Running head: CASE OF MILLION DOLLAR DECESIONS
CASE OF MILLION DOLLAR DECESIONS
With the conversion of the world into global like village, international trade has turned to be inevitable by many companies. Trade between different countries creates massive market opportunity which many companies are striving to explore. Countries have different cultures, values, believes and they way business is conducted also varies. This makes it mandatory for companies willing to invest in the international market to take proper research prior to making any investments. China has become a very attractive business destination for many companies internationally due to its big population as well as availability of cheap labour among other factors conducive for any business.
This paper explores the ethical dilemma in international business with a close reference to the million dollar case study.
International Business regulations in China
For a long time now china has been accused of implementing unnecessary bureaucratic procedures targeting at simply pushing out international counterparts at the expense of Chinese companies, this highly unethical (Jiang, 2010). This makes it very difficult for companies wishing to make direct foreign investments in the country and as a result most companies are adopting joint investments with China owned companies as the best alternative. The above fact will push out companies not willing to enter into joint ventures adversely affecting international business in China as well as portraying china as unethical trading partner.
Cumbersome regulatory procedures have impacted on major international Chinese business deals to end up being cancelled. In the year 2011 more than $30 Billion worth deals proposed to Chinese companies were cancelled, this amounted to more than half of the total deals proposed in the year. A good example includes the petrol China and the bright...