Paris Williams

Human Resource Management

Carter Cleaning Company: Going Global

1. Assuming they began by opening just one or two stores in Mexico, what do you see as
the main HR-related challenges he and Jennifer would have to address? What political,
economic, cultural, or other issues should they be aware of?

Other than big issues such as the difference in culture, politics, legalities and the

economic difference between the two countries, one of the main HR-related challenges that I

see Jack and Jennifer would have to address is whether or not they should staff their store

with locals from Mexico or with a U.S. manager.

The difference in labor cost is very important for them to look at, as well as the labor

laws in Mexico, and the culture differences; for example, will Mexico utilize a laundromat

like the U.S. does? There is a lot to consider and a lot of research should be done before they

set up a store in Mexico. They should also be aware of the political risk, which means they

should ensure that there are no government actions or politically motivated event that could

affect their company in the long run.

2. How would you go about choosing a manager for a new store in Mexico if you were Jack
or Jennifer? For instance, would you hire someone locally or send someone from one of
your existing stores? What are the pros & cons of each of these possibilities?

If I was Jack and Jennifer, I would hire a manager from one of the existing stores, the

main reason being, they already know about the company, what it does and how to operate

the machinery; also, Jack and Jennifer is familiar with the way they manage as well as their

strengths and weaknesses. However, some disadvantages of placing a manager from one of

the old stores into Mexico is that it can be very expensive as well as time-consuming since a
lot of paperwork is required and the company would have to pay for that manager’s move to

Mexico.

Some advantages of hiring someone in Mexico would be, they are familiar with the

culture, language and know how businesses operate there. It will also be cheaper since you

will not have to pay for a place for the manager to stay as well as travel expenses and

ensuring that they are settled in and comfortable. However, I believe that some disadvantages

are that the person is not aware of the organizations, rules, and the way it operates, therefore,

it can be difficult having to train a manager and at the same time focusing on other issues/

challenges that might occur from placing a U.S. company into Mexico.

3. Present a detailed explanation of the factors you would look for in your candidate for
manager of a new store in Mexico.

The first factor that I would look for in my candidate of a new store in Mexico is

the ability to communicate both verbally and non-verbally in Mexico or in Spanish since

that is their main language. This is very important because it is essential for the manager

to communicate to his workers to ensure an efficient workplace, also if any problems

arise throughout the day, the manager needs to able to communicate with his/her

customers/employees to solve it. I would also look at previous positions that this person

had and how well did they succeed, this is because managing a company that has never

been outside of the United States can be very challenging; therefore, it is important that

this individual is able to handle stressful situations and adapt to changes. I would also

look to see if the person is flexible, do they have close family and whether or not their

family is willing to move with the person or simply support him/her while the selected

person moves to a different country. The last factor that I would look for is if the person
 is motivated and enjoys challenges. This is very important because if the new manager

has no motivation in this new position then he/she will more than likely fail, and the same

goes for new challenges since moving to a new country that is so different from the one

your use to and starting a business can be very challenging.

4. The cost of living in Mexico is substantially below that of where Carter is now located:
How would you go about developing a pay plan for your new manager?

Because the new manager will be coming from one of the U.S. stores I will not

decrease his/her pay to fit Mexico, instead, I will increase the new manager’s pay and

also offer him/her a profit-sharing plan. But this will not be for the entire Carter Cleaning

in both the U.S. and Mexico, simply only in Mexico; that way he/she will strive to make

the store succeed. I would also provide up to one year of rent at a reasonable amount so

the manager can be comfortable as well as insurance for both him/her and their family.