34539 - International Management

Course contents

Course description / Programma e contenuti

In light of the development towards increasingly global markets, this course has the objective to thoroughly penetrate the strategic and organizational challenges facing a company when going abroad and once business activities in several countries are established.

In fact, today more than ever, business activities of single firms are becoming increasingly complex and geographically widespread. Fostering market expansion, reconfiguring international assets and striking a balance between local adaptation and global integration is a critical managerial issue. Therefore, the international manager is required to be increasingly flexible, to have a broad understanding of what is changing in the environment and within the firm, to develop always new abilities and to fit into new roles.

This course deals specifically with the following topics:

· Globalization & Regionalization

· Cultural differences

· Internationalization process

· Market entry decisions

· Organizational structures

· International strategies

· Control of foreign operations

· Subsidiary roles and parenting advantage

· International HRM

· Transnational knowledge and innovation management

Course goals

This course aims to form students' knowledge in the area of International Management. Specifically students will develop capabilities to identify, frame and understand problems related to the management of international operations. Throughout the course issues are discussed in both theoretical and practical terms to stimulate students to relate models and concepts with practical situations.

By the end of the course the students will be able to:

· discuss implications of globalization and cultural differences

· understand the implications of operating across national borders

· compare different internationalization processes

· describe how firms operate in different markets

· analyze different international strategies and organizational structures

· evaluate and criticize different leadership and control models

· describe the specificity of different units within the international firm

· understand the basis for the competitive advantage of international firms

Throughout the course students will be encouraged to adopt different perspectives to nurture critical thinking and to form an overarching understanding of the phenomenon studied.

Readings/Bibliography

Required readings

· BOOK: Hill, Charles W. L.: Global Business Today (6th ed.): - Boston, Mass.: McGraw-Hill/Irwin, cop. 2011 (Chapters 1-3-8-11-12)

× Hill, C. H., Hwang, P. and Kim, W. (1990), An Eclectic Theory of the Choice of International Entry Mode, Strategic Management Journal, Vol. 11, 117-128

× Johansson J. and Vahlne JE. (2009) The Uppsala internationalization process model revisited: From liability of foreignness to liability of outsidership. Journal of International Business Studies (2009) 40, 1411–1431

× Bartlett, C. A. And Ghoshal, S., (1987), Managing Across Borders: New Strategic Requirements, Sloan Management Review, Summer, 7-16.

× O'Donnell, S., (2000), Managing Foreign Subsidiary: Agents of Headquarters, or an Interdependent Network? Strategic Management Journal, 21,6, 525-548.

× Gupta, A. K. and Govindarajan, V. (1991) Knowledge flows and the structure of control within multinational corporations, Academy of Management Review, Vol. 16, N. 4, 768-792.

× Andersson, U. and Forsgren, M. (1996), Subsidiary Embeddedness and Control in the Multinational Corporation, International Business Review, 5 (5), 487-508.

× Goold and Campbell (2002) Parenting in Complex Structures, Long Range Planning Vol. 35, 219–243.

× Rosenzweig, P. M. and Nohira, N., (1994), Influences on Human Resource Management Practices in Multinational Corporations, Journal of International Business Studies, 25, 2, 229-251.

× Hansen, M.T., Nohria, N., and Tierney, T., (1999). What's your strategy for managing knowledge? Harvard Business Review, 77 (2), 106-118.

Additional readings

× Forsgren, M., (2002), The Concept of Learning in the Uppsala Internationalization Process Model: a Critical Review, International Business Review, 11, 257-277

× Johanson, J. & L.G. Mattsson, 1988, “Internationalization in Industrial Systems – A Network Approach, In. Strategies in Global Competition, Ed. N. Hood and J-E Vahlne, 1988, pp. 287-314.

× Perlmutter, H. V. (1969), A drama in three acts … The Tortuous Evolution of the Multinational Corporation. Columbia Journal of World Business, January-February.

× Ciabuschi, F. Forsgren, M. and Martín O. (2011). Rationality vs ignorance: The role of MNE headquarters in subsidiaries' innovation processes. Journal of International Business Studies Vol. 42, 958–970.

× Forsgren, M., Johanson, J. and Sharma, D., (2000), Development of MNC centers of excellence, in Holm, U. and Pedersen, T., (eds.) The emergence and Impact of MNC Centers of Excellence – a Subsidiary Perspective, McMillan, London, 45-67.

× Dewett T, Jones RG. (2001). The role of information technology in the organization: a review, model, and assessment. Journal of Management 27(3): 313-346.

Case Studies

× Jollibee Foods Corp. (A): International Expansion. HBR teaching case, HBR Press.

× Philips versus Matsushita: A New Century, a New Round. HBR teaching case, HBR Press.

× Richard Branson and the Virgin Group of Companies in 2007. Casebook.

× Nielsen B.B. and Ciabuschi F. (2003). Siemens ShareNet: Knowledge management in practice. Business Strategy Review, 14 (2), 33-40.

× Hastings, D., (1999), “Lincoln Electric's Harsh Lessons from International Expansion” Harvard Business Review, Vol. 77 (3, May-June).

Teaching methods

The course uses a combination of lectures, seminars with student-based activities, and case studies. The high level of interactive activities requires a high degree of engagement and participation from the students. The students will inevitably become a tightly knit group. The main pedagogical form is “problem based learning”, i.e. active participation from the students is required. All participants are expected to read ahead the assigned literature and to be prepared to discuss.

Lectures by the teacher are related to the main topics of the course. Their purpose is also to provide a theoretical background for seminars, assignments and in-class discussions.

Seminars will be based on the discussion of articles, core theories and assignments. The students will be divided into groups.

Case studies will be carried out during the course. Each student has to read the case material before the class will take place. In class will take place the discussion of the cases where students will present their analysis and engage in structured discussion. The goal of the case-work is that students should apply principles and teachings received as well as test their analytical skills developed during the course.

Assessment methods

For the students attending the course the Final Exam will be 50% of the final grade. The remaining 50% is based on in-class activities evaluation and coursework. More details are provided at the beginning of the course.

For those students not attending the course there is a final written individual exam, worth 100% of the final mark.

Office hours

See the website of Francesco Ciabuschi