source:  Ernst & Young,  Future Directions for Foreign Banks in China  (2014), Appendix C.

HSBC’s future development will depend heavily on c­ onstantly work to maintain and expand its market posi-
two things. First, the competition will play a major role tion. Second, HSBC’s success will depend on the oppor-
in HSBC’s strategy. HSBC competitors are aggressively tunities that the company sees in the other emerging
seeking opportunities in China, and HSBC has to markets of the world.

In-Depth Integrative Case 4.1 HSBC in China 573

HSBC’s Current China Strategy HSBC Group’s Overall Current Strategy
HSBC Group’s overall international strategy has evolved
HSBC’s strategy in China is carried out by its 100 percent in the years since the global recession. As of 2016, the
subsidiary HSBC Bank (China) Company Limited. As of overall company strategy is currently designed around two
2016 HSBC Bank (China) was a network of more than global trends:
170 bank outlets (branches and sub-branches) with 6,000 First, HSBC plans to focus on growing markets in
employees spread across 50 cities. At this time HSBC had Asia, Latin America, Africa, and the Middle East. Due to
the largest and most geographically widespread network demographic shifts and increasing urbanization, those
of banks in mainland China compared to other foreign emerging markets are predicted to increase by 400 percent
banks operating in China.  by 2050, providing a large consumer base that could
In its attempt to mitigate the negative impact of eco- potentially become retail banking customers. To maxi-
nomic crisis and strengthen its competitive position, mize return, HSBC plans to focus on wealth management
HSBC took several measures to redefine and clarify its across these regions, but only enter retail banking in loca-
strategies for the nearest future.  China was identified to tions where there are enough middle-class consumers to
be the center of the Group’s emerging markets strategy. return a profit.
HSBC has formally defined its strategy for China as fol- Second, HSBC plans to take advantage of increasing
lows: “To be the leading foreign bank in China in terms international trade and cross-border capital flows. To
of market share and profitability, and deliver significant acheive this, HSBC aims to reach small- to medium-sized
offshore China-related business to the Group.” multinational enterprises from a variety of home coun-
HSBC has identified key priorities aimed at achieving tries, build loyalty with these companies, and then con-
its strategic goals for China: tinue to serve these companies as they grow from smaller
startups to large conglomerates.
1. International connectivity—Connect its Chinese To decide where to expand and invest, HSBC has
operations with the rest of HSBC Group’s opera- developed a decision-making framework. The framework
tions. This includes maintaining Chinese-dedicated evaluates the relevance, the quality of the returns, and the
desks in overseas offices and creating foreign repre- risk of financial crime to determine whether HSBC should
sentative positions within China. increase investment, improve its operations, or withdraw
from the market.
2. RMB internationalization—Become the leading
bank for RMB globally. Currently, more than 2016 and Beyond
150 countries are doing business with RMB, Despite HSBC’s slimming of operations around the globe
with France, Singapore, and the U.K. leading in an effort to cut costs, HSBC has reaffirmed its future
the way. plans for growth in the Chinese market. In late 2015,
HSBC announced plans to add over 3,000 employees to
3. Network and presence—Use network leadership to the Pearl River Delta region in an effort to increase its
maintain a strong presence in the market. retail banking business. The boost is aimed at increasing
HSBC’s pretax profits in the region by a factor of 10 by
4. Capabilities and licenses—Maintain product leader- the year 2020. The Pearl River Delta, which includes the
ship in China, when compared to other foreign cities of Shenzhen and Foshan, includes a rapidly expand-
banks operating in the country. ing middle-class population that could serve as future
HSBC retail banking customers.
5. People—Hire and retain the best employees, and
leverage those employees as a resource for business
growth and organizational effectiveness.

6. Strategic partners—Maintain and build strong strate-
gic partnerships and facilitate business cooperation.

Using the six filters in decision-making

What is the Are the current What is the financial crime risk?
strategic relevance? returns attractive?

1. Connectivity 3. Profitability 6. Financial crime risk High
2. Economic development 4. E ciency Risk mitigation
5. Liquidity Low Risk mitigation
Invest Risk mitigation
High Yes Turnaround/improve Discontinue/dispose
No Continue as is

Medium/low Yes
No

HSBC Decision-Making Framework

Source: HSBC,  Strategic Report 2014  (February 2015),  http://www.hsbc.com/our-approach/reports-and-documentation.

574 Part 4 Organizational Behavior and Human Resource Management

The bank is also working toward being one of mainland 4. How did HSBC withstand the world economic crisis?
China’s first foreign-listed companies to tap into the coun- Was HSBC’s position weakened or strengthened as
try’s liquidity and to raise its overall profile there. Credit result of the crisis? How did HSBC alter its strategy
card usage has been increasing rapidly within the country, in the wake of the recession?
with nearly 500 million credit cards issued by the end of
2015. HSBC has moved to grab a larger share of this 5. What are some changing economic factors that
growing market. Between 2004 and 2016, HSBC and Bank HSBC will need to take into consideration in the
of Communications co-issued over 40 million co-branded coming years?
credit cards in China. In early 2016, HSBC was granted
approval to begin issuing credit cards on its own, effec- Exercise
tively ending the credit card portion of its joint venture HSBC is considering asking the government of China
and allowing HSBC to take complete control over its credit (China Banking Regulatory Commission—CBRC) to
card operations. allow it to increase its stake in BoCom above the limit
HSBC’s China experience has been one of steady and currently in place (25% total foreign ownership; 20% for
consistent expansion and success. While there have been an individual foreign investor). Break into four groups:
some setbacks, its overall approach, emphasizing close 1. HSBC
collaboration with the Chinese government and local part- 2. BoCom
ners, reliance on local staff and talent, and its overall shift 3. Citibank
in global strategy from developed to emerging markets, 4. CBRC
has served it well. Groups 1–3 should prepare a 5-minute presentation on
whether the government of China should grant the request
Questions for Review and, if so, what the ownership limit should be (30%?
1. How has HSBC adapted its global strategy to 50%?) and whether it should be extended to other foreign
financial institutions (e.g., Citibank). Then, Group 4
­operate in China, both before and after China’s should discuss the question and report its decision.
WTO accession?
2. Discuss HSBC’s strategy for entering and operating Source: This case was prepared by Jonathan Doh of Villanova University as the basis
in other emerging markets. Where has it found suc- for class discussion. Additional research assistance was provided by Courtney Asher,
cess, and where has it faced setbacks? Why? Elizabeth Stewart, Tetyana Azarova, and Ben Littell.  It is not intended to illustrate
3. What are the pros and cons of HSBC’s “Managing either effective or ineffective managerial capability or administrative responsibility.
for Growth” strategy?

ENDNOTES  5. Peter S. Goodman, “China Approves Plan for Huge
Bank IPO,” Washington Post, July 20, 2006, p. D5.
 1. “China’s Banking Industry: A Great Big Banking
Gamble,”  The Economist, October 25, 2005.    6. “China’s Banking Industry: A Great Big Banking
Gamble.”
 2. Becky Yerak, “HSBC Plans to Close Household
Financial, Beneficial Consumer Loan Units,”  7. Barney Jopson, “China Struggles to Overcome
Chicago Tribune, March 3, 2009, http://articles. Shortage of Good Accountants,” Financial Times,
chicagotribune.com/2009-03-03/news/0903021009_ June 6, 2006, p. 11.
1_hsbc-holdings-plc-hsbc-bank-usa-household-
international.  8. Sir John Bond, “China: The Re-emergence of the
Middle Kingdom,” Speech, July 19, 2005.
 3. “Our Strategy,” HSBC, www.hsbc.com/about-hsbc/
our-strategy.  9. Carrick Mollenkamp, “HSBC Plans Push in Emerging
Markets,” The Wall Street Journal, October 24, 2005.
 4. Carrick Mollenkamp, “HSBC CEO Discusses the
Bank’s Expansion Plans,” The Wall Street Journal, 10. K. C. Swanson, “Buying into China’s Banks,” Cor-
October 23, 2005. porate Dealmaker, September–October 2006, p. 18.

In-Depth Integrative Case 4.2

Chiquita’s Global Turnaround

On January 12, 2004, Chiquita named Fernando Aguirre Yet despite Chiquita’s apparent turnaround, lingering
as the company’s new president and CEO, replacing Cyrus problems remained in financial performance, organiza-
Freidhem, who had held the position since the company’s tional efficiency, and a strategy for the future. How could
emergence from bankruptcy in March 2002. In his 23 years Chiquita sustain the positive momentum from its turn-
with Cincinnati-based Procter & Gamble (P&G), Aguirre around in reputation and employee relations to deliver
served in a variety of positions, including president of improved and sustainable business performance in a
P&G Brazil and president of P&G Mexico. In his first global industry environment plagued by low margins and
remarks to Chiquita employees and investors, Aguirre reit- intense competition?
erated the importance of corporate responsibility: “In
terms of managing businesses and people, while I am Chiquita’s Background
profit-conscious, I make decisions first and foremost based Chiquita Brands International Inc. is a multinational pro-
on values and principles. In that respect, I’m proud to be ducer, distributor, and marketer of bananas and other
joining a company with Core Values that guide day-to-day fresh produce. The company also distributes and markets
operations and one where corporate responsibility is an fresh-cut fruit and other branded, value-added fruit prod-
important part of our company culture.”1 ucts. Approximately 60 percent of its 2003 revenues of
Over the past several years, social responsibility has $2.6 billion came from bananas. Since adding new prod-
become the watchword of this traditional company with ucts and acquiring Fresh Express, the U.S. market leader
midwestern roots but a checkered history. In 2004, in fresh salads, in 2005, bananas have totaled 43 percent
C­ hiquita scarcely resembled the company that once held of Chiquita’s net sales. In 2003, the banana division con-
a reputation as cold, uncaring, and indifferent, frustrated sisted of 19,000 employees, mainly working on more
with mediocre returns, a lack of innovation, and a demor- than 100 banana farms in countries throughout Latin
alized workforce. Throughout the 20th century, hostile America, including Guatemala, Honduras, Nicaragua,
relationships with its labor unions and employees and a Ecuador, Costa Rica, Panama, and Colombia. Approxi-
reputation for immorality solidified by the actions of mately 45 percent of all bananas sold by Chiquita are
its  predecessor company, United Fruit, helped to slow from Chiquita-owned farms; independent suppliers in
Chiquita’s growth. In addition, by the late 1990s, con- Latin America produce the remainder. Chiquita is one of
sumption of bananas had declined in major markets, and the global market leaders in banana supply and produc-
Chiquita’s position in Europe had been compromised by the tion (see Table 1). Because Chiquita’s exports are often
European Union’s preferential import relationships with its a substantial part of the foreign trade of the Latin Amer-
members’ former colonies in the Caribbean, Africa, and ican countries in which the company operates, relation-
the Pacific. These factors helped push Chiquita to seek ships with suppliers, workers’ unions, and communities
Chapter 11 bankruptcy protection in November 2001. are critical elements for success.
Through a serious and dedicated internal analysis, a thor- Chiquita sources bananas from many developing Latin
ough reevaluation of its core mission and business princi- American countries, countries that historically have strug-
ples, and a concerted effort to reach out to some of its gled with poverty, literacy, access to affordable health care,
primary stakeholders—such as employees—who had
become disenchanted and alienated, by early 2003, Chiquita Table 1  Banana World Market Share Leaders, 1999, 2002,
had engineered the beginnings of a turnaround. One of the
most impressive aspects of this recovery was Chiquita’s suc- and 2005
cess in redirecting and redefining its reputation through a
more open and transparent approach to its global operations 2005 2002 1999
and to the various stakeholder groups with which it inter-
acted. In addition, Chiquita had substantially reformed its Chiquita 25% 23% 25%
labor practices and relations and initiated a set of projects Dole 25 25 25
in sustainable development and community action in its Del Monte 15 16 15
various locations around the world. Both labor unions and Fyfess
nongovernmental organizations (NGOs) lauded these steps. Noboa 8 8 8
11 11 11

Source: Banana Link.

575

576 Part 4 Organizational Behavior and Human Resource Management

and limited infrastructure. The image of the banana indus- Corporate image was further damaged when the firm
try has long been tarnished by its historical support of the emphasized the violation of its privacy instead of addressing
failed U.S. invasion of Cuba in 1961, child labor, unsafe the possible validity of the claims made. According to Jeff
working conditions, sexual discrimination, low wages, and Zalla, current corporate responsibility officer at Chiquita,
accusations of serious brutality against unionizing workers. the strategy backfired. “It left some people with an unsavory
Chiquita’s reputation was damaged by past events, notably impression of our company,”3 he said.
those associated with its predecessor company, United Damaging media coverage and a renewed desire to
Fruit. These included allegations of the company’s partici- evaluate its own ethics performance and gain support for
pation in labor rights suppression in Colombia in the 1920s, a common set of values and standards for environmental
the use of company ships in the U.S. government–backed and social performance served as catalysts for the institu-
overthrow of the Guatemalan government in 1954, and tion of corporate social responsibility policies at Chiquita.
involvement in a bribery scandal in Honduras in 1975. In After recognizing the need for a complete corporate
the 1980s and 1990s, Chiquita clearly projected a defensive makeover, Chiquita’s then-CEO Steve Warshaw declared
and protective culture, conveying a closed-door impression his commitment to leading in the area of corporate respon-
of its policies and practices. sibility and pledged that the company would do much
Because bananas are produced all year long, local com- more than just repair previous damage. Four years later,
munities are closely tied together by the performance of despite changes in the executive management group,
farms. Many employees live in houses owned by the com- Chiquita’s corporate social responsibility programs were
pany, most of which are located on the farms themselves. a positive example of leading responsibility change in
In many areas, Chiquita provides electricity, potable water, today’s multinational business environment.
medical facilities, and other basic services. However, labor In January 2001, Chiquita announced that it could no
relations remained strained throughout the 1980s and 1990s. longer pay the interest on its $862 million debt. The fiercely
competitive banana industry, downward trends in prices due
Chiquita’s Downward Spiral to excess supply, EU restrictive trade quotas, poor labor-
Although Chiquita improved its environmental procedures union relations, and the market view of bananas as a low-
throughout the 1990s, many human rights groups, includ- margin commodity all contributed to Chiquita’s bankruptcy
ing Banana Link and US/Labor Education in the Americas, filing. Chiquita attributed much of the responsibility to the
organized an outspoken campaign against all banana com- European Union. In 1993, the EU imposed quotas that gave
panies to improve social conditions on their plantations. preferential treatment to banana imports from ACP (Africa,
One morning in early 1998, executives at Chiquita were Caribbean, and Pacific) countries that were former European
devastated to see their company splashed all over the colonies, ostensibly to help these former European colonies
newspapers after an undercover investigation into “dan- boost their international trade and commerce. Before the
gerous and illegal business practices” throughout Chiq- 1993 act, 70 percent of the bananas sold in Europe came
uita’s Latin American operations. This was a watershed from Latin America, and Chiquita had a 22 percent share of
moment for the company. the world’s banana market. After the quotas were imposed,
The Cincinnati Enquirer, a paper based in the same town Chiquita claimed that its European market share was cut in
as Chiquita’s corporate headquarters, printed an exposé con- half, costing $200 million a year in lost earnings.
tending that Chiquita was guilty of “labor, human rights, Although many of its difficulties were intensified by
environmental and political violations in Central America.”2 the EU policy, Chiquita’s problems had begun to develop
Although the newspaper was later forced to retract the series before the 1993 decision. Most important, miscalculations
after it was discovered that a reporter had illegally pene- of increases in European demand in the 1990s resulted in
trated Chiquita’s voicemail ­system, the damage was done. an oversupply, leading to depressed banana prices world-
wide. Although prices recovered somewhat (see Table 2),

Table 2  Banana Prices: Regional Year-over-Year Percentage Change, 2003 vs. 2002

Region Q1, 03 Q2, 03 Q3, 03 Q4, 03 Year

North America 3% 24% 1% 22% 21%
European core markets—US$
European core markets—local currency 11 12 5 18 12
Central & E. Europe/Mediterranean—US$
Central & E. Europe/Mediterranean—local currency 29 210 29 0 27
Asia—US$
4 23 4 2 22
Asia—local currency
215 222 210 214 219

27 0 3 12 0

218 27 3 6 25

Source: Company reports.

In-Depth Integrative Case 4.2 Chiquita’s Global Turnaround 577

Table 3  Key Developments in Chiquita’s History

1899 United Fruit Company is created through a merger of fruit companies.
1903 The company is listed on the New York Stock Exchange; it builds refrigerated ships.
1918 Thirteen banana ships are lost after being commissioned by Allied forces in World War I.
1941 Allied forces in World War II commission company ships, and the banana industry nearly shuts down.
1945 Twenty-seven ships and 275 men on company ships are lost serving Allied forces.
1950 The company starts massive postwar banana-planting projects.
1961 Company ships provide support for failed U.S. invasion of Cuba.
1964 The company begins a large-scale branding program for produce and starts using banana stickers bearing the Chiquita

name.
1970 United Fruit merges with AMK Corp. and becomes United Brands Company.
1975 United Brands is involved in Honduran bribery scandal, which leads to enactment of U.S. Foreign Corrupt Practices Act.

Company stocks plunge, and CEO Eli Black commits suicide.
1990 United Brands changes name to Chiquita Brands International.
1993 EU banana regulations cut Chiquita’s market share by more than 50 percent. Chiquita begins working with Rainforest

A­ lliance and Better Banana Project.
1994 Start of the “banana wars” between the EU and WTO. Follows complaints by Chiquita that EU favors Caribbean banana

suppliers over Latin American importers.
1998 Chiquita becomes largest U.S. private-label fruit canner. Becomes first large company to meet with COLSIBA, an affiliation

of Latin American banana unions.
1999 Faces possible auction proposed by large shareholder American Financial Group.
2000 Adopts expanded code of conduct. All 115 Chiquita-owned farms achieve Better Banana certification.
2001 Restructures debt after stopping payments on $862 million loan; cites prejudiced trade pacts by EU.
2001 Files for Chapter 11 bankruptcy protection.
2001 Issues first (2000) corporate responsibility report.
2002 Chiquita shareholders and bondholders support reorganization plan.
2002 Issues 2001 corporate responsibility report.
2003 Chiquita reports positive net income under reorganized company.
2003 SustainableBusiness.com names Chiquita one of the top 20 sustainable stock picks for the second year in a row.
2004 Maintained market leadership in the growing EU.
2005 Chiquita acquires Fresh Express, U.S. market leader in fresh salads.
2006 Awarded the Contribution to the Community Award by the American-Costa Rican Chamber of Commerce for its Nature &

Community Project in Costa Rica.
2007 Chiquita faces a $25 million fine from the U.S. Department of Justice for payments made to Colombian paramilitary groups

for the protection of its employees.

CEO Keith Linder blamed $284 million in losses in 2001 sentative, suggesting violations of free trade. In 1994, a
on a “decline in product quality resulting from an extraor- General Agreement on Tariffs and Trade (GATT) panel
dinary outbreak of disease and unusual weather patterns.”4 ruled that the new regime violates GATT obligations, but
At the end of 2006, Chiquita still faced financial difficul- the EU blocked adoption of the ruling by the full GATT.
ties as a result of a “perfect storm” of higher tariffs, In 1996, the United States, along with Ecuador, Guatemala,
increased competition in the EU banana market, U.S. con- Honduras, and Mexico, challenged the new regime under
sumer concerns about the safety of fresh spinach (another the new World Trade Organization (WTO) dispute-settle-
Chiquita product), and higher industry costs overall. ment mechanism, which came into force after the ­Uruguay
While the company expressed dissatisfaction with 2006 Round of GATT negotiations.
results, it also stated that “we firmly believe our 2006 In May 1997, a WTO panel ruled that the EU’s banana
results are not indicative of the underlying strengths of import regime violated WTO obligations under the Gen-
Chiquita’s business or our long-term potential.”5 Table 3 eral Agreement on Trade in Services and the Agreement
provides a comprehensive summary of key developments on Import Licensing Procedures. In September 1997, the
in Chiquita’s history. WTO Appellate Body upheld the panel ruling, granting
the EU 15 months, until January 1, 1999, to comply with
Dispute over Access to European the ruling. In January 1999, the deadline for EU compli-
Banana Markets ance expired, and the United States sought WTO autho-
Chiquita has long claimed that its recent struggles are a rization to impose retaliatory tariffs. In April 1999, the
direct result of the 1993 EU decision to put restrictive WTO Dispute Settlement Body authorized U.S. retalia-
quotas on imports from Latin American suppliers. Imme- tory tariffs amounting to $191.4 million a year—the level
diately after the decision by the EU in 1993 to extend of damage to U.S. companies calculated by arbitrators—
preferential quotas to its former Caribbean and African and the United States immediately began steps to with-
colonies, Chiquita took the issue to the U.S. trade repre- hold liquidation of European imports, the first step in the
imposition of the tariffs.

578 Part 4 Organizational Behavior and Human Resource Management

In April 2001, the United States and the European Opportunity: We believe the continuous growth and
Commission announced that they had reached agreement development of our employees is key to our success. We
resolving their dispute. The agreement took effect on encourage teamwork. We recognize employees for their
July  1, 2001, at which time the United States suspended contributions to the company’s success.
the retaliatory sanctions imposed on EU imports in 1999. Responsibility: We take pride in our work, in our products
Import volumes of bananas were returned to levels com- and in satisfying our customers. We act responsibly in the
parable to those prior to 1993, and the EU committed to communities and environments in which we live and
moving to a tariff-only system in 2006 as part of its over- work. We are accountable for the careful use of all
all WTO obligations. resources entrusted to us and for providing appropriate
The dispute has taken its toll on the banana trade by returns to our shareholders.6
creating uncertainty for smaller producers reliant on EU In support of the four core values, Chiquita undertook
markets under the quota system and for large producers reforms to link its corporate governance and corporate
such as Chiquita that were forced to expend considerable responsibility policies. These reforms included expand-
financial and other resources in the course of the dispute. ing the role of the board’s Audit Committee to oversee
High tariffs in the EU continue to be a financial burden the firm’s corporate responsibility (CR) mission and to
for Chiquita. evaluate whether the firm had the right people, policies,
and programs in place to properly advance the CR
Corporate Responsibility agenda. In addition, in May 2000, Chiquita appointed a
Chiquita had begun to initiate corporate responsibility full-time vice president and CR officer responsible for all
projects in 1992 when it adopted Better Banana Project aspects of corporate social responsibility. According to
standards designed to improve environmental and worker Chiquita, the four core values, supported by the senior
conditions on its farms. Then, after the 1998 exposé in management group and CR committee, have helped drive
the Cincinnati Enquirer, Chiquita management began to responsible change throughout the entire organization.
conduct a series of broader companywide reviews of its Each business decision must be evaluated through the
conduct, policies, and internal and external operations and lens of CR policies.
relationships, all designed to integrate corporate respon- Chiquita also began to realize that a corporate social
sibility throughout the company’s operations. responsibility platform could mean a competitive advan-
In 1998, Chiquita initiated several projects aimed at tage in the banana market. Dennis Christou, vice president
implementing its corporate responsibility efforts world- of marketing-Europe, explained: “Bananas are, by defini-
wide. Two internal groups were formed: the Senior Man- tion, a commodity and U.K. consumers do not generally
agement Group and the Corporate Responsibility Steering see fruit as branded. Chiquita is trying to change this. We
Committee. The former consists of eight top managers of have a brand because we own certain values and a rela-
Chiquita’s global businesses, including the president/ tionship with consumers. And we communicate with
CEO and COO of banana operations. The Senior Man- them. They have expectations about Chiquita.”7 In par-
agement Group is ultimately responsible for providing ticular, environmental and social performance are of keen
strategic vision and leadership for corporate responsibil- interest to some leading European customers. In 2002,
ity. The Steering Committee, also consisting of eight 56 percent of Chiquita’s sales in northern European mar-
members, was constructed to help streamline corporate kets were to customers who had either inspected farms or
social responsibility policies throughout each operational formally asked questions about environmental and social
area of the firm. performance. This was a 5 percent increase—about 13,000
In August 1999, Chiquita adopted the four key values forty-pound boxes per week—over the prior year.
that now guide all strategic business decision making Chiquita also strengthened its commitment to the Better
worldwide. After a year of discussions, interviews, and Bananas Project. Under this program, external auditors
debates on the merits of an internal corporate social audit all Chiquita farms annually. Chiquita has made an
responsibility policy, Chiquita defined the following four important partnership with Rainforest Alliance, which has
core values: been integral in assessing Chiquita’s environmental prac-
tices, especially related to deforestation. The Rainforest
Integrity: We live by our Core Values. We communicate Alliance, which claims that the world’s rainforests are
in an open, honest and straightforward manner. We con- being deforested at a rate of 1 percent per year (or two
duct our business ethically and lawfully. U.S. football fields every second), has annually accredited
Respect: We treat people fairly and respectfully. We rec- every Chiquita farm since 2000. Chiquita also encourages
ognize the importance of family in the lives of our its independent producers, which supply Chiquita with
employees. We value and benefit from individual and about 50 percent of its bananas, to achieve Rainforest
cultural differences. We foster individual expression, open ­Alliance certification. In 2002, the volume of bananas pur-
dialogue and a sense of belonging. chased from certified farms rose from 33 to 46 percent,

