Marketing competencies : a cross-cultural study in a multinational company

Most research into international marketing focuses on the differences in markets across countries and cultures in terms of the variation in customers and products involved. Arguably, if different products are developed and offered to different customers, then the roles and requirements of marketing employees may reflect these differences also. This research study used self-report measures by marketing employees in a large multinational automotive company in Australia and Britain. Using structural equation modelling, the study found that the relationship between individual marketing competencies and marketing performance varied across countries, suggesting that there may be cultural differences that influence both the role of managers in improving performance, and the degree to which a marketing employee’s intention to perform results in actual performance.

Interjurisdictional allocation of multinational banking income : aligning taxation principles with economic activity

This thesis argues that one type of multinational entity – the multinational bank – poses particularly significant challenges to the international tax regime in terms of its current profit allocation rules. Multinational banks are a unique subset of multinational entities, and as a consequence of their unique traits, the traditional international tax regime foes not yield an optimal interjurisdictional allocation of taxing rights. The opportunity for tax minimisation, achievable because of the unique traits, and realised through exploitation of the traditional source and transfer pricing regime, results in a jurisdictional distribution of taxing rights which does not reflect economic reality. There are two distinct ways in which the traditional international tax regime fails to reflect economic activity. The first way that economic activity may not be reflected in the distribution of the taxing rights to income from multinational banking is through the application of traditional source rules. The traditional sources rules allocate income where transactions are completed rather than where the intermediation services are arranged. As a result of their unique commercial role as financial intermediaries, by separating intermediary economic activity from legal transactions with third parties, multinational banks may distort the true location of the activity giving rise to income. The second way in which the traditional tax regime may fail to reflect economic activity is through the traditional transfer pricing regime requiring related or internal transaction to be undertaken at an arm’s length price. The arm’s length pricing requirement is theoretically deficient in its failure to recognise the highly integrated nature of multinational banking. In practice, the arm’s length pricing requirement is also difficult, if not impossible, to apply to multinational banks because of the requirement of comparability. The difficulties associated with the current model have resulted in a subtle move by multinational banks towards global formulary apportionment. This thesis concludes that, for the international taxation of multinational banks, the current source regime should be replaced with a system that allocates profits for tax purposes on the basis of income source, with source determined using a unitary taxation or global formulary apportionment system. It is argued that global formulary apportionment is a theoretically superior model that provides both jurisdiction to tax and allocated profits on the basis of the economic activity that generates the income.

Extending the Workers' Compensation Act 1987 (N.S.W.) to include independent contractors and to allow more highly paid workers to insure fully their income, with particular reference to engineers

In mid-1987, the existing workers’ compensation system in New South Wales was replaced by a new Scheme, called ‘WorkCover’. While WorkCover solved a number of the financial problems that had plagued its predecessor, its enactment created other issues. Furthermore, WorkCover has failed to deal with a number of gaps in providing compensation for occupational injuries, most notably those suffered by independent contractors. By combining a study of aspects of industrial law and industrial relations, this thesis will examine some of those problems and gaps, in particular: (a) Should WorkCover be amended to enable independent contractors to come within its ambit? (b) Should there be additional insurance cover available (known as ‘top-up’ insurance) to insure those parts of workers’ wages presently left unprotected by WorkCover? (c) Should workers be permitted to take out another form of ‘top-up’ insurance to increase the quantum of death cover presently provided by the Scheme? (d) Should independent contractors who arc permitted to enter WorkCover also be permitted to obtain the extended cover set out in (b) and (c) above? Where appropriate, the thesis compares WorkCover to the workers’ compensation schemes in other Australian jurisdictions. It develops each of the matters referred to above by referring to the results of the writer’s survey of members of the Institution of Engineers (NSW Branch) which was conducted in May and June 1991.

Does the 'war for talent' exist for Australian multinational corporations in China?

This paper reports on skills shortages, recruitment and retention issues that Australian multinational corporations (MNCs) based in China face when staffing their foreign operations, with both managerial and non-managerial staff. A qualitative research methodology was used, investigating 20 organisations as case studies. It was found that Australian MNCs experienced a 'war for talent' in their Chinese operations. This meant that it was difficult for them to find and retain skilled staff. For managerial positions, Australian MNCs used an ethnocentric staffing model; however, they had issues recruiting willing expatriate managerial staff for China. It is recommended that Australian MNCs implement enhanced talen-management programs to recruit and retain the skills and talent they need for the Chinese market.

Organisational determinants of employee turnover for multinational companies in Asia

High employee turnover rates among multinational companies (MNCs) in Asia have become an organisational issue, which cannot be sufficiently addressed at the individual level. In this paper, we examine the issue of employee turnover at the organisational level. A group of organisational variables (e.g., training, size, age, industry, percentage of expatriate managers and headquarters’ national base) were tested, using a sample of 529 MNCs in six Asian countries. The standard multiple regressions show that training, size, the length of operation in local subsidiary and nature of industry are significantly related to turnover. An effect of the percentage of expatriate managers present in the local subsidiary on employee turnover appears to be moderate. These results fill a research gap by identifying organisational variables (as opposed to individual characteristics) and contribute to better explanation of employee turnover at firm level. Implications to MNCs in the greater Chinese region and Asia are discussed.

People management challenges to multinational companies in Asia

This book discusses the contextual factors such as cultural and institutional settings that impact on effective people management practices in Asia. The challenges of multinational companies (MNCs) in the particular areas of attraction and retention, training and career development of the local skilled labour workforce are analyzed using the data of 529 MNCs in six Asian countries (namely Indonesia, Malaysia, Philippines, Singapore, Taiwan and Thailand). The degree of challenges varies by country and sector. This book draws conclusions from the empirical research stating that cultural and institutional theories, as well as the convergence and divergence theses can explain at best, partially, reasons behind the different outcomes of people management or human resource management (HRM) practices across MNCs in different operations in the region.

