unique staffing choices. In this lesson, you’ll learn about ethnocentric staffing, regiocentric staffing and geocentric staffing. A short quiz follows. Ethnocentrism is pre- dominantly a home country orientation. Ethnocentric Polycentric Regiocentric Geocentric Management orientation. EPRG model, sometimes called also EPG model, is used in the international marketing. It was introduced by Perlmutter (). The strategy of.

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When an organization grows polycentrric the point of having operations in more than one country, it will always run the risk of going off in too many different directions to be successful. The model states that a multinational organisation holds one of three orientations at any point in time: The geocentric approach uses Ihe best available managers for a business without regard for their country of origin.

This ideology is a great example of how today’s business must manage both global and local issues in order to succeed in the end. Each of the three options included in this model can be successful in the right circumstance, and each can fail in the wrong situation.

The HR department must have the capacity to regoocentric the changes in these markets and exploit those changes productively. For an effective utilization of the internal source of recruitment, global companies need to develop an internal database of employees and an effective tracking system to identify the most suitable persons for global postings. For international recruitment, especially on foreign soil, organizations regiocengric use manpower agencies or consultants with international connections and repute to source candidates, in addition to the conventional sources.

If Commonwealth Bank Australia decides to expand into China, they would employ staff from the China Labour Force to fill out positions at the lower end of the heirachical structure and bring Australian Staff from Australia Geocentric- It is when the business employs the best person for the job regardless of ethnicity and place of residence. In these companies, opportunities outside the home country are ignored. Job Sites in Australia.

All articles with dead external links Articles with dead external links from November Use dmy dates from October Wikipedia articles with style issues from November All articles with style issues All articles with links needing disambiguation Articles with links needing disambiguation from September Retrieved from ” https: The number of expats in senior roles in the Indian arms of Sony, Panasonic, Hitachi and Daikin too have come down, while Samsung too now has Indian executives in their global think tank.

Each polycdntric the three elements of the EPG profile is briefly highlighted in the table below, showing the main focus for each element, as well as its correlating function, products, and geography.


It is against that backdrop that the EPG model comes into focus. In contrast to ethnocentrism, polycentrism defaults to the strategies, methods, and techniques of the host country when it comes to decision making for the organization. Natives of Australia manage the home office. The first drawback of a polycentric approach is that the “benefits of global coordination between subsidiaries such as the development of economies of scale cannot be realized.

Ethnocentric polycentric geocentric regiocentric

These include an organizations headquarters that’s decision-making authority is relatively high. On the downside, however, there is a concern regarding duplication which can cause costs to rise.

Ethnocentric approach is a staffing policy that is used in companies that has primarily international strategic orientation. Since we are talking in the ethocentric of business, we will be talking about business ethics and corporate social When a company follows the strategy of choosing only from the citizens of the parent country regiocnetric work in host nations, it is called anethnocentric approach.

Asian consumer electronics makers are increasingly placing their trust on Indian executives, especially at a time when several of them are struggling in their home turf, or finding the going tough in the largest markets, and are expecting India to play a bigger role when they are expanding to emerging markets.

On the plus side, running the business this way can keep things simple. When a company follows the strategy of choosing only from the rgiocentric of the parent country to work in host nations, it is called anethnocentric approach. Polycentrism can be defined as a host country orientation; which reflects host countries goals and objectives with respect “to different management polycrntric and planning procedures with regard to anf operations.

When they look to new markets they rely on what they know and seek similarities with their own fegiocentric. While there are many obstacles that will hinder a company’s ability to become geocentric, there are also a handful of forces which will drive them towards this. Polycentric orientation assumes that host country cultures are different making a centralised approach unfeasible.

It is essential that the workforce of an international organization is aware of the nuances of international business. Also, corporate headquarters may not employ enough managers with international experience.

Knowing where your organization lies under these three headers is important, whether you happen to find your company under just one or perhaps a combination of two or three. Organizations that are designed with an ethnocentric focus will portray certain tendencies. The companies that adopt this method normally have a localized HR department, which manages the human resources of the company in ethnoxentric country.

Ethnocentric Polycentric Geocentric Regiocentric

Companies should evaluate all legs of the EPG model before implementing a strategy, as all companies differ in international strategy among industry and region. The primary purpose Ethnocentric polycentric geocentric regiocentric geocenyric over the management to the local people is to ensure that the company understands the local market conditions, political scenario, cultural and legal requirements better.


What is accepted as a permissible way of treating employees in the United States, the home country, may not be acceptable to Chinese employees, in the host country. This article is written like a personal reflection, personal essay, or argumentative essay that states a Wikipedia editor’s personal feelings or presents an original argument about a topic. H-1B workers may be employed temporarily in a specialty occupation or as a fashion model of distinguished ability.

Indian manufacturing companies polyfentric going all out to woo expat talent in digital, artificial intelligence and other new-age technologies, as they seek to strengthen their global footprint with improved products.

After completing my post graduation I thought to start a website where I can share management related concepts with rest of the people.

EPRG Framework

As noted earlier, it is not easy to run a business that is operating around the globe, as there will always be the potential to get off-track in terms of goals and the overall direction of the business. Manufacturing cos recruit expats in key artificial intelligence, digital roles.

The importance of the EPG model is mainly in the firm’s awareness and understanding of its specific focus. International Selection Even though cultural differences influence the selection procedure to some extent, organizations tend to follow similar criteria and methods worldwide. Polycentrism [ disambiguation needed ] is one of the three legs in the EPG framework that “identifies one of the attitudes or orientations toward internationalization that is associated with successive stages in the evolution of international operations” [7].

While there can be drawbacks to this plan in terms of travel costs and educational investments, there are also benefits in the form of a better global outlook and an elevated level of goods and services. Ethnocentric attitudes can be seen in the organizations communication process.

Employers must verify work eligibility by completing Form I-9 along with required supporting documents. The survey found Singapore regiocenrtic be the best place to improve earning prospects with 71 per cent women expats choosing the country, followed by Hong Kong at 55 per cent, China at 45 per cent, South Korea at 44 per cent and Vietnam at 42 per cent.

Many international companies operating their branches in advanced countries like Britain and Japan predominantly adopt this approach for recruiting executives lo manage the branches.