In-Depth Integrative Case 4.2 Chiquita’s Global Turnaround 579

Table 4  Better Banana Project Principles Award for Chiquita’s Nuevo San Juan Home-Ownership
Project in Honduras. Also in 2004, Chiquita earned the
1.  Ecosystem Conservation. Protect existing ecosystems; recovery Ethic Award from the AGEPE Editorial Group and KPMG
of damaged ecosystems in plantation area. in Italy for its initiatives in the field of ethics, environ-
mental protection, and workplace improvements.
2.  Wildlife Conservation. Protect biodiversity, especially One recent setback for Chiquita’s corporate responsi-
endangered species. bility profile involved its banana-producing subsidiary in
Colombia. After a 2003 probe into the company’s finances,
3.  Fair Treatment and Good Conditions for Workers. Comply Chiquita self-reported to the U.S. Department of Justice
with local and international labor laws/norms; maintain policy (DOJ) that it had made payments to left- and right-wing
of nondiscrimination; support freedom of association. paramilitary groups in Colombia such as the AUC, ELN,
and FARC. These payments, beginning in 1997, were
4.  Community Relations. Be a “good neighbor,” contributing to made in order to protect the lives of its employees.
the social and economic development of local communities. Colombia has one of the highest kidnapping rates in the
world and a murder rate 11 times that of the United States.
5.  Integrated Pest Management. Reduction in use of pesticides; “It’s certainly a common understanding that in order to
training for workers in pesticide use/management/risks. do business in Colombia, payments have to be made for
at best security, or at worst extortion,” explained Ron
6.  Integrated Waste Management. Reduction of the production Oswald, general secretary of the International Union of
of wastes that contaminate the environment and harm human Foodworkers, which represents Chiquita workers in Latin
health; institute recycling. America (including many in Colombia).
The U.S. 1996 Anti-Terrorism Act makes it illegal to
7.  Conservation of Water Resources. Reduce and reuse the support any organizations identified as a terrorist threat.
water used in production; establish buffer zones of vegetation As of September 2001, the list of terrorist threats included
around waterways; protect water from contamination. the Colombian paramilitary groups. In a company press
release, Chiquita chairman and CEO Fernando Aguirre
8.  Soil Conservation. Control erosion; promote soil conservation explained, “The payments . . . were always motivated by
and replenishment. our good faith concern for the safety of our employees.
Nevertheless, we recognized—and acted upon—our legal
9.  Planning and Monitoring. Plan and monitor banana cultivation obligation to inform the DOJ of this admittedly difficult
activities according to environmental, social, and economic situation.”9 Officially announced in 2007, Chiquita faced
measures. a $25 million fine for the payments it made in Colombia.
In anticipation of the decision, the company set aside
Source: Adapted from Rainforest Alliance, Normas Generales Para la Certificación funds in 2006 to pay the fine. Chiquita does not believe
del Cultivo de Banano, May 2002,  www.rainforest-alliance.org. the fines will hurt its operations. Perhaps as a result of
the pending DOJ investigation and decision, Chiquita sold
and farms certified through June 2003 brought the total to its Colombian subsidiary in 2004.
65 percent. As of August 2006, all of the farms owned by
the Chiquita Company are certified by the Rainforest Alli- Global Codes of Conduct, Standards,
ance. Along with all of Chiquita’s farms, the Rainforest and Labor Practices
Alliance has also certified the majority of the independent In late 2001, Ron Oswald, general secretary of the Inter-
farms connected to Chiquita. TreeHugger.com also con- national Union of Food Workers, was asked if he had seen
tends that “Chiquita now recycles 100 percent of its plas- improvements in Chiquita’s internal and external corpo-
tic bags into paving stones and has reduced pesticide use rate policies. He responded, “Yes. It is a company that is
by 26 percent.”8 Table 4 presents the nine principles of the totally unrecognizable from five years ago.”10 Clearly
Better Banana Project. According to insiders, the adoption Chiquita had come a long way.
of third-party standards has helped Chiquita drive a stron- Traditionally, relations between Chiquita and labor
ger internal commitment to achieving excellence—and to unions in Latin America were mired in conflict and mis-
cut costs. In 2003, the Rainforest Alliance estimated that trust. In 1998, after recognizing the need for change in
Chiquita reduced production spending by $100 million as the way it deals with its line, Chiquita began striving to
a result of a $20 million investment to reduce agrochemi- adhere to SA8000, the widely accepted international labor
cal use. In a more recent effort to increase its corporate rights standard. Management struggled with the decision
responsibility profile, Chiquita Bananas pledged to boycott of whether to adopt an outside standard or to develop an
oil from Canada’s tar sands in November 2011. internal measurement gauge for corporate responsibility.
Chiquita is receiving increasing recognition for its
efforts. In 2005, SustainableBusiness.com, publisher of
The Progressive Investor newsletter, named Chiquita to its
list of the world’s top 20 sustainable stock picks, known
as the SB20, for the fourth year in a row. SustainableBusi-
ness.com identifies its picks by asking leading investment
advisers to recommend companies that stand out as world
leaders in both sustainability and financial strength. In
April 2004, the Trust for the Americas, a division of the
Organization of Americas, selected Chiquita Brands as
the winner of the 2004 Corporate Citizen of the Americas

580 Part 4 Organizational Behavior and Human Resource Management

After much deliberation, management concluded that reluctant to promote its achievements through the typical
adopting the SA8000 standard would yield the most cred- mass communication vehicles. Indeed, when Chiquita
ibility with external stakeholders because SA8000 gives attempted to advertise its certification process with com-
detailed requirements for adequacy of management sys- mercials in Denmark that equated its Central American
tems for implementation. Having an external standard banana farms with a “glorious rainforest,” the ads were met
forces Chiquita to push CR change down through each with skepticism and thought to be unrealistic.
organizational level so that the firm is able to meet third- Instead of mass advertising, the firm has opted for a
party requirements. longer-term marketing strategy based on educating lead-
In May 2000 Chiquita expanded its code of conduct to ing opinion makers and critics alike. According to Dennis
include SA8000. Standards now included areas such as Christou, vice president of marketing–Europe, there is a
food safety, labor standards, employee health and safety, natural suspicion among consumers about commercially
environmental protection, and legal compliance. Recog- driven messages. He believes that customers feel more
nizing the importance of labor support and its resounding trust in the message if it’s delivered by an external body
effect on corporate image, Chiquita began an open dia- rather than by the company or by a paid advocate of the
logue with the International Union of Food Workers and business. That is a main reason why the firm is relying
the Coalition of Latin American Banana Workers’ Unions on viral marketing tactics and third-party testimonials as
(COLSIBA). By June 2001, the firm had reached an the means of spreading its message. Retailers are treated
agreement with both organizations, pledging to respect differently: They must be exposed to improvements at
worker rights as elaborated in ILO conventions, address Chiquita because they determine which exclusive brand to
long-standing health and safety concerns for workers, and carry on an annual basis. However, Christou believes that
ensure that its independent suppliers did likewise. This creating brand recognition with consumers is possible
made Chiquita the first multinational corporation in the through nonobtrusive, reputable means.
agricultural sector to sign a worker rights agreement. Defining and conveying a brand’s differences in a com-
Management credits this agreement as having helped to modities marketplace is difficult. Nevertheless, Chiquita
build a positive image, improving relations with both believes it can carve out its own niche by distinguishing
internal and external stakeholders. In mid-2001, Chiquita itself as a leader in corporate responsibility. Instead of
published its first corporate responsibility report detailing positioning itself solely on the basis of price, Chiquita is
the firm’s future CR strategies and goals. Both stakehold- hoping that its distinctive competency in CR will help it
ers and media outlets have been impressed with the com- stand out from the pack. The company got a boost in this
plete turnaround in the transparency of Chiquita’s regard in April 2003, when Chiquita, along with Ben and
corporate agenda, which has led to a much more favorable Jerry’s, received the first Award for Outstanding Sustain-
impression of the company. ability Reporting presented by the Coalition for Environ-
In order to adhere to the organization’s own core values mentally Responsible Economies (CERES) and the
and to the SA8000 labor standard, Chiquita routinely per- Association of Chartered Certified Accountants. In 2006,
forms internal audits in all of its Latin American opera- Chiquita won Costa Rica’s Contribution to the Commu-
tions. NGOs also conduct external audits. After the audits nity Award for its Nature and Community Project, which
are completed, each local management team plans correc- preserves biodiversity and promotes nature conservation
tive actions using the firm’s code of conduct and core awareness.
values as decision-making guides. At year-end 2003, inde-
pendent auditors certified Chiquita’s operations in Costa Recent Performance, Acquisition,
Rica, Colombia, and Panama to the SA8000 standard. and Future Path
Chiquita’s operations were the first ever to earn SA8000 Chiquita drastically shifted its strategic decision-making
certification in each of these countries. In its 2006 corpo- models and broader corporate operating principles in the
rate responsibility report, Chiquita announced that it has wake of its reorganization. Debt repayments and other
maintained 100 percent certification of its banana farms reorganization costs resulted in significant losses. Chiquita
in Latin America in accordance with the Rainforest made great strides in improving its financial performance
­Alliance, Social Accountability 8000, and EurepGAP stan- by cutting costs and streamlining its local and global
dards (environmental, labor, and human rights and food ­operations. In 2003, the year after it filed for bankruptcy,
safety standards, respectively). Chiquita’s net sales were $2.6 billion, up from $1.6 billion
the year before. In 2006, net sales reached a record
Marketing the Message $4.5 billion (due in part to the acquisition of Fresh Express). 
Although it would seem advantageous for Chiquita to com- In 2011 the Chiquita Company celebrated its fourth con-
municate and leverage the great strides it has made through secutive year of increasing profitability. Chair and CEO
its corporate responsibility effort, management seems Fernando Aguirre stated that Chiquita “had a much better

In-Depth Integrative Case 4.2 Chiquita’s Global Turnaround 581

Table 5  Chiquita Brands Balance Sheet as of December 31, 2014, 2013, 2012, 2011 (in thousands)

2014 2013 2012 2011

Assets $   47,160 $   54,017 $  2,601 $    —
Cash and equivalents 535,904 575,178 987 266
Other current assets 583,064 629,195 266
Total current assets 110,220 108,077 3,588
Investments in and accounts with subsidiaries 918,754 921,866 647,471 1,071,132
Other assets 23,332
18,919

Total assets $1,612,038 $1,659,138 $669,978 $1,094,730

Liabilities and Shareholders’ Equity
Accounts payable and accrued liabilities
Total current liabilities $  374,241 $  406,307 $  15,363 $   15,354
Long-term debt
Total liabilities 378,944 408,578 15,363 15,354
Shareholders’ equity
637,518 629,353 259,520 249,805
Total liabilities and shareholders’ equity
1,288,704 1,284,700 299,576 294,660

323,334 374,438 370,402 800,070

$1,612,038 $1,659,138 $669,978 $1,094,730

Source: Company reports.

Table 6  Chiquita Brands International Income Statement, 2012–2014 (in thousands)

Year Ended Year Ended Year Ended
12/31/2014 12/31/2013 12/31/2012

Net sales $3,090,224 $3,057,482 $3,078,337 
Cost of sales
SG&A 2,735,117 2,708,428 2,743,040 
Equity in earnings of subsidiaries (loss)
218,061 233,706 275,231 

(2,750) (258) 33,433 

Operating income (loss) 27,404 49,845 (253,834)
Interest expense (61,896) (61,144) (45,299)
Interest income 3,131 
Loss on debt extinguishment 2,715 2,856 —
Other income (expense), net (521) (6,275) (1,793)
3,522
(9,906)

Income (loss) before income taxes (42,204) (11,196) (297,795)
Income tax (expense) benefit (20,332) (4,619) (105,239)

Net income (loss) (62,536) (15,815) (405,017)

Source: Company reports.

year in bananas driven by higher pricing and volume in In early 2014, Chiquita reached a preliminary merger
North America, and initial recovery in Europe. Our salads agreement with Ireland-based fruit and produce company
business did not perform as well as expected and we’ve Fyffes. The deal would have created the largest banana
taken a number of corrective actions and adapted our struc- distributor in the world, with an estimated 160 million
ture and strategy to be more successful and profitable.”11 boxes of bananas sold annually. Around the same time,
Beginning in 2012, however, Chiquita’s sales and prof- Brazilian holding company Cutrale-Safra offered Chiquita
itability began to stall. With global banana sales decreas- shareholders a buyout deal worth around US$14 per
ing, Chiquita’s revenue fell to US$3 billion, and the share. In October 2014, shareholders for Chiquita unex-
company posted losses for three consecutive years (see pectedly rejected the merger with Fyffes and accepted a
Tables 5 and 6). In 2014, following three years of flat slightly revised takeover bid by Cutrale-Safra. With the
sales, Chiquita’s management began looking externally close of the deal, Chiquita became a privately held Brazilian
for new solutions for cutting costs and increasing revenue. company.

582 Part 4 Organizational Behavior and Human Resource Management

Chiquita’s new ownership faces a challenging task of the media? If not, what does this say about
bringing financial success back to the company. Future Chiquita’s old management style?
financial stability depends, in part, on external market 6. What challenges does Chiquita’s new ownership
factors such as steady or rising international banana face in continuing to turn the company around and
prices and consumer demand. Internally, the company’s bring profitability back to its operations?
performance will result from the effectiveness of finan-
cial controls on the cost side, and successful marketing, Exercise
emphasizing differentiation and value-added produc- Chiquita’s management, represented by the CEO, is con-
tion, on the revenue side. Although Chiquita has gone sidering input from various groups about its strategic
to impressive lengths to turn around its reputation direction and continued reorganization. Your group repre-
and performance, it continues to face a challenging and sents one of the following interests:
competitive international business environment and must
make continuous progress in its management and oper- 1. Shareholders of the previous company who lost
ations in order to achieve a healthy and sustainable most of the value of the shares after the company
financial future. declared bankruptcy.

Questions for Review 2. Shareholders in the Safra Group.
3. Employees and union representatives of North
1. How would you characterize Chiquita’s historical
approach to global management? American operations.
4. Employees and union representatives of South
2. Describe Chiquita’s approach to human resource
management in its global supply chain. What partic- American operations.
ular human resource challenges does Chiquita face as 5. Representatives of the nongovernmental organiza-
the purchaser, producer, and supplier of a commodity?
tion Rainforest Action Network.
3. Does Chiquita’s global corporate responsibility (CR)
program create a conflict between owners and other Spend five minutes preparing two or three requests to the
stakeholders? Who are Chiquita’s main stakeholders management team about your group’s interests and priorities
in the United States and around the world, and how for the company. Then conduct an open forum in which you
are they affected by Chiquita’s CR program? discuss these requests among the different groups.

4. How would you characterize Chiquita’s past and Source: This case was prepared by Professor Jonathan Doh and Erik Holt of
present leadership? How does leadership affect a Villanova University as the basis for class discussion. Additional research assistance
company’s overall reputation? was provided by Courtney Asher and Benjamin Littell. It is not intended to illustrate
either effective or ineffective managerial capability or administrative responsibility.
5. Do you believe Chiquita would have changed its We appreciate assistance from Sherrie Terry and Michael Mitchell of Chiquita
policies without the presence of damaging stories in International. Any errors remain those of the authors.

ENDNOTES

 1. “Chiquita Names New CEO,” Cincinnati Business of Business Ethics  44, no. 2  (May 2003),
Courier, January 12, 2004. pp. 247–260.
 8. Collin Dunn, “Chiquita Cleans Up Its Act,”
 2. Geert de Lombaerde, “Chiquita Outlook Improves TreeHugger.com, August 10, 2006, www.treehugger.
Following EU Deal,” Cincinnati Business Courier, com/green-food/chiquita-cleans-up-its-act.html.
April 20, 2001.  9. Chiquita Brands International, Inc., “Chiquita
Statement on Agreement with U.S. Department
 3. Nicholas Stein, “Yes, We Have No Profits,” Fortune, of Justice,” press release, March 14, 2007, http://
November 26, 2001, pp. 182–196. investors.chiquita.com/phoenix.zhtml?c=119836&p
=irol-newsArticle&ID=974081.
 4. Ibid. 10. Stein, “Yes, We Have No Profits.”
 5. Chiquita Brands International, Inc., 2006 Annual 11. “Chiquita Brands International, Inc.: Chiquita
Reports Fourth Quarter and Full-Year 2011
Report, http://investors.chiquita.com/phoenix. Results,”  Chiquita, February 21, 2012, http://
zhtml?c=119836&p=irol-reportsAnnual. investors.chiquita.com/phoenix.zhtml?c=119836&p
 6. “Ethics & Code of Conduct,”  Chiquita, www. =irol-newsArticle&id=1663424.
chiquita.com/The-Chiquita-Difference/Ethics-
Codes-of-Conduct.aspx.
 7. Marco Werre, “Implementing Corporate
Responsibility: The Chiquita Case,” Journal

SKILL-BUILDING
AND EXPERIENTIAL
EXERCISES

∙  Personal Skill-Building Exercises
∙  In-Class Simulations (Available in Connect,

connect.mheducation.com)

1. The Culture Quiz

Objectives 4. In Latin America, managers
∙ To stimulate awareness of cultural differences a. are most likely to hire members of their own
∙ To promote consideration of the impact of cultural families.
b. consider hiring members of their own families to
differences in a global economy be inappropriate.
∙ To stimulate dialogue between domestic and interna- c. stress the importance of hiring members of
minority groups.
tional students d. usually hire more people than are actually
∙ To explore issues raised by culturally diverse needed to do a job.

workforces 5. In Ethiopia, when a woman opens the front door of
her home, it means
Background a. she is ready to receive guests for a meal.
Few, if any, traditions and values are universally held. b. only family members may enter.
Many business dealings have succeeded or failed because c. religious spirits may move freely in and out of
of a manager’s awareness or lack of understanding of the the home.
traditions and values of his/her foreign counterparts. With d. she has agreed to have sex with any man who
the world business community so closely intertwined and enters.
interdependent, it is critical that managers today become
increasingly aware of the differences that exist. 6. In Latin America, businesspeople
How culturally aware are you? Try the questions below. a. consider it impolite to make eye contact while
talking to one another.
Instructions b. always wait until the other person is finished
Working alone or with a small group, answer the questions speaking before starting to speak.
(without peeking at the answers). When you do look at the c. touch each other more than North Americans do
answers, be sure to read the explanations. If you are taking under similar circumstances.
the quiz with students from countries other than your own, d. avoid touching one another as it is considered an
explore what the answer might be in your country and theirs. invasion of privacy.

1. In Japan, loudly slurping your soup is considered 7. The principal religion in Malaysia is
to be a. Buddhism.
a. rude and obnoxious. b. Judaism.
b. a sign that you like the soup. c. Christianity.
c. okay at home but not in public. d. Islam.
d. something only foreigners do.
8. In Thailand
2. In Korea, business leaders tend to a. it is common to see men walking along holding
a. encourage strong commitment to teamwork and hands.
cooperation. b. it is common to see a man and a woman holding
b. encourage competition among subordinates. hands in public.
c. discourage subordinates from reporting directly, c. it is rude for men and women to walk together.
preferring information to come through well- d. men and women traditionally kiss each other on
defined channels. meeting in the street.
d. encourage close relationships with their
subordinates. 9. When eating in India, it is appropriate to
a. take food with your right hand and eat with your
3. In Japan, virtually every kind of drink is sold in left.
public vending machines except for b. take food with your left hand and eat with your
a. beer. right.
b. diet drinks with saccharine. c. take food and eat it with your left hand.
c. already sweetened coffee. d. take food and eat it with your right hand.
d. soft drinks from U.S. companies.

584

Personal Skill-Building Exercises 585

10. Pointing your toes at someone in Thailand is c. give gifts only to the eldest wife.
a. a symbol of respect, much like the Japanese bow. d. not give a gift to the wife at all.
b. considered rude even if it is done by accident.
c. an invitation to dance. 18. If you want to give a necktie or a scarf to a Latin
d. the standard public greeting. American, it is best to avoid the color
a. red.
11. American managers tend to base the performance b. purple.
appraisals of their subordinates on performance, c. green.
while in Iran, managers are more likely to base d. black.
their performance appraisals on
a. religion. 19. The doors in German offices and homes are
b. seniority. g­ enerally kept
c. friendship. a. wide open to symbolize an acceptance and
d. ability. w­ elcome of friends and strangers.
b. slightly ajar to suggest that people should knock
12. In China, the status of every business negotiation is before entering.
a. reported daily in the press. c. half-opened, suggesting that some people are
b. private, and details are not discussed publicly. welcome and others are not.
c. subjected to scrutiny by a public tribunal on a d. tightly shut to preserve privacy and personal
regular basis. space.
d. directed by the elders of every commune.
20. In the area that was formerly West Germany,
13. When rewarding a Hispanic worker for a job well ­leaders who display charisma are
done, it is best not to a. not among the most desired.
a. praise him or her publicly. b. the ones most respected and sought after.
b. say “thank you.” c. invited frequently to serve on boards of cultural
c. offer a raise. organizations.
d. offer a promotion. d. pushed to get involved in political activities.

14. In some South American countries, it is considered 21. American managers running businesses in Mexico
normal and acceptable to show up for a social have found that by increasing the salaries of
appointment Mexican workers, they
a. ten to fifteen minutes early. a. increased the number of hours the workers were
b. ten to fifteen minutes late. willing to work.
c. fifteen minutes to an hour late. b. enticed more workers to work night shifts.
d. one to two hours late. c. decreased the number of hours workers would
agree to work.
15. In France, when friends talk to one another d. decreased production rates.
a. they generally stand about three feet apart.
b. it is typical to shout. 22. Chinese culture teaches people
c. they stand closer to one another than Americans do. a. to seek psychiatric help for personal problems.
d. it is always with a third party present. b. to avoid conflict and internalize personal
problems.
16. When giving flowers as gifts in Western Europe, be c. to deal with conflict with immediate confronta-
careful not to give tion.
a. tulips and jonquils. d. to seek help from authorities whenever conflict
b. daisies and lilacs. arises.
c. chrysanthemums and calla lilies.
d. lilacs and apple blossoms. 23. One wedding gift that should not be given to a
­Chinese couple would be
17. The appropriate gift-giving protocol for a male a. a jade bowl.
executive doing business in Saudi Arabia is to b. a clock.
a. give a man a gift from you to his wife. c. a basket of oranges.
b. present gifts to the wife or wives in person. d. shifts embroidered with dragon patterns.

586 Skill-Building and Experiential Exercises

24. In Venezuela, New Year’s Eve is generally spent Solo (Tokyo: Japan National Tourist Organization,
a. in quiet family gatherings. 1990), p. 20.]
b. at wild neighborhood street parties. 2. b. Korean managers use a “divide-and-rule” method
c. in restaurants with horns, hats, and live music of leadership that encourages competition among
and dancing. subordinates. They do this to ensure that they can
d. at pig roasts on the beach. exercise maximum control. In addition, they stay
informed by having individuals report directly to
25. If you order “bubble and squeak” in a London pub, them. This way, they can know more than anyone
you will get else. [Source: Richard M. Castaldi and Tjipyanto
a. two goldfish fried in olive oil. Soerjanto, “Contrasts in East Asian Management
b. a very cold beer in a chilled glass, rather than Practices,” Journal of Management in Practice 2,
the usual warm beer. no. 1 (1990), pp. 25–27.]
c. Alka Seltzer and a glass of water. 3. b. Saccharine-sweetened drinks may not be sold
d. chopped cabbage and mashed potatoes fried in Japan by law. On the other hand, beer, a wide
together. variety of Japanese and international soft drinks,
and so forth, are widely available from vending
26. When a stranger in India wants to know what you machines along the streets and in buildings. You’re
do for a living and how much you earn, he will supposed to be at least 18 to buy the alcoholic
a. ask your guide. ones, however. [Source: Eiji Kanno and Constance
b. invite you to his home and, after getting to know O’Keefe, New Japan Solo (Tokyo: Japan National
you, will ask. Tourist Organization, 1990), p. 20.]
c. come over and ask you directly, without 4. a. Family is considered to be very important in
introduction. Latin America, so managers are likely to hire their
d. respect your privacy above all. relatives more quickly than hiring strangers. [Source:
Nancy J. Adler, International Dimensions of Organi-
27. When you feel you are being taken advantage of in zational Behavior, 2nd ed. (Boston: PWS-Kent, 1991).]
a business exchange in Vietnam, it is important to 5. d. The act, by a woman, of opening the front door
a. let the anger show in your face but not in your signifies that she has agreed to have sex with
words. any man who enters. [Source: Adam Pertman,
b. say that you are angry, but keep your facial “Wandering No More,” Boston Globe Magazine,
expression neutral. June 30, 1991, pp. 10ff.]
c. not show any anger in any way. 6. c. Touching one another during business negotiations
d. end the business dealings immediately, and is common practice. [Source: Nancy J. Adler, Inter-
walk away. national Dimensions of Organizational Behavior,
2nd ed. (Boston: PWS-Kent, 1991).]
28. When a taxi driver in India shakes his head from 7. d. Approximately 45 percent of the people in
side to side, it probably means Malaysia follow Islam, the country’s “official” reli-
a. he thinks your price is too high. gion. [Source: Hans Johannes Hoefer, ed., Malaysia
b. he isn’t going in your direction. (Englewood Cliffs, NJ: Prentice Hall, 1984).]
c. he will take you where you want to go. 8. a. Men holding hands is considered a sign of friend-
d. he doesn’t understand what you’re asking. ship. Public displays of affection between men and
women, however, are unacceptable. [Source: William
29. In England, holding your index and middle fingers Warren, Star Black, and M. R. Priya Rangsit, eds.,
up in a V with the back of your hand facing Thailand (Englewood Cliffs, NJ: Prentice Hall, 1985).]
another person is seen as 9. d. In India, as in many Asian countries, toilet
a. a gesture of peace. paper is not used. Instead, water and the left hand
b. a gesture of victory. are used, after which the left hand is thoroughly
c. a signal that you want two of something. cleaned. Still, the left hand is considered to be
d. a vulgar gesture. polluted and therefore inappropriate for use during
eating or touching another person. [Source: Gitanjali
Answers to the Culture Quiz Kolanad, Culture Shock! India (Portland, OR:
Graphic Arts Center Publishing Company,
1. b. Slurping your soup or noodles in Japan is good 1996), p. 117.]
manners in both public and private. It indicates
enjoyment and appreciation of the quality. [Source:
Eiji Kanno and Constance O’Keefe, New Japan

