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Evaluating an International HRM Strategy

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Executive Summary
Human resource management is an important element of an organization as it helps
in managing the human resource or the workers constituting the workforce. When a
country is locally operational, the nature of the workforce is one but when the country
is operational on an international or global level then the nature of the workforce
differs. The nature of the workforce differs due to the presence of professionals from
different societal and cultural backgrounds. The company which has been chosen for
this assignment is Apple and the chosen host country for the global joint venture in
France. Orange is the company with which Apple’s possible joint venture in France
would take place. The multinational corporation chosen for this assignment is Apple
Inc. Apple is an American multinational company that deals in technology,
specializing in consumer electronics, software, and online services. The
headquarters of Apple is in California's Cupertino. Apple has registered itself to be
the largest technology company in terms of revenue, with total revenue of around
$366 billion in 2021. France's political stability and might in the region along with its
global economic condition supporting FDI inflow and global business makes it an
ideal location for Apple to expand its business. Hofstede's analysis of the two
countries helped in comparing the cultural aspects of the parent and host country of
expansion.
In order to find success in the French market, Apple must undertake several crucial
HRM practices. The first HRM practices that the company must undertake are
recruitment and selection. It deals with the various ways through which the company
can hire ideal employees with the required skills. The second HRM practice that can
be implemented by Apple is training and development programs which will help to
enhance the skills of the newly recruited local employees and expatriate employees
of the company. The last HRM practice is reward management in which Apple can
provide rewards to their employees in exchange for good performance. After
discussing the various HRM practices, the author will show the impact of these
practices on the various internal factors of the organization. The selected internal
factors for this report are organizational performance, employee commitment,
workforce flexibility, and workforce quality. The impact of each of the HRM practices
on the mentioned internal factors will be displayed by the author. The report will be
ended by the author with a conclusion that will contain the main findings of the whole

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report followed by recommendations that will contain the various ways that can help
Apple to run its joint venture in France in an efficient manner.

Contents
Introduction...................................................................................................................5

Company profile............................................................................................................6

Industry drivers.............................................................................................................7

Host country profile...................................................................................................7

PESTEL Analysis......................................................................................................7

Why go there.............................................................................................................8

Hofstede analysis......................................................................................................9

HRM Practices............................................................................................................10

Recruitment and Selection......................................................................................10

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Training and Development......................................................................................12

Reward Management..............................................................................................13

Impact of the HRM Practices on the Following Factors of the Organization.............13

Organizational Performance...................................................................................13

Employee Commitment...........................................................................................14

Workforce Flexibility................................................................................................14

Workforce Quality....................................................................................................14

Conclusion..................................................................................................................15

Recommendations......................................................................................................15

References..................................................................................................................15

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Introduction
Global human resource management is the practice of taking care of or managing
the workforce in either a public or private company that is operational in more than
one country. Human resource management is an important element of any company
or organization as it helps in managing the human resource or the workers
constituting the workforce. When a country is locally operational, the nature of the
workforce is one but when the country is operational on an international or global
level then the nature of the workforce differs. The nature of the workforce differs due
to the presence of professionals from different societal and cultural backgrounds.
The culture of a person is responsible for molding his or her behavior, be it related to
their personal lives or their professional lives. When companies function globally,
people from different backgrounds work together and, as aforementioned, the nature
of the workforce changes and consequently the nature of strategies adopted by the
HRM which then gets a global role to play. The cultural difference between the host
and parent countries would be analyzed with the help of the Hofstede analytical
model (Abdullah et al., 2022).
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The company which has been chosen for this assignment is Apple and the chosen
host country for the global joint venture is France. Whenever a company tries to
expand its business and enter a new market, be it in a domestic landscape but
mostly in the international arena, it becomes necessary for the company to analyse
the country of expansion's market. Joint venture is one of the many modes of entry
which multinational corporations employ in order to enter a new market. PESTEL
analysis would be used to analyse the macro-environmental factors of the country
that would affect the business strategies of the company. After a summarized portion
of the country's profile and its PESTEL analysis, it would be easier to analyse why
the company should try to expand in that market. Prior to the country's analysis, the
company's profile shall also be given within the assignment in its early parts.
Hofstede analysis would be used to examine and do a comparative analysis of the
host and parent countries. Then the entire human resources management practices
and strategies would also be discussed and elucidated properly. Finally the
recommendation, from an HR manager's perspective who is dealing with an
international business organization. Recommendation to the HR director would prove
to be fruitful for the entire global operation of the company.
The company chosen for Apple's possible joint venture in France is Orange Business
Services which serves as a global integrator for multinational corporations dealing in
products and services related to communication.

