Management of Organization Essay

692 Words3 Pages
It take time and efforts to form the right relationship. 2. The objectives of each partner may differ. The objectives needs to be clearly defined and communicated to everyone involved. 3. Imbalance in the share of capital, expertise, investment etc., may cause friction in between the partners. 4. Difference in the culture and style of business lead to poor co-operation. 5. Lack of assuming responsibility by the partners may lead the collapse of business. 6. Lack of communication between the partners may affect the business. GEOCENTRIC MANAGEMENT ORIENTATION Management holding a geocentric orientation believes that the entire world is a potential market and strives to develop strategies that will work in every market. Instead of stating that things are inherently different in each market and thus must be handled in a distinctive manner, a geocentrically oriented company will look for universal as well as local best practices to help a company thrive in all markets. For example, in a Polycentric company, management would allow full reign over decision making to take place at the local level. If that same company began to operate in Switzerland, it would recreate all business processes based on what the local managers thought. But what if there were certain things that would work well in both countries? Would it not be more efficient to leave those processes alone while custom tailoring the processes that really needed to be differentiated? In geocentrically oriented companies, authority is not simply placed with headquarters at home or with subsidiaries abroad, but rather a is dispersed more equally between the two so that a collaboration is formed. Also, a view of superiority is not based on nationality. A geocentric orientation seeks to find a compromise between allowing headquarters to do things its way and allowing local managers to do it theirs.

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