Similarly, many MNCs have shown themselves to be more sensitive to local market conditions by decentralizing their decision-making. While enterprise centrals still retain some degree of control, home country leaders keep a reasonable distance by relying on modern telecommunications. Today, fewer managers are detached from headquarters; Instead, NCMs need local talent. Not only does decentralized organization accelerate and improve decision-making, but also allows an IMC to project the image of a local company. IBM, for example, is very successful in the Japanese market because local customers and suppliers perceive it as a Japanese company. What is critical to this perception is that the vast majority of IBM employees in Tokyo, including senior managers, are Japanese nationals16 A quota limits the amount of a good that can be imported over a certain period of time. Quotas are used to protect certain sectors, usually new sectors or sectors under strong competitive pressure from foreign companies. U.S. import quotas have two forms. An absolute quota sets a ceiling for the quantity of a good that can be imported during the period indicated.

A tariff quota allows the importation of a certain quantity and then adds a high import tax as soon as the limit is reached. Americans take for granted many cultural aspects of our business practices. For example, most of our meetings focus on business, and we tend to start and end our meetings as planned. These habits stem from a broader cultural preference: we don`t waste time. (It was an American, Benjamin Franklin, who marked the phrase “Time is money.”) However, this preference is not universal. The expectation that meetings start on time and stick to specific agendas is common in some parts of Europe (especially in Germanic countries) and the United States, but elsewhere – for example, in Latin America and the Middle East – people often arrive too late for meetings. In summary, you will learn more about the culture of a country and use your knowledge to improve the quality of your business relationships. Learn to appreciate the subtle differences between cultures, but don`t let cultural stereotypes dictate how you interact with people from any culture.

Treat each person as an individual and spend time knowing what they are. Only time will tell if the trend towards regional trade agreements is good for the global economy. It is clear that they are beneficial for their respective participants. on the one hand, they shall enjoy preferential treatment from other members. But some questions still need to be answered more fully.