The Group Project Essay Example | Topics and Well Written Essays - 1500 words

The Group Project - Essay Example polycentric strategy and the geocentric strategy (Tiwari 2013); the ethnocentric strategy entails applying the parent company’s HR practices in the host countries while the polycentric strategy involves recruiting local staff and adopting the host nation’s HR practices (Reiche 2006). Contrariwise, the geocentric strategy entails simply paying attention on the skills of the employees and adopting the best HR practices that serve the MNCs purposes, regardless of their nationality. Given that all these HR selection and recruitment strategies have their unique pros and cons, MNCs often make a choice, on which one to use based on numerous considerations (Banai & Sama 2000); these include the nature of businesses they engage in, their organizational strategy, and leadership structure, in addition to their previous experiences. The company that applies the polycentric strategy in the selection and promotion of its international human resources usually goes by the assumption that every country is unique from all the others and its foreign subsidiaries must adapt practices that are locally appropriate to every market through the direction and supervision of local managers. The Atlanta-based soft drink giant Coca Cola has managed to build both a global organization and a multi-local enterprise whose internationalization strategy entails adapting to local needs, laws and cultures through polycentric policies. The company has a global presence in more than 200 countrie s and in all its global subsidiaries, the company strives to employ as many local nationals as possible because it considers the HCNs to be more suitable to the home markets (Anfuso 1994). Traditionally, the polycentric approach to the selection and promotion of employees in the management of international subsidiaries entails low costs of recruitment and training (Tiwari 2013). Similarly, the polycentric approach is mired with lesser adjustment and communication challenges, primarily because all the