An Evaluation of Opportunities and

Threats for Nepalese Managers in Global

Business Scenario

Presented by
Group B
 Overview
• Introduction to globalization
• Nepalese Business Environment
• Opportunities and threats to Nepalese
business manager
• Challenges of Nepalese Business
Environment
 Opening question:
1. Why have so many so-called “excellent”
companies failed in recent years?

2. What might managers have done to prevent

some of these failures?
“A global manager is set apart by more than a worn suitcase
and a dog-eared passport.”
-- Thomas A. Stewart Editor, Harvard Business Review, USA

“Global managers are made, not born. This is not a natural

process. We are herd animals; we like people who are like
us.”
-- Percy Barnevik Former CEO, ABB Group, Switzerland CEO, Hand-in-Hand
International, UK
 Think about it:
Becoming a global manager

1. How important are global issues and challenges

to your future career aspirations?
2. What principal skills do you currently bring to a
global manager’s job?
3. What skills do you believe you need to acquire or
further develop in order to succeed in today’s
increasingly competitive business environment?

5
Globalization pressures on business

From isolation to
interconnectedness

From biculturalism to
multiculturalism

6
Business challenges facing global
firms

7
People and communities are also
under globalization pressures

8
 What is globalization?

Globalization is the inexorable integration of

markets, capital, nation-states, and
technologies to a degree never seen before.
-- Thomas Friedman,(The auther of
“The world is Flat"

9
Burning Issue:

Global realities and management challenges

• Globalization, change, and

competitiveness
• The new global realities
• Challenges facing global managers
 Industry
Industry Globalization
Globalization Drivers
Drivers

MARKET DRIVERS

Industry
Globalization GOVERNMENT DRIVERS
COST DRIVERS
Potential

COMPETITIVE DRIVERS
 The Role of Global Manager

• Managers are responsible for utilizing human,

financial, informational, and physical resources in
ways that facilitate their organization’s overall
objectives in turbulent and sometimes hostile
environments about which they often understand very
little.

• These challenges can be particularly problematic

when operations cross national boundaries.
 Are We Globally Competitive?
• Global comparison: Nepal is Almost in the last
