APPROACH VS. INTEGRATIVE APPROACH
an approach to handling Political Risk
of being defensive towards a risky situation in a foreign country, or immersing
your company into the culture is something writers and professors of international
DEFENSIVE APPROACH VS. INTEGRATIVE APPROACH
In October 2007 this topic
was taken out of the larger unit
||There are two
schools of thought about how to handle a company operating in regions of
high threat and risk.
1. Defensive Approach
Press reported in July 2007
"Protests shut down Starbucks in Forbidden City"
Stanley said in his email
Although the palace managers offered Starbucks the option of continuing to operate using other brands, Starbucks declined and it was forced to shut down. In this case, I believe Starbucks demonstrates a integrative approach. Instead of confronting with the managers (ie potential lawsuit), it withdrew and showed respect for the Chinese people and their culture."
Stanley also noted that part of the reason this story developed was, as reported by AP, a massive "Internet campaign started in January  calling for the removal of a Starbucks coffee shop from Beijing's famed Forbidden City." - which serves as a pretty good example of how the web can be used successfully in lobbying
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