Company profile
The multinational corporation chosen for this assignment is Apple Inc. Apple is an
American multinational company that deals in technology, specialising in consumer
electronics, software, and online services. The headquarters of Apple is in
California's Cupertino. Apple has registered itself to be the largest technology
company in terms of revenue, with a total revenue of around $366 billion in 2021. By
2022 Apple became the biggest company globally in terms of market capitalization.
Apple is among the Big Five information technology companies in the US along with
Meta, Amazon, Alphabet and Microsoft. Apple is the second-largest global
smartphone manufacturer just after Samsung and fourth-largest when it comes to
personal computers. The company was founded in 1976 by Steve Jobs, Steve
Wozniak and Ronald Wayne. Apple today has a worldwide presence with around
519 retail stores in 2022 and 154,000 employees in 2021. The company was
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originally built to focus on computer development but it later started making other
devices such as smartphones, iPods and tablets, and other software programs or
operating systems. The company went public in 1980 and gathered instant economic
success. Apple had become the first US company to be valued more than $1 trillion
in 2018. The product portfolio of Apple includes iPhone, iPad, Mac, iPod, Apple
Watch and Apple TV. The company has been heavily reliant on the iPhone in terms
of revenue. Besides the product, the uniqueness of the company resides in its ability
to provide not only its own designed hardware but also the softwares for every
product developed by the company (Hernando et al., 2018).
The joint venture company in France which has been chosen as Orange was
founded in 2006 and has a revenue of €7.4 billion with more than 21,000 employees
as of 2017 (Heo and Chung, 2020). The company offers service and products
related to integrated communication to global enterprises and hence would be an
ideal business entity for a joint venture mode of entry into France.

