A Critical Analysis of a Global Problem

Topics: Management, Culture, Sociology Pages: 6 (1217 words) Published: April 22, 2014


"Shui Fabrics: A Critical Analysis of a Global Problem"

Management Theories and Practice 1

Introduction:
In studying and analyzing a case study through applying learning lessons from the text helps to put the objective and purpose into perspective. A case study is a form of problem based learning where details of an actual situation is generated with context that is related with key concepts of the text material. By using the underlying case study and relating it to the lesson on hand the use of material becomes more involved and related to real life concepts rather than just knowledge. By being able to apply knowledge as it is learned to actual problems through case studies it is often easier to understand as well as retain the key elements of the lesson at hand.

In the use of a case study it improves the learning experience in many ways. Case studies often apply the skills and concepts rather than just remembering facts and allows the reader to use critical thinking in a real life experience rather than the normal correct responses. Another benefit of using and applying knowledge through case studies is the expanse of which the knowledge can be applied in different directions that could come to more efficient outcomes in response to real life problems.

By reading the case study of Shui Fabrics, (Daft, 2012), an analysis can be made of global problems in regards to key components of interactions between cultures and interactions between them through business interactions as well as corporation outlooks. In the case study many differences come into play in the reaction between a US and Chinas joint business venture in regards to expectations between two cultures. In this one can learn the overall requirements of both cultures as well as the ability to make a sound and efficient decision regarding the case at hand. Over all the learning is in application of key concepts in a real world case. Problem:

The problems presented in the case study of Shui Fabrics, is in the interaction as well as expectations from both cultures. The biggest problems in this case study is the different political and economical priorities of each company. Shangai's Fabric Inc., the Chinese company is at this time happy with the progress made between the companies with a five percent ROI, (Return On Investment), and the employment of 300,000 employees that has greatly helped the economics of the area. On top of this the Chinese government has not interfered as much due to the low ROI. On the other hand Rocky River Industries, the US company is not as excited over the low ROI and the effect on cost efficiency that the big number of employees have on the return. This brings up two different views on the same problem do to socio-cultural differences and political environment differences.

In the case study of Shui Fabrics, a joint venture between a US and Chinese company the problem is viewed in two different ways. Problems are looked at from individual perspectives due to different experiences and environments throughout an individual's life time. These experiences are directed through social expectations, government regulations, cultural obligations, and educational direction.

One example of the perceptions between the two cultures of China and the US is the market. China does not have a free market and is lead by its government with over one billion people. The US is a free market and has a capitalist country, with only approximately 300 million people. These differences can cause a unique view on the economic structure and the social expectations that is required to do business. China has a greater supply of human resources and in this leads to lower wages yet calls for a higher social expectation than in the US. On top of this the political structure is more controlled regulating much of the business district in China verses the US. Analysis:

There has been over time a development of tools that can...

References: Daft, R. L. (2012). Management (tenth edition). Ohio: South-Western-Cengage Learning
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