(240a) Dynamics of Global Market & Effective Communication Based Leadership Style

The world market is expanding and barriers between countries are dissolving. As a result, the demand of the market is no longer primarily influenced by developed countries alone. The developing and under-developed countries are becoming more influential. Doing business in one's domestic front alone is no longer a sound sustainable business strategy.

Two distinct complementary forces are shaping the world: technology innovation and globalization. Convergence of these two forces is challenging global companies to: 1)offer higher quality, more reliable and more standardized products and services at a lower cost to improve profit; and 2)establish more market share. Innovations and product development extend world-wide and are expanding rapidly. Technological advances and competitive pressures are making new product life-cycles shorter than ever before. The rate of assimilation of these advancements is decreasing, and product development costs are skyrocketing. Thus business dynamics are getting more complex and challenging than ever before. As this metamorphosis is taking shape and continuing, it is forcing the past equilibrium of these dynamic forces towards a new one.

With such transformations taking place, the leadership style in managing these dynamics should itself undergo substantial changes. Such changes include a better understanding of cultural differences, business practices, business ethics and styles of the business players. In understanding such transformations, proactive planning to identify necessary action steps and subsequently implementing those actions are becoming of paramount importance. It is becoming necessary to fine-tune the organizational structure to effectively achieve global presence with local touch by 1)personnel transfer and interchange, 2)redefining a country manager's roles and responsibilities, 3)inviting local managers' participation and input to establish global business strategy, and 4)proactively encouraging diverse participation in global management roles.

Among all the important traits of a successful leader, the most invaluable one is his/her skill at effective communication. Coupled with the necessary technical and/or business knowledge and understanding, effective communication skills are essential for business leaders to face this ever-changing global marketplace and to establish sustainable business success.

Starting with the fundamental concept of effective communication, the presentation will emphasize the key parameters for effective communication skills in a multicultural global business environment.