Industry drivers
Host country profile
France is one of the major countries in Western Europe and has often been the ideal
destination for many multinational corporations due to its economic stability and
close affinity to the western economic giant- the US. In 2019, France was found to
be the ninth-largest global destination or market for foreign direct investment inflows.
There are more than 28,000 foreign companies doing business in France and is
home to 29 of the 500 largest largest companies globally. The business culture of
France, due to its globalized market, makes it a suitable destination for multinational
corporations like Apple Inc. to try and expand its base (Kaasa, 2021).
PESTEL Analysis
PESTEL is an analytical model which helps in analyzing the macro-environmental
factors that would affect a company's business operation in a particular company.
This analysis is done usually when a company is looking to expand its base in a
particular country so that it can become aware of the different macro-environmental
factors such as: political, economic, social, technological, environmental, and legal.
Political factors: France is one of the most important powers in the western world
and also is one of the five permanent members of the UN Security Council. It plays
an important role in international affairs and within the politics and economics of the
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European Union. Besides the UN and EU, France is an important part of many
political and economic alliances such as NATO, G7, World Bank, etc. Apple is a
company that has its base in the US and France has been known to have a steady
alliance with the United States which makes it a suitable destination for business
expansion (Pan, Chen, and Zhan, 2019). Also, France is a democratic country and
the leadership of the state is changed in a stable manner which makes the overall
political condition quite stable. Political stability is an important prerequisite for any
company's success in a particular country and hence France would be an ideal
destination for Apple.
Economic factors: France is among the top ten global economies and has historically
been an economic giant. It is one of the top contributors of GDP and economic
development of the EU region. The GDP of France is expected to reach 2820 billion
USD by the end of 2022. The economic growth of the region had declined during the
pandemic as it was among the first affected countries due to it but the political
stability and the several measures taken by the government made it recover and
come back on track. Due to its economic stability and massive FDI inflows, it has
been home to many multinational companies and hence would be a suitable country
for Apple's expansion project (Matovic, 2020).
Social factors: France is considered to be one of the most modern countries globally
in terms of social civility and culture. The economic stability makes the French
population able to indulge in buying luxury products. Since Apple is known for its
pricey iPhones which could be counted as luxury by many, the French market would
help in increasing the business of the company. France has a steady population of
about 67 million which makes the consumption capacity of the market to be quite
high. However, the high unemployment rate is a matter of concern for the French
society and protests take place often (Ortega et al., 2019).
Technological factors: France is one of the most technically advanced countries in
the world and was the third nation ever to launch its own satellite. The usage of the
internet and electronic products is quite high and since Apple's business is based on
the internet and consumer electronics, France would be a suitable location. Also, the
technological advancement of the country would be beneficial in continuing Apple's
supply chain.
Environmental factors: Although France is known for its greenery and lush
environment, the presence of heavy industries is leading to the deterioration and
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destruction of the environmental aspect of the country. Air and water pollution is
rampant so Apple would need to be careful in this regard.
Legal factors: The average length of the working week for an employee is around 35
hours in all kinds of companies. The employees are not supposed to work for more
than 4.5 hours without a break. There are several leaves awarded to the employees
such as maternity and paternity leaves. Apple would need to beware of these legal
rules in order to avoid legal problems.
Why go there
Upon analyzing the macro-environmental factors that Apple would face after entering
and while functioning in France with the help of PESTEL analysis, there are several
reasons that have been found which support the idea of expanding into France and
collaborating with a French company Orange for a possible joint venture. France's
political stability and might in the region along with its global economic condition
supporting FDI inflow and global business makes it an ideal location for Apple to
expand its business (Ramaswamy et al., 2022). Also, the social condition and the
population's ability to indulge in luxury or the large population makes it a suitable
destination. The friendly professional legalities which are also similar to that of the
US would make it easier for the company to cope.
Hofstede analysis
Hofstede analysis is an analytical model which compares the cultural aspects of two
countries. There are 6 dimensions to the Hofstede analysis: power distance,
individualism, masculinity, uncertainty avoidance, long-term orientation, and
indulgence (Pirlog, 2020).
Power distance: Power distance is the acceptance of inequality related to power
within a particular society. France scores 68 which is fairly high while USA's score is
40. Many surveys have found that French companies have a tight hierarchy and the
leaders are often inaccessible to other employees. The population has fairly
accepted the unequal power distance while in the US the acceptance is significantly
lower.
Individualism: Individualism measures the degree of interdependence that is
maintained among the members of society. It shows if a society is more concerned
with 'I' than with 'We'. France's score is 71 and can be considered a fair individualist
society but USA's 91 shows the rampant individualist and oftentimes selfish nature of
American society (Sent and Kroese, 2022).
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Masculinity: A high score on this dimension would mean that a society is driven by
competition and success, and would be categorized as a masculine society. A lower
score would mean that a society is feminine and the dominant trait is to care for
others and have a quality life. France (43) with a score lower than the USA (62)
shows that American society is more driven by competitive success.
Uncertainty avoidance: This dimension is all about measuring the degree of
importance society gives over controlling the future or just letting it be. It is the extent
to which a society or culture may feel threatened by some ambiguous situation.
French scores 86 in this dimension which shows that society is all about maintaining
structure so that the future can be planned. The US scores 46 in this dimension.
Long term orientation: This dimension measures the extent to which a society tries to
maintain links with its past while dealing with the present challenges. France scores
63, which is high and makes it a pragmatic nation and a pragmatic nation thrives on
adaptability. The US scores 26 on this scale and is a society that is more
conservative relying on traditions.
Indulgence: This dimension measures the way in which a society tries or does not in
controlling its immediate desires and impulses. A society scoring higher such as the
US (68) would be considered an indulgent society which does not give much effort
towards restraining their desires. France scores 48 and is in the middle of indulgence
and restraint.