Exploring training issues of multinational companies in Asia

Effective employee training is important to organisations as it improves quality of human resources, which in turn help achieve better organisational outcomes. The literature on education, training and other aspects of human resource development (HRD) among multinational companies (MNCs) in Asia is quite limited. This paper intends to explore training expenditure, training programs offered and training concerns indicated by companies, using a survey of 529 MNCs operating in six Asian countries (namely Indonesia, Malaysia, Philippines, Singapore, Thailand and Taiwan). The findings show that the majority of MNCs surveyed recognised the benefits of employee training and invested heavily on training different types of employees in local subsidiaries. Organisational variables such as size, industry, parent source and proportion of international activity also affected training practices of MNCs. The paper identified some quality and relevance issue related to formal and externally-conducted training programs.

Training practices of multinational companies in Asia

Purpose – The purpose of this study is to explore a range of training practices adopted by multinational companies (MNCs) operating in Asia. It investigated the level of training expenditure, the nature of training programs offered and the concerns about training in MNCs.

Design/methodology/approach – Data were obtained through a survey of 529 MNCs operating in six Asian countries to examine the average cost spent on training and the type of training programs offered to different groups of employees. The respondents were also asked to indicate their perceptions on the training provided and how effective the training has on firm performance.

Findings – It appears that MNCs invested significantly in training. Training was found to be more widespread in service organisations than manufacturing organisations operating in Asia. The majority of training emphasised managerial and professional staff development; and was generally conducted externally. Respondents were concerned mainly with the quality and relevance of training programs offered externally.

Originality/value – The results provide MNCs, especially those headquartered in European and other Western countries with insights into designing and offering more relevant and better quality training programs to their employees located in Asian subsidiaries.

Towards an extended international HRM model for emerging multinational enterprises

This paper critiques several exiting strategic international human resource management (SIHRM) frameworks and discusses their limitations to apply directly to emerging multinational enterprises (EMNEs), especially those generated from China and other BRICS nations. To complement the existing SIHRM frameworks, key variables relevant to emerging economies are identified and the extended model with particular reference to EMNEs is developed with several research propositions. It is believed that the extended model would better capture the recent development of MNEs in transition, and alert emerging international managers to address several human resource management challenges in the global context

A needs based methodology for classifying construction clients and selecting contractors : comment

This note is a comment on Chinyio, E.A., Olomolaiye, P.O., Kometa, S.T. and Harris, F.C. (1998) A needs based methodology for classifying construction clients and selecting contractors, Construction Management and Economics, 16(1), 91± 8, which describes research aimed at classifying clients by their needs rather than by the traditional public/private/developer approach. The paper also proposes a new method of selecting contractors by matching clients’ needs to contractors’ ability to satisfy them. The note offers constructive criticism of some aspects of the analysis.

Environmental incidents in a developing country and corporate environmental disclosures : a study of a multinational gas company

Purpose – The purpose of this paper is to examine the environmental disclosure initiatives of Niko Resources Ltd – a Canada-based multinational oil and gas company – following the two major environmental blowouts at a gas field in Bangladesh in 2005. As part of the examination, the authors particularly focus on whether Niko’s disclosure strategy was associated with public concern pertaining to the blowouts.
Design/methodology/approach – The authors reviewed news articles about Niko’s environmental incidents in Bangladesh and Niko’s communication media, including annual reports, press releases and stand-alone social responsibility report over the period 2004-2007, to understand whether news media attention as proxy for public concern has an impact on Niko’s disclosure practices in relation to the affected local community in Bangladesh.
Findings – The findings show that Niko did not provide any non-financial environmental information within its annual reports and press releases as a part of its responsibility to the local community which was affected by the blowouts, but it did produce a stand-alone report to address the issue. However, financial environmental disclosures, such as the environmental contingent liability disclosure, were adequately provided through annual reports to meet the regulatory requirements concerning environmental persecutions. The findings also suggest that Niko’s non-financial disclosure within a stand-alone report was associated with the public pressures as measured by negative media coverage towards the Niko blowouts.
Research limitations/implications – This paper concludes that the motive for Niko’s non-financial environmental disclosure, via a stand-alone report, reflected survival considerations:
the company’s reaction did not suggest any real attempt to hold broader accountability for its activities in a developing country.
Originality/value – This is the first known paper that investigates a multinational company’s disclosure behavior in relation to environmental incidents which occurred in a local community.

The impact of client attitudes on the selection of contractors

This research is concerned with identifying prequalification criteria that both clients and contractors believe are good indicators of future construction performance. Criteria used in the past have been developed by clients in a largely idiosyncratic manner with little or no consultation with the contractors affected. The methodology chosen for the research was a survey which probed stakeholder attitudes to commonly used prequalification criteria. This was carried out via a postal questionnaire involving contactors and clients across Australia. The data was analysed using Discriminant Analysis, which is a multivariate statistical approach that determines the differences between groups. The research is structured around 39 criteria that were developed as part of a whole-of–government task force into best practice in procurement. The findings identified the most important criteria from both a client’s perspective, and a contractor’s perspective. The purpose was to discover if those differences reduce the effectiveness of the procurement process. This paper contributes to a more clarified understanding of the impact or contrasting views between the stakeholders involved in the prequalification process. This work is innovative because it is one of a few pieces of research that showed that clients and contractors do actually have divergent opinions on the importance of some criteria currently relied upon in the decision making process. The most important prequalification criteria are identified and possible reasons for these differences are discussed.