Personal Skill-Building Exercises 587

10. b. This is especially an insult if it is done deliber- Subtext: Making Body Language Work (New York:
ately because the feet are the lowest part of the Viking Penguin Books, 1991), p. 207.]
body. [Source: William Warren, Star Black, and 20. a. Though political leaders in the United States are
M. R. Priya Rangsit, eds., Thailand (Englewood increasingly selected on their ability to inspire, cha-
Cliffs, NJ: Prentice Hall, 1985).] risma is a suspect trait in what was West Germany,
where Hitler’s charisma is still associated with evil
11. c. Adler suggests that friendship is valued over intent and harmful outcomes. [Source: Nancy J. Adler,
task competence in Iran. [Source: Nancy J. Adler, International Dimensions of Organizational Behavior,
International Dimensions of Organizational Behavior, 2nd ed. (Boston: PWS-Kent, 1991), p. 149.]
2nd ed. (Boston: PWS-Kent, 1991).] 21. c. Paying Mexican workers more means, in the eyes
of the workers, that they can make the same amount
12. b. Public discussion of business dealings is consid- of money in fewer hours and thus have more time
ered inappropriate. Kaplan et al. report that “the for enjoying life. [Source: Nancy J. Adler, Interna-
Chinese may even have used a premature announce- tional Dimensions of Organizational Behavior, 2nd
ment to extract better terms from executives” who ed. (Boston: PWS-Kent, 1991), pp. 30 and 159.]
were too embarrassed to admit that there was never 22. b. Psychological therapy is not an accepted concept
really a contract. [Source: Frederic Kaplan, Julian in China. In addition, communism has kept most
Sobin, and Arne de Keijzer, The China Guidebook Chinese from expressing opinions openly. [Source:
(Boston: Houghton Mifflin, 1987).] James McGregor, “Burma Road Heroin Breeds
Addicts, AIDS Along China’s Border,” The Wall
13. a. Public praise for Hispanics and Asians is gener- Street Journal, September 29, 1992, p. 1.]
ally embarrassing because modesty is an important 23. b. The Chinese regard a clock as a bad omen
cultural value. [Source: Jim Braham, “No, You because the word for clock, pronounced zhong, is
Don’t Manage Everyone the Same,” Industry Week, phonetically similar to another Chinese word that
February 6, 1989.] In Japan, being singled out for means “the end.” Jade is highly valued as symbol-
praise is also an embarrassment. A common saying izing superior virtues, and oranges and dragon
in that country is, “The nail that sticks up gets p­ atterns are also auspicious symbols. [Source:
hammered down.” Dr. Evelyn Lip, “Culture and Customs,” Silver Kris,
February 1994, p. 84.]
14. d. Though being late is frowned upon in the United 24. a. Venezuelans do the reverse of what most people
States, being late is not only accepted but expected in other countries do on Christmas and New Year’s.
in some South American countries. [Source: Lloyd On Christmas, they socialize. While fireworks are
S. Baird, James E. Post, and John F. Mahon, Man- shot off on both nights, most restaurants are closed
agement: Functions and Responsibilities (New and the streets are quiet. [Source: Tony Perrottet, ed.,
York: Harper & Row, 1990).] Venezuela (Boston: Houghton Mifflin, 1994), p. 97.]
25. d. Other popular pub food includes bangers and
15. c. Personal space in most European countries is much mash (sausages and mashed potatoes), ploughman’s
smaller than in the United States. Americans generally lunch (bread, cheese, and pickled onions), and
like at least two feet of space around themselves, ­cottage pie (baked minced meat with onions and
while it is not unusual for Europeans to be virtually topped with mashed potatoes). [Source: Ravi Desai,
touching. [Source: Lloyd S. Baird, James E. Post, ed., Let’s Go: The Budget Guide to Britain and
and John F. Mahon, Management: Functions and I­ reland (London: Pan Books, 1990), p. 83.]
Responsibilities (New York: Harper & Row, 1990).] 26. c. Indians are generally uninhibited about staring at
strangers and asking them about personal details in
16. c. Chrysanthemums and calla lilies are both associ- their lives. Social distance and personal privacy are
ated with funerals. [Source: Theodore Fischer, not common social conventions in India. [Source:
P­ innacle: International Issue, March–April 1991, p. 4.] Frank Kusy, India (Chester, CT: The Globe Pequot
Press, 1989), p. 27.]
17. d. In Arab cultures, it is considered inappropriate 27. c. Vernon Weitzel of the Australian National Uni-
for wives to accept gifts or even attention from versity advises never to show anger when dealing
other men. [Source: Theodore Fischer, Pinnacle: with Vietnamese officials or businesspeople. Show-
International Issue, March–April 1991, p. 4.] ing anger causes you to lose face and is considered
rude. Weitzel also recommends always smiling, not
18. b. In Argentina and other Latin American countries,
purple is associated with the serious fasting period
of Lent. [Source: Theodore Fischer, Pinnacle:
­International Issue, March–April 1991, p. 4.]

19. d. Private space is considered so important in
­Germany that partitions are erected to separate
­people from one another. Privacy screens and
walled gardens are the norm. [Source: Julius Fast,

588 Skill-Building and Experiential Exercises

complaining or criticizing anyone, and not being 29. d. In England, this simple hand gesture is consid-
inquisitive about personal matters. [Source: Daniel ered vulgar and obscene. In a report to The Boston
Robinson and Joe Cummings, Vietnam, Laos & Globe, an American who had been working in
Cambodia (Australia: Lonely Planet Publications, London wrote, “I wish someone had told me
1991), p. 96.] before I emphatically explained to one of the
28. c. What looks to Westerners like a refusal is really draftsmen at work why I needed two complete
an Indian way of saying “yes.” It can also express sets of drawings.” [Source: “Finger Gestures Can
general agreement with what you’re saying or sug- Spell Trouble,” The Berkshire Eagle, January 26,
gest that an individual is interested in what you 1997, p. E5.]
have to say. [Source: Gitanjali Kolanad, Culture
Shock! India (Portland, OR: Graphic Arts Center Source: Exercises 1, 3, 4, and 5 are from Janet W. Wohlberg, Gail E. Gilmore, and
Publishing Company, 1996), p. 114.] ­Steven B. Wolff, OB in Action, 5th ed. (Boston: Houghton Mifflin, 1998).

2. “When in Bogotá . . .”

As Jim Reynolds looked out the small window of the “Aguardiente!” Rodrigo urged.
Boeing 757, he saw the glimmer of lights in the distance. “Yes, Jim would like some Aguardiente. I understand
After a five-hour flight, he arrived in Bogotá, Colombia, you’re going to Bahía tonight,” Darío added.
at 9:35 p.m. on a clear Friday evening. It had been nearly “Where?” Jim asked, looking around. “I didn’t know
five years since Jim had seen his best friend, Rodrigo we were going anywhere tonight.”
Cardozo. The two had met in college and kept in touch “Don’t worry, Jim, todo bien, todo bien,” Rodrigo assured
over the years. During their school years, Rodrigo would him. “We’re going dancing, so get dressed. Let’s go.”
often accompany Jim when he went home to Chicago for The reality of being in Colombia hit Jim at about 11:15
the holidays. that night when he and his friends entered Bahía, a Bogotá
Entering the main terminal, Jim found himself in what nightclub. The rhythms of salsa and merengue filled the
looked like a recently bombed building. Piles of debris club. Jim’s mind flashed back to the Latin dance parties
were everywhere. Lights hung from the ceiling by exposed he and Rodrigo had had in Boston with their friends from
electrical wires, and the walls and floors were rough, Central and South America.
unfinished concrete. “Certainly, aesthetics are not a major “Jim, this is my cousin, Diana. She’ll be your partner
concern at the Bogotá International Airport,” Jim thought. tonight,” Rodrigo said. “You’ll get to practice your Span-
As he came to the end of the long, dimly lit corridor, ish too; she doesn’t speak a word of English. Have fun.”
an expressionless customs official reached out his hand For the next six hours, they danced and drank. This is
and gestured for Jim’s travel documents. the Colombian way. At 5:30 the next morning, Rodrigo
“Passaporte, por favor. Bienvenidos a Bogotá, Señor decided it was time to leave to get something to eat. On
Reynolds. Estás en vacacciones?” the drive home, they stopped at an outdoor grill in the
“Sí,” Jim replied. mountains where many people had congregated for the
After a few routine questions, Jim was allowed to pass same reason. Everyone was eating arepas con queso and
through customs feeling relatively unscathed. mazorca, and drinking Aguardiente.
“Loquillo! Loquillo! Estamos aquí! Jim, Jim,” a voice Next, they continued to an outdoor party just down the
shouted. street. Here, they danced and drank until the sun crested
Trying to find the origin of the voice among the dense over the mountains of Bogotá. It was about 7:00 a.m. when
crowd, Jim finally spotted Rodrigo. “Hey, man. How’ve they decided to conclude the celebration—for now.
you been? You look great!” Saturday was spent recovering from the previous eve-
“Jim, it’s so good to see you. How’ve you been? I would ning and also touring some local spots in the country.
like you to meet my wife, Eva. Eva, this is my best friend, However, Saturday night was a repeat of Friday. After
Jim. He’s the one in all those pictures I’ve shown you.” being in Colombia for three days, Jim had slept a total of
about four hours. Fortunately, Monday was a national
Late Night Begins the Day holiday.
Close to an hour later, Jim, Rodrigo, and Eva arrived at
Rodrigo’s parents’ house on the other side of Bogotá from Business before Pleasure before Business?
the airport. As Jim was aware, it is customary for couples Although Jim was having a great time, he had also sched-
to live with their parents for a number of years after their uled a series of business meetings with directors of busi-
marriage, and Rodrigo and Eva were following that custom. ness schools at various Bogotá universities for the week
Darío, Rodrigo’s father, owned an import/export busi- to come. Jim worked as an acquisitions editor for Aca-
ness in Bogotá. He was a knowledgeable and educated demia Press, a major publisher of college-level business
man and, from what Jim knew, a master of business nego- textbooks. The purpose of the meetings was to establish
tiations. Over the years, Darío had conducted business business contacts in the Colombian market. It was hoped
with people in nearly every country in Central and South that these initial contacts would lead to others in Latin
America, the United States, Europe, Hong Kong, and America.
some parts of Africa. Jim had first met Darío with Rodrigo At Academia Press headquarters in New York, Jim
in Boston in 1989. and Caroline Evans, his boss, had discussed the oppor-
“Jim, welcome to my house,” Darío boomed effusively tunities in Latin America. Although Academia Press
as the group walked in. “I am so pleased that you’re routinely published international editions of its texts,
finally in Bogotá. Would you like something to drink— total international sales never represented more than
whiskey, bourbon, Aguardiente?” 15 percent of their gross. Consequently, international

589

590 Skill-Building and Experiential Exercises

markets had never been pursued aggressively. C­ aroline, After discussing the restaurants in the area, the profes-
however, saw the Latin American markets as having a sors decided on El Club Ejecutivo. It was nearly
lot of potential within the next three to five years. She 12:30 p.m. when they arrived.
envisioned this market alone, in time, representing 15 “It’s been an hour and a half, and we haven’t discussed
to 20 percent of gross sales. Moreover, she felt that anything,” Jim thought. He was concerned that the
within the next ten years, international sales could ­Colombians were not very interested in what he had to
reach 40 percent if developed properly. With numbers offer. Throughout lunch, Jim grew increasingly concerned
like that, it was evident to Jim that this deal was that the professors were more interested in his trying
important, not only to the company but to his career typical Colombian dishes and visiting the sights in Bogotá
as well. If Jim was able to open these markets, he than in Academia’s textbooks. They were fascinated that
might receive a promotion and be able to continue to Jim knew how to dance salsa and merengue and impressed
work in Central and South America. that he spoke Spanish with a slight Colombian accent;
Jim’s first meeting was scheduled for 11:00 a.m.  on Señorita Espitia said she found it amusing. That seemed
Tuesday, the second on Wednesday at 11:00 a.m., and the much more important than his knowledge of business
third on Friday at 3:00 p.m.  At precisely 11:00  a.m.  on textbooks and publishing in general.
Tuesday, Jim arrived at Javeriana University, where he By the end of lunch, Jim was nearly beside himself. It
was to meet with Professors Emilio Muñoz, Diana Espitia, was now after 2:30 p.m.  and nothing had been accom-
and Enrique Ronderos. When he arrived, Professor Muñoz plished.
was waiting for him in the conference room. “Why don’t we all go to Monserate tomorrow? It’s
“Señor Reynolds, I am delighted to meet you. How was absolutely beautiful up there, Señor Reynolds,” Professor
your flight?” Ronderos suggested, going on to describe the mountain
“Wonderful,” Jim replied. that overlooks Bogotá and the myths and traditions that
“And how do you like Bogotá so far? Have you been surround it.
able to sightsee?” “That’s a wonderful idea,” Professor Espitia added.
“No, I haven’t had the chance to get around the city “Monserate it is then. Jim, it has been a pleasure. I
yet. I hope to see some things later in the week.” look forward to our meeting tomorrow,” Professor Ron-
“Well, before you leave, you must visit El Museo de deros said with a slight bow.
Oro. It is the finest collection of gold artifacts from the “Señor Reynolds, would you like a ride home?” Profes-
various indigenous Indian tribes in Colombia. Although sor Muñoz asked.
much of the gold was stolen by the Spanish, many pieces “Yes, if it’s not too much trouble.”
have survived.” For the next 30 minutes, Professor Muñoz On the way home, Jim was relatively quiet.
spoke of everything from the upcoming presidential elec- “Do you feel okay?”
tions to World Cup soccer. “It must be jet lag catching up to me. I’m sure it’s
Jim looked at his watch, concerned about the other nothing,” Jim responded. Concerned about the way the
professors who had not yet arrived and about the meeting meeting had gone, Jim realized that he had never even
for which he had prepared. had a chance to mention Academia Press’s various titles
“Is there something wrong, Señor Reynolds?” and how these texts could be used to create a new cur-
“No, no, I was just wondering about the others; it’s riculum or supplement an existing curriculum at the pro-
11:30.” fessors’ business school.
“Don’t worry. They’ll be here shortly. Traffic in Bogotá
at this hour is terrible. They’re probably caught in a traf- When in Bogotá
fic jam.” On arriving at the house, Jim went upstairs and sat in the
Just then, Professors Espitia and Ronderos walked in. living room glumly sipping a cup of aguapanela. “I just
“Muy buenas, Señor Reynolds,” Professor Espitia said don’t get it,” he thought. “The Colombians couldn’t have
warmly. “Please forgive us for the delay. Traffic is simply been happier with the way the meeting turned out, but we
awful at this time of day.” didn’t do anything. We didn’t even talk about one book.
“Oh, that’s not necessary. I understand. Traffic in New I just don’t understand what went wrong.”
York can be absolutely horrendous as well,” Jim replied. In a short time, Darío arrived. “Muy buenas, Jim. How
“Sometimes it takes two hours to get from one end of the did your meetings go today with the directors?” he asked.
city to the other.” “I don’t know. I don’t know what to think. We didn’t
“Have you had lunch yet, Señor Reynolds?” asked Pro- do anything. We didn’t talk about business at all. We
fessor Ronderos. talked more about the sights I should see and the places
Jim shook his head. I should visit before I leave Colombia. I’m supposed to
“Why don’t we go to lunch, and we can talk there?” call my boss this afternoon and tell her how the initial
Professor Ronderos suggested.

Personal Skill-Building Exercises 591

meeting went. What am I going to tell her? ‘Sorry, we As Darío went on to analyze the meeting, Jim realized
just decided to plan my vacation in Colombia instead of that his perception of the situation had been formed by his
discussing business.’ I can’t afford to have this deal fall experiences in the United States. “When in Bogotá,” he
through.” thought, “I guess I had better think like the Colombians.”
Darío laughed. “Jim, you’ve gained the respect and the trust of the
“Señor, I’m serious.” directors. In my opinion, your first meeting was a com-
“Jim, I understand. Believe me. Tell me about your plete success.”
meeting today.” “What should I expect in the meetings to come?”
Jim recounted every detail of the meeting to Darío, Jim asked.
who smiled and nodded his head as he listened. “Don’t worry,” he responded. “Just let the directors
“Jim, you have to understand one thing before you con- worry about that. You’ll come to an agreement before the
tinue negotiating with the directors.” end of the week. I guarantee it.”
“What’s that?”
“You’re in Colombia now,” Darío said simply. Questions for Discussion
Jim stared at him with a puzzled look. “And?” 1. What differences does Jim notice between life in
“And what, Jim?”
“Is there something else I should know?” the United States and life in Colombia?
“That’s where you need to start. You let the directors 2. What differences does Jim notice between doing
set the tone of the meeting. It’s obvious they felt very
comfortable with you, or they wouldn’t have invited you business in the United States and doing business in
to Monserate. Here in Colombia, Jim, we do business dif- Colombia? How might these same factors differ in
ferently. Right now, you’re building friendship. You’re other countries?
building their trust in you. This is very important in doing 3. What advice would you give Jim for closing his
business in all of Latin America.” deals? Why?
After a moment’s pause, “Jim,” Darío continued,
“would you rather do business with a friend or someone Source: Written by Matthew C. Shull, twitter.com/Matthew_Shull. All rights reserved.
you hardly know?” Used with permission.

3. The International Cola Alliances

Objectives the most peaceful area. Border skirmishes are frequent,
∙ To introduce some of the complexities involved in most stemming from minor misunderstandings that
became inflated by vast cultural and religious differences.
doing business across international borders These distinct cultural differences between your coun-
∙ To examine what happens when countries seek to do try and your neighbors will likely become even more evi-
dent as you pursue the negotiation. It will be up to you
business with one another without the benefit of a to decide how to respond to them. While it is important
common language and customs for you to retain your own cultural integrity—for example,
when you first meet a delegate from another country you
Background will likely greet him or her in the cultural style of your
Even with a common language, communication can break country—you understand the importance of being sensi-
down, and interpretations of words and actions often can tive to one another. If you understand, for example, that
confound understanding and incur negative attributions of the cultural style of another country is to bow on meeting,
purpose. Add to this the differences of personal needs that whereas you shake hands, you may wish to bow instead.
exist from individual to individual, as well as national and Because you are negotiating the venture across bor-
cultural needs that exist from country to country. These ders, and each country has a different primary language,
limitless variables make cooperation across borders even you have agreed to negotiate in English, but none of you
more complex. are entirely fluent. Therefore, a few phrases will creep in
from your own languages.
The Story Wear your country’s flag in a visible place at all times.
You are a delegation from a country that would like to
enter into a large cooperative effort with a number of Instructions
other countries for the production and distribution of a Step 1 (30–40 minutes—may be done before class) 
popular soft drink produced by the American company Working in small groups (5–7), develop a profile of your
International Cola. In the past, countries in your region country and its people based on profile sheets 1 and 2.
of the world have been resistant to allowing foreign soft After you have completed profile sheets 1 and 2,
drinks into their markets, despite consumer demands. briefly discuss them to be sure there is mutual under-
However, recent thinking is that the advantages of allow- standing of what the group’s behavior and negotiating
ing this competition outweigh the disadvantages. stance are to be during the negotiation.
International Cola has expressed an interest in setting Step 2 (20 minutes—may be done before class)  Based
up a bottling plant, a regional corporate headquarters, and on the profile sheets, decide which International Cola
four distribution depots. Their goal, of course, is to do facilities you believe you should have in your country and
this in the most economically efficient way possible to why you believe they should be in your country rather
maximize profits. However, because the executives at than one of the others that will be represented. For exam-
International Cola believe this area to be a rich new mar- ple, if you have a highly educated population, you may
ket with outstanding potential and are therefore eager to argue that you should be the home of the regional corpo-
get in, they have ceded to the demands of the various rate headquarters; be aware, however, that another country
governments in the proposed alliance. These require Inter- might argue that you should not have bottling and distri-
national Cola to allow for local control of the facilities; bution facilities because these do not require a highly
to maintain only 49 percent interest in the facilities with educated or skilled labor force.
local partners holding 51 percent ownership; and to allow On the negotiation sheet, make a list of the facilities
the participating governments to work out among them- you believe your country should have and some notes as
selves the details of where the facilities will be located. to what your arguments will be for having them. Also,
For the countries involved, having one or more of these make some notes on what you believe the other countries’
facilities located within their borders will bring jobs, rev- counterarguments will be and how you expect to respond
enue, and a certain amount of prestige. (It is possible for to them.
a single country to have all six of the facilities: regional Step 3 (30–45 minutes—in class)  Everyone in your
headquarters, bottling plant, distribution depots.) group should pin a copy of your country’s flag and motto
Each of the countries involved shares at least two bor- on himself or herself in a visible place. One to three
ders with the other countries. This has not always been

592

Personal Skill-Building Exercises 593

r­epresentatives from your group (delegation) should nego- 5. To what degree did groups construct their countries
tiate the arrangements for International Cola’s facilities to best justify their position? In situations where
with the representatives from the other delegations. Be this happened, did it work? Why? Why not?
sure to use the cultural norms of your country during the
negotiation, but do not tell the others what your social Profile Sheet 1
norms are. 1. Select a name for your country:
Representatives should introduce themselves to one
another on an individual basis. After personal introduc-
tions, representatives should form a circle in the center of Be sure that the name of your country appears on or
the room with their delegations behind them, briefly around the flag (see below).
describe their countries, state their positions, and begin 2. In the space below, design your country’s flag or
negotiations. During negotiations, representatives should
make an effort to use their new language at least three emblem. Make enough copies so that each member
times. They should not use English for any of the six of your group has one to wear.
phrases listed.
Delegation representatives and the other members of 3. Write a slogan for your country that best embodies
their groups may communicate with one another at any your country’s ideals and goals. Include the slogan
point during the negotiation, but only in writing. Group on or around the flag.
members may also communicate among themselves, but
only in writing during the negotiation.
Any group or representative may ask for a side meeting
with one or more of the other groups during the negotia-
tion. Side meetings may not last more than five minutes. 4. Make up a partial language with a vocabulary
At any time in the negotiation, the delegation may
change its representative. When such a change is made, of up to twenty-five (25) words into which you
the new representative and the other delegates must rein- should translate the following phrases for use
troduce themselves and greet one another. during negotiations:
Those members of each delegation who are not directly Phrase Translation
negotiating should be active observers. Use the observer I agree.
sheet to record situations in which other groups insulted I disagree.
them, shamed them, or were otherwise offensive. This is unacceptable.
At the end of 45 minutes, the negotiation should be I don’t understand your point.
concluded whether or not an agreement has been reached.
You have insulted me.
Questions for Discussion Please repeat that. ________________________________
1. What role did cultural differences play in the vari- ________________________________________________
5. Briefly describe how people in your country react
ous phases of the negotiation process? Be careful
not to overlook the introductory phase. Was the when they have been insulted.
negotiation frustrating? Satisfying? Other? Why?
2. At any time, did delegations recognize the cultural
differences between themselves and the others? If
so, was any attempt made to try to adapt to another
country’s norms? Why? Why not? Would there
have been a benefit in doing so? Why?
3. What role did language differences play during the
negotiation? What was the effect of lack of under- Profile Sheet 2
standing or miscommunication on the process? Describe your country by selecting one element from each
4. Did the delegations from various countries attempt of the following lists. After you have made your selections,
to find mutual goals and interests despite their dif-
ferences? In what ways were the best interests of
the overall plan subjugated to the individual inter-
ests of each country? What rhetoric was used to
justify the personal interests?

594 Skill-Building and Experiential Exercises

list the elements that make up your country’s description Dominant Religion
on a separate piece of paper and add any additional animist
­elements you wish. atheist/agnostic
Buddhist
Population Density Catholic
Hindu
high density with overpopulation a problem Islam
moderate density—high end Jewish
moderate density—average Mormon
moderate density—low end Protestant (specify) ___________________________
low density other (specify) ______________________________

Average Educational Level Negotiation Sheet

less than 3 years—large percent totally illiterate 1. What facilities do you believe your country should
3–6 years—widespread functional illiteracy have?
6–9 years—functional illiteracy a problem in
scattered areas
9 –12 years—most read and write at functional
levels
1 2+ years—a highly educated and functioning
population 2. What facilities of those listed above are you willing

Per Capita Income to relinquish to reach agreement?

under $1,000 per year
$1,000–5,000 per year
$5,000–10,000 per year 3. On what bases will you justify your need or desire
$10,000–20,000 per year
$20,000–30,000 per year for having the facilities you have listed?
$30,000–40,000 per year
$40,000+ per year

Climate

tropical
arctic
mixed in different areas
runs range from season to season
Observer Sheet
Form of Government
1. List actions taken by members of other delegations
socialist that were insulting, created shame for you and your
democratic delegation, or were otherwise offensive based on
communist your country’s norms. Include notes on the context
monarchy in which the actions were taken.
dictatorship
other (specify)

Dominant Racial-Ethnic Group

Asian
black
white
other (specify)

Personal Skill-Building Exercises 595




2. Based on the above list, what happened to your
interest in forming an alliance and your belief that
a mutual agreement could be reached?

