What is interesting or wondrous about international industrial relations is the element of… The shift in union density (growth) over time. The complexity and variability in making decisions relative to what extent firms ought to
centralise or decentralise their industrial relations efforts globally. The successes and failures of trade unions to proactively limit firms’ strategic choices. The successes and failures of trade unions to reactively limit firms’ strategic choices. The magnitude of firms’ characteristics and their implications on performance and its
relevant stakeholders.
(5 phenomena relating to international industrial relations) Implications
Mexico’s cultural characteristics can influence IHRM Phenomena. But How? Task
How these characteristics (mentioned below) will impact on MNE operations in the context of
international industrial relations?
Build the relationships between characteristics and phenomena, and find possible results and
operations for MNEs.
(Write at least 500 words) Eligible characteristics of Mexico
1. Low wage rate
MNE can open a subsidiary company efficiently with less pay for labor
MNE should not let unions interfere to protect employees so as to avoid confrontations
2. Power distance
3. Uncertainty avoidance
4. Masculinity
Women’s salary is relatively lower. MNE can take advantages in some way.
Hire more women to lessen costs
Lower maximum working hours
5. Lower level of technology
Introduce technology from headquarters by sending expatriates
Costly but beneficial in a long term Increase unemployment rate with the introduction of high technology 6. The climbing union density
Phenomena would be large space for MNEs 7. Environmental corruption in Mexico
8. Low education level
How to solve? Training costs money
MNE want to receive more with less effort
Union’s job would be protecting employees
What will union do?
