Management Chapter 8 Homework China And What Actually Worked The Emphasis

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INTERNATIONAL MANAGEMENT Chapter 8: Leadership

Chapter 8

LEADERSHIP

Learning Objectives

After studying this chapter, you should be able to:

2. understand how culture and the institutional setting of a multinational enterprise

may necessitate changes in leadership style.

3. distinguish different traits, competencies, and behaviors that leaders require when

working with different cultures and strategic situations.

General Teaching Suggestions

Divide the class into groups. Each group should identify a leader from any field and

describe the factors that worked behind the success of the person. The facilitator shall

Opening Case Discussion Guide

The case describes the image of Chinese culture as provided to American and European

cereal makers during their attempts to enter the Chinese market. A leading U.S. cereal

maker decides to implement individual rewards which go against the spirit of

emphasizing the collective, which according to the consultants contradicted the Chinese

tradition. The success of this attempt leads to a new learning for marketers.

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CHAPTER OUTLINE: KEY CONCEPTS AND TERMS

Sections I through V of Chapter 8

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I. WHAT IS LEADERSHIP?

1. Key Concepts

Leadership in international and diverse settings therefore involves the ability to

2. Key Terms

II. LEADERSHIP THEORIES

1. Key Concepts

• Trait Theories of Leadership

INTERNATIONAL MANAGEMENT Chapter 8: Leadership

Charisma: Charisma is the ability to inspire or influence others. Charismatic

leadership that combines learned skills with the ability to transform an

organization, in addition to internal traits, is referred to as transformational

leadership.

• Behavioral Theories of Leadership

Ohio State/Michigan Studies: The behavioral perspective of leadership identifies

two dimensions of leader behavior: task orientation and people orientation. This

perspective has been used to argue that the most effective leaders exhibit high

• Contingency Theory

Fiedler’s Contingency Theory: Fiedler argued that there are two fundamental

types of leadership: task orientation and relationship orientation. The best

leadership style is determined by three conditions or contingencies. The first

Hersey–Blanchard Situational Leadership: They argued that contingency was the

appropriate approach because it allows flexibility in types of leadership as

required in different settings. Specifically, they argued that effective leaders must

also vary their style of leadership based on the employees’ level of maturity.

There are four levels of employee maturity. An employee’s maturity is

Vroom–Yetton Theory: This theory argues that the required type of leadership is

contingent on these issues:

i. whether decision quality is important and followers possess useful

information.

INTERNATIONAL MANAGEMENT Chapter 8: Leadership

As a result of these six contingencies the leader then makes decisions in one of

five different ways:

i. Autocratic 1—Problem is solved using information already available

ii. Autocratic 2—Additional information is obtained from group before

leader makes decision

• New Views on International Leadership: Daniel Goleman and colleagues

developed more fully the concepts behind each type of situational leadership

behavior and identified six different leadership styles.

i. Coercive

ii. Authoritative

2. Key Terms

• Trait theory – Argues that people have underlying traits or characteristics that

lead to either superior leader or follower performance.

• Internal locus of control – Whether people feel that they can control things

themselves or whether forces outside them control their future.

III. CONNECTING LEADERSHIP AND CULTURE

1. Key Concepts

INTERNATIONAL MANAGEMENT Chapter 8: Leadership

Power Distance and Leadership: Hofstede argued that participatory leadership is

not suitable for all cultures.

Uncertainty Avoidance and Leadership: High uncertainty-avoidance cultures that

have an emphasis on rules, procedures, and traditions, may place demands on

IV. OVERVIEW OF CULTURE AND LEADERSHIP

1. Key Concepts:

In countries with different cultures there may be several appropriate approaches to

V. SUMMARY

1. Key Concepts:

• It is critical that businesspeople recognize that culture dictates the leadership

approach.

• Originally, there were two main behavioral leadership dimensions: task

orientation and people orientation. Subsequent research on other key conditions

has given more depth and detail to the behavior model of leadership.