4. Whom to Hire?

Objectives Background
∙ To explore participants’ cultural biases and You are a member of the management committee of a
multinational company that does business in 23 countries.
expectations While your company’s headquarters are in Holland, your
∙ To examine cultural differences offices are scattered fairly evenly throughout the four
∙ To consider the impact culture has on hiring decisions hemispheres. Primary markets have been in Europe and
North America; the strongest emerging market is the
Instructions Pacific Rim. Company executives would like to develop
Step 1 (10–15 minutes)  Read the background informa- what they see as a powerful potential market in the Mid-
tion and descriptions of each of the applicants. Consider dle East. Sales in all areas except the Pacific Rim have
the job and the cultures within which the individual to be shown slow growth over the past two years.
hired will be operating. Rank the candidates from 1 to 5, At present, your company is seeking to restructure and
with 1 being your first choice, and enter your rankings on revitalize its worldwide marketing efforts. To accomplish
the ranking sheet in the column marked “My Ranking.” this, you have determined that you need to hire a key
Briefly, list the reasons for each of your rankings. marketing person to introduce fresh ideas and a new per-
Do not discuss your rankings with your classmates spective. There is no one currently in your company who
until told to do so. is qualified to do this, and so you have decided to look
Step 2 (30–40 minutes)  Working with three to four of outside. The job title is “vice president for international
your classmates, discuss the applicants and rank them in marketing”; it carries with it a salary well into six figures
the order of group preference. Do not vote. (US$), plus elaborate benefits, an unlimited expense
Rank the candidates from 1 to 5, with 1 being the account, a car, and the use of the corporate jet. The person
group’s first choice, and enter your group rankings on the you hire will be based at the company’s headquarters and
ranking sheet in the column marked “Group Ranking.” will travel frequently.
Briefly list the reasons for each of the group’s rankings. A lengthy search has turned up five people with good
If your group represents more than one culture, explore potential. It is now up to you to decide whom to hire.
the ways in which each person’s cultural background may Although all the applicants have expressed a sincere inter-
have influenced his or her individual decisions. est in the position, it is possible that they may change their
Step 3 (open-ended)  Report your rankings to the class, minds once the job is offered. Therefore, you must rank
and discuss the areas of difference that emerged within them in order of preference so that if your first choice
your group while you were trying to reach consensus. declines the position, you can go on to the second, and
so on.
Questions for Discussion
1. Was your group able to explore openly any cultur- Applicants: Park L., age 41, Married with
Three Children
ally based biases that came up—for example, feel- Park L. is currently senior vice president for marketing at
ings about homosexuality, religion, personality a major Korean high-technology firm. You have been told
traits, politics? by the head of your Seoul office that his reputation as an
2. Did you make any comments or observations that expert in international marketing is outstanding. The mar-
you feel would have been fully acceptable in your ket share of his company’s products has consistently
own culture but were not accepted by the group? increased since he joined the company just over 15 years
Explain. ago. His company’s market share is now well ahead of
3. If the answer to question 2 was yes, how did the that of competing producers in the Pacific Rim.
reaction of the group make you feel about your Park started with his present company immediately
membership in it? How did you handle the after his graduation from the University of Seoul and has
situation? worked his way up through the ranks. He does not have
4. What implications do you believe these cultural a graduate degree. You sense that Park has a keen under-
differences would have in business dealings? standing of organizational politics and knows how to play
them. He recognizes that because the company he works
596 for now is family controlled, it is unlikely that he will ever
move much higher than his present situation. Park has told

Personal Skill-Building Exercises 597

you that he is interested in the growth potential offered at has a long list of accomplishments and is widely recog-
your company. nized as outstanding in his field. People in your company
In addition to his native tongue, Park is able to carry who have had contacts with him say that Peter is creative,
on a reasonably fluent conversation in English and has a hardworking, and loyal. In addition, you have been told
minimal working knowledge of German and French. His that Peter is a top-flight manager of people who is able
wife, who appears quiet and quite traditional, and his chil- to push his employees to the highest levels of perfor-
dren speak only Korean. mance. And, you are told, he is very organized.
Peter has a PhD in computer science from a leading
Kiran K., age 50, Widow with One South African university and an MBA from Purdue’s
Adult Child Krannert School of Business.
Kiran K. is a Sikh woman living in Malaysia. She began Peter had been a vehement opponent of apartheid and
her teaching career while finishing her DBA (doctorate in is still very much a social activist. His high political vis-
business administration) at the Harvard Business School ibility within South Africa had made his life there diffi-
and published her first book on international marketing cult, and even now, with the end of apartheid, he would
ten months after graduation. Her doctoral dissertation was like to get out. His constant male companion, P. K. Kahn,
based on the international marketing of pharmaceuticals, would be coming with him to Holland, and Peter would
but she has also done research and published on other like your personnel office to help P. K. find an appropri-
areas of international marketing. ate position.
Two months after the publication of her book, Kiran Peter speaks and reads English, Dutch, Afrikaans, and
went to work in the international marketing department Swahili and can converse in German.
of a Fortune 500 company, where she stayed for the next
ten years. She returned to teaching when Maura Univer- Tex P., age 36, Divorced with One Child
sity offered her a full professorship with tenure, and she Tex is currently job hunting. His former job as head of
has been there since that time. Her academic position has marketing for a single-product, high-technology firm—
allowed her to pursue a number of research interests and highly specialized workstations for sophisticated artificial
to write authoritative books and papers in her field. At intelligence applications—ended when the company was
present, she is well published and internationally recog- bought out by Texas Instruments. Tex had been with his
nized as an expert on international marketing. In addi- previous company virtually from the time the company was
tion, she has an active consulting practice throughout started six years earlier. Having to leave his job was an
Southeast Asia. irony to Tex as it was largely due to the success of his
You have learned through your office in Kuala Lumpur efforts that the company was bought out. You sense that he
that Kiran’s only child, a 23-year-old son, is severely men- is a little bitter, and he tells you that jobs offered to him
tally and physically disabled. You sense that part of her by TI were beneath him and not worthy of consideration.
interest in the job with your company is to have the Tex has both his undergraduate and MBA degrees from
income to guarantee his care should anything happen to Stanford University. In addition, he was a Rhodes Scholar
her. Her son would go with her to Holland, should she be and won a Fulbright scholarship, which he used to support
given the job, where he will need to be enrolled in special himself while he undertook a two-year research project on
support programs. the marketing of high-technology equipment to Third
In addition to fluency in Malay, English, and Hindi, World countries.
Kiran speaks and writes German and Spanish and is able You have learned through your New York office that
to converse in Japanese and Mandarin. Tex has a reputation for being aggressive and hard driv-
ing. Apparently he is a workaholic who has been known
Peter V., age 44, Single to work 18 to 20 hours a day, seven days a week. He
Peter is a white South African. He had worked in a key seems to have little time for his personal life.
position in the international marketing division of an Amer- In addition to his native English, Tex has a minimal
ican Fortune 100 company until the company pulled out of command of French—which he admits he hasn’t used
his country eight months ago. While the company wanted since his college days.
to keep him on, offering to move him from Johannesburg
to its New York headquarters, Peter decided that it was Zvi C., age 40, Married with Five Children
time to look elsewhere. He had begun to feel somewhat Zvi began his career after receiving his MBA from the
dead-ended in his position and apparently sees the posi- Sloan School of Management at the Massachusetts Insti-
tion at your company as an opportunity to try out new tute of Technology (MIT). His first job was as marketing
territory. Like your other candidates for the position, Peter manager for a German company doing business in Israel.

598 Skill-Building and Experiential Exercises

Zvi’s phenomenal success with this company led to his You have learned through your Haifa office that Zvi is
being hired away by an international office equipment highly respected and has extensive contacts in the scien-
company in England. Again, he proved to be outstanding, tific and high-tech worlds. He is exceptionally creative in
boosting the company’s market share beyond all expecta- his approach to marketing, often trying bold strategies that
tions within two years. After five years, Zvi was offered most of his peers would dismiss as too risky. Zvi, ­however,
a chance to go back to Israel, this time to oversee and has made them work and work well.
coordinate all the international marketing programs for an Zvi is a religious man who must leave work by noon
industrial park of 14 companies run as an adjunct to Isra- on Friday. He will not work Saturdays or any of his
el’s leading scientific research institution. It has been his ­religion’s major and minor holidays—about 18 a year. He
responsibility to interface the research component with will, however, work on Sundays.
product development and sales as well as to manage the In addition to his native language, Dutch (Zvi and his fam-
vast marketing department. Again, he has shown himself ily moved to Israel from Holland when Zvi was six), he speaks
to be a master. and writes fluent Hebrew, English, German, and Arabic.

Ranking Sheet

Rank candidates from one to five with one as your first choice.

My Ranking Group Ranking

Applicant Rank Reasons Rank Reasons
Park L.

Kiran K.

Peter V.

Tex P.

Zvi C.

Glossary

achievement culture  A culture in which people are accorded chronemics  The way in which time is used in a culture.
status based on how well they perform their functions. civil or code law  Law that is derived from Roman law and
achievement motivation theory  A theory that holds that is found in the non-Islamic and nonsocialist countries.
individuals can have a need to get ahead, to attain success, codetermination  A legal system that requires workers and
and to reach objectives. their managers to discuss major decisions.
act of state doctrine  A jurisdictional principle of interna- collectivism  The political philosophy that views the needs or
tional law that holds that all acts of other governments are goals of society as a whole as more important than individual
considered to be valid by U.S. courts, even if such acts are desires (Chapter 2); the tendency of people to belong to
illegal or inappropriate under U.S. law. groups or collectives and to look after each other in exchange
adaptability screening  The process of evaluating how well for loyalty (Chapter 4).
a family is likely to stand up to the stress of overseas life. common law  Law that derives from English law and is the
administrative coordination  Strategic formulation and foundation of legislation in the United States, Canada, and
implementation in which the MNC makes strategic decisions England, among other nations.
based on the merits of the individual situation rather than using communication  The process of transferring meanings from
a predetermined economically or politically driven strategy. sender to receiver.
alliance  Any type of cooperative relationship among communitarianism  Refers to people regarding themselves as
different firms. part of a group.
ascription culture  A culture in which status is attributed conglomerate investment  A type of high-risk investment in
based on who or what a person is. which goods or services produced are not similar to those
assessment center  An evaluation tool used to identify indi- produced at home.
viduals with potential to be selected or promoted to higher- content theories of motivation  Theories that explain work
level positions. motivation in terms of what arouses, energizes, or initiates
authoritarian leadership  The use of work-centered behavior employee behavior.
designed to ensure task accomplishment. context  Information that surrounds a communication and
balance-sheet approach  An approach to developing an expa- helps convey the message.
triate compensation package that ensures the expat is “made controlling  The process of evaluating results in relation to
whole” and does not lose money by taking the assignment. plans or objectives and deciding what action, if any, to take.
base of the pyramid strategy  Strategy targeting low-income corporate governance  The system by which business corpo-
customers in developing countries. rations are directed and controlled.
bicultural group  A group in which two or more members corporate social responsibility (CSR)  The actions of a firm
represent each of two distinct cultures, such as four Mexicans to benefit society beyond the requirements of the law and the
and four Taiwanese who have formed a team to investigate the direct interests of the firm.
possibility of investing in a venture. cultural assimilator  A programmed learning technique
biotechnology  The integration of science and technology to designed to expose members of one culture to some of the
create agricultural or medical products through industrial use basic concepts, attitudes, role perceptions, customs, and values
and manipulation of living organisms. of another culture.
born-global firms  Firms that engage in significant interna- culture  Acquired knowledge that people use to interpret
tional activities shortly after being established. experience and generate social behavior. This knowledge forms
cafeteria approach  An approach to developing an expatriate values, creates attitudes, and influences behavior.
compensation package that entails giving the individual a decentralization  Pushing decision making down the line and
series of options and letting the person decide how to spend getting the lower-level personnel involved.
the available funds. decision making  The process of choosing a course of action
centralization  A management system in which important among alternatives.
decisions are made at the top. democracy  A political system in which the government is
chaebols  Very large, family-held Korean conglomerates that controlled by the citizens either directly or through elections.
have considerable political and economic power. diffuse culture  A culture in which public space and private
charismatic leaders  Leaders who inspire and motivate space are similar in size and individuals guard their public
employees through their charismatic traits and abilities. space carefully because entry into public space affords entry
chromatics  The use of color to communicate messages. into private space as well.

599

600 Glossary

direct controls  The use of face-to-face or personal meetings femininity  A cultural characteristic in which the dominant
for the purpose of monitoring operations. values in society are caring for others and the quality of life.
distributive negotiations  Bargaining that occurs when two Foreign Corrupt Practices Act (FCPA)  An act that makes it
parties with opposing goals compete over a set value. illegal to influence foreign officials through personal payment
doctrine of comity  A jurisdictional principle of international or political contributions; became U.S. law in 1977 because of
law that holds that there must be mutual respect for the laws, concerns over bribes in the international business arena.
institutions, and governments of other countries in the matter foreign direct investment (FDI)  Investment in property,
of jurisdiction over their own citizens. plant, or equipment in another country.
downward communication  The transmission of information formalization  The use of defined structures and systems in
from manager to subordinate. decision making, communicating, and controlling.
economic imperative  A worldwide strategy based on cost franchise  A business arrangement under which one party
leadership, differentiation, and segmentation. (the franchisor) allows another (the franchisee) to operate an
Eiffel Tower culture  A culture that is characterized by enterprise using its trademark, logo, product line, and methods
strong emphasis on hierarchy and orientation to the task. of operation in return for a fee.
emotional culture  A culture in which emotions are geocentric MNC  An MNC that seeks to integrate diverse
expressed openly and naturally. regions of the world through a global approach to decision
empowerment  The process of giving individuals and teams making.
the resources, information, and authority they need to develop geocentric predisposition  A philosophy of management
ideas and effectively implement them. whereby the company tries to integrate a global systems
environmental scanning  The process of providing manage- approach to decision making.
ment with accurate forecasts of trends related to external global area division  A structure under which global opera-
changes in geographic areas where the firm currently is doing tions are organized on a geographic rather than a product basis.
business or is considering setting up operations. global functional division  A structure that organizes world-
equity theory  A process theory that focuses on how motiva- wide operations primarily based on function and secondarily
tion is affected by people’s perception of how fairly they are on product.
being treated. global integration  The production and distribution of prod-
esteem needs  Needs for power and status. ucts and services of a homogeneous type and quality on a
ethics  The study of morality and standards of conduct. worldwide basis.
ethnocentric MNC  An MNC that stresses nationalism and global product division  A structural arrangement in which
often puts home-office people in charge of key international domestic divisions are given worldwide responsibility for
management positions. product groups.
ethnocentric predisposition  A nationalistic philosophy of global strategy  Integrated strategy based primarily on price
management whereby the values and interests of the parent competition.
company guide strategic decisions. globalization  The process of social, political, economic,
ethnocentrism  The belief that one’s own way of doing c­ultural, and technological integration among countries around
things is superior to that of others. the world.
European Union  A political and economic community globalization imperative  A belief that one worldwide
consisting of 28 member states. approach to doing business is the key to both efficiency and
expatriates  Managers who live and work outside their home effectiveness.
country. They are citizens of the country where the multina-
tional corporation is headquartered. GLOBE (Global Leadership and Organizational Behavior
expectancy theory  A process theory that postulates that Effectiveness)  A multicountry study and evaluation of cul-
motivation is influenced by a person’s belief that (a) effort tural attributes and leadership behaviors among more than
will lead to performance, (b) performance will lead to spe- 17,000 managers from 951 organizations in 62 countries.
cific outcomes, and (c) the outcomes will be of value to the goal-setting theory  A process theory that focuses on how
individual. individuals go about setting goals and responding to them and
expropriation  The seizure of businesses by a host country the overall impact of this process on motivation.
with little, if any, compensation to the owners. groupthink  Social conformity and pressures on individual
extrinsic  A determinant of motivation by which the external members of a group to conform and reach consensus.
environment and result of the activity are of greater impor- guanxi  In Chinese, it means “good connections.”
tance due to competition and compensation or incentive plans. guided missile culture  A culture that is characterized by
fair trade  An organized social movement and market-based strong emphasis on equality in the workplace and orientation
approach that aims to help producers in developing countries to the task.
obtain better trading conditions and promote sustainability. haptics  Communicating through the use of bodily contact.
family culture  A culture that is characterized by a strong home-country nationals  Expatriate managers who are citi-
emphasis on hierarchy and orientation to the person. zens of the country where the multinational corporation is
headquartered.

Glossary 601

homogeneous group  A group in which members have simi- job design  A job’s content, the methods that are used on the
lar backgrounds and generally perceive, interpret, and evaluate job, and the way the job relates to other jobs in the organization.
events in similar ways. job-content factors  In work motivation, those factors inter-
honne  A Japanese term that means “what one really wants nally controlled, such as responsibility, achievement, and the
to do.” work itself.
horizontal investment  An MNC investment in foreign job-context factors  In work motivation, those factors
operations to produce the same goods or services as those c­ontrolled by the organization, such as conditions, hours,
produced at home. earnings, security, benefits, and promotions.
horizontal specialization  The assignment of jobs so that joint venture (JV)  An agreement under which two or more
individuals are given a particular function to perform and tend partners own or control a business.
to stay within the confines of this area. kaizen  A Japanese term that means “continuous improvement.”
host-country nationals  Local managers who are hired by karoshi  A Japanese term that means “overwork” or “job
the MNC. burnout.”
hygiene factors  In the two-factor motivation theory, job-­ keiretsu  In Japan, an organizational arrangement in which a
context variables such as salary, interpersonal relations, technical large, often vertically integrated group of companies cooperate
supervision, working conditions, and company policies and and work closely with each other to provide goods and ser-
administration. vices to end users; members may be bound together by cross-
incubator culture  A culture that is characterized by strong ownership, long-term business dealings, interlocking
emphasis on equality and orientation to the person. directorates, and social ties.
indigenization laws  Laws that require nationals to hold a key success factor (KSF)  A factor necessary for a firm to
majority interest in an operation. effectively compete in a market niche.
indirect controls  The use of reports and other written forms kinesics  The study of communication through body move-
of communication to control operations. ment and facial expression.
individualism  The political philosophy that people should be leadership  The process of influencing people to direct their
free to pursue economic and political endeavors without con- efforts toward the achievement of some particular goal or goals.
straint (Chapter 2); the tendency of people to look after them- learning  The acquisition of skills, knowledge, and abilities
selves and their immediate family only (Chapter 4). that result in a relatively permanent change in behavior.
inpatriates  Individuals from a host country or third-country license  An agreement that allows one party to use an indus-
nationals who are assigned to work in the home country. trial property right in exchange for payment to the owning
integrative negotiation  Bargaining that involves cooperation party.
between two groups to integrate interests, create value, and localization  An approach to developing an expatriate com-
invest in the agreement. pensation package that involves paying the expat a salary com-
integrative techniques  Techniques that help the overseas parable to that of local nationals.
operation become a part of the host country’s infrastructure. lump-sum method  An approach to developing an expatriate
international division structure  A structural arrangement compensation package that involves giving the expat a prede-
that handles all international operations out of a division cre- termined amount of money and letting the individual make his
ated for this purpose. or her own decisions regarding how to spend it.
international entrepreneurship  A combination of innova- macro political risk analysis  Analysis that reviews major
tive, proactive, and risk-seeking behavior that crosses national political decisions likely to affect all enterprises in the country.
boundaries and is intended to create value for organizations. management  Process of completing activities efficiently and
international management  Process of applying management effectively with and through other people.
concepts and techniques in a multinational environment and maquiladora  A factory, the majority of which are located in
adapting management practices to different economic, politi- Mexican border towns, that imports materials and equipment
cal, and cultural environments. on a duty- and tariff-free basis for assembly or manufacturing
international selection criteria  Factors used to choose and re-export.
personnel for international assignments. masculinity  A cultural characteristic in which the dominant
international strategy  Mixed strategy combining low values in society are success, money, and things.
demand for integration and responsiveness. merger/acquisition  The cross-border purchase or exchange
intimate distance  Distance between people that is used for of equity involving two or more companies.
very confidential communications. micro political risk analysis  Analysis directed toward gov-
intrinsic  A determinant of motivation by which an individ- ernment policies and actions that influence selected sectors of
ual experiences fulfillment through carrying out an activity the economy or specific foreign businesses in the country.
and helping others. Ministry of International Trade and Industry (MITI)   A
Islamic law  Law that is derived from interpretation of the Japanese government agency that identifies and ranks national
Qur’an and the teachings of the Prophet Muhammad and is commercial pursuits and guides the distribution of national
found in most Islamic countries. resources to meet these goals.

602 Glossary

mixed organization structure  A structure that is a combina- parochialism  The tendency to view the world through one’s
tion of a global product, area, or functional arrangement. own eyes and perspectives.
MNC  A firm having operations in more than one country, participative leadership  The use of both work- or task-
international sales, and a nationality mix of managers and centered and people-centered approaches to leading
owners. ­subordinates.
monochronic time schedule  A time schedule in which particularism  The belief that circumstances dictate how
things are done in a linear fashion. ideas and practices should be applied and that something can-
motivation  A psychological process through which unsatis- not be done the same everywhere.
fied wants or needs lead to drives that are aimed at goals or paternalistic leadership  The use of work-centered behavior
incentives. coupled with a protective employee-centered concern.
motivators  In the two-factor motivation theory, job-content perception  A person’s view of reality.
factors such as achievement, recognition, responsibility, personal distance  In communicating, the physical distance
advancement, and the work itself. used for talking with family and close friends.
multi-domestic strategy  Differentiated strategy emphasizing physiological needs  Basic physical needs for water, food,
local adaptation. clothing, and shelter.
multicultural group  A group in which there are individu- political imperative  Strategic formulation and implementa-
als from three or more different ethnic backgrounds, such as tion utilizing strategies that are country-responsive and
three American, three German, three Uruguayan, and three designed to protect local market niches.
Chinese managers who are looking into mining operations political risk  The unanticipated likelihood that a business’s
in South Africa. foreign investment will be constrained by a host government’s
national responsiveness  The need to understand the differ- policy.
ent consumer tastes in segmented regional markets and polycentric MNC  An MNC that places local nationals in
respond to different national standards and regulations key positions and allows these managers to appoint and
imposed by autonomous governments and agencies. develop their own people.
nationality principle  A jurisdictional principle of interna- polycentric predisposition  A philosophy of management
tional law that holds that every country has jurisdiction over whereby strategic decisions are tailored to suit the cultures of
its citizens no matter where they are located. the countries where the MNC operates.
negotiation  Bargaining with one or more parties for the polychronic time schedule  A time schedule in which
purpose of arriving at a solution acceptable to all. p­ eople tend to do several things at the same time and place
neutral culture  A culture in which emotions are held in higher value on personal involvement than on getting things
check. done on time.
nongovernmental organizations (NGOs)  Private, not-for- positive organizational behavior (POB)  The study and
profit organizations that seek to serve society’s interests by application of positively oriented human resource strengths
focusing on social, political, and economic issues such as pov- and psychological capacities that can be measured, developed,
erty, social justice, education, health, and the environment. and effectively managed for performance improvement in
nonverbal communication  The transfer of meaning through today’s workplace.
means such as body language and the use of physical space. positive organizational scholarship (POS)  A method that
North American Free Trade Agreement (NAFTA)  A free- focuses on positive outcomes, processes, and attributes of
trade agreement between the United States, Canada, and Mexico organizations and their members.
that has removed most barriers to trade and investment. power distance  The extent to which less powerful members
oculesics  The area of communication that deals with convey- of institutions and organizations accept that power is distrib-
ing messages through the use of eye contact and gaze. uted unequally.
offshoring  The process by which companies undertake some principle of sovereignty  An international principle of law
activities at offshore locations instead of in their countries of that holds that governments have the right to rule themselves
origin. as they see fit.
operational risks  Government policies and procedures that proactive political strategies  Lobbying, campaign financing,
directly constrain management and performance of local advocacy, and other political interventions designed to shape
o­ perations. and influence the political decisions prior to their impact on
organizational culture  Shared values and beliefs that enable the firm.
members to understand their roles and the norms of the process theories of motivation  Theories that explain work
­organization. motivation by how employee behavior is initiated, redirected,
outsourcing  The subcontracting or contracting out of activi- and halted.
ties to endogenous organizations that had previously been profit  The amount remaining after all expenses are deducted
performed by the firm. from total revenues.
ownership-control risks  Government policies or actions that protective and defensive techniques  Techniques that dis-
inhibit ownership or control of local operations. courage the host government from interfering in operations.

Glossary 603

protective principle  A jurisdictional principle of interna- specific culture  A culture in which individuals have a large
tional law that holds that every country has jurisdiction over public space they readily share with others and a small private
behavior that adversely affects its national security, even if the space they guard closely and share with only close friends and
conduct occurred outside that country. associates.
proxemics  The study of the way people use physical space strategic management  The process of determining an
to convey messages. organization’s basic mission and long-term objectives, then
public distance  In communicating, the distance used when implementing a plan of action for attaining these goals.
calling across the room or giving a talk to a group. strategy implementation  The process of providing goods
quality control circle (QCC)  A group of workers who and services in accord with a plan of action.
meet on a regular basis to discuss ways of improving the sustainability  Development that meets humanity’s needs
quality of work. without harming future generations.
quality imperative  Strategic formulation and implementation tatemae  A Japanese term that means “doing the right thing”
utilizing strategies of total quality management to meet or according to the norm.
exceed customers’ expectations and continuously improve territoriality principle  A jurisdictional principle of interna-
products or services. tional law that holds that every nation has the right of juris-
regiocentric MNC  An MNC that relies on local managers diction within its legal territory.
from a particular geographic region to handle operations in terrorism  The use of force or violence against others to pro-
and around that area. mote political or social views.
regiocentric predisposition  A philosophy of management Theory X manager  A manager who believes that people are
whereby the firm tries to blend its own interests with those of basically lazy and that coercion and threats of punishment
its subsidiaries on a regional basis. often are necessary to get them to work.
regional system  An approach to developing an expatriate Theory Y manager  A manager who believes that under the
compensation package that involves setting a compensation right conditions, people not only will work hard but will seek
system for all expats who are assigned to a particular region increased responsibility and challenge.
and paying everyone in accord with that system. Theory Z manager  A manager who believes that workers
repatriation  The return to one’s home country from an seek opportunities to participate in management and are moti-
overseas management assignment. vated by teamwork and responsibility sharing.
repatriation agreements  Agreements whereby the firm tells third-country nationals (TCNs)  Managers who are citizens
an individual how long she or he will be posted overseas and of countries other than the country in which the MNC is
promises to give the individual, on return, a job that is mutu- headquartered or the one in which the managers are assigned
ally acceptable. to work by the MNC.
return on investment (ROI)  Return measured by dividing token group  A group in which all members but one have
profit by assets. the same background, such as a group of Japanese retailers
ringisei  A Japanese term that means “decision making by and a British attorney.
consensus.” total quality management (TQM)  An organizational strategy
safety needs  Desires for security, stability, and the absence and the accompanying techniques that result in the delivery of
of pain. high-quality products or services to customers.
self-actualization needs  Desires to reach one’s full potential, totalitarianism  A political system in which there is only one
to become everything one is capable of becoming as a human representative party, which exhibits control over every facet of
being. political and human life.
simplification  The process of exhibiting the same orientation training  The process of altering employee behavior and atti-
toward different cultural groups. tudes in a way that increases the probability of goal attainment.
social distance  In communicating, the distance used to
handle most business transactions. Trans-Pacific Partnership (TPP) or Trans-Pacific Partner-
social needs  Desires to interact and affiliate with others and ship Agreement (TPPA)  A proposed trade agreement among
to feel wanted by others. 12 Pacific Rim countries, including Australia, Brunei, Canada,
socialism  A moderate form of collectivism in which there is Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore,
government ownership of institutions, and profit is not the the United States, and Vietnam.
ultimate goal. transactional leaders  Individuals who exchange rewards for
socialist law  Law that comes from the Marxist socialist effort and performance and work on a “something for some-
­system and continues to influence regulations in countries thing” basis.
­formerly associated with the Soviet Union as well as China. transfer risks  Government policies that limit the transfer of
sociotechnical designs  Job designs that blend personnel and capital, payments, production, people, and technology in and
technology. out of the country.
specialization  An organizational characteristic that assigns transformational leaders  Leaders who are visionary agents
individuals to specific, well-defined tasks. with a sense of mission and who are capable of motivating their
followers to accept new goals and new ways of doing things.

