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BUMGT5920 Management In A Global Business Environment, Federation University, Australia


Introduction: An international manager refers to a myriad designation for a manager who is in charge to maintain overseas operation for an international based company. Basically, an international manager is directly responsible for the company's foreign business policies. International managerial position holds various important business roles such as international sales, cultural marketing and overseas manufacturing process. An international manager must needs to understand the overseas requirements of the company along with understanding cultural, political and operational challenges of the international marketplace and available opportunities to expand business propositions. In order to ensure productivity and profitability within organizational context of international companies, the managerial position requires developing prominent knowledge to control sectoral developments such as budgetary and economic outlets. This study highlights the challenges that an international manager faces during international operations along with possible opportunities for managers to operate global marketplace of Ford. The paper also intends to provide necessary views of international challenges.

Assessment Task 1: Individual Research Essay

The international manager

Question 1: Describe, using academic references, the international challenges and possible opportunities for managers operating in a global environment.

Answer: The international challenges for managers operating in a global environment: Due to the fast changing nature of world marketplace and continues connecting nature allows international managerial position to explore global economy and competitiveness of world market. In order to achieve success in the designated survivor, international manager faces various difficulties which set limitations on functionality and performative acts. As per Beamish & Lupton (2016), participation in the global economy and execution of business propositions steadily demands higher accuracy and perfection. The challenges in operating global business venture confines different aspects such as language, cultural aspects, different legal landscape, communication and technology and various environmental perspectives.

Understanding other languages: Language barrier in global marketplace for international manager is the primary obstruction to operate commercial functionality. The global marketplace coupled with several international languages sets difficulties for managers to cope with nature. However, the ubiquity role of internet helps to deal with obstacles and it is inevitably difficult for international managers to implicate moderate business strategies within other linguistic marketplace. It takes adequate time period to adjust such language difference barriers for international manager to deal with customer and departmental movements.

Cultural aspects: Global marketplace consists of various set of cultural perspectives on ground level as global business functionality confines different cultural backgrounds within its operational management. The international manager faces hardship to deal with cultural variety of global economy which significantly affects the overall effectiveness and efficiency of the position (Kolk & Rivera-Santos, 2018). The managers required to learn cultural diversity and collective nature of cultural perspectives to succeed across the border. Additionally, people from different backgrounds and cultures have major differences in their thinking patterns which also contribute to major problems for the organisation.

The legal Landscape: As the functionality of international business deals with several countries, laws, taxation and legislation varies from different demographic location which adds different characteristics including legal obligation and numerous relegations surrounding trade in different countries. This complicity of laws and regulations sets limitations in managerial roles. In order to establish multicultural and multinational business venture, the functional manager needs to develop effective knowledge within legal landscape to add business prosperity seamlessly worldwide.

Communication and technology: Effective communication is the fundamental aspect in international perspective which allows developing certain relationship between sectoral management. It is necessary to establish centralized communication system across geographically distanced departments to operate business functionality smoothly. As stated by Beamish & Lupton (2016), international managers face greater challenges to resolve such barriers while implementing explanatory design and productive strategic planning. In addition, the quality of technological involvement varies across border which significantly set challenges for international manager to cope with.


Possible opportunities for managers operating in a global environment: International managers are enrolled to control overseas business functionalities and marketing approaches. As the global economy is interconnecting gradually, the role of managers are significantly influencing several forces including social forces, economic forces, technological forces and transportation forces. These potential entities are offering significant opportunities to engage with profitable business operations across traditional borders and boundaries. 

Social Forces: Social forces of business functionality allow the international managers to engage with several innovative strategic management processes. Due to its cognitive dissonance and quality influential aspect, international manager are gaining competitive advantages through appropriate strategies. As per Brannen, Piekkari & Tietze (2017), the managers are getting numerous offers to develop knowledge with various different cultures and languages marketplace. The knowledge related to cultural and sociological perspectives allows the manager to create globally consistent sets of business structure and business behaviours of local management. Developing many cultural and personal achievements in the global market provides handful opportunities for international managers to improve business venture along productivity and profitability within organizational context worldwide.

Economic Forces: Economic forces defers within nations and continuously changing within various sectoral functionality. Analytical views of the impact of economical background allow demonstrating and creation of potential economic approaches can be the cornerstone of the company's success. An industrial profit gain process differs with demographic characteristics which influences international managers to create profitable decision making (Meyer & Peng, 2016). The knowledge of global economy creates various potential opportunities for international managers to set unique configuration and profitable business strategies. This configuration allows the international managers to set new organizational structures to coordinate international network and to stimulate the creation of international innovations. The unique combination of economic knowledge creates various opportunities for international managers to gain competitive advantages.

Political Forces: Political forces of global economy include all the other forces including economic, technological and social force. This force provides necessary elements to emphasize appropriate decision making process of the international managers. Implementation of government regulations within specific demographic location provides necessary opportunities for manager to eliminate corruption and reverse flow (Buckley, 2016). The understanding of public policies and legislation allows the international manager to interfere profitable business strategies along with communicating with customers. The adaptability of political correctness and regulations within demographic characteristics provides necessary aspects to be benefited from global market (Noe et al, 2017).