• Contingency models of leadership, including the Path–Goal and Vroom–Yetton

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END-OF-CHAPTER GUIDE

* MANAGERIAL GUIDELINES

* OPENING VIGNETTE DISCUSSION QUESTIONS

* DISCUSSION QUESTIONS

* IN-CLASS EXERCISES

* TAKE-HOME EXERCISES

* SHORT CASE QUESTIONS

INTERNATIONAL MANAGEMENT Chapter 8: Leadership

MANAGERIAL GUIDELINES

2. Even a concept such as charisma can take different forms in different settings.

3. Coercive and authoritarian leaders work best under unfavorable situations.

4. Democratic leaders who seek consensus, discussion, and are slow to make

5. Affiliative leaders who are good at listening to employees and handling

6. Pacesetting leaders obtain the fastest results from a highly motivated and

7. Coaching leaders can be effective. Coaching helps an employee improve

8. If a firm cannot change leaders to match a situation, then that leader should try to

OPENING VIGNETTE DISCUSSION QUESTIONS

1. Why do you think there are differences in the theoretical advice offered to the

managers going to China and what actually worked?

The emphasis on collectivism against individualism was the striking feature of the

2. As you think about the potential for developing a major new market for cereal in

China, what might be some other domains that may offer similar major market

opportunities that would be related?

Student responses may vary. Along with leadership and decision-making, students

DISCUSSION QUESTIONS

1. Discuss what you think an effective leader would be like if you were in Australia.

Contrast that with what an effective leader would be like in India.

The concept of ‘‘mateship,’’ the leader being ‘‘one of the boys,’’ was one of the

typically Australian leadership dimensions that reflects the high value placed on

2. What would be the potential leadership problems a Chinese manager at Lenovo

might encounter as he or she moves into a senior management position at the

firm’s new New York offices, where he or she will work with former IBM

employees?

Student responses may vary. The challenges for the new leader could include

perspectives on hierarchy, authority, leadership style, and the team’s attitude

3. If a South American manager is sent to manage a joint venture in Sweden, what

would be the potential problems that he or she could encounter in seeking to lead

the organization?

Perspectives on masculinity should be considered for discussion here. It has been

IN-CLASS EXERCISES

1. Give examples of effective leaders, particularly in business. Consider leaders at

all levels from CEOs to supervisors to sports coaches.

2. What do effective leaders do?

3. What are the main goals of an effective leader in most organizations?

4. Think of two ways a leader can build trust in his or her ability to lead.

TAKE-HOME EXERCISES

1. Several management scholars have argued that charisma is not enough for

someone to be a leader. Explain why they argue this.

INTERNATIONAL MANAGEMENT Chapter 8: Leadership

As discussed in the text, there are a variety of factors that lead to leadership.

2. How could charisma actually hinder a leader from being effective and under what

circumstances?

Charismatic leaders who cannot put an organization’s goals ahead of their own,

3. Many people from the West would argue that democratic leadership in which the

leader gives followers a say in decisions is the preferred leadership style. When

would a democratic leadership style be effective? When would it be ineffective?

Perspectives on leadership need to consider the culture of the country that it is

4. In Japan, China, and many other Asian countries, a tough, autocratic leader is

thought to be necessary to motivate the workforce. Many leaders (including

managers, coaches, teachers, and even parents) believe that praise to followers

should rarely if ever be given. Why do you think this is the case? Do you agree

with this approach to leadership and motivation?

As discussed earlier, the cultural setting of a society plays an important role in

SHORT CASE QUESTIONS

1. Studying military history is recommended to learn more about issues such as

training, strategy, logistics, management, and leadership. What do you think can

be learned from a military setting about these key concepts? Keep in mind that

although the military regularly trains to fight, most armed forces actually spend

only a small amount of time actually fighting, and in fact face many of the same

strategic and managerial problems that all large organizations face.

Like Sun Tzu’s The Art of War”, various ancient works discuss the strategies and

2. Why did the invasion of Europe in WWII (D-Day) require a change in the way

Easy Company, as described in Band of Brothers, was to be led?

Students should discuss the Managerial Grid in the text. As the case reveals, the

3. Why do you think the ‘‘telling and yelling’’ style of Captain Sobel, the

commanding officer of Easy Company, would not have worked well under

conditions of combat? Don’t most military officers just yell out orders anyway?

4. What type of leadership style would be necessary under combat conditions?

Combat conditions require a leadership style that inspires confidence and

5. Why do you think the regimental commander (Captain Sobel’s boss, Colonel

Sink) was unaware of Sobel’s failings as a leader? What measures was he relying

upon to judge Easy’s performance? What does this say about how managers

should assess the performance of their units and the fitness of the leaders they

appoint?

Student responses may vary. The lack of communication between the team unit