Novo Nordisk Case Study: Mexican Experience from a Danish Firm: “Changing” Mexican Culture Essay

Words: 1650
Pages: 7

Mexican Experience from a Danish Firm: “Changing” Mexican Culture

i. Introduction
Nowadays is common to hear that the trend of business world is located in Emerging Markets, therefore most of the biggest and important companies in the world are startin to enter to those undeveloped economies that have a great potential.
Develop assertive HRM practices in those new markets are key issues in order to achieve the expected success.
The international human resource management models developed in the last decade pursues a contextual analysis of the standardization (global integration) of multinational parent companies' human resource management policies and practices and localization (local differentiation) of host countries
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Also the hybrid system would allow to both cultures learn from each other and increase the expertise for Novo Nordisk.
The cons ad pros for each option are explained below.
Hybrid strategy
Pros Cons
Better reaction to the local environment Could be more expensive.
The company can attract the best talent available. Hard to accomplish internal consistency.
Novo Nordisk can gain a good reputation between Mexicans. Is not that easy, find the ideal balance.
Combining the best aspects (according with the circumtances), Novo Nordik could get the best performance of their employees, because they would get what is coerced by law and also they will be treated as they are not used to (having better conditions, enhacing communication, trustability and wellness) The process to get used to, and make work the company, would be slow and complex
A unique system, specially designed for this conditions, could provide competitive advantages over the competence (even when they are famous already)
Centralized strategy
Pros Cons
Easy and fast to apply Mexicans could abuse from the “nice conditions” (could be hard to control them because they are not used to , to freedom), and in the other hand if they apply the traditional system totally they would break with their own philosophy and they also could get negative outcomes.