Lai Wen Bin - Quiz

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Question 1

i) Human and Labor rights issues

A major problem associated with globalization is the exploitation of human and labor rights

by certain countries. Globalization has led to the creation of supply chains that span

countries, often resulting in the outsourcing of production to countries with lower labor costs.

While this provides economic opportunities for these countries, it also leads to poor working

conditions, low wages and disregard for labor rights.

A relevant example is the garment industry in Bangladesh. The rapid expansion of global

fashion brands has led to increased demand for affordable clothing, prompting many

companies to outsource production to countries such as Bangladesh. However, labor

regulations are imperfect, working conditions are harsh, and tragedies occur frequently. In

Malaysia, there is also problem about the freedom for the foreign worker, especially those

workers come from Bangladesh, not only the issue about the low wages, when they come to

Malaysia they come by group and their agencies will confiscate their passports and these

workers will not have the freedom to go anywhere.

ii) Environmental issues

Another major issue raised by globalization is the environmental impact of increased global

trade and production. Globalization has led to a surge in industrial activity, transportation and

resource extraction, which can have adverse effects on the environment. Developing

countries often bear the brunt of these environmental consequences due to lax regulation and

weak enforcement mechanisms.


The Amazon rainforest in Brazil is a typical example. With the expansion of globalization,

the demand for agricultural products such as soybeans and beef has increased. This demand

has led to the expansion of large-scale agriculture, leading to deforestation, biodiversity loss

and greenhouse gas emissions. Environmental degradation associated with these activities

not only affects local ecosystems, but also contributes to global climate change.

iii) Global Expansion Difficulties

While globalization presents opportunities for businesses to expand globally, certain

challenges can prevent businesses from successfully entering and growing foreign markets.

These challenges include cultural differences, legal frameworks and market competition.

Google's experience in China is an example of the difficulties of global expansion. Although

Google is the world's dominant search engine, it faces challenges in establishing a significant

presence in China's search market due to censorship and fierce competition from local

players. Those hurdles limit Google's access to the vast Chinese market and the company's

potential benefits from globalization. Another example is about China as an exporting

country, European countries and the United States refuse China to export high-tech products

to their countries. The host country didn’t want to give permission.


Question 3

Culture plays a vital role in the effectiveness of global sales managers as they navigate

different markets and deal with customers from different cultures. Edward T. Hall's theory of

high-context and low-context culture provides valuable insights into the role of culture in

communication styles and norms.

High-context culture

High-context cultures rely on contextual cues, shared experiences, and nonverbal

communication to convey meaning. In these cultures, much communication is implicit and

relies on existing knowledge and relationships between individuals. People in high-context

cultures adapt to subtle nonverbal cues, gestures, and shared cultural references. The

connections are long term, if want to know someone, it need to have use long times.

Culture profoundly affects the way you communicate, and understanding cultural context is

critical to effective sales communication. In high-context cultures, such as many Asian,

Middle Eastern, and Native American cultures, communication is implicit and relies on

shared understandings, nonverbal cues, and context. Global sales managers must adapt to

these subtle signals and adjust their communications accordingly. They need to be sensitive

to nonverbal cues, respect hierarchical relationships, and communicate indirectly to build

trust and rapport.

When doing business in a high-context culture like Japan, global sales managers must be

aware of the importance of nonverbal communication, such as bowing, maintaining a

respectful distance, and using appropriate courtesy. By understanding the high-context nature
of Japanese culture, sales managers can effectively lead business meetings and build stronger

relationships with Japanese customers.

Low-context cultures

Low-context cultures rely more on clear and direct communication. In these cultures,

communication is primarily conveyed through explicit verbal messages, and people expect

clear and specific messages. Information is conveyed in a direct, straightforward manner,

leaving less room for interpretation. The connections are short-term, the two parties are not

for social, just the contract and business.

Culture influences consumer preferences, decision-making styles, and buying behavior.

Global sales managers must understand the nuances of culture in order to effectively fine-

tune their sales strategies. In low-context cultures like the US, Germany, or Australia, direct

and clear communication is valued. Sales managers should provide detailed information,

focus on product features and benefits, and emphasize the individual needs of customers.

Global sales managers need to consider low-context communication when entering the

Australian market. Australians appreciate concise, direct communication without excessive

use of non-verbal cues or ambiguous language. By tailoring sales presentations to fit this

preference, sales managers can resonate with their target audience and improve sales results.

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