International Attitudes In Internationalization

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INTERNATIONALIZATION • INTRODUCTION: Since the internationalization occurred, the world’s business has made a huge evolution not only in the local country but also among the nations. Consequently, a lot of relevant business issues happened with the positive results as well as the negative outcomes. One of the foreign organizations which was failed to keep developing after running their company in Vietnam is New York Dessert (NYDC) coffee chain restaurant .This essay is going to demonstrate 3 essential relevant international attitudes including: ethnocentric, polycentric and geocentric theory before analyzing the NYDC business problems which implicated to the ethnocentric theory. Furthermore, a variety of solutions will be promoted to find…show more content…
36). Nowadays, internationalization has a more academic definition. According to the page BusinessDictionary, internationalization is a phenomenon of the increase of foreign enterprise among countries and the way organizations produce and promote products which is adaptable with the host country’s culture and economic environment. There are three main attitudes in doing international business: ethnocentric, polycentric and geocentric (John & Saks, et al 2014). Firstly, ethnocentric is used to indicate the kind of parochial management that monitor an organization without considering about the foreign people’s opinions in the company since the top managers believe that the home company knows exactly how to achieve the goal with the most effective and optimal strategies. Secondly, Polycentric demonstrates a management theory which allows foreign staffs to supervise and operate the subsidiary company’s functions as the owners assert that the native people are those who know exactly the customers’ demands and cultural out-look. Finally, with the development of economic revolution, most of the organizations nowadays choose geocentric theory to run their business with the most acceptably general point of view about among different…show more content…
Firstly, the ethnocentric theory with the subjective out-look about the local employees’ ability and high risk of fail in native context is mentioned to be the worst kind of starting business abroad. Secondly, polycentric theory just emphasize the local management‘s responsibility for operating and monitoring the brand’s transaction activities without any concerns about the risk when there is not the closely observation from the home company. Finally, the three methods can be flexibly used to better the New York Dessert Coffee’s process of establishing host firms in other

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