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Assignment Instructions
La Gustocoffee is an Italian coffee bar chain specialising in organic high quality coffees and French pastries. Its unique stance on ethically sourced delicious products have made it a big hit in Europe where it also has stores across the UK, France and Spain. La Gustocoffee is looking to break into the Asian market and is planning to open its first stores in Shanghai and Beijing (China).
As before, the new stores will operate in a very similar way to operations in Italy (HQ), with the same product line in order to retain their individuality and unique ethical selling point. A General Manager (PCN) has been identified and is available to be flown over to China in the first instance from Italy, but the company require more advice on staffing policy and whether to hire local staff for management positions (as well as at barista level).
The company has approached you, as an experienced HR consultant, to advise them about key HRM considerations for establishing their business in China. Your report should address the following key areas and make clear your reasons for recommendations:
What are the main challenges that La Gustocoffee will encounter setting up China?
Answers will debate:
a. The key cultural differences between Italy and China and how this may impact HRM and managerial practice.
b. The most effective IHRM staffing strategy to adopt (citing appropriate models)
c. The difficulties expatriates (PCN’s & TCN’s) specifically may face adapting in China and ideas to overcome these.
d. Discuss ethical issues which may be relevant for a European MNC setting up in China, with a specific focus on ‘migrant workers’, decent work (ILO) and reward.
This case study assignment should be undertaken as an individual piece of work. As it is an academic piece of work you must support your analysis, arguments and recommendations by referencing from published material (academic text books, peer reviewed journals and appropriate media). APA reference style must be used.
Assignments should be in report format (i.e with a contents page, sections, subsections, a clear introduction, a conclusion, comprehensive referencing and bibliography).
Recommended Structure:
1. Abstract/Executive summary (word count not included)
2. Introduction (approx.300 words)
3. Discussion (approx.3000-3500 words)
4. Conclusion (approx.300 words)
5. Recommendations. (approx.300 words) (Acceptable to bullet point these).
6. Reference List (word count not included)
7. Appendices (word count not included)
Word length should be approximately 4,500 words (+/- 10%). This does not include appendices, bibliography or any supporting tables/graphs.
Other texts/articles which you may find useful for both the assignment in addition to the reading given within the units. NB: this is not essential reading but a supplementary suggestion to help with expanding your viewpoints in certain areas. Please also conduct your own research.
Chan C K-C & Hui E S-L (2012) ‘The Dynamics and Dilemma of workplace trade union reform in China: The case of Honda workers’ strike. Journal of Industrial Relations. 54:653
Chan J, Pun N & Selden M (2013) ‘The politics of global production: Apple, Foxconn and China’s new working class’. New Technology, Work and Employment, 28:2, pp100.
Chan J (2013) ‘ A suicide survivor: The life of a Chinese worker’. New Technology, Work and Employment. 28:2,pp84.
Friedman E (2012) ‘Getting through the hard times together? Chinese workers and Unions Respond to the Economic crisis’. Journal of Industrial Relations. 54:459.
Leopold, J., Harris, L., and Watson, T. (eds) (2007) The Strategic Managing of Human Resources, Harlow, Financial Times/Pitman Publishing.
Mendenhall, M., Punnett, B. and Ricks, D. (1995) Global Management, 1st Edition, Blackwell, Oxford.
Malcolm Warner (2010): ‘In search of Confucian HRM: theory and practice in
Greater China and beyond’. The International Journal of Human Resource Management, 21:12, pp2053-2078
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