604 Glossary

transition strategies  Strategies used to help smooth the values  Basic convictions that people have regarding what
adjustment from an overseas to a stateside assignment. is right and wrong, good and bad, and important and
transnational network structure  A multinational structural unimportant.
arrangement that combines elements of function, product, and variety amplification  The creation of uncertainty and the
geographic designs, while relying on a network arrangement to analysis of many alternatives regarding future action.
link worldwide subsidiaries. variety reduction  The limiting of uncertainty and the focus-
transnational strategy  Integrated strategy emphasizing both ing of action on a limited number of alternatives.
global integration and local responsiveness. vertical investment  The production of raw materials or
two-factor theory of motivation  A theory that identifies intermediate goods that are to be processed into final
two sets of factors that influence job satisfaction: hygiene ­products.
f­actors and motivators. vertical specialization  The assignment of work to groups or
uncertainty avoidance  The extent to which people feel departments where individuals are collectively responsible for
threatened by ambiguous situations and have created beliefs performance.
and institutions that try to avoid these. wholly owned subsidiary  An overseas operation that is
universalism  The belief that ideas and practices can be totally owned and controlled by an MNC.
applied everywhere in the world without modification. work centrality  The importance of work in an individual’s
upward communication  The transfer of meaning from life relative to other areas of interest.
­subordinate to superior. World Trade Organization (WTO)  The global organization
validity  The quality of being effective, of producing the of countries that oversees rules and regulations for interna-
desired results. A valid test or selection technique measures tional trade and investment.
what it is intended to measure.

Name Index

A page number with an e indicates an exhibit; an f a figure; an n, a source note or footnote; a t, a table.

Aaen, Christian, 276 Air China, 334t ANA, 334t
Aafaqi, R., 504n37 Air France, 333, 334t Analoui, Farhad, 463n34
AAP (Association of American Air India, 334t Anand, Geeta, 41n96
Air New Zealand, 334t Andersen, 497
Publishers), 417 Airtel, 6 Anderson, Jamie, 325n113
AAR, 362 Ajmera, Ankit, 322n36 Anderson, Philip, 206n49, 212, 243n15,
Abbott, 292 Akiba, Toshiharu, 265
Abboud, Leila, 372n al-Assad, Bashar, 44–45 504n51
AbbVie Inc., 119f Alberts, Hana R., 278nn37–38 Ando, Ritsuko, 324n80
Abegglen, J. C., 464n43 Albright, Kendra S., 324n74 Andrews, Edmund L., 97n82, 206n50,
ABInBev, 122, 123–124, 148 Alcan Aluminum of Canada, 366
ABP Food Group, 561 Alcatel-Lucent, 187, 316 383n29
Abrams, Michael N., 191, 206nn37–38 Alcatel SA, 186–187 Anfuso, Dawn, 543n
Abueva, Jobert E., 552n80 Alderman, Liz, 72nn76–77 Ang, Swee Hoon, 465n92
AB Volvo, 377 Aldi, 279e, 282 Angel Broking, 428
Acano, 303 Alexander the Great, 8 Anheuser-Busch InBev, 123–124, 307
Accenture, 6, 83–84, 306 Alford, Randall J., 205n21 Anne, Colleen, 40n59
Access to Medicine Foundation, 118, 119f Alibaba, 284, 418 Ansari, M. A., 504n37
Acer Inc., 418 Alibaba Group, 388–390 Aoki Corporation, 264
ACFTU (All-China Federation of Trade Alipay, 388–389 AOL, 416
Alitalia, 334t Aozora Bank, 170
Unions), 279 Alkhafaji, Abbass F., 358n58, 463n16 Apple Inc., 5, 30, 65, 81, 107, 156–158,
Ackerman, Matt, 178n30 Al-Kurdi, Aylan, 46
Actavis, 346 All-China Federation of Trade Unions 175, 209, 296, 298, 397, 408t, 500
Activia, 255 Aqua, 256
Adams, Jonathan, 112n11 (ACFTU), 279 Areddy, J. T., 261nn49–53, 277nn18–19,
Adelphia, 89 Allen, James, 152n15
adidas, 107, 109, 314 Allen, Mark, 550n23 277n22
adidas Group, 408t Allergan, 292, 346 Aristotle, 47, 78, 95n34
Adler, Nancy J., 177n1, 186, 196–198, AlliedSignal, 538 Arizona State University, 101n
Allinson, C. W., 539, 553n102 ARM Holdings PLC, 336
202n, 206n30, 206n47, 206n52, Allison, Melissa, 385n71 Arnold, Tom, 384n42
206n57, 214, 222n, 231, 240n, Al-Meer, A., 244n43 Arpan, Jeffrey, 412n41
243n19, 244n67, 503n27, 552n81 Almeida, James G., 325n117 Arregle, Jean-Luc, 356n27
AECOM Economics, 276 Alphabet Inc., 418 Arthur, Winfred, Jr., 551n41
Aer Lingus, 334t Al Qaeda, 367 Arthur Andersen, 89
Aeroflot, 334t Al-Shammari, Eid S., 465n83 As, D., 464n59
Aeroméxico, 334t ALSTOM, 91 Asakawa, Kazuhiro, 358n62
AES, 30 Alton Towers, 268 ASDA Group PLC, 280, 283
Affleck, Ben, 104 Aluminum Company of America, 534 Ashe, Suzanne, 95n25
AFL/CIO, 100, 107 Alusuisse Lonza Group, 366–367 Asher, Courtney, 253n, 277n, 574n, 582n
African Outreach Project, 104 The Amazing Race, 102 Ashkanasy, Neal, 505n87
Africa Online, 316 Amazon.com, 64, 285, 319, 388–390, Ashok, Karnataka R., 248, 249
Agency for Drugs and Technologies in Ashoka, 315t
Health, 116 408t, 415 Asia-Pacific Economic Cooperation, 31
AGEPE Editorial Group, 579 AmBev, 123 Aspen Pharmacare, 292
Agricultural Bank of China, 568 Amed, Imran, 105n8 Assad, Bashar, 44–45
Aguayuda, 105 America Movil SAB De CV, 7t Assiut Cement Company, 375
Aguirre, Fernando, 575, 579, 580 American Airlines, 333, 334t Association of American Publishers
Ahmad, Z. A., 504n37 American Beverages, 339
Ahmed, Runman, 253n8, 254n20 American Business Centers, 370 (AAP), 417
Ai Ni Group, 380 American Civil Liberties Union, 100 Association of Chartered Certified
Aioanei, Ingrid, 503n31 American Express, 10, 66
Air Asia, 376 Amin, Khoirul, 355–356n4 Accountants, 580
Airbnb, 98 Amnesty International, 86 Astellas Pharma Inc., 119f
Airbus, 32 Amway Corp., 468, 470 AstraZeneca PLC, 119f, 185, 292
Air Canada, 334t Atamer, Tugrul, 324n90
Athanassiou, Nicholas, 244n54
Athos, Anthony G., 243n23
A to Z, 315t

605

606 Name Index

AT&T, 30, 307, 380 Barkema, Harry, 356n11, 385n61 Bird, Allan, 553n98, 553n105
AUC, 579 Barnes, Brooks, 278n26 Bird, Stephen, 294
Audi, 397 Barnett, Carole K., 484n Birkitt, Laurie, 39n16
Aurobindo, 292 Barreda, David M., 177n7 Bischoff, S. J., 464n54
Australia and New Zealand Banking Group Barrett, Alan M., 553n108 Bishop, Kimberly, 214
Barrett, Devlin, 287n17 Bissell, Susan, 561
Ltd., 570 Barsoux, Jean-Louis, 179n69, 466n102 BISWA (Bharat Integrated Social Welfare
Authors Guild, 417 Barstow, David, 287n15
Autio, Erkko, 325n117 Bartlett, Christopher A., 300n, 323nn62–63 Agency), 252
Autoblog Green, 428 Bartol, Kathryn M., 552n62 Bital Bank, 564
Autokonzern, 28 BASF AG, 63 Bjorhus, Ms., 252
Avianca, 334t Bass, Bernard M., 487–488, 505nn72–75 Bjork, Christopher, 411n15
Avolio, B., 506n100 Bates, Karen, 105n6 Bjorkman, Ingmar, 553n113
Avolio, Bruce J., 498n, 505n75, B.A.T. Industries PLC, 307 Black, J. Stewart, 271n, 534, 551n60, 552n83
Battelle, John, 419n6 Blackberry, 367
506nn102–103, 506nn104–105 Baudet, Stephane, 270 Blackberry Ltd., 397
Avon, 201 Bawden, Tom, 287n34 Blackwell, Charles W., 224, 244n50
AvtoVAZ, 361 Bayer AG, 119f Blair, Tony, 47
Awata, Fusahao, 264 Bazerman, Max H., 228n Blake, Robert S., 476n
Axtell, C. M., 504n38 Beamer, Linda, 244n55 Blanford, Nicholas, 69n2
Axtell, Roger E., 152n20, 244n49, 515n Beamish, Paul W., 338n, 373n, 384n40 Blank, Arthur, 500
Aycan, Z., 504n34 Beattie, Alan, 39n30 Blanket America, 105
Ayre, James, 71n56 Bechtel, 370 Blino, Mark C., 552n89
Ayub, Tahir, 547 Bechtolsheim, Andy, 415 Blogger, 416
Azarova, Tetyana, 111n, 253n, 260n, 286n, Beechler, Schon, 178n49, 553n98, Blondet, Sylvie, 265
Bloomberg, 565
429n, 574n 553n104, 553n105 Bloomberg BNA, 512
Bacardi, 220 Beer, Lawrence, 101n Blustein, Paul, 39n29
BackRub, 415 Behring, Kenneth E., 254n50 BMW, 24, 310, 397, 408t
Backstrom, Lars, 38n3 Beijing Automotive Industry Holding, 377 Bodega, 280, 281
Badal, E., 261n17 Beitle, Marcy, 178n29 Bodur, Muzaffer, 505n89
Badawy, M. K., 485n Bellman, Eric, 71n49, 254nn18–19, 429n5, Boehringer Ingelheirn GmbH, 119f
BAE, 91 Boeing, 32, 89, 395
Bae, Seung-Hyun, 178n41, 178n42, 429n8, 429n32, 430n67, 430nn70–71 Boje, D. M., 465n96
Bello, Walden, 41n76 Bolt, James F., 162n
357n54, 465n87 Ben and Jerry’s, 580 Bompreco, 283
Baer, Justin, 57n Ben-Baruch, Dorit, 465n77 Bonache, Jaime, 551n61
Baglole, Joel, 322n25 Bender, Ruth, 325n111 Bond, Michael, 152n31
Baidu.com, 415–417 Bendixen, Mike, 206n53 Bond, Sir John, 565, 569, 574n8
Bai Fu Qin Ltd., 255, 257 Beneficial Corp., 565 Bonesteel, Matt, 385n81
Bailey, Brandon, 40n67, 179n54 Bengali, Shashank, 41n95, 41n97, Bonvillian, Gary, 152n19
Bailey, Elaine K., 527, 552n66 Booder, 353
Baker, Aryn, 254n23 288nn53–54 Booker, Niall, 565
Baker, James C., 551n57 Bennett, Winston, Jr., 551n41 Boomer, L. Gary, 503n22
Baker, Lianna B., 411n5 Bentham, Jeremy, 78, 95n36 Borstorff, Patricia C., 521, 551n51
Baker, Stephanie, 553n124 Bergsma, Derk, 321n14 Borza, Anca, 356n27
Balachandar, G., 39n26 Bergsma, Kelley, 260n Boston, Willaim, 413n48
Balfour, Frederik, 278n32, 385n72 Berkeley, Jon, 411 Boston College, 110
Ball, Donald, 70n16, 70n19 Berkshire-Hathaway, 109, 110 Boston Consulting Group, 284
Ballmer, Steve, 331 Bernstein, Aaron, 111n5 Botox, 346
Banana Link, 576 Berntell, Anders, 252 Boudette, Neal, 504n44
Banco Bradesco, 566 Berry, Heather, 243n30 Boudreau, John, 40n67, 179n54
Banco Walmart, 281–282 Berthod, Marc, 266–267 Bounteous Company Ltd., 282
Banerjee, Mamata, 426 Best Price Modern Wholesale, 284 Bourguignon, Philippe, 262, 271
Banerji, Sumant, 430n65 Beswick, David, 463n15 Bourke, Juliet, 205nn4–5
Banjo, Shelly, 40n70, 96n49 Bhagat, Rabi S., 454, 463n36, 465n74 Boussois-Souchon-Neuvesel (BSN), 255
Bank of America, 380, 568 Bhagwati, Jagdish, 39n24 Bowler, Tim, 326n131
Bank of China Ltd., 566, 568 Bharat Integrated Social Welfare Agency Bowman, Robert J., 384n49
Bank of Communications, 564, 568, 569–570 Boyle, Matthew, 287n6, 287nn39–41,
Bank of Communications Ltd., 282 (BISWA), 252
Bank of East Asia, 275 Bharti Enterprises, 43 288nn46–48, 462n2, 462n9
Banque Indosuez, 267 Bharti Group, 284 BP (British Petroleum Company PLC), 5t,
Banque National de Paris, 266 Bhatt, Bhal, 244n42
Bansal, Govind, 71n60 Bhattacharjee, Ashtok, 72n71 49, 336, 342, 360–361, 497, 499,
Baojun, 347 Bhuian, Shahid N., 465n83 516–517, 554
Bao Viet Holdings, 571 Bhushan, Ratna, 254n21, 323n48, 323n52 Bradsher, Keith, 70n25
Barbaro, Michael, 190n BIC, 20 Brady, Diane, 253n14, 253n16, 254n24,
Barboza, David, 96n47, 111nn2–3, 278n26 Bill and Melinda Gates Foundation, 118, 387 254nn32–35
Barclays, 89 Billou, Niels, 325n113 Brake, Terence, 211n
Barczak, Gloria, 484n Bilton, Nick, 177n13 Brandt, William K., 244n51
Bipartisan Policy Center, 286

Name Index 607

Branson, Richard, 500 C&A, 81, 111 CFDT (Confédération Française
Brauchli, Marcus W., 370n Cahill, Kevin, 420n44 Démocratique du Travail), 269
Braun, 20 Cahill, Thomas, 8n
Bray, Chad, 151n1 Calderón, Felipe, 24, 89 CGT (Confédération Générale du Travail),
Brazilian Central Bank, 32 Calico, 418 267, 269–270
Bremner, Brian, 253n14, 253n16, California State Supreme Court, 99–100
Caligiuri, Paula M., 519, 539–540, Chaison, Gary, 112nn14–17, 112nn19–20,
254n24 112nn22–23
Breslin, Richard W., 553n107 551n46, 553n106
Brett, Jeanne M., 206n39, 244n69 Callus, Andrew, 383n14 Chajet, Jonathan, 259
Brewster, Chris, 551n61 Calori, Roland, 324n90 Chakravarthy, Balaji S., 160n
Breyer, Stephen G., 100 Cameron, David, 26, 46, 47, 49 Chan, Peng S., 356n10
Brigante, Ricky, 277n14 Cameron, Kim S., 506nn97–98 Chanakya, 499
Bright Dairy, 256 Campbell, Elise, 244n61 Chandler, Clay, 287n24
Brimm, Michael I., 484n Campbell, Mikey, 96n46, 96n48 Chandler, Susan, 370n
Brin, Sergey, 415–416, 419n7 Canon, 408t Chandran, Rina, 430n44, 430n49
Briscoe, Dennis R., 552n68 Cantrell, Susan, 550n21 Chaney, Lillian H., 125n, 233n, 465n73
Bristol-Myers Squibb Co., 119f Capell, Kerry, 323n69 Chang, Leslie, 550n24
British Airways, 333, 334t Capital One 360, 64 Chang, Sea Jin, 306, 324n83
British Bank of the Middle East, 564 Capital One Financial Corp., 566 Chao, Loretta, 254n52, 420n34
British Petroleum Company PLC (BP), 5t, Capon, Noel, 322n42 Chapman, Tony, 525–526, 552n63
Cappelli, Peter, 505n66 Charity: Water, 104
49, 336, 342, 360–361, 497, 499, Carasso, Isaac, 255 Charles, Prince of Wales, 83
516–517, 554 CARE, 86, 89 Chaturvedi, Mr., 425
Broad-Based Black Economic CARE Canada, 46 Chee, Foo Yun, 384n32
Empowerment, 33 CARHCO (Central American Retail Chen, Chao C., 152n37
Bröcker, Willem, 547 Chen, Eva, 170
Brodbeck, Felix C., 489–491, 505n78, Holding Company), 283 Chen, George, 277n5, 278n35
505n81 Caribbean Beach Resort, 264 Chen, Kathy, 383n18
Broder, John M., 95n26 Carl, Dale, 505n91 Chen, Ming-Jer, 179n61
Brookfield Global Relocation Services, Carlton, 122 Chen, Xiao-Ping, 152n37
523, 533, 546 Carlton, Jim, 405n Chernotsky, Harry I., 324n89
Brooks, 109 Carney, Scott, 429n7, 429nn16–19, Cherry, 335
Brown, John Seely, 429n30, 430n34, Cherry, Kendra, 223n
430nn36–39 430nn68–69 Chesser, Paul, 95n27
Brown, William S., 456n Carow, K., 356n12 Chevron, 5
Brownback, Sam, 118 Carr, Nicholas, 210, 243n13 Child, John, 70n27, 357n45
Bruce, Bill, 260nn6–7 Carrefour, 279e, 281, 283–284 Chin, Denny, 417
Brundberg, Sven, 562n2 Carrera, Barbara, 262 China Airlines, 334t
Brunner Mond, 186 Carter, Chris, 244n46 China Association of Automobile
Brunwasser, Matthew, 69n5, 69nn7–8 Carter, Shan, 177n12
Brush, Silla, 57n Cascio, Wayner F., 385n63, 385n67 Manufacturers, 6
Brzezinski, Matthew, 384n39 Casson, Mark, 384n56 China Banking Regulatory Commission
BSN (Boussois-Souchon-Neuvesel), 255 Castle, 122
Buckley, M. Ronald, 515, 550n33 Castro, Fidel, 98 (CBRC), 567–568
Buckley, Peter J., 384n56 Castro, Raul, 98 China Beverage Industry Association, 257
Buckman, Rebecca, 70n42 Caterpillar, 5 China Construction Bank, 563, 566, 568
Budhwar, Pawan S., 536–537, 552n94 Cathay Pacific, 334t China Europe International Business
Budweiser, 122 Cattaneo, Julian, 244n42
Buerkle, Tom, 287nn36–37 Caudron, Shari, 178n44 School, 170
Buffett, Warren, 110 Cavale, Siddharth, 253n7, 254n49 China Huiyuan Group, 256
Bunyaratavej, Kraiwinee, 71n67 Cavusgil, S. Tamar, 325nn120–121 China Labour Watch, 280
Burger King, 336 CBRC (China Banking Regulatory China National Offshore Oil Group, 7t
Burkitt, Laurie, 40n70, 40n71, 288nn51–52, China Ocean Shipping (Group) Company, 7t
355n3 Commission), 567–568 China Resources Enterprise, 282
Burns, John F., 43n CBS, 263 China Telecom, 61, 293
Burt, Steve, 562n5, 562nn9–11, CCF, 564 Chinese Academy of Social Sciences, 567
562nn15–16 Cemex, 6, 315t Chiquita Brands International Inc., 86,
Busch, 122 Cemex SAB, 375
Bush, George W. (and administration), Cendrowicz, Leo, 383n31 575–582
100, 366 Cendrowski, Scott, 70n36 Chirac, Jacques, 265
Bush, Jason, 70n21 Center for Creative Leadership, 170 Chitakasem, Parita, 275
Business Roundtable, 100 Center for Science and Environment Chon, Gina, 322n38
Business Standard, 508 Choudhury, Gaurav, 43n
BusinessWeek, 428, 432–433 (CSE), 248, 249, 250t Chouinard, Yvon, 74–75
Butare, Albert, 316 Centers for Disease Control and Prevention Chran, Ram, 484n
Butler, Sarah, 287n34 Christensen, Clayton, 325n103
Byham, William C., 243n16 (CDC), 117–118 Christmann, Petra, 96n64
Byme, Andrew, 69n6 Central American Retail Holding Company Christodoulou, Chris, 322n42
Christophe, Stephen, 358n65
(CARHCO), 283 Christou, Dennis, 578, 580
Central Ground Water Authority (CGWA), 251 Chrysler, 123, 148, 334, 406t
CERES (Coalition for Environmentally Chung, Olivia, 383n20
Ciaccia, Chris, 420n48
Responsible Economies), 580

608 Name Index

Cianci, Rebecca, 438n Contractor, Farok J., 384n57 Defotis, Dimitra, 325n110
Cifferri, Luca, 177n25 Contractor, J., 356n9 Degelmann, Thor, 269–270
Cifra, 281, 307 Cook, R. Christopher, 70n34 De Guzman, Doris, 71n52
Cigarros La Tabacalera Mexicana SA, 307 Cook, Tim, 500 de La Torre, J., 325–326n124
Cincinnati Enquirer, 576, 578 Cooper, C., 506n99 Delios, Andrew, 385n59
Cinderella, 268 Cooper, Cary, 519n, 551n44 Dell Computer, 64, 81, 107
Cisco Systems, 6, 303–304, 415, 507, Cooper, C. L., 463n36 Deller, J., 504n34
Coopers Lybrand, 547 Deloitte, 393, 516
513, 547 Coors, 220 Deloitte Touche Tohmatsu, 182–184
Citi Asia Pacific, 294 Copa Airlines, 334t de Lombaerde, Geert, 582n2
Citibank, 293–294, 380 Cora, James B., 265 Delta Airlines, 334t
Citicorp, 293 Corona, 122, 307 Delta Motor Corporation, 66
Citigroup, 89, 564, 565 Corran, Caroline, 383n6 DeMeuse, Kenneth P., 465n72
Claessens, Stijn, 97n76 Corus, 422 Deng Xiaoping, 170
Claris Lifesciences, 292 Costco, 279e Den Hartog, Deanne, 505n85, 505n90
Clark, Andrew, 287n8, 287n38 Cott Beverages, 249 Denmark, Florence L., 505n85
Clark, Don, 324n79, 357n33, 506n119 Couto, Vinay, 517n, 551nn39–40 Deogun, Nikhil, 323n49
Clark, Liat, 420n45 Coy, Peter, 550n20 Deshmukh, Kiran, 425
Claus, Lisbeth, 552n68 C.P. Pokphand Company, 281 Deutsche Bank, 10, 64, 79, 89, 391, 570
Clemens, Jason, 206n56 Crampton, Thomas, 277n3 Devichand, Mukul, 69n12
Clifford, Stephanie, 287n16 Credit Suisse, 79, 89 Dhar, Sujoy, 430n44, 430n49
Clinton, Bill (administration), 219 Cremer, Andreas, 413n49 Diamond, Mike, 503n20
Clinton, Hillary, 4, 417 Cresson, Edith, 266 Dickies, 286
Closer Marketing Group, 102 Crisil, 421 Dickinson, Steven M., 257n, 260,
CNIL, 418 Crookell, Harold, 338n, 373n, 384n40
Coakley, Lori A., 162–163, 178n31 CSE (Center for Science and 261nn27–34, 261nn55–56
Coalition for Environmentally Responsible Dick’s Sporting Goods, 110
Environment), 248, 249, 250t Diehtl, E., 371n
Economies (CERES), 580 Cutrale-Safra, 581 Dillon, Linda S., 243n17
Coalition of Latin American Banana Dacia, 158 Dillon, W. Tracy, 219, 243n34
Dacin, M. Tina, 356n27 DiMasi, Joseph A., 120n7
Workers’ Unions (COLSIBA), 580 Daewoo, 29, 186 Dinur, Adva, 357n44
Coca-Cola, 5, 14, 161, 246, 248–254, 256, Daewoo Commercial Vehicles Company, 422 Disney, 107, 262–271, 273–277, 398, 408t
Dahan, Nicolas, 314, 315n, 325n108 Disney, Roy, Jr., 263
257, 296–297, 337, 338, 366, 380, Daiichi Sankyo Co. Ltd., 119f, 292 Disney, Roy, Sr., 263
405, 512, 514, 538, 543 Daily Telegraph, 521 Disney, Walt, 262–263
Coca-Cola India, 249, 251, 252 Daimler, 9, 91, 123, 310, 408t Disney Channel, 267
Cohan, Peter, 177n8 Daiwa Institute of Research, 569 Disneyland, 262–264
Cohen, Eli, 538, 553n100 Damac Properties Company, 375 Disneyland Paris (Euro Disneyland),
Cohen, Jared, 4 D’Amour, Rosemary, 69n3
Cohen, Roger, 269n Danette, 255 262–271, 273
Cohen, Tova, 272n1, 322n22 Daniels, John D., 412n41 Disney-MGM Studios, 265, 266
Colao, J. J., 105n10, 106n12 Danisco, 122–123 Disney’s Caribbean Beach Resort, 264
Cole, Wayne, 272n1 Dannon Milk Products, Inc., 255 Disney’s Dolphin and Swan Hotel, 264
Colgate-Palmolive, 408t Danone, 314 Disney’s Grand Floridian Beach Resort, 264
Collins, Jamie, 97n78, 325n98, 385n66 Danone Asia Pte Ltd., 258 Disney’s Yacht Club and Beach Resort, 264
COLSIBA (Coalition of Latin American Danone Biscuits, 256 Disney World, 264, 267–268, 269e, 270
Banana Workers’ Unions), 580 Danone Group, 255–260 Distribución y Servicio (D&S), 283–284
Colton, Debra, 336n Danonino, 255 DiversityInc magazine, 190
Columbia University, 110 Darlington, Gerry, 152n17 Dixon, George, 243n16
Columbus, Christopher, 8 Das, Anupreeta, 322n38 Dizik, Alina, 547n
Colvard, James E., 503n17 Dastmalchian, Ali, 149n, 153nn51–52, Djarova, Julia G., 385n64
Commerce One, 294 Dodd, Nancy G., 465n82
Communist Polish United Workers 505–506nn93–94 Doh, Jonathan P., 3n, 13n, 39n23, 51n,
Party, 28 Datsun, 427
Companhia Brasileira de Distribuio Po de Dauch, Richard, 413n54 71n67, 79n, 86n, 91n, 96n63,
Acar, 283 Davenport, Cheryl, 106n29 97n78, 105n, 111n, 119n, 132n,
Compaq, 296 David, Ruth, 429n2, 429n11, 429n13 134n, 135n, 147n, 148n, 169n,
comScore, 4 Davidson, Michelle, 466n106 197n, 211n, 239n, 244n60, 244n66,
Confédération Française Démocratique du da Vinci, Leonardo, 268 253n, 260n, 277n, 286n, 309n,
Travail (CFDT), 269 Davis, Bob, 97n77 313n, 314, 315n, 324n93, 324n97,
Confédération Générale du Travail (CGT), Davis, Don, 411n9 325n98, 325n100, 325n108, 356n26,
267, 269–270 Davis, H. J., 445n, 463n35 384n41, 384n45, 384n46, 384n51,
Conger, Jay A., 505n70 DeBord, Matthew, 430nn74–75 385n60, 385n65, 385n66, 419n,
Conlin, Michelle, 179n62, 465n80 Decker, Susan, 420n40 429n, 494n, 506n95, 506n108,
Connor, Stephanie, 70n34 Deen, Thalif, 254n51 506n109, 510, 532n, 550n4,
Connor, Tim, 112n6 Def Jam Recordings, 500 550nn16–17, 562n, 574n, 582n
ConocoPhillips, 398 Dolphin and Swan Hotel, 264
Conservation International, 86 Donaldson, Thomas, 95n31, 96n56
Continental Gummiwerke, 233–234

