These include the following:

Standardized human resource practices prevent the company from adapting to the local features

Standardized human resource practices do not take into consideration the institutional differences of the various agencies of the multinational corporation

Standardized human resource practices do not take into consideration different labor market regulations, which would have to be followed and which could also impact organizational outcomes

Last, standardized human resource practices "may lead to a lack of fit between the characteristics of the focal subsidiary's operations and its HRM system. Hence, it may be more difficult to achieve a high degree of strategic HRM fit in the subsidiary" (Budhwar, 2004, p.254).

The Nike Inc. international organizations are primarily faced with the tasks of manufacturing, whereas the marketing, managerial and design operations are completed within the United States of America. In light of the similar functions they have to complete, it would be argued...
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