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(3) Top Management

Cross-national variation in top management teams is mostly reflected in their functional background and their international experience, as well as the patterns of managerial career mobility. Managers in the US and UK tend to have professional backgrounds and strong functional backgrounds in finance or marketing.
This is not the case in Germany, where managers are more technically oriented.

There is also variation in the international experience and background of managers, with US managers having the most foreign-born individuals in their management teams and prance, Italy and Japan the least. Managerial career mobility tends to be very fluid in the US and UK due to open labour markets whereas, in Japan and France, managers tend to remain with a company for a long period of time.

The presence of foreign nationals and managers with prior international experience, combined with open labour markets, means that teams will be more likely to push global strategies.

Conversely, management teams dominated by closed labour markets and ties to government, or founding or controlling family, will be more reluctant to engage in global strategies, mostly due to their preference for keeping control domestically.

While the Board is responsible for ensuring that the principles of corporate governance are adhered to and enforced. The real ones of implementation lies with the management which is responsible for translating into action the policies and strategies of the Board and implementing its direction to achieves corporate objectives of the company framed by the Board.

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* Contributed by: -
Dr. R. P. Verma,
Ex. H.O.D. & Dean, Commerce and Business Management Dept.,
Arabinda Bhandari,
Strategic Management Researcher,
Ranchi University, Ranchi.