Labor Market Aspect of International Business: Contrasts between Europe and the United States
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Authors
Blumentritt, Martin S.
Issue Date
1999
Type
Thesis
Language
en_US
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Abstract
Differences between societies must be observed when it comes to international
business. Business practices vary by region, and are formed by the people and cultures
that make up these societies. In the last year, I have had the opportunity to work with
three subsidiaries of the American firm General Motors. I have worked in Spain,
Germany and the U.S. It is through these internships that I have been able to observe
fundamental differences between cultures and business practices. I have come up with
three fundamental characteristics, which describe the essence of these differences. I have
chosen hours worked, benefits, and education. I feel that these differences shed some
light on a societies views toward work and help describe how the European and
American labor systems work.
While in Spain I volunteered for Car Care Plan, a subsidiary of GM. While there,
I was able to observe the Spanish culture. The Spanish seem to have found a balance
between work and their social lives. They have created a system where work and
personal lives are completely distinguishable. Employees are able to able to voice their
opinions at the work place and are not afraid to show their true personalities in front of
their supervisors. Lunch breaks are taken by the whole staff and are used as a time to
unwind and discuss personal everyday events. They tend to view work as a serious matter
but not one which should disrupt their lives.
I was able to observe German aspects of business while working for OVD another
subsidiary of GM, which performs many of the same tasks Car Care Plan. I found that
Germans tend to be more relaxed when it comes to dress codes and interactions between
peers. They also tend to use dress as a way to classify who has a higher level of authority
within the company. The work schedule of Germans is very important. Employees tend
to work very close to the clock. They tend to put in almost no overtime and enjoy the
generous time off which they receive. Employees receive six-week paid vacations and
usually work less than 40 hours a week. This schedule decreases the amount of stress at
the work place and Germans feel it increases their productivity.
In the U.S. I worked for Motors Insurance Corporation Latin American
Operations, which is a subsidiary of OM. I found that in comparison to Europeans
Americans tend to be impatient, stressed and overworked. Most Americans tend to put in
more than 40 hours a week and feel that they should not leave work until a job is
complete no matter how long it takes. Lunch breaks are short and usually just as stressful
as the rest of the day. Americans however feel that their salary is compensation enough
for their hard work. Americans in general tend to be more materialistic than Europeans.
This is very different to what Europeans feel is important. A long vacation might be
more important than a new car to a European.
I observed many differences while working
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ix, 56 p.
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