Name Index 609

D’Onfro, Jillian, 411n8 Engardio, Pete, 10n, 43n Financial Times, 161, 248, 482
Dongfeng Motors, 377 Engel, Dean W., 553n112 Fingar, Courtney, 253n10
Dorfman, P., 504n36 Engels, Friedrich, 48 Fingas, Roger, 323n56
Dorfman, Peter, 505–506nn93–94, 505n81, England, George W., 152n22 Firger, Jessica, 120n6
Enquist, Bo, 562n1, 562n7, 562n12, 562n28 First Niagara Financial Group Inc., 566
505n82 Enright, Michael J., 325nn105–106 First Pacific, 65
Dorfman, Peter W., 145n, 149n, 153nn51–52, Enron, 89, 370, 497 Fischer, Bill, 356n7
Envick, Brooke R., 464n45 Fisher, Caroline, 205n21
153n54, 153n56, 153nn59–60, Environics, 497 Fisher, Cynthia D., 433–434, 463n12
178nnn50–51, 506n96 Environmental Protection Agency, 88 Fisher, Roger, 235, 237, 245nn76–78
Dou, Eva, 324n79 EPA (U.S. Environmental Protection Fisher & Paykel, 328
Doulton, Melanie, 183, 205n7, 205n12 Fitch, 56
Drivers Ed Direct, 102 Agency), 84 Fitch, Laura, 112n28
Droger, 279e EPCOT Center, 264 Fitzgibbon, Blair, 96n60
Dr. Reddy’s Laboratories, 291 Erez, M., 451, 464n58, 464n61 Fitzpatrick, Robert, 262, 265–266, 270
Druckman, Daniel, 244n68 Ericsson, 298, 316 Flickr, 4
D&S (Distribución y Servicio), 283–284 Ernst & Young, 508, 560, 561 FLO (Fairtrade Labeling Organizations
Dudley, Bob, 554 Eshgi, Golpira, 413n56
Dudley, Robert, 362 E*Trade, 319 International), 88
Dudley Sports, 109 Euro Disneyland (Disneyland Paris), Florida International University, 32
Duke, Mike, 190 Flory, Louis, 412nn25–26
Duke University, 118, 517 262–271, 273 Fludder, Steven M., 89
Dumaine, Brian, 95n14 Euromonitor International, 274, 275 Flynn, D. M., 152n23
Dunfee, Thomas W, 96n56 Euronext Paris, 255 FOCAC (Forum on China-Africa
Dunn, Collin, 582n8 European Central Bank, 25, 57
DuPont, 122–123, 124, 148 European Commission, 25, 56–57, 361, Cooperation), 297
Duska, Ron, 96n53 Food and Agriculture Organization, 252
Dutton, Jane E., 506nn97–98 366–367, 507 Food and Drug Administration (FDA),
Dvorak, Phred, 384n33 Evans, Jonny, 323n58
Eandi, Susan, 552n69 Everland, 276 117, 118, 291
Earley, P. C., 451, 464n60, 464n61 Evian, 255–256 Forbes magazine, 407
Earley, P. Christopher, 153n63, 196n Ewing, Jack, 72nn76–77, 550n20 Ford, Royal, 323n66
Eastern Congo Initiative, 104 Exxon Corporation, 369 Ford Motor Company, 5, 9, 28, 185, 220,
East-West Center, 370 Exxon Mobil, 5, 5t, 49, 100, 361, 380
eBay, 4, 388 EZ Laundry, 102 294, 305–306, 335, 379–381,
Ebbhardt, Tommaso, 356–357n29 Facebook, 2–4, 44–45, 64, 210 390–391, 395–397, 406t, 422, 427
Eberle, Otto, 105n Fadil, Paul A., 450n, 464n53 Forelle, Charles, 70n17
ECA International, 513 Fahey, Mark, 40n45 Forrester Research, 388
Edelman, 85 Fairholm, Matthew, 503n24 Forster, Carl-Peter, 427
Eden, Dov, 451, 464n64 Fair Labor Association, 75, 81, 109, 110 Forster, Nick, 550n25
Eden, Lorraine, 97n78, 325n98, 385n66 Fairtrade Labeling Organizations Fortune magazine, 75
Edgar, Bob, 570 Forum on China-Africa Cooperation
EDS, 516 International (FLO), 88 (FOCAC), 297
Edvardsson, Bo, 562n1, 562n7, 562n12, Fair Trade USA, 88 Foster, 122
562n28 Faison, Seth, 243n38, 383n17 Foster, Dean, 227–229
Edvardsson, Enquist, 557 Famous Brands, 154 Fox, Justin, 243n24
Edwards, Cliff, 550n31 Fan, Joseph P. H., 97n76 Fox, Vicente, 24
E! Entertainment Television, 102 Fannin, Rebecca, 420n18, 420nn21–22 Foxconn, 81
Egelhoff, William G., 412nn44–45 Fanta, 337 Fox Reality TV, 102
Egri, Carolyn P., 504n59 FARC, 579 Frakt, Andrew, 120nn29–32
Eilam, G., 496, 506n101 Farchy, Jack, 412n38 France Cable et Radio, 312
Einhorn, Bruce, 376n Farh, Crystal I. C., 552n62 Francesco, Anne Marie, 213n
Eisai Co. Ltd., 119f, 292 Farley, John U., 322n42 France-Soir, 270
Eisner, Breck, 264 Fattah, Zainab, 384n43 France Telecom, 312, 316
Eisner, Michael, 262–265, 267–268 FDA (U.S. Food and Drug Francis, June, 244n65
Elashmawi, F., 125n Frankena, W., 95n35
Elg, Ulf, 562n5, 562nn9–11, 562nn15–16 Administration), 117, 118, 291 Fredricksen, Clark, 411nn12–13
Eli Lilly & Co., 119f Federal Bureau of Investigation (FBI), 281 Freedman, Jennifer M., 322n28
Ellis, Paul, 171, 179n58 Federal Trade Commission, 418 Freidhem, Cyrus, 575
ELN, 579 Feldman, Daniel C., 552n89 French, Howard W., 95n41, 456n, 465n78,
El Wardany, Salma, 70n28 Ferenstein, Gregory, 106n35 552n82
Embraer, 6, 32, 386 Fernandes, Tony, 376 French, J. P., 464n59
Emirates, 334t Ferrero, 408t French’s, 20
Emirates Defence Industries Company, 347 Fiat, 334 Frenkel, Stephen, 435, 463n18, 542,
Emrich, Cynthia G., 505n85 Fiat Group Automobiles, 422 553n111
The Energy and Resources Institute Fidler, Stephen, 70n17 Fresh Express, 575, 580
(TERI), 250 Fiedler, Fred E., 553n114 Friedman, Brian, 551n49
Field, Hubert S., 551n51 Friedman, Thomas, 7, 39n21, 60, 70n40
Filmhouse Cinemas, 207 Frier, Sarah, 38nn1–2, 38n5
Finance Asia, 571 Frito-Lay North America, 339

610 Name Index

Fruit of the Loom, 86, 109, 110 Gilbert, Jacqueline A., 206n54 Greenleaf Center, 499
FTAA, 12 Gilead Sciences Inc., 119f Greenlees, Donald, 568n2
Fuji-Kiku, 457 Giles, William F., 551n51 Greenspan, Alan, 59
Fukushima, Kurumi, 288n56 Gillette, 514, 538 Greenwald, Richard A., 112n13, 112n18
Fuller, Thomas, 41n73 Gilley, K. Matthew, 551n50 Greenwood, J. Michael, 458, 465n97,
Futrell, David, 465n72 Giridharadas, Anand, 429n1, 429n33,
Fyffes, 581 552n72
Gabelli and Co., 275 430n73 Gregersen, Hal B., 271n
Gabot-Eremco, 271 Gladstone, Rick, 41n80 Gregory, Ann, 374n
GAC Fiat Automobiles Co., Ltd., 334 GlaxoSmithKline (GSK), 119f, 290–292 Griffith, Sarah, 211n
GAC (Guangzhou Automobile Gleason, Kimberly C., 325n123 Grimmett, Stephanie, 430nn42–43
Gleeson, Maureen, 419n15 Groh, Kenneth, 550n23
Group), 334 Global Community-Watershed Grolsch, 122
Gaddafi, Muammar, 51 Groupe Danone SA, 255–260
Gaffney, Alexander, 120n39 Partnership, 250t Groznaya, Elena, 508–509, 550n5
Gaines, 453 Global Water Challenge, 250 Grubel, James, 272n1
Gallagher, Henry, 385n73 Globe Telecom, 65 Grupo Carso, 312
Galloni, Alessandra, 70n17 Globoforce, 432 Grupo Modelo, 307
Gallup, 497 Gmail, 416, 417 Grupo Televisa, 6
Galperin, Eva, 69n4 GM (General Motors), 259, 294, 298, 334, Gryta, Thomas, 322n37
Galuszka, Peter, 370n GSK (GlaxoSmithKline), 119f, 290–292
Gambrel, Patrick A., 438n 339, 347, 348, 406t, 457 Gu, Wei, 40n69
Ganguli, Amulya, 250 GoAhead Tours, 4 Guandgong Development Bank, 564
Gannon, Martin J., 228n, 464n51, 515n Godiva, 21 Guangzhou Automobile Group (GAC), 334
Ganz, 28 Goeker, Tuygan, 469–470 Guardiola, Vincent, 267
Gap Inc., 30, 81, 107, 111, 286 Gogoi, Pallavi, 287n25, 287n29 Guay, Terrence R., 96n63
Garcia-Canal, Esteban, 356n22 Gold, Barry Allen, 213n Guerra, Victor, 540
Gardner, Greg, 323n55 Gold, Stanley, 263 Guervil, Antoine, 269
Gardner, William L., 498n, 506nn102–103, Goldman Sachs, 15–16, 79, 569, 570 Guest, Peter, 206n62
Goleman, Daniel, 503n15 Guge, 417
506nn104–105 Gong, Yaping, 504n40 Guice, Stephen, 218, 243n31
Garvin, David A., 413nn50–51 Goodell, Roger, 359 Guillén, Mauro F., 243n30
Gazprom, 336, 361–362 Goodman, Leslie, 274 Gulati, Nikhil, 253n8, 254n20
Geely, 6, 305, 335 Goodman, Peter S., 574n5 Gulf Air, 334t
GE Hitachi Nuclear Energy, 89 Google, 4, 5, 298, 363, 372, 408t, Gulliver, Stuart, 566, 570
Gehring, 353 Gunderson, Allison, 222n, 243n19, 244n67
GE Jenbacher, 89 415–420, 428, 483 Gundlach, Michael, 70n15
Gelfand, Michele J., 505nn83–84 Google+, 3, 4 Gunther, Marc, 96n69, 96n70, 96n72
GEMS (General Electric Medical Systems Google Capital, 419 Guo Ming, 512
Google X, 419 Guo Quan, 415
Group), 543 Gopalan, Suresh, 179n71 Guo Shuqing, 563
Genentech, 62, 292 Gorbachev, Mikhail, 370 Gupta, Anil K., 287nn9–13, 428, 430n72
Général Biscuit, 255 Gordon, Sandi L., 106n34 Gupta, Vipin, 153n54, 505n87, 505n91
General Electric Appliances, 21 Gordon, Sarah, 383n5, 383n7 Gustafson, Krystina, 288nn49–50
General Electric (GE), 3–4, 5, 6, 10, 21, Gorman, Anna, 117n Gustavsson, Peter, 324n90
Goss, Alannah, 276 Gustin, Sam, 412nn30–31
28, 30, 89, 294, 328–329, 366, 370, Gough, Neil, 245n82 Guthrie, Amy, 287n21
380, 395, 422, 476, 538 Gouvea, Raul, 179n72 Gutner, Toddi, 243n20
General Electric Medical Systems Group Govindarajan, Vijay, 287nn9–13 GV, 419
(GEMS), 543 Grabowski, Henry, 118, 120n7 Hachman, Mark, 357n41
General Foods, 453 Graham, Dave, 40n60 Hackett Group, 517
General Motors (GM), 259, 294, 298, 334, Graham, Edward, 39n24 Hagel, John, 429n30, 430n34,
339, 347, 348, 406t, 457 Graham, Jefferson, 106n21
Genting, 276 Graham, John, 70n33 430nn36–39
Gentleman, Amelia, 254n38, 254n48 Graham, John L., 238, 239n, 240n, 243n6, Hahn, Eugene E., 71n67
Genzyme, 292, 294–295 Haid, Michael, 550n4, 550nn16–17
Gerds, Johannes, 411n17 245nn73–74, 245n79 Haier, 6, 161, 293, 294, 328–329
Geringer, Michael, 70n16 Grameen Danone Foods Ltd., 314 Haire, Mason, 437–438, 463nn25–26,
Gervais-Danone, 255 Grand Floridian Beach Resort, 264
Ghemawat, Pankaj, 325nn105–106 Grant, Elaine Appleton, 550nn16–17 479–482, 485–486, 504nn45–46,
Ghiselli, Edwin E., 437–438, 463nn25–26, Green, Diana J., 218, 243nn32–33 504n50, 504nn53–54, 505n65,
479–481, 504nn45–46, 504n50, Green, Stephen, 566, 569 505n69
504nn53–54, 505n65, 505n69 Greenberg, Julia, 242n2, 243nn3–5, 243n7 Hakuhodo Institute, 265
Ghoshal, Sumantra, 300n, 323nn62–63 Green Giant, 21 Hall, Allan, 287n34
Ghoshen, Carlos, 159, 170 Greenhouse, Linda, 101nn3–4 Hall, E., 243n14
Gibson, Cristina, 182, 205nn2–3, 205n9, Greenhouse, Steven, 96n50, 112n29, Hall, E. T., 210, 243n14
205n11, 205nn13–15 Hall, Kenji, 550n31
Gibson, Jane Whitney, 224, 244n50 112n34, 112n37, 112nn39–40,
112n46, 112n47, 288n68,
288n69, 336n
Greenleaf, Robert, 499, 506n112

Name Index 611

Hallett, Tony, 10n Hempel, Jessi, 547n Honda Motor Co., 24, 81, 294, 298, 299,
Halliburton, 91 Henkoff, Ronald, 405n 304, 311, 406t, 422
Hambrick, Donald C., 484n Hennessey, 161
Hamm, Steve, 43n Herbert, T. T., 445n, 463n35 Honeywell, 366
Hammer, Mitchell R., 535, 552n87 Heritage Foundation, 55 Hongkong and Shanghai Banking
Hampden-Turner, Charles, 126, 127n, Herman Miller, 395
Heron, R., 356n12 Corporation, 564, 565
128n, 140, 152n21, 152nn47–48, Herszenhorn, David M., 70n32 Hongkong Bank, 564
152nn49–50, 178n32, 178n43, Herzberg, Frederick, 442–446 Hong Kong Disneyland, 273–276
195n, 232, 243n18, 245n71, 323n67, Hetter, Katia, 412n35 Hong Kong Peregrine Investment, 258
399–400, 412n40, 492, 505n79 Hewlett-Packard, 81, 107 Hon Hai Precision Industries, 7t
Hanada, Mitsuyo, 357n55, 358n60, 504n47 Hickins, Michael, 552n92 Hopewell, Barry, 322n40
Hanges, Paul, 149n, 153nn51–52, Higgins, L. H., 464n54 Horn, Michael, 84
153nn59–60, 505–506nn93–94, Hildebrandt, H. W., 217, 227, 243n28, Horovitz, Jacques H., 401, 412nn42–43
505n81, 505n82 Horvath, Lisa, 484n
Hanges, Paul J., 153n54, 505n80, 506n96 244n52 Hostetler, Bianca C., 383n30
Hang Seng Bank, 564 Hill, Charles, 323nn71–72 Hotten, Russell, 84n
Hangzhou Canning Food Factory, 257 Hill, Charles W. L, 8n, 70n41 Hou, P., 465n93
Hangzhou Wahaha Group Co. Ltd., 255, Hill, Raymond, 244n42 Hou Liquiang, 356n5
257, 258, 259 Hillman, Amy, 384n47, 384n48 House, Robert J., 145n, 149n, 153nn51–52,
Hanley, Steve, 95n21 Hilsenrath, Jon E., 43n, 411n14
Hannon, David, 179n73 Hindustan Coca-Cola Beverages Pvt Ltd 153n53, 153n54, 153n57, 153n58,
Hansegard, Jens, 562n2, 562n31 153nn59–60, 505–506nn93–94,
Hansen, L., 465n95 (HCBPL), 249, 252 505n80, 505n88, 505n89, 505n90,
Hanson PLC, 219 Hines, George, 443 505n91, 506n95
Hao, Helen, 357n47 Hines, George H., 463n30 Household Financial, 565
Harbrecht, Douglas, 353n Hirsch, Georges, 347n Household International, 565
Hardawar, Devindra, 177n11 Hirschler, Ben, 321n5 Howard, Rebecca, 355n2
Hariharan, Malini, 430nn46–48 Hispano Carrocera, 422 Howard, Steve, 558
Harpaz, Itzhak, 465n77 Hitachi, 89, 301, 414 Howell, Jon P., 506n96
Harris, Philip R., 125n, 179n60, 179n67, Hitachi Ltd., 347 Hoxha, Enver, 28
179n76, 221n, 543n Hitt, Michael A., 325n118, 356n27, HSBC, 64, 85, 89, 315t, 520, 563–574
Harris, Stanley G., 551n51 HSBC Bank (China) Company Limited,
Harris Moure PLC, 260 384n47 573
Harrison, Ann, 112nn7–9 Hiuyuan Juice, 246 HSBC Bank USA, 565
Harrison, David A., 551n50 Hjelmgaard, Kim, 70n24 HSBC Finance Corp., 565
Harrison, Virginia, 40n63 H. J. Heinz, 392 HSBC Holdings, 391, 564–565
Hart, Stuart, 325n103 H&M, 81, 111 Hsu, Tiffany, 562n27
Hart, Stuart L., 325n104, 325nn105–106 Hoa, Tran Van, 247n HTC, 158
Hart, William, 552n87 Hocking, J., 384n35 Huang, Christine T. W., 356n15
Hartman, Laura P., 112n12, 112n21, Hodge, Shelda, 162n, 221n, 228n Huang, Xu, 504n40
112nn24–27 Hodgetts, Richard M., 162, 178n45, 221n, Huawei Technologies Co. Ltd., 304
Harvard, 316 Huaxin Securities Co. Ltd., 570
Harvard Business Review, 209 224, 225n, 244n50, 323n53, 323n54, Hubbard, Ann, 70n18
Harvard University, 110 356n8, 396n, 412n22, 463n24, Hubbard, Kelsey, 105n4
Harvey, Michael G., 515, 550n33, 551n34, 464n66, 475n, 503n14, 505n71, 543n Hubbard, R. Glenn, 40nn55–57
551n42 Hoecklin, Lisa, 152n46, 178n28, 187n, Hughes, Matthew O., 465n91
Harzing, Anne-Wil, 323n73, 357n53 188n, 189n, 205n18, 206n28, 206n35 Hughes, Robert, 206n36
Hastings, Reed, 209 Hofheimer, Bill, 358n72 Hu Jintao, 415
Hawksworth, John, 40n46 Hofheinz, Paul, 413n48 Hulbert, James, 322n42
Hay, Michael, 562n1, 562n7, 562n12, Hofmann, Mark A., 384n50 Hulbert, James M., 244n51
562n28 Hofstede, Geert, 129–139, 141, 145, 147–148, Hulme, Caroline, 503n18
Hayes, J., 539, 553n102 152nn27–29, 152n30, 152n31, Human Rights Watch, 361
Hay Group, 407 152nn34–36, 152nn38–43, 153n62, Hume, David, 47
Haynes, Brad, 288n45 166, 186, 438–440, 447, 448, 452n, Hunt, James G., 503–504n32
HCBPL (Hindustan Coca-Cola Beverages 463nn28–29, 464n50, 494n, 532 Hurun Report, 259
Pvt Ltd), 249, 252 Hofstede, G. J., 131n, 132n, 136n, 137n, Hussein, Saddam, 365
He, Laura, 504n58 138n, 147n Hutchinson Whampoa Limited, 7t
Head Start, 100 Holiday Inn, 21, 336 Hwa-seok, Oh, 206n26
Healey, James R., 357n30 Holland, John, 110 Hyundai, 9, 29
Heft, Miguel, 97n91 Hollande, François, 46 Hyundai Motor Co., 427
Heineken, 161 Hollinger, Dick, 263 Iberia Airlines, 333, 334t
Helfand, Carly, 357n42 Holman, D. J., 504n38 IBM, 83, 107, 129–130, 147, 266, 296, 299,
Helft, Michel, 177n12 Holodny, Elena, 39n35 308, 348, 467, 513, 514, 516, 538
Heller, Jean E., 551n58 Holstein, William, 206n31, 206n33 IBM Global Technology Services, 467
Heming, David, 465n85 Holt, Erik, 582n ICCR (Interfaith Center on Corporate
Holtbrugge, Dirk, 385n62 Responsibility), 107
Holusha, John, 407n, 413n53, 515n
Home Depot, 279e, 284, 500