Question 2: Provide a recent practical example of an Australian organisation which has faced the challenges of international competition and expansion. You can use companies which have been in recent news, such as or Ford or sources.

Answer: Recent issues and challenges faced by Ford Motors Australia: The recent issues faced by Ford include the fact that they experience major issues relating to competition from various companies worldwide. Various automobile brands such as Volkswagen and Renault are major competitors of the company and provide with cars at much lower rates than that of Ford. On the other hand, companies such as Audi, BMW and Mercedez are known for the provision of high-quality luxury cars that are of better quality builds and designs than Ford. However, products such as the Ford Figo in lower price ranges and Ford Mustang at higher price ranges have helped to keep the organisation in the market. The organisation also has a high brand image which contributes to increased positive effects on brand sales (Acharya, Schaefer & Zhang, 2015). However, the high amount of competition contributes to lower opportunities for the organisation to gain customers as per their potential.

Ford also faced major legal backlashes which contributed to a decrease in their brand image. These legal issues and negative brand image led to the loss of a large number of loyal customers for the organisation. It was stated that, over 70,000 Ford vehicles in Australia were confiscated by the Australian Competition and Consumer Commission (ACCC) in the year 2017 due to the use of faulty dual-clutch automatic gearboxes (Abc.net.au, 2019). It was also stated that around half of the Ford Focus, Fiesta and EcoSport vehicles with a PowerShift transmission system that were sold within the range of 2011 to 2016 required at least one repair. The large number of similar issues with cars for over five years indicated that the employees and managerial groups in Ford were aware of the issues.It can be stated that this process was utilised in order to gain additional funds from customers by repairing the cars.


Ford's Powershift Transmissions were developed in order to improve fuel efficiencies and ensure smooth operations of gear shifts. However, these systems were unable to provide these services and contributed to additional problems with car shudders, major jerking while accelerating, and sudden loss of power within the vehicle or noise issues. It was also stated that some of the customers requested for car repairs for around 7 times but Ford was unwilling to provide a refund or placement for the automobiles. The replacements were provided only in case of payments of around $7000. These issues contributed to the ACCC to lodge a complaint against Ford, accounting them to non-compliance with Australian Consumer Laws. After the confiscation of a large number of cars, Ford stated that they had upgraded over 12000 cars and are continuing to reach out to users that are experiencing these issues. The legal backlashes for the problem have contributed to a major decrease in the availability of customers for the brand.

Ford was fined with a total of $10 million in the year 2018 due to their actions regarding the gearbox situation. It was stated that Ford knew that the gearboxes were faulty but they stated that the driving style of the car users were contributing to the clutch problems. A hefty amount of $10 million of fines were imposed on the brand in relation to complaints provided by around 10,500 ford car users (Theguardian, 2019). Ford then developed a redress scheme in order to make things right but still face lingering issues until now. The level of misconduct that Ford was involved in was reflected in the fine. However, the chief executive of Ford Australia stated that they took too long to identify the issues and did not have complaints handled properly. This can be stated as an act of defence against their actions. Additionally, in case these facts are true, it indicates that the managers and board of directors did not conduct proper monitoring processes which contributed to these problems.

Question 3: Give your personal view of how some of the conflict generating and solutions could have been handled in a more effective process.

Answer: Methods of handling conflict generating solutions in a more effective process: Various conflict generating solutions could be handled in the following processes:

• In case of major language barriers between people belonging to different ethnic backgrounds or cultures, the availability of an interpreter is essential. During face to face communication, the availability of a person who can act as an interpreter can help to ensure proper communication. The interpreter can be provided with information in the form of a certain language which can be related to the receiver based on their culture and language forms. On the other hand, in the case of business communications via online methods involving computing devices such as desktops, laptops or smart phones, the use of interpreter software and applications can be effective.

• Differences in thought processes between people belonging to various cultures and racial groups are the prime reasons leading to major conflicts between people. Dealing with these conflicts requires the proper utilisation of major ideas relating to the promotion of cultural diversity. Promoting cultural diversity within an organisation can help to gain knowledge regarding the views of people belonging to different cultural and racial backgrounds in regards to various situations experienced. In case of major situations involving the need for the implementation of new strategies within an organisation, communicating with people from different backgrounds is necessary. The thought processes and views of different people can be taken into account and the members can work upon each other's ideas in order to develop an effective strategic action to deal with critical situations faced by the organisation.


Conclusion: International managerial position consists of various significant opportunities to influence the operational process of global companies. Developing potential qualities of international manager helps to eliminate trade and investment disputes within the system. Due to the rapid change and substantial expansion of business throughout the global economy has created efficient opportunities for international managers to improve business structure and ensure productivity and profitability within organizational context. In order to establish strong business venture, the role international manager plays a key aspect to improvise ideas. This study discussed the prime roles of the manager along with the constant challenges that occurs within the systematic framework of global business. This study highlighted the potential opportunities of the international managers and the recent issues faced by Ford within Australian marketplace. This systematic paperwork also discloses the potential solutions to resolve various in house conflicts within the global economy.

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