Cooperate Social Responsibility, Shareholder Theory - 1650 Words

Cooperate Social Responsibility, Profits and Shareholder Theory, Individualism vs Communalism Globalization (Article Critique Sample) Content: MEDIA ARTICLE ANALYSISStudents nameCode + Unit nameCourse tutors nameInstitution nameCity, StateDateTable of contents1.0 Article link ......................................................................................................................... 22.0 Introduction ........................................................................................................................ 33.0 Cooperate social responsibility .......................................................................................... 33.1 Profits and shareholder theory ........................................................................................ 43.2 Triple bottom line .......................................................................................................... 44.0 Working model required by organizations working in China ........................................... 54.1 Individualism versus communalism globalization ................................ ............................... 54.2 Globalization ...................................................................................................................... 64.3 Cultural difference in China................................................................................................. 64.4 Moral change and Universalism .......................................................................................... 75.0 Conclusion ......................................................................................................................... 86.0 References ......................................................................................................................... 91.0 Link to the article:http://landor.com/thinking/why-western-businesses-need-a-profound-rethink-on-china2.0 IntroductionMany organizations nowadays are seeking market across borders. They are seeking new markets for their products and services among people with different cultural beh aviors. Understanding the culture of a people is not even essential but mandatory for an organization in order to successfully sell or offer services to them. It requires companies to apply certain theoretical principles and tactics. They need to inculcate some sought of social responsibility and have operations which are ethical. This report seeks to explain and discuss and an article that gives some sought of study on a people's culture to enable organizations to sell out their services and products. This is an article explaining the culture of the people of China that directly affects the marketing strategies of an organization. The article is of great help to those planning to start the business in china or those who are already in business. It will help an organization to develop impressive marketing tactics which heavily considers the culture of the Chinese people. Marketing strategies that can lead to sustainability and development of an organization.3.0 Cooperate social resp onsibilityThis refers to the deliberate action by a company to incorporate the interest and opinions of the public. It's particularly important for organizations seeking new markets in the developing countries. Organizations planning to extend their businesses into China must consider the culture of Chinese people. They have unique characteristics which entrepreneurs must understand. For instance villages, there has an equal importance as the cities. This means that organizations conducting their businesses there must bear in mind this particular aspect and be very cautious. They need to involve all people from both the village and the cities. Their decisions should be an outcome of both the people from the villages and those from the cities. In general, cooperate social responsibility demands that organizations should take a responsibility for ensuring that the general public benefit from their business (Christopher Deresky, 2012).3.1 Profits and shareholder theoryThis theory state s that the most crucial result of an entrepreneurial venture is maximizing on the shareholders profit. Companies planning to conduct their business in China should ensure that it has enrolled some locals as shareholders. By doing so, the companies will show that they are practicing some level of cooperate social responsibility. This will not only increase the peoples confidence in the organization, but also it will increase the organizations sales and consequently the consumer base. As explained by Fleisher, Benoussan, (2003), shareholders will help the companys management to understand the culture of the locals, something crucial for the companys growth and development. Companies should make an effort of ensuring that their shareholders get the highest profits possible. Companies that fail to take into account the interest of their stakeholders are bound to fail since shareholders satisfaction is vital for a companys smooth operations.3.2 Triple bottom lineThis refers to the people , profit made by an organization and the planet. This is a theory incorporated by CSR. It is a model used by companies to gain not only growth and profit but also other achievements like the development of the local people. The theory evaluates the environment in which the business is based and the impact it has on the people. Organizations planning to establish businesses in China should take into consideration the use of this theory. It's key for organizations growth and development. Companies should train to meet all the three dimensions for its success (Porter, 2008). The companys management in should strive to become more and more aware of the Chinese culture through the implementation of the various forms of CSR.4.0 Working model required by organizations working in ChinaOrganizations working in China need to create unique and working businesses models that can enable them to sell their products and services. This business working model should consider the main aspects of the people of China. The Chinese millennial attitudes which have taken a quantum leap. The article research shows that a large shifting regarding the people of China attitudes about their country. The customers born before the 1980s associate their country with a negative view while those born after associate their country with a positive view. The opposing views of the Chinese people are noticeable in their attitudes towards different products and services. According to Sheila (2002), organizations planning to set their businesses in China should, therefore, be keen and have tactics which can handle these different groups of customers. Another important aspect of the Chinese people is that in China, villages are as important as cities. Organizations seeking the new market in China need to not only venture in the Chinas major cities but also in the rural areas. Organizations may be disadvantaged when they try to get to the Chinese second class population because of the common traditiona lly oriented approach to the major markets.4.1 Individualism versus communalism globalizationAccording to Max (2012), the Chinese women tend to focus on sisterhood and nationalism. There is a huge difference among the Chinese on the basis of gender. Nowadays, companies trying out new markets in China should understand that the women have new opportunities different from the past when they had constraining old age attitudes. They have greater economic independence than in the past. Many women across the world tend to be individualistic while the Chinese women tend to have a great passion for their country. The last aspect which is very important for organizations venturing into the Chinese market is the rising of self-expression among the Chinese people. Traditionally, foreign organizations treat the Chinese in a conservative and formal manner. In contrast, the Chinese now needs anything which is eye-opening, something which is not conservative. Either negative or positive, they embr ace it. For instance, there is a new law legalizing the usage of superlatives in their marketing strategies (Landor, 2016).4.2 GlobalizationPeople across the world are now interconnected than never before. Someone in China can communicate with someone in Europe as if they are with each other one on one. Marjorie (2005) said that this is achieved through the use of the various technological networks such as mobile phones, Facebook, Whatsapp and skype. Organizations seeking new market for their products in China can take this advantage and use this facilities for marketing. With proper strategic marketing strategies, organizations can do very well in China since the country has well advanced in the field of technology.4.3 Cultural difference in ChinaThe culture of the people of China is quite different from the culture of other countries across the world (Tian, 2005). Organizations seeking new market in China need to identify various ways through which they can minimize their producti on costs especially by looking at the Chinese cultural dimensions. Partnerships with the locals can also be of great help. The Chinese people have a characteristic of making quite good collaborations. In China, organizations have a very high distance in power meaning that the supervisors and the managers are highly segregated. The employees are prone to very poor working conditions which are below standards. Employees just agree to the orders given by the management. New organizations venturing into the C...