612 Name Index

Icelandair, 334t Ito-Yokado, 281 Kam, Andrew, 274
ICI India, 499 ITT (International Telephone and Kamprad, Ingvar, 555–557, 559, 561
Idemitsu Oil Development Company, 380 Kansara, Vikram Alexei, 105n8
Ikano, 555 Telegraph), 307, 400 Kant, I., 77–78, 95nn32–33
IKEA, 49, 172, 408t, 555–561 Iun, Joyce, 504n40 Kant, Ravi, 421
Ikon, 390–391 Ivancevich, John M., 551n57 Kanter, James, 72nn76–77
Ilwa, 28 Ivanova, Deyana, 179n84 Kanungo, Rabindra N., 463nn37–38
IMF (International Monetary Fund), 9, 25, Ivencevich, John M., 206n54 Kanungo, R. N., 504n34
Iwawaki, S., 463n42 Kapoor, Charu, 321n8, 321n11
29, 32, 364 Jackson, Michael, 268 Karam, Zeina, 69nn9–10
IMJ, 306 Jacob, Rahual, 43n Karaman, Bahar, 322n33
Immelt, Jeffrey R., 89 Jaguar, 335, 422 Kasky, Marc, 99
IMS, 290 Jaguar Land Rover, 6, 20, 305 Kasparov, Garry, 27n, 32n
InBev, 123–124 Jajoo, Vaishali, 428 Kass, John, 244n41
Inbursa, 282 Janssens, Maddy, 206n39 Kate, Daniel Ten, 412n28
Indica, 422 Japan Airlines, 334t Katyal, Ritika, 41n91
Inditex, 81, 111 Japan Bank for International Katzenberg, Jeffrey, 263
Indosat Ooredoo, 467 Kavanagh, Michael, 383n5, 383n7
Industrial & Commercial Bank of China Cooperation, 248 Kawahito, Hiroshi, 456
Jargon, Julie, 411n16 Kazeem, Yomi, 288n63
Ltd., 566, 568 Jasper Technologies, 303 Kedia, Ben L., 552n90
Infosys, 6, 516 Javidan, Mansour, 145n, 149n, 153nn51–52, Keim, Gerald, 384n48
Ingka, 555, 561 Keith, Kent, 499
Inkpen, Andrew, 152nn11–13, 357n44, 153n53, 153n54, 153n58, 153nn59–60, Kelion, Leo, 177n14
178nnn50–51, 505–506nn93–94, Kenny, Edna, 46
384n58 505n80, 505n82, 505n86, 505n88, Kent, Thomas W., 503n21
Inspur Group, 304 505n91, 505n92, 506n108 Kenter, Michael E., 322n44
Instagram, 2–3, 4 Jayaprakash, Pakshalika, 411n17 Kentucky Fried Chicken (KFC), 220, 247,
Institute of Public and Environmental JCPenney, 107, 284
J.D. Power and Associates, 298 265, 336
Affairs, 252 Jeep, 335 KenyaNet, 316
Institutional Revolutionary Party, 24 Jefri, Omar A., 465n83 Kepler Securities, 282
Insurance Institute for Highway Safety, 428 Jerzees, 109 Kerr, Stephen, 465n89
Intel, 85, 408t Jet Airways, 334t Kets de Vries, Manfred F. R., 503n29
Interbrand, 255, 259 Jet Blue, 334t Khanna, Tarun, 325nn105–106
Interfaith Center on Corporate Jeuchter, W. Mathew, 205n21 Khomeini, Ruhollah, 365
Jie, Ma, 412n28 Khrennikov, Ilya, 383n6
Responsibility (ICCR), 107 Jie, Yang, 71n66 Killing, J. Peter, 338n, 373n, 384n40
Inter IKEA Systems BV, 555 Jin Jia Investment, 257–258 Kim, Ken I., 464n55
Internal Revenue Service (IRS), 281, 530 Jobs, Steve, 156, 157 Kim, N., 465n93
International Association of Amusement John, King of England, 8 Kindle, 389
John, Sujit, 96n55 King, Neil, 383n27
Parks and Attractions, 276 Johns, Jaclyn, 253n Kingfisher PLC, 283
International Computers Ltd., 229 Johnson, Bobbie, 420n32 Kirby, Jason, 245n84
International Consortium for Executive Johnson, Carolyn Y., 120n3 Kirchner, Cristina de, 31
Johnson, James Patrick, 179n70 Kirchner, Néstor, 31
Development Research, 547 Johnson & Johnson, 5, 119f, 408t, 547 Kirk, Donald, 41nn93–94
International Labour Organization, 80, 108 Jolly, David, 206n32, 206n34 Kirkman, Bradley L., 182, 184, 205nn2–3,
International Monetary Fund (IMF), 9, 25, Jones, Bodil, 552n96
Jones Day, 55 205n9, 205n11, 205nn13–15
29, 32, 364 Jopson, Barney, 574n7 Kiviniemi, Peppi, 356n25
International Standards Organization Josefson, Mark, 282 Klein, Ezra, 420n42
Joynt, Pat, 140n, 152n16, 490n, 526n, Klein, Roland, 123
(ISO), 396 552n63 Kleiner, Brian H., 356n15
International Telecommunications Union, 65 JP Morgan, 79 Kleiner Perkins Caufield & Buyers, 415
International Telephone and Telegraph JP Morgan Chase & Co., 566 KLM, 334t
Judson College, 428 Kluckhohn, Florence Rockwood, 163n
(ITT), 307, 400 Juergen, Michelle, 106n45 Knight, Ben, 40n62
International Union of Foodworkers, 579–580 Jun, Luo, 568n4 Knight, Gary A., 325nn120–121
International Wireless of Boston, 316 Kabasakal, Hayat, 505n89 Knight, Phil, 99
Intuit Inc., 306 Kageyama, Yuro, 177n21 Kobayashi-Hillary, Mark, 79
Inzerilli, Giorgio, 243nn21–22 Kahn, Joseph, 243n36 Koepp, Stephen, 265n
Ip, Greg, 39nn37–41, 40n42 Kakabadse, Andrew, 457, 465n86, 484n Koglmayr, H. G., 371n
Ireland, Duane R., 325n118 Kakuyama, T., 464n65 Koizumi, Junichiro, 55
Irix Pharmaceuticals, 291 Kalaritis, Panos, 291 Kollewe, Julia, 321n17
IRS (Internal Revenue Service), 281, 530 Kale, Prashant, 206n25, 206n27 Kolodzieski, Edward J., 283
Irvine Co., 263 Kaleem, Aliya, 357n43 Konda, 293
Isaza, Marcela, 106n43 Kondrasuk, Jack N., 384n34, 384n36
Isdell, E. Neville, 251
Ishii, Jun, 456
ISIS (Islamic State of Iraq and Syria),

44–45, 51, 52, 365, 368
ISO (International Standards

Organization), 396
Israel, J., 464n59
Italie, Leanne, 106n43

Name Index 613

Koninklijke Philips Electronics N.V., 345 Lee, Cyrus, 411n2 Liu, Nicole, 277n6
Korber/Hauni, 353 Lee, Jean, 178–179n53, 198, 206n48 Locke, Edwin A., 464n57
Korean Air, 334t Lee, Kenneth, 569 Lockheed Corporation, 91
Korea Telecom, 65 Lee, Sang M., 152n25, 323n54, 412n22, Lockheed Martin, 347
Kossek, Ellen Ernst, 552n88 Loftus, Peter, 321n18
Kotabe, M., 323n46 478, 504n42, 504n49 Lohia, Gaurav, 427
Kovach, Carol, 201 Lee, Tosca M., 504n42 Lohr, Steve, 551n36
Kovalev, Vladimir, 95n39 Lee Hoon, 276 Long, Tony, 419n10
Kowitt, Beth, 562n20 Lee Tenghui, 219 Looker, Larry, 468
Kozlov, Vladimir, 243nn8–11 Le Figaro, 267, 268 Loose, Cathy, 552n65
KPMG, 579 Legend, 293 Loosemore, Martin, 384n37
Kraft Foods, 256, 391 LEGO Group, 408t Lopez, Raymond H., 277nn1–2, 277n15
Kraft Heinz Company, 392 Legoland, 276 Lorange, Peter, 384n57
K. R. Choksey Shares & Securities Lehman Brothers, 89 Lord, Michael D., 244n57
Lehrer, Mark, 358n62 L’Oréal, 314, 408t
Pvt., 427 Lei, David, 356n21 Loreto y Pena Pobre, 307
Kreder, M., 412n46 Leininger, Jim, 433, 462nn10–11 Love, Dylan, 177n3
Kripalani, Manjeet, 43n Leke, Acha, 41n86 Lowe, K. B., 465n93
Krishna, R. Jai, 384n33 Lenartowicz, T., 179n70 LU, 255
Krishna, Sonali, 271n Lenenergo, 559 Lu, Yuan, 553n113
Krishnan, Herna A., 412n23 Lenin, Vladimir Ilyich, 48 Lubatkin, Michael H., 463n20
Kronenbourg, 255 Lenovo, 6, 85, 395, 418, 500 Lubin, Gus, 413n63
Krudewagen, Ute, 552n69 Leon, Julio, 463n31 Lublin, Joann S., 39n13, 355n3
Krus, David J., 464n48 Leonard, Christopher, 71n51 Lubove, Rebecca E., 456n
Kucera, Danielle, 411n6 Leonardo da Vinci, 268 Lucent Technologies, Inc., 186–187
Kuivalainen, Olli, 325n122 LePage, Evan, 38n4 Luciana (Roche Diagnostics
Kulish, Nicholas, 562n29 Lessen, Ronald, 189
Kullman, Ellen, 151nn2–6 Leung, K., 504n37 employee), 469
Kumar, Arvind, 249 Leung, Kwong, 153n55 Lufthansa, 333, 334t
Kumar, Hari, 41n96 Levine, David I., 465n84 Luk, Dora M., 551n50
Kumar, Rajesh, 253n3 Levine-Weinberg, Adam, 242n1 Lukoil OAO, 7t
Kunnanatt, James Thomas, 505n64 Levi Strauss & Co., 83, 86, 161, 408t, 497 Lula da Silva, Luis Inácio, 32
Kuratko, Donald F., 225n, 356n8 Levitas, Edward, 356n27 Lumax, 425
Kurczewski, Nick, 430n41, 430n45, Lewin, Arie, 551nn39–40 Lund, Adrian, 428
Lewin, Arie Y., 517n Lund, Susan, 41n86
430n50, 430n55 Lewis, Richard D., 179n63, 179n68, 221n, Luo, See Yudong, 325n99
Kutcher, Ashton, 4 Lustgarten, Abrahm, 383nn8–10
Kuznets, Simon, 82 228n, 515n Luthans, Fred, 152n18, 164–165, 168n,
Kwalwasser, James, 456n LG Electronics, 6
Kwok, Vivian Wai-yin, 261n20 LG Group, 29 178n35, 178n36, 178n37, 178n38,
Lago, Umberto, 356n7 Li, Hao, 245n83 178n39, 178n41, 178n42, 178n45,
Lague, David, 286n3, 568n2 Li, Jitao, 484n 205n20, 323n54, 357n54, 412n22,
Lai, George Ming-Long, 244n53 Li, Karl, 419n 435, 455, 459, 463n17, 463n21,
Lai Xiaomin, 568 Li, Robin, 416 463n39, 463n41, 464n45, 464n56,
Lakshman, Nandini, 253n14, 253n16, Liao, Pin-Pin, 419n 464n66, 465–466n100, 465n82,
Liberation, 266 465n87, 506n100, 506nn102–103,
254n24 Liberty Asia, 418 543n, 545, 553n99, 553n115,
Lam, N. Mark, 243n6 Lidl, 279e, 282 553nn116–117
LAN Airlines, 333, 334t Life Magazine, 99 Luthans, Kyle W., 168n
Landler, Mark, 40n68, 190n, 287nn31–33, Li & Fung, 296, 337–338 Lynn, R., 463n42
Light, Joe, 503nn1–2 Lytle, Anne L., 244n69
287n35, 383n25 Liker, Jeffrey K., 357n52, 405n, 406n, M, Greeshma, 177n26
Land Rover, 305, 335, 422 Maak, Thomas, 547n
Lao-Tzu, 499, 506n111 413n52 Macalister, Terry, 383n11
Lashinsky, Adam, 177n4 The Limited, 296 Macarov, D., 463n32
Lasseter, Tom, 383n24 Limpaphayom, Wanthanee, 464n53 Machungwa, Peter D., 444n, 463n33
La Strada International, 418 Lincoln, James R., 357n55, 358n60, Mack, Eric, 420n47
LATAM, 333 Mackenzie, James, 272n1
Latham, Gary P., 464n57 504n47 MacLachlan, Matthew, 462n4
Latta, Geoffrey W., 529n Linder, Keith, 577 MacMillan, Douglas, 372n
Lau, Justine, 419nn4–5, 420nn28–30 LinkedIn, 4, 469 Macri, Mauricio, 31
Laubacher, Robert J., 357n51 Lippert, John, 95nn28–29 Maddox, Robert C., 552n91
Laurent, Andre, 186, 206n29 Lipschutz, Neil, 383n21 Madrazo, Alejandro, 358nn70–71
Law, Kenneth S., 552n75, 552n84, 552n95, Littell, Ben, 3n, 13n, 51n, 86n, 91n, 105n, Magadi Soda, 186
Magretta, Joan, 323n47, 357n37
553n110 111n, 119n, 132n, 134n, 135n, 147n, Ma Guonan, 568n1
Lawler, Edward E., III, 464n63 148n, 169n, 197n, 211n, 239n, 253, Mahajan, Mansi, 321n8, 321n11
Lawrence, Peter, 179n69 260n, 277n, 286n, 313n, 419n, 429n,
Layne, Nathan, 288n45 494n, 532n, 562n, 574n, 582n
LeCraw, Donald J., 338n, 373n, 384n40 Liu, Aili, 504n40
Liu, Fang, 356n7

614 Name Index

Mahapatra, Rajesh, 39n12 McGregor, Douglas, 472, 503nn25–26 Minor, Michael, 70n16
Maharashtra State Electric Board, 370 McKiernan, Peter, 244n46 Minus, Paul M., 96n54
Maia, Cesar, 375 McKinnon, John, 383n27 Misumi, Jyuji, 477n, 478n, 504n41
Mair, Johanna, 322n45 McKinsey, 34, 276 MIT, 316
Majumdar, Shyamal, 508, 550n3 McLaughlin, Andrew, 416, 420n20 Mitchell, Kenneth L., 219, 243n34
Ma Jun, 252 McLaughlin, Kathleen E., 112n11 Mitchell, Michael, 582n
Makino, Shige, 385n59 McMillon, C. Douglas, 279 Mitchell, Terence, 553n114
Malaysia Airlines, 376 McNeilly, Kevin, 179n64 MIT Sloan Management Review, 510
Malhotra, Aditi, 372n McNett, Jeanne, 70n16 Mitsubishi, 299, 362
Malone, Thomas W., 357n51 McTaggart, Jennifer, 286n1 Mitsui & Company, 362, 456
Maloy, T. K., 506n114 McWilliams, Abagail, 96n57 Mnouchkine, Ariane, 267
Mandela, Nelson, 33 Mead, Richard, 178n34, 463n23 Modi, Narendra, 42, 426
Manik, Ulfikar Ali, 288n67 Mei Da Coffee Company, 380 Moe, Jeffery, 118
Mao Tse-Tung, 50, 472 Meindl, James R., 152n37 Mohn, Tanya, 244n56
Mara Group, 308 Mejia, Norma, 109 Moire, Jennifer, 69n11
Marangi, Christopher, 275 Melewar, T. C., 261n17 Molin, Anna, 562nn24–26, 562n30
Marcopolo, 422 Melin, Leif, 324n90 Mollenkamp, Carrick, 574n4, 574n9
Marine Midland, 564 Mellow, Craig, 336n Money, R. Bruce, 244n47, 336n
Markit, 52 Mendenhall, Mark, 551n60 Monsanto, 63, 301
Marklin & Cle, 353 Mendonca, Jochelle, 39n18 Monti, Mario, 367
Marquardt, Michael J., 484n, 553n112 Mendonca, M., 504n34 Moody’s Investor Services, 56, 154, 180
Marquez, Jessica, 547n Mengniu, 256 Moore, Booth, 106n18
Marriott, 561 Mennella, Noelle, 322n39 Moore, Malcolm, 321n4
Marroushi, Nadine, 384n44 Menzies, Gavin, 8n Moran, Robert T., 179n60, 179n67,
Marshall, R. Scott, 179n57 Mercantile Bank, 564
Marsnik, Paul A., 168n Mercedes, 76, 427 179n76, 221n, 543n
Martin, Eric, 40n48 Mercedes-Benz, 219, 220, 397, 408t Morgan Stanley, 86, 569, 570
Martin, Jeanette S., 125n, 233n, 465n73 Merck & Co. Inc., 62, 118, 119f, 292 Morishita, Yoichi, 515
Martinez, S., 504n36 Merck KGaA, 119f Morrison, Allen, 506n110
Maruti Suzuki India Ltd., 427 Meredith, Robyn, 429n3, 429n20 Morsi, Mohamed, 51
Marvin, Ginny, 419n16 Metro AG, 279e, 281, 282 Moscow Public Telephone Network, 370
Marx, Karl, 48 Metropolitan Life Insurance, 264 Mosk, Mathew, 288n66
Maslow, Abraham, 436–441, 446, 463n22 Mezher, Michael, 120n39 Motorola, 156, 298, 316
Massmart, 280, 285 MGM Studios, 265, 266, 276 Motorola Mobility, 298, 418
Matsui, T., 451, 464n65 Miassaoedov, Serguel, 179n64 Motorola University, 214
Matsushita, 196, 215–216, 515 Michaels, Daniel, 356n25 Motsoeneng, Tiisetso, 288n61
Matsushita Electric, 456 Michelin, 408t Motwani, Rajeev, 419n7
Matsushita Electric Industrial, 347 Mickey Mouse, 262, 264, 267 Mouton, Jane S., 476n
Mattel Inc., 267, 364 Microsoft, 5, 61, 100, 107, 298, 302, Movember, 104–105
Mattioli, Dana, 355n3 Moxon, R. W., 325–326n124
Matviuk, Sergio, 504n33 331–332, 336, 367, 374, Moye, Jay, 254n45
Maw, Liz, 547 408t, 516 Mozur, Paul, 413n64, 420n38
Maxus Energy, 484 Middle East Airlines, 334t Mpkaru, Kene, 207
May, Douglas R., 506nn102–103 Middle East Broadcasting Centre, 33 Mubadala Development, 347
Mayeda, Andrew, 57n Middlemiss, Jim, 412n39 Mubarak, Hosni, 375
Mayer, Louis B., 262 Midland Bank, 564 Mueller, Stephen L., 178n33
Mayfield, Melinda, 505n87 Migrant Offshore Aid Station, 46 Muhammad, 8, 53
Mazda Motor Corp., 294, 379–380 Mihalcik, Carrie, 177n18 Mukherji, Ananda, 552n90
McAlone, Nathan, 243n12 Mikesko, Jessica, 178n29 Mulally, Alan, 395
McBride, Kerry, 357n55, 358n60 Mildenberg, David, 71n55 Mulkeen, Declan, 550n22
McCarthy, Daniel J., 70n20, 336n, Miles, James, 247n Muoio, Danielle, 324n81
Mill, John Stuart, 78 Murphy, Bobby, 2
473, 503n28 Mill, J. S., 95n37 Murray, E. J., 464n47
McCaul, Harriette S., 465n82 Miller, 122 Murray, J. Y., 323n46
McClaine, S. R., 465n96 Miller, Claire Cain, 420n43 Murray, Michael, 106n28
McClelland, David, 446, 448, 464n49 Miller, Edwin, 244n42 Musk, Elon, 75–76
McClelland, David C., 463n40, 464n46 Miller, Greg, 71n46 Mycoskie, Blake, 102–105, 105nn1–3,
McCormick, Iain, 525–526, 552n63 Miller, Karen Lowry, 196n, 456n, 504n48
McCubbins, Tipton F., 97n80 Miller, Ronald W., 262–263 106nn13–16
McCue, Andy, 10n Millman, Joel, 324n86, 465n93 Mycoskie, Paige, 102
McDonald’s, 30, 265, 302, 336, 441 Millward, Steven, 411n10 Mycoskie Media, 102
McDonough, Edward, 464n71 Milner, Mark, 357n31 Myers, Andrew, 457, 465n86, 484n
McDonough, Edward F. III, 484n Mims, Christopher, 71n61 Nabisco, 255
McDougall, Patricia P., 325n114, Ming, Wang, 322n26 Nader, Ralph, 100
Mini Cooper, 304, 421 Nadhe, Shivani Shinde, 288n55
325nn115–116 Ministry of Health and Long-Term Nadler, Paul, 70n30
McGrane, Victoria, 57n Care, 116 Nagayasu, Katsunori, 70n35
McGreal, Chris, 420n32

Name Index 615

Nair, Sulekha, 550n27 Nielsen, Christine, 553n97 OnSyria, 45
Nair, Vipin V., 429n9 Nieto, Enrique Pena, 359 OPEC (Organization of Petroleum
Nakamoto, Satoshi, 59 Nigh, Douglas, 244n54
Nam, S. H., 459, 465n99 Nihon Mikon Company, 306 Exporting Countries), 31–33
Namer, Larry, 102 Nike, Inc., 86, 99–101, 107, 109, 111, Opel, 66
Nano, 421–428 ORC Worldwide, 530
Napier, Nancy K., 518, 550n29, 551n43, 363, 408t, 497 O’Reilly, Lara, 38n7
Nike Foundation, 100 Organization for Economic Cooperation
552n67, 552n85 Nike School Innovation Fund, 100
Narayan, Aditya, 499 Nikishenkov, Oleg, 562n23 and Development (OECD), 91
Narayandas, Das, 324n95 Nintendo, 298, 408t Organization of American States (OAS), 91
Narin, Sunita, 249 Nippon Sheet Glass, 170 Organization of Americas, 579
NASA (National Aeronautics and Space Nippon Telegraph & Telephone, 65, 456 Organization of Petroleum Exporting
Nisen, Max, 413n62
Administration), 193 Nissan Motor Co., 24, 158, 170, 298, Countries (OPEC), 31–33
NASDAQ, 417 Oriental Land Company, 264–265, 273
Nash, Nathaniel C., 243n37 299–300, 334, 361, 406t, 427 Oster, Shai, 254n52, 324n81
Nason, S., 465n93 Niu, Evan, 177n2 Ostle, Dorothee, 151nn8–10
Nath, Raghu, 412n20 NMA (Norwegian Medicines Agency), 115 Oswald, Ron, 579
National Aeronautics and Space Nohria, Nitin, 178n46 OTC Enterprise Corp., 276
Nokia, 187, 298, 331–332, 348, 352 Ouchi, William, 474, 482, 503n30
Administration (NASA), 193 Nonaka, Ikujiro, 504nn56–57 Oviatt, Benjamin M., 325n114,
National Basketball Association (NBA), 110 Nooyi, Indra, 250
National Bureau of Economic Research Nordblom, Charlie, 322n24 325nn115–116
Norton, Edward, 385n69 Oxfam, 46, 86
(NBER), 454 Norwegian Medicines Agency (NMA), 115 OXG, 32
National Defense Council for Victims of Novartis AG, 118, 119f Oystein, Moen, 325n119
Novicevic, Milorad M., 551n34, 551n42 Ozcan, Sinan, 412n21
Karoshi, 456 Novo Nordisk A/S, 119f Ozeki, Cynthia, 552n88
National Employment Law Project, 66 Nowlin, William A., 152n19 Page, Larry, 415–416
National Football League (NFL), 359 Numeroff, Rita A., 191, 206nn37–38 Page, Lawrence, 419n7
National Health Service (NHS), 115 Numico, 256 Paik, Yongsun, 532n, 552n74
National Institute for Health and Care Nussbaum, Bruce, 357n32 Pakistan Telecom, 65
Nutricia, 255 Palma-Rivas, Nilda, 206n46
Excellence (NICE), 115 NYU (New York University), 110, 111 Palmer, Eric, 321n7
National Organization for Women, 80 Oakley, David, 383n5, 383n7 Palmer, Kate, 551n37
NATO, 507 OAS (Organization of American Palmquist, Rod, 110
Naumov, Alexander I., 70n20, 473, Panagariya, Arvind, 253n12
States), 91 Panasonic, 76, 301, 408t
503n28 Obama, Barack (and administration), Panchal, Manish, 321n8, 321n11
Naver, 416 Panda, Ankit, 41n90
Naylor, Craig, 170 98, 286 Pangea3, 10
NBA (National Basketball Association), 110 Obama, Michelle, 100 Pantzalis, Christos, 324n91
NBER (National Bureau of Economic O’Brien, Anthony Patrick, 40nn55–57 Paramount Pictures, 263, 276
O’Brien, Sara Ashley, 323n57 Paris, Lori D., 506n96
Research), 454 Ocean Park, 276 Paris Convention and Visitors Bureau, 52
Ndiaye, Momar, 463n20 O’Connor, Sandra Day, 100 Park, Daewoo, 412n23
Neale, Margaret A., 228n Oddou, Gary, 551n60 Park, Hun-Joon, 464n55
Neff, Robert, 353n Odebrecht, 32, 386 Park, Mi Young, 219, 243n34
Negandhi, A. R., 152n32 Odell, Patricia, 432, 462n1, 462n5, Parsons, Talcott, 139, 152n45
Neild, Barry, 412n36 Pascale, Richard Tanner, 243n23
Nelson, Bob, 432–433 462n7, 462n8 Passariello, Christina, 325n112
Nelson, Jacqueline, 70n14 O’Dell, J., 420n39 Pasteur Institute, 255
Nelson, Reed E., 179n71 OECD (Organization for Economic Patagonia, 74–75, 76
Nestlé S.A., 75, 76, 256, 314, 315t, Patented Medicine Prices Review Board, 115
Cooperation and Development), 91 Pauls, Karen, 41n82
408t, 561 Oetzel, Jennifer, 314, 315n, 325n108 Pearce, John A., II, 384n45
Netflix, 10, 208–210, 240, 303 O’Grady, Mary Anastasia, 324n85 Pechiney of France, 366
Neubauer, Fred, 189 Ohlsson, Mikael, 561 Pegolotti, Francisco Balducci, 8
Nevin, Tom, 154n Ohmae, Kenichi, 229, 244n59 Pellegrini, Ekin K., 504n35
Nevis, Edwin C., 438, 463n27 Ohnsman, Alan, 356n28 Peña Nieto, Enrique, 24
Newburry, William, 356n20 Oi SA, 331 Penenberg, Adam L., 106n44
Newman, Karen L., 464n51 Olsen, Kelly, 412n37 Peng, Mike W., 325n99
Newton-Small, Jay, 52n Olson, Jon, 504n47 Peninsular and Oriental Steam Navigation
New York Court of Appeals, 54 Olson, Parmy, 177nn5–6, 177n15
New York Stock Exchange, 422 Olympic Games, 238, 386, 415, 441 Company, 564
New York University (NYU), 110, 111 Olympus, 89, 414 People’s Bank of China, 569
Nextel Mexico, 307 O’Neil, Sharon Watson, 322n41 Pepitone, Julianne, 420n37
Next Thing Company, 61 One World, 334t PepsiCo, 184–185, 220, 248–250, 252,
NFL (National Football League), 359 Onglatco, M. L., 464n65
Nguyen, Trien, 385n74 Ono, Yumiko, 152n24, 553n109 257, 311, 337, 339, 366, 538
NHS (National Health Service), 115
NICE (National Institute for Health and