HRM Practices
Human Resource Management (HRM) practices refer to the type of practices that
are undertaken by organizations to obtain maximum efficiency from their limited
human capital (Easa and El Orra, 2020). HRM practices are also extremely crucial
for companies since it helps them to achieve organizational goals. Apple needs to
conduct proper HRM practices after its expansion in the French market. It can
benefit the company in various aspects and can also help them to establish a strong
grip in the new market. However, HRM is a broad aspect that contains a wide range
of practices. Some of the HRM practices that can be undertaken by Apple in the
French market are discussed below:
Recruitment and Selection
This is one of the most crucial HRM practices that Apple must undertake while
operating its business practices as a joint venture with Orange. In order to establish
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a strong position in the French market, Apple needs to hire some employees from
the locality and relocate some expatriate staff from other branches. This will help the
company to create a perfect balance between both new and experienced employees
(Hanapiyah et al., 2018). The HRM department of the company should also
implement various recruitment procedures to recruit employees from different fields.
The company can recruit sales and marketing executives from the French locality,
whereas the technical staff can be brought in from branches of other countries.
Three of the most effective recruitment methods that can be used by Apple are direct
advertising, recruitment agencies, and recruitment events. Each of these recruitment
methods is discussed in detail below:
Direct Advertising
This is one of the most effective and common methods of recruitment that is used by
a lot of companies worldwide. In direct advertisement, the companies advertise the
vacant job positions on various social media platforms, job sites, newspapers, etc.
This method of recruitment can be adopted by Apple while expanding its business
operations in France (Ramaswamy et al., 2022). Social media platforms such as
Facebook, Twitter, and Instagram can be used by the company to spread awareness
regarding vacant job positions online. Popular job sites such as Linkedin, Indeed,
Keli Jobs, and Pole Emploi are some of the best platforms where Apple can find
desired local employees. Newspapers have also been an effective method of
recruitment for a long time. Many companies post advertisements for their vacant job
positions on some popular newspaper brands. In France, Apple can post their
vacancy advertisements in popular newspapers such as Le Monde, La Parisien, Le
Figaro, and 20 minutes. These are some of the most popular newspaper brands in
the country and are often read by job seekers of every age.
Recruitment Agencies
This is another recruitment method that has been used by MNCs for a long time.
Recruitment agencies are organizations that help companies to recruit employees
with desired skills and knowledge. Since Apple is a technology-based company, this
recruitment method can help them to hire high skilled technical employees. This
method can be very beneficial for Apple as it can help the company to find the
desired employees in much less time (Kapur, 2022). Some of the popular
recruitment agencies in France that can be used by Apple to hire local employees
are Agent Secret, Anson Mccade, DJG Consulting, Elitecyber, HR Crew, etc.
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Recruitment Events
This is an effective recruitment method for large organizations that are expanding
into a new country. Apple can organize recruitment events to hire employees
specifically skilled in different skills. There are many types of recruitment events that
can be organized by Apple, one of the best places to organize it is the college
campus. For example, Apple can hire freshly graduated students into the company
with good knowledge of sales and marketing (Sołek-Borowska and Wilczewska,
2018). This can be done by organizing recruitment events at the top commerce
colleges in France. Some of the popular commerce colleges in France where the
company can organize recruitment events are Paris School of Business, HEC Paris,
KEDGE Business School, NEOMA Business School, etc. With its worldwide
recognition as a technology giant, it would not be a problem for the company to
organize these events in the mentioned colleges.
Training and Development
Training and development is another crucial component of HRM practices that helps
the new and old employees of a company to develop certain essential skills. It can
also help the employees to overcome the barriers that are decreasing their work
efficiency. After hiring local employees and bringing in expatriate staff, Apple should
analyze its strengths and weaknesses in order to determine the type of training and
development programs that the employees would be needing (Trivedi, 2019). The
company focuses a lot on the skills of its employees and spends a considerable
amount of capital on improvizing them. Organizing proper training programs can help
the company in its business in the French market.
Apple always believes that correcting problems is just a basic step. In order to avoid
mistakes in the long run, Apple needs to educate the employees by providing
knowledge on local laws, health and safety measures, the company’s supplier code
of conduct, and employment rights. The training programs should be conducted on
the mentioned aspects to avoid any misconduct within the organization. The
employees must also develop a thorough knowledge of social responsibility. This
can be done by Apple by collaborating with international organizations such as the
Fair Labor Association and Verite. Previously, it was found that the employees of the
company are not well aware of their rights. So, in order to avoid this in France, Apple
must keep working with these organizations.

