MBA & MM Theses
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Alternatively contact Patience Mpitsa via email : Patience Mpitsa or Tel (W) : 011 717 3635
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Item Factors Influencing Location of Regional Headquarters for Multinationals(2014-01-14) Radebe, BusiAs organisations pursue foreign markets as part of their growth strategy, global integration of the businesses throughout the world is always a challenge. In response to this challenge, multinational organisations have embraced the concept of regional headquarters. The study investigates the criteria used by multinational companies to identify the locations of their regional headquarters. The study also reflects on the importance or value that multinational companies assign to the respective regional offices. The assigned value covers the control imposed on the regional headquarters, the strategic decision-making authority apportioned to the regional headquarters, innovation responsibility and marketing responsibility. By using this study as a reference, the South African government and other stakeholders will be able to formulate strategies aimed at positioning the country as a preferred host of regional headquarters. The country will then be able to reap some of the benefits associated with hosting regional headquarters such as concentration and accumulation of international capital and skills. Based on the literature review, 18 factors were identified as important in making the regional headquarters location decision. A survey questionnaire to determine the importance of the 18 factors and assigned value was developed and interviews were conducted with 20 senior executives representing multinational companies that have a presence in South Africa. Out of the 18 factors, six factors were found to be very important, seven factors are important and the remaining five are less important. Out of the 13 factors found to be very important and important, South Africa featured positively on all with the exception of two factors where less than 60% of the respondents rated the country favourably. These factors are the availability of a skilled workforce (25% favourable) and the availability of an economic IT infrastructure (30% favourable). On the assigned value, the study found that companies always strive for a balance between local responsiveness and global integration. Expatriates are deployed where there is a shortage of local skills and regional offices contribute in the formulation of the global strategy. Centralisation of R&D is ii preferred in driving innovation and a level of local customisation is accommodated in marketing initiatives at regional offices.Item POTENTIAL CONTRIBUTING FACTORS FOR MULTI-ETHNIC INTEGRATION IN A MULTINATIONAL ORGANISATION IN SOUTH AFRICA(2012-01-17) Naidoo, Yogashan SpiroThe purpose of this research was to identify the potential contributing factors for multi-ethnic integration in a multinational corporation in South Africa. The case site was ArcelorMittal South Africa’s Vanderbijlpark business unit. The objective of the case study was two-fold: · Identify what the business unit has done thus far with respect to creating an inclusive environment for its entire multi-ethnic workforce. · Identify gaps in the system with associated recommendations to improve the situation. Seven research propositions were developed from the literature review. The research methodology adopted to test these propositions was qualitative analysis. Data was collected via one-on-one interviews and these were conducted at a case site i.e. ArcelorMittal South Africa’s Vanderbijlpark business unit. The data analysis spiral model as proposed by (Creswell 1998) was used to analyse the data. The research findings concluded that: · A leader’s business experience will contribute towards multi-ethnic integration within multinational organisations in South Africa. · A leader’s level of international exposure will contribute towards multi-ethnic integration within multinational organisations in South Africa. · An organisation’s level of internationalisation will contribute towards multiethnic integration within multinational organisations in South Africa. · An organisation’s recruitment practices that actively seek ethnic heterogeneity will contribute towards multi-ethnic integration within multinational organisations in South Africa. ii · Practicing educational awareness aimed at recognising workforce differences and benefits will contribute towards multi-ethnic integration within multinational organisations in South Africa. · Practicing fair promotion and reward of employees from different ethnicities will contribute towards multi-ethnic integration within that organisation in South Africa. · There is however partial agreement that an organisation’s internal structures will contribute towards multi-ethnic integration within that organisation. The key recommendations include: Vanderbijlpark’s site management needs to make a conscious effort of educating their employees with respect to the different ethnic groups working at the business unit. As part of a continuous awareness program, the unit’s business communication needs to sensitise the employees of the different ethnic groups present, their important religious ceremonies, holidays and value/belief system pertinent to those different ethnic groups. An inclusive environment conducive to multi-ethnic integration needs to be cultured into the organisation. The business unit needs to develop and implement a policy that dictates disciplinary action, including the possibility of dismissal, will be enacted upon those individuals who contravene the shared values of the organisation. Vanderbijlpark’s management needs to remind its staff that English is to be the spoken language in any meeting that includes individuals from different ethnic groups, irrespective of whether they are literate in the language. The Human Resources team at the Vanderbijlpark site need to investigate and apply a more effective evaluation system when it comes to testing candidates applying for management positions. The metrics need to place an emphasis on the individual’s leadership skills especially their ability to work in multi-ethnic environments. iii As part of their training program, potential leaders of the organisation need to be introduced to the subject of “glocalisation” and how it is to be applied in organisational settings. The Vanderbijlpark site needs to review its selection criteria with respect to who should attend educational awareness training programs e.g. programs regarding ethnic diversity awareness. Management representation is imperative at programs that address leadership issues. At the same time thought needs to be applied when the groups are selected. There has to be a balance in the group between cynics and optimists. “If you believe it you will see it”Item Successful strategies for multinational companies in China(2011-03-23) Chen, TingAs one of the largest emerging markets, China's enormous population and economic boom have recently attracted many multinational companies (MNCs). In the past two decades, the Chinese government has reformed the economy, installed market forces, and opened various industries to foreign investors. With the admission of China to the World Trade Organisation (WTO) in 2001, it signalled the growing maturity of the Chinese market and its expectation for further increase of investment opportunities. Successful MNCs have regarded investing in China as a long-term strategic approach in which they have tried to reach a balance between global orientation and local conditions so that they could maximise market coverage, minimise risk exposure, and optimise their overall performance for sustainable prosperity. The research was qualitative in nature, conducted in the interpretive paradigm, using in-depth, semi-structured interviews with three successful MNCs presently operating in China. In this paper, the author discusses the conceptual background for China's business environment, problems faced by the executives of MNCs and classical strategy theories. as well as the country specific strategies related to China. The results of this study are presented through a discussion of the research findings from the interviews in relation to the propositions, and provide useful guidelines for MNCs investing or intending to invest in the Chinese economy. The research identified the following successful strategies for MNCs investing in China: the appropriate market entry mode, adaptation to local environment, developing guanxi to build trust and credibility, cross-cultural management in HR, creating good Chinese brand names, efficient brand communication and emotional marketing, chief executive's long-term commitment to the Chinese market, and establishing a "China Centre" as well as diversified corporate approaches to the indigenous market.