Care Excellence), 115
Nicklaus, David, 464n67

616 Name Index

Perlmutter, Howard V., 160n PricewaterhouseCoopers (PwC), 15–18, Recruit Research Corporation, 167
Peroni, 122 259, 547 Reddit, 45
Per Pharmaceutical Research and Reebok, 107
Primark, 81, 111 Reichel, A., 152n23
Manufacturers of America Primary Years Literacy Initiative, 100 Reilly, Lori, 115
(PhRMA), 115 Prince, Brian, 170 Reilly, Mark, 291
Peterson, Mark F., 152n33 Procter & Gamble, 6, 259, 307, 315t, 575 Rein, Shaun, 245nn85–86
Peterson, Richard B., 518, 529, 550n29, Prodigy, 316 Reis, Anabela, 356n13
551n43, 552n67, 552n85 The Progressive Investor, 579 Reiter, Chris, 504n44
Peterson, Suzanne J., 152n25 Project Play, 100 Reliance, 6
Peterson Institute, 29 PROMO magazine, 432 Renault, 158–159, 269, 334, 361
Petrobras, 32, 387 Prudential, 540 Renault Group, 158
Petronas - Petroliam Nasional Bhd, 7t Prud’homme van Reine, Peter, 538, Renault-Nissan, 9, 159, 427
Pew Research, 64 RepTrak, 408t
Pfeiffer, Ray, Jr., 358n65 553n101 Republic Bank, 564
Pfizer Inc., 114, 116, 119f, 291, 292 PSI, 315t Reputation Institute, 407
Phadnis, Shilpa, 96n55 Public Citizen, 100 Research in Motion Ltd., 367, 397
Phatak, Arvind V., 550n30 Pucik, Vladimir, 484n Reuer, Jeffrey J., 244n61
Phatak, A. V., 357n40, 412n47 Puffer, Sheila M., 70n20, 336n, 473, Reuters, 335
Philip Morris Cos., 307 Reynolds, Calvin, 526, 550n32, 552n64
Philippine Long Distance Telephone 503n28 Reynolds, Nina, 244n62
Company, 65 Punnett, Betty Jane, 206n56, 522n, 551n52 Riboud, Franck, 255, 260
Philips, 301, 345–346 Purves, William, 564 Ricart, Joan Enric, 325nn105–106
Philips Electronics, 408t Putin, Vladimir, 554 Rice, Faye, 515n
Philips Lighting, 345 PwC (PricewaterhouseCoopers), 15–18, Rice, John, 6
PhRMA (Per Pharmaceutical Research and Richards, Malika, 513, 550n28
Manufacturers of America), 115 259, 547 Ricks, David A., 244nn39–40
Ping An Insurance, 564, 569 Qantas, 334t Ridley, David, 118
Pinocchio, 268 Qatar Airlines, 334t Right Management, 508–509
Pinterest, 64 Qatar Ooredoo Group, 467 Riley, Charles, 420n35
Pirelli, 233–234 Qingdao Refrigerator Company, 328 Rimnet Corporation, 200
Pirnie, Andrew, 465n91 Quaker Foods North America, 339 Riordan, Christine M., 196n
Pitts, Robert A., 356n21 Qualcomm Corporation, 61 Rivera, Rodrigo, 284
Pizza Hut, 247 Qualman, Erik, 4, 38nn8–9 Robert Bosch, 408t
Planet Retail, 284 Quelch, John, 324n95 Roberts, Dexter, 111n5
Plato, 48 Quigley, Narda, 506n95 Roberts, Karen, 552n88
Platt, Gordon, 287–288n44 Quinn, Robert E., 506nn97–98 Robertson, I., 463n36
Pless, Nicola M., 547n Racancelli, Vito, 358n61 Robust, 256, 259
Pogue, Ronald D., 265 Radio Page, 370 Robust Group, 256
Pointer, Thomas A., 373n, 384n40 Radisson, 370 Roche Diagnostics, 469
Poke, 2 Raghavan, Anita, 466n101 Roche Holding AG, 119f, 292, 468–470
Polaris Project, 418 Rahim, Abdul, 244n43 Rockoff, Jonathan D., 120nn9–11, 321n18
Polar Lights Company, 398 Rahman, Fareed, 357n46 Rodelis Therapeutics, 113
Politis, John, 504n60 Rai, Saritha, 370n Rodriguez, Peter, 97n78, 325n98, 385n66
Pollack, Andrew, 95n40, 120n1, 120n2, Rainforest Action Network (RAN), 86 Rodriguez, Salvador, 177n16
120n5, 120n8, 322n20 Rainforest Alliance, 578–579, 580 Rogan, Randall, 552n87
Pollard, Tim, 430n64 Ralston, David A., 483, 504n59 Rolex, 408t
Polo, Marco, 8 Ralston Purina, 380 Rolls-Royce Aerospace, 408t
Pomeroy, Ann, 550n19 Ramamurti, Ravi, 324n97, 384n41, 384n46 Romero, Eric J., 486, 505nn67–68
Popp, G. E., 445n, 463n35 Raman, Anand, 206n25, 206n27 Romero, Simon, 41n77
Porges, Seth, 547n Ramnarayan, Abhinav, 40n64 Romm, Joe, 95n18
Porsche, 161 Ranbaxy’s, 62 Rongione, Nicholas M., 96n53
Porter, Lyman W., 437–438, 463nn25–26, Randall, Linda M., 162–163, 178n31 Roper, Patrick P., 268
464n63, 479–481, 504nn45–46, RAN (Rainforest Action Network), 86 Rosen, Benson, 182, 205nn2–3, 205n9,
504n50, 504nn53–54, 505n65, Ranft, Annette L., 244n57
505n69 Rangan, N. S., 351n, 358n59 205n11, 205nn13–15
Portugal Telecom SGPS SA, 331 Ranger, Steve, 356n16, 356n19 Rosenblum, Andrew, 71n45
Potenza, Alyson, 178n29 Rapoport, Carla, 228n, 353n Rosenkrantz, Stuart A., 178n35
Potter, Harry, 276 Rapoza, Kenneth, 40n52 Rosenthal, Elisabeth, 383n22
Powell, Mike, 317n Rasulo, Jay, 273 Rosenzweig, Philip M., 178n46
Power Holding Company of Nigeria, 59 Rauhala, Emily, 179n55 Rosevear, John, 324n82
Prahalad, C. K., 325n102, 325n104 Raybould, Alan, 272n1 Rosneft, 360, 361, 362, 398
Prasad, G. V., 291 Rayner, Steven R., 183, 205n8, 205n10, Rosten, Keith A., 336n
Prasad, S. B., 152n32 Rousseau, Bryant, 41n77
Prayut Chan-o-cha, 30 205nn16–17 Rousseff, Dilma, 31
Presto, 284 RC Cola (Royal Crown Cola), 249 Roxburgh, Charles, 41n86
Price Waterhouse, 547 Ready, Douglas, 547 Royal Ahold NV, 283, 497
Reagan, Courtney, 288nn49–50
Reality Central, 102

Name Index 617

Royal Bank of Scotland Group Plc, 565, Schmidt, David A., 369, 384n38 Short, Douglas, 552n91
568, 570 Schmidt, Eric, 363, 415, 417 Short, Kevin, 106n30
Schmitt, Bertel, 324n94 Shukla, Archna, 253n5
Royal Crown Cola (RC Cola), 249 Schmitt, Neal, 444n, 463n33 Shul-Shim, Won, 518, 550n29, 551n43,
Royal Dutch Shell, 5t, 336, 361–362 Schneider, S. C., 465n95
Royal Philips, 345 Schneider, Susan C., 466n102 552n67
Rugman, Alan S., 162, 221n, 309n, Scholer, Kristen, 95n30 Siegel, Donald, 96n57, 506n108
Schramm-Nielsen, Jette, 390n, Siemens, 91, 377, 520
324n93 Sikorsky, 347
Rushe, Dominic, 420n36, 506n115 411–412nn18–19 Silvercrest Food, 561
Russell, Benjamin, 109 Schriesheim, C. A., 506n99 Simanis, Erik, 325n107
Russell Athletic, 86, 107–112 Schuler, Randall S., 552n68 Simintiras, Antonis, 244n62
Russell Corporation, 109 Schuman, Michael, 277n4 Simmons, Russell, 500
Russo, Patricia, 187 Schwartz, Jan, 413n49 Simon, Hermann, 353n
Rwandatel, 316 Schweitzer, Tamara, 106nn23–27 Sims, Brenda R., 218, 243n31
Rysberg, Jane A., 464n48 Scorse, Jason, 112nn7–9 Sims, G. Thomas, 466n101
SAAB Automobile AB, 457 Scott, James Calvert, 218, 243nn32–33 Singapore Airlines, 334t
Sabbagh, Dan, 323n68 Sears, 107 Singapore Telecommunications, 65
SABMiller, 122, 124, 148 Sebenius, James K., 245n72 Singer, Peter, 39n25
Sachse, Christian, 561 Sechin, Igor, 360 Singh, Atul, 249
Saenz, Alfredo, 391 Securities and Exchange Commission Singh, Harbir, 196n, 206n25, 206n27, 505n66
Safra Holdings, 564 Singh, Jitendra, 505n66
Sagafi-nejad, Tagi, 353n, 357nn56–57, (SEC), 55, 56, 281 Sing Tao Daily, 274
Segil, Larraine, 379n Sirota, David, 458, 465n97, 552n72
358n64 Seiyu, 280, 283 Skiba, Ray, 214
Sahu, Prasanta, 384n33 Seki, Fumiyasu, 477n, 478n, 504n41 Skjelmose, Jeanette, 560
SAIC (Shanghai Automotive Industries Sekizawa, _, 265 Sky Team, 334t
Selmar, Jan, 519, 551n45 Slavjanskaya Hotel, 370
Corporation), 334, 339, 347 Sequoia Capital, 415 Slocum, John W., Jr., 356n21
Salgotarjau Iron Works, 28 Serapio, Manuel G., Jr., 385n63, 385n67 Small, J., 261n17
Salomon Brothers, 65, 267 Sergeant, Andrew, 435, 463n18, 542, Smart Communications Inc., 317
Sam’s Club, 279, 281, 282 Smatt, Cindi, 464n53
Samsung, 6, 29, 65, 156–158, 298, 553n111 Smile Squared, 105
Serono, 62 Smith, Aaron, 3n
301, 397 Servais, Per, 325n122 Smith, Adam, 47
Samsung Electronics Co., Ltd., 7t, 408t Seth, Mr., 252 Smith, David, 79n
Samsung Motors, 158 Sethi, Arjun, 178n29 Smith, Frank J., 206n39
Sanchanta, Mariko, 287n42 SGS India Pvt Ltd., 249 Smith, Geri, 287n19
Sanchez, Juan, 519n, 551n44 Shaffer, Margaret A., 521, 551n50 Smith, Jennifer, 553n103
Sanchez-Runde, Carlos J., 464n51 Shah, Sooraj, 412n24 Smith, Peter B., 153n64
Sandberg, Michael, 564 Shambora, Jessica, 105n5, 105n7 Smith, Thomas, 277–278n25
Sanders, P., 277nn18–19, 277n22 Shameen, Assif, 10n Snapchat, 2–4, 5
Sandman, Ulrika Englesson, 560 Shamir, B., 496, 506n101 Snavely, William B., 179n64
Sandstrom, Thore, 464n68 Shanghai Automotive Industries SNC (Société en Nom Collectif), 268e
Sanger, D. E., 465n98 Snir, Raphael, 465n77
Sanofi, 119f, 292, 295 Corporation (SAIC), 334, 339, 347 Sobczyk, Marcin, 70n38
Sanofi-Aventis, 291, 292 Shanghai Bailan Group, 282 Sobek, Durward K., II, 357n52
Santander, 6 Shanghai Disneyland, 274–276 Sobie, Brendan, 356n24
Sapienza, Harry J., 325n117 Shanghai Disney Resort, 273 Soble, Jonathan, 413n64, 504n52
Sappenfield, Mark, 253n6, 253n15, Shanghai Electric, 377 Société en Nom Collectif (SNC), 268e
Shanghai Maling Aquarius Co., Ltd., Société Générale, 391
254n25, 254n28, 254n37 Society of Indian Automobile
SAS Scandinavian Airlines, 89, 334t 256, 259
Satyam, 516 Shanghai Pudon Development Bank Manufacturers, 427
Saudia, 334t Soldatkin, Vladimir, 383n14
Save the Children, 86 Co., 293 Solomon, Charlene Marmer, 484n, 552n86,
Saxton, T., 356n12 Shanghai Roche Pharma, 468
Scandura, T. A., 506n99 Shao, Xiaoyi, 40n66 552n93
Scandura, Terri A., 504n35 Shapiro, Debra L., 244n69, 552n62 Solomon, Erika, 69n6
Scanlon, Jessie, 429n31, 430n35 Sharp, Inc., 414 Solomon, Janet Stern, 553n97
Schechner, Sam, 324n77 Shell Oil Company, 166 Solsman, Joan, 324n76
Scheer, Steven, 322n22 Shen, Samuel, 277n23, 278n27, 278n30 Sommer, Steven M., 178n36, 178n37,
Schein, Edgar, 185, 205n19 Shendi, 275
Schein, Edgar H., 504n55 Shenk, Mark, 41n79 178n38, 178n41, 178n42, 435, 459,
Schering-Plough, 292 Shenzhen Qianhai Financial Holdings, 570 463n17, 465–466n100, 465n87
Schermerhorn, John R., Jr., 218, 243n29 Shenzhen Yili Mineral Water Sommers, Steven M., 357n54
Schieber, Noam, 551n35 Sonae, 283
Schifrin, Matthew, 357n50 Company, 256 Sona Koyo Steering Systems, 425
Schirone, Dario A., 562n13, 562nn17–19 Shih, Gerry, 96n52 Sony, 10, 298, 301, 344, 405, 408t, 414,
Schlender, Brenton R., 196n, 405n Shin, Jiseon, 552n62 483, 514, 515
Schlesinger, Jacob M., 178n52 Shin, Y. K., 464n44
Shkreli, Martin, 113
Shokti Doi, 314

618 Name Index

Soros, George, 39n25 Stout, Brock, 217, 243nn26–27 Tata Group, 186, 422
Southern Methodist University, 102 Strangler, Cole, 71n68 Tata Motors Ltd., 7t, 186, 335, 421–428
Southwest Airlines, 334t Streck, 214 Tavernise, Sabrina, 120n2, 120n8
Southwestern Bell, 312 Stroh, Linda K., 539–540, 553n106 Taylor, Edward, 413n49
Sovich, Nina, 322n39 Strom, Stephanie, 106n20 Taylor, Glen, 96n64
Soyoung, Kim, 277n5, 278n35 Strottmann, Freddy, 411n17 Taylor, Sully, 553n98
S&P, 56 Stuart, Karen Dawn, 543n Tchuruk, Serge, 186–187
SpaceX, 75 Stumpf, Stephen A., 506n95, 506n108, Technicolor SA, 348
Spalding, 109 Teegen, Hildy, 244n60, 244n66, 356n26,
Spang, Konrad, 412n21 506n109, 506n113, 550n4,
Sparrow, Paul R., 536–537, 552n94 550nn16–17 384n51, 385n60, 385n65
Spears, Larry, 499 Subaru, 24, 298 Tejada, Carlos, 384n52
Spears, Lee, 95n30 Suburbia, 281 Telecom Asia, 65
Special Olympics Oregon, 100 Sugden, Joanna, 372n Telefonica, 6
Spector, Paul, 519n, 551n44 Suharto, former President of Indonesia, Telefonos de Mexico (Telmex), 312–313
Speier, Cheri, 551n42 365, 467 Telestra, 65
Spencer, Jennifer W., 244n58 Sukarno, former President of Telfos Holdings, 28
Spencer, Mimosa, 322n19 Indonesia, 467 Telkom, 316
Spiegel, Evan, 2–3, 5 Sullivan, _, 546 Tellem, Tori, 95n23
Spiegel, Henry W., 70n18 Sullivan, Jeremiah, 243n35, 413nn57–58 Telling, Gillian, 105n9
Spielman, Cheryl, 552n70 Sullivan, Jeremiah J., 504nn56–57 Temasek, 568
Spindle, Bill, 152n24, 412n33 Sullivan, Sherry E., 523, 551n53 Terhune, Chad, 253n1, 253n5, 254n26,
Sports Authority, 110 Sully, Mary F., 464n45
Sprint, 98 Sully de Luque, Mary, 145n, 153n61, 254n39
Squatriglia, Chuck, 95n22 505n88, 506n95 TERI (The Energy and Resources
Sreeharsha, Vinod, 41n77 Sun, Nikki, 278n28
Srivastava, Amit, 254n36 Sundqvist, Sanna, 325n122 Institute), 250
Stackhouse, John, 370n Sundstrom, Eric, 465n72 Terpstra, Robert H., 504n59
Stage, H. D., 465n96 Sung, Timmy, 278n31, 278n33 Terracom, 316
Stahl, G., 504n34 Sun Microsystems, 415 Terry, Sherrie, 582n
Stahl, Günter K., 547n Sun Pharmaceuticals, 291 Tesco, 81, 111, 180, 279e
Stajkovic, Alexander, 178n39 Superama, 281 Tesla, Nikola, 75
Stalk, G., 464n43 SustainableBusiness.com, 579 Tesla Motors, 64, 75–76
Standard Oil, 514 Sutherland, Thomas, 564 Tesluk, Paul E., 182, 205nn2–3, 205n9,
Standard Oil of Ohio, 342 Suutari, Vesa, 551n61
Standifird, Stephen S., 179n57 Suzuki, Nori, 464n55 205n11, 205nn13–15
Stanford University, 2, 110, 415 Suzuki, Terukiho, 413nn57–58 Tetley, 422
Stanley, Phil, 530 Suzuki Motor Corp., 28, 425, 427 Teva Pharmaceuticals, 292
Star Alliance, 334t Swanson, K. C., 574n10 Thatcher, Jonathan, 272n1
Starbucks, 43, 259, 380, 500 Swartz, Gordon, 324n95 Thatcher, Margaret, 47, 49
Start Something That Matters Swierczek, Frederic, 347n The New York Times, 76, 116, 281, 291, 534
Syfert, Jan, 71n69 Then, Sia Khiun, 384n37
Foundation, 104 Sylt, Christian, 272n4 Theron, Charlize, 104
Steele, Chandra, 71n62 Tabak, Filiz, 553n97 Theveno, Danny, 266–267
Steers, Richard M., 464n51 Taguchi, Genichi, 406–407 Thiederman, Sondra, 434, 463nn13–14
Steers, R. M., 464n44, 464n54 Takahashi, Masatomo, 264 Thomas, Adele, 206n53
Stein, Nicholas, 582nn3–4, 582n10 Takeda Pharmaceutical Company, Thomas, Anisya S., 178n33
Steinberg, Julie, 322n27 119f, 170 Thomas, Kenneth, 433
Steinmetz, Greg, 97n81 Takeuchi, Hiroraka, 484n Thonburi Automotive Assembly Plant
Stella Artois, 122 Tam, Tammy, 277n16, 278n29
Stenman, Jim, 206n62 TAM Airlines, 333, 334t Company, 422
Stern, David, 96n51 Tammaro, Gerald A., 552n70 Thornton, Grant, 51, 80, 95n42
Stern Center for Business and Human Tan, Kelven, 276 Thums Up, 296–297, 337
Tang, Paul, 275 Tichy, Noel M., 464n68, 484n, 538, 553n100
Rights, 111 Tanikawa, Miki, 357n48 The Times of London, 425
Stertz, Bradley A., 151n7 Target, 107, 279e, 285 Timken Company, 364
Stevis, Matina, 41nn84–85 Tarnovskaya, Veronika, 557, 562n5, Timmons, Heather, 321nn9–10, 321n12
Stewart, Elizabeth, 574n 562nn9–11, 562nn15–16 Tishman Realty and Construction, 264
Stewart, Sally, 504n59 Tartar, Andre, 70n28 Tjosvold, D., 504n37
Stier, Ken, 97n79 Tata, 6, 43, 159, 305, 380, 396 TNK, 336
Stiglitz, Joseph, 39n25 Tata, Jamsetji, 422 TNK-BP, 360, 362
Stihl, 353 Tata, Ratan, 186, 421, 425, 426, 428 Tokyo Disneyland, 264–265, 276
Stockholm Water Institute, 252 Tata Chemicals, 186 Tollgerdt-Andersson, Ingrid, 489–490,
Stodtbeck, Fred L., 163n Tata Consultancy Services, 422
Stoll, John, 562n30 Tata Daewoo Commercial Vehicles 505nn76–77
Stone, Brad, 38nn1–2, 38n5 Company, 422 TOMS Marketplace, 104
Stone, Raymond J., 518n TOMS Roasting Company, 103, 104, 105
Stott, Lee, 70n44 TOMS Shoes, 85, 102–106
Toonkel, Jessica, 411n5
Torbiorn, Ingemar, 531, 552n73
Torkan, Germano, 562n13, 562nn17–19
Tornvall, Anders, 457, 465n88

Name Index 619

Toshiba, 414, 515 Ungson, G. R., 464n44 Verizon, 98
Total SA, 5t UNICEF (United Nations Children’s Fund), Verlaine, Julia-Ambra, 57n
Touchstone, 263 Vermeulen, Freek, 356n11, 385n61
Towers Perrin, 513 80, 561 Verne, Jules, 268
Toxic Links, 249 Unified Energy System, 49 Vietnam Motor Corporation, 380
Toyota Motor Corporation, 5t, 24, 64, 66, Unilever, 6, 314 Vietnam Technological & Commercial
Union Carbide, 54, 534
84, 294, 298, 299, 304, 349–350, United Airlines, 334t Joint Stock Bank, 571
406t, 482 United Fruit, 497, 575–576 Viiv Healthcare, 292
Toyota Motor Ltd., 457 United Nations, 4, 82–83, 87–88, 92, Villanova University, 105n, 111n,
Toys“R”Us, 107
Tracy, Ryan, 57n 108–109, 250, 252–253, 497 119n, 509
Trafficschool.com, 102 United Nations Children’s Fund (UNICEF), Vincent, R. J., 95n38
Transparency International, 49, 366, 559 Viorst, Milton, 8n
TreeHugger.com, 579 80, 561 Virgin Atlantic, 334t
Trend Micro, 170 United Nations Environment Programme Virgin Group, 500
Trevor-Roberts, Edwin, 505n87 Viswanatha, Aruna, 287n17
Triandis, Harry C., 553n114 (UNEP), 88 Vlachou, Efi, 244n62
Triangle Shirtwaist Company, 108 United Press International, 33 Vlasic, Bill, 151n7
Trinamool Congress, 426 U.S. Agency for International Development Vlastelica, Ryan, 411n5
TripAdvisor, 4 Vodafone Group PLC, 5t, 316
Trius, Vicente, 284 (USAID), 117–118 Vodafone UK, 303
Trompenaars, Fons, 126, 127n, 128n, U.S. Chamber of Commerce, 100 Vogel, Gretchen, 71n54
139–145, 152n21, 152n44, U.S. Congress, 110 Vogt, Heidi, 71n64
152nn47–48, 152nn49–50, 165–166, U.S. Environmental Protection Agency Volin, Alexei, 209
178n32, 178n43, 191–195, Volkswagen, 311, 404, 428, 479
206nn40–45, 232, 243n18, 245n71, (EPA), 84 Volkswagen Audi Nippon, 310
323n67, 399–400, 412n40, 491–492, U.S. Federal Reserve, 57 Volkswagen Group, 5t, 83–84
505n79, 538, 553n101 U.S. Food and Drug Administration Vollgraaf, Rene, 153n68
Tropicana, 21 Volvic, 256
Trottman, Melanie, 383n23 (FDA), 117, 118, 291 Volvo, 6, 293, 305, 335, 377, 453
Trudell, Craig, 71n70 U.S. Government Accountability Volvo Automobile AB, 457
Trust for the Americas, 579 von Glinow, M. A., 465n93
Trust-Mart, 282 Office, 107 Vroom, Victor, 464n62
Tsang, Eric W. K., 179n56 U.S. Internal Revenue Service, 55, 90 Vuong, Madeline, 288n65
Tse, David K., 70n27, 244n65 U.S. Justice Department, 55, 84, 281, 579 Wagstaff, Jeremy, 372n
Tsuda, Masumi, 358n63, 358n66 U.S. Labor Department, 108 Wahaha Group, 255–260
Tsui, Anne, 484n U.S. State Department, 55 Wahaha Joint Venture, 255
Tsukayama, Hayley, 323n61 U.S. Supreme Court, 100 Wahaha Nutritional Food Factory, 256
Tu, Howard, 523, 551n53 United Students Against Sweatshops Wahba, Abde, 384n43
Tucker, Sundeep, 260n1, 261n54 Wahba, Phil, 288n60, 288n64
Tudor, Alison, 322n31 (USAS), 87, 107, 109–110 Waldman, Amy, 179n66
Tumblr, 4 United Technologies Group, 347 Waldman, David, 506n108
Tung, Ariel, 356n6 Universal Studios, 274, 276 Waldman, David A., 153n61
Tung, Rosalie L., 179n59, 228n, 524, Universal Studios Japan, 397–398 Waldmeir, Patti, 260n1, 261n54
551n59 University of Bari, 558 Walesa, Lech, 28
Tungsram, 28 University of Michigan, 110 Walker, Andrew, 52n
Turing Pharmaceuticals, 113, 114 University of North Carolina, 110 Walker, Danielle Medina, 211n
Tusk, Donald, 180 University of Oregon, 99 Walker, E. Cardon, 262–263, 264
Twain, Mark, 268 University of Tokyo, 200 Walker, Joseph, 120n4
Twitter, 2, 3, 4, 44–45, 64–65, 110, 210 University of Washington, 110 Walker, Thomas D., 211n
Tyco, 89, 497 Unsworth, K. L., 504n38 Wall, T. D., 504n38
Tymon, Walter, 550n4, 550nn16–17 Urde, Mats, 562n6, 562n8 Walls, Ian, 244n65
UAC Restaurants Limited, 154 Ury, William, 235, 237, 245nn76–78 The Wall Street Journal, 65, 114, 275,
Uber, 369, 372 USAID (U.S. Agency for International
UBS, 79, 568, 570 282, 283, 363, 433, 468, 547, 561
Uchida, Mr., 200 Development), 117–118 Walmart, 5, 29, 30, 42–43, 81, 88–89, 91,
Uchitelle, Louis, 336n USAS (United Students Against
Ueberroth, Peter, 238 107, 111, 189, 190, 279, 298–299,
Uhlenbruck, Klaus, 97n78, 325n98, Sweatshops), 87, 107, 109–110 302, 307
385n66 Useem, Michael, 505n66 Walmart International, 279–286
Ulanoff, Lance, 420n46 US/Labor Education in the Americas, 576 Walt Disney Attractions Japan Ltd., 265
Ulrich, Lawrence, 412n29 Valdes Llaneza, Ana, 356n22 Walt Disney Company, 107, 262–271,
UNCTAD, 20 Valeant Pharmaceuticals, 113, 114 273–277, 398, 408t
UNEP (United Nations Environment Vale SA, 7t Walt Disney Parks & Resorts, 273
Programme), 88 Value Club, 281 Walt Disney Studios Park, 271
Vance, Charles, 552n74 Walton family, 280
Vance, Charles M., 532n Walumbwa, Fred, 506n100, 506nn102–103
Vance, C. M., 458, 465n96 Wamelen, Arend van, 41n86
Vandenberg, Robert J., 196n
Vanian, Jonathan, 324n78
Van Zyl, Sean, 179n74
Vasallo, Ignacio, 266
Vaseline, 21
Vassil, Matthew, 119n
Vengroff, Richard, 463n20