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Development programs such as Supplier Employee Education and Development
(SEED) can also be implemented by Apple. These programs can enable the newly
recruited employees of the company to enhance their skills in computers, English,
and finance which can eventually boost their performance (Hamid, 2019). Through
these development programs, the employees can also earn associate degrees. The
company should also monitor the outcomes of the training programs that can help
them to determine the benefits that the local employees of France are getting. The
company should also keep in mind that having expatriate employees would not be
enough. For example, the company might need to implement new technological
measures with Orange. Irrespective of their past experience, the expatriate
employees might not have proper knowledge of the technological measure that is
being implemented. So, training programs for the expatriate staff should also be
conducted by the company.
Reward Management
Reward management last HRM practice that will be covered in this report. Reward
management is the process used by companies to provide attractive rewards to
employees with good performance. Rewards of both monetary and non-monetary
can be included in this system. This is a great way that is used by companies to
boost the motivation of their employees. It can also attract new employees to the
company. Apple considers its employees as one of the most important assets of the
company. So, the company should satisfy the psychological needs of the employees
in the first place (Chiang and Birtch, 2020). The company should ensure proper
salary, refreshment breaks, and job security for the employees. Ensuring the
mentioned psychological needs will keep the newly recruited local employees and
the expatriate staff motivated towards their work. Additional facilities like life
insurance policies should also be provided to the employees by the company.
Apart from providing salaries from time to time, the company must also provide
additional payment to the employees for showing good performance. The company
should identify employees with high productivity rates and they should be rewarded
with additional payments. The amount of payment can be however determined by
the company according to their job position. For example, the company has opened
several outlets in France in collaboration with Orange. The employees working in the
sales department of these outlets should be rewarded if they are able to sell
products more than the target instructed by the company (Yie, Zhi, and Ping, 2021).
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This can motivate the employees working in the sales department and they will tend
to take fewer breaks. This method can also be applied to the technical department.
Employees working in this department always come up with new programs and
applications that the company adds to their gadgets. If any of the programs and
applications are liked by a lot of customers, the person who is involved in making it
shall be awarded extra payments. The company can also provide additional perks for
the employees. One of the perks that Apple can implement in France can be casual
dressing on Fridays.

Impact of the HRM Practices on the Following Factors of the Organization


Organizational Performance
The first HRM practices, i.e. recruitment and training will have a major impact on the
overall performance of Apple’s joint venture with Orange in France. The company
will be recruiting potential marketing and sales executives from France with the
recruitment procedures mentioned above (Hamadamin and Atan, 2019). The HRM
officials who are responsible for the selection practices would be selecting expatriate
technical employees from foreign countries with the desired skills and knowledge.
Conducting training and development practices within the organization is also quite
essential since it will help Apple to ensure that the selected employees for France’s
joint venture have the desired skills. The last HRM practice i.e. reward management
will help Apple to keep these employees stay motivated in their work.
Employee Commitment
The HRM practices discussed in this report will enable Apple to increase the
commitment of every employee towards their respective work. For example,
employees of the technical department of the company when provided appropriate
training and timely rewards can come up with excellent technological solutions that
can boost Apple’s performance in the French market (Emeagwal and Ogbonmwan,
2018). A major issue that the company has faced in other countries is the
irresponsibility of the sales and marketing employees. Employees have been seen
taking breaks for a long time which has eventually degraded their performance.
Implementing the selected HRM practices such as proper training and rewards can
help Apple to develop teams of sales and marketing workers who are extremely
dedicated to their work.

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Workforce Flexibility
Providing training and development programs to newly hired employees from the
locality can increase the flexibility of the overall workforce of Apple in France. It will
help the employees of various departments of the company to gain the required
knowledge in their respective fields which will help them to adapt to the new
circumstances of the French market. Moreover, during recruitment and selection
procedures, Apple should focus on hiring employees who are capable of handling
pressure (Obeidat, Tawalbeh, and Akour, 2019). For example, the technical team of
the company might face excessive pressure during the launch of a new product. So,
employees with good pressure handling capabilities can work efficiently under such
circumstances thus ensuring maximum performance.
Workforce Quality
Workforce quality is one of the most crucial factors for Apple and can be improved by
all three of the HRM practices. First, the company needs to hire sincere local
employees through proper recruitment and selection procedures. Then, with good
training and development practices, the skills of the selected local employees can be
enhanced (Hitka et al., 2019). Finally, by providing rewards in exchange for good
performance, these employees can stay motivated and work at their full potential,
hence creating a quality workforce for the organization’s joint venture in France.

Conclusion
This report has been made in order to understand the various HRM practices that
must be undertaken by Apple for its joint venture in France. Three of the main HRM
practices that the company will be undertaking in France are recruitment and
selection, training and development, and reward management. Each of the
mentioned HRM practices has been thoroughly discussed. The company would be
recruiting local French employees through direct advertising, recruitment agencies,
and recruitment events. The positive impacts of the mentioned HRM practices on the
four selected factors of the organization have also been discussed by the author.

Recommendations
Here are some recommendations that can help Apple to establish a strong grip on
the French market as a joint venture with Orange:

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● The recruitment and selection procedures that can be implemented by Apple
for its joint venture in France are direct advertising, recruitment agencies, and
recruitment events.
● The HR executives of the company should focus on recruiting sincere
employees.
● Rewards should be provided to employees with good performance.
● Every employee should be provided with basic necessities such as job
security, timely breaks, and an appropriate salary.
● Proper training and development facilities should be provided to the
employees to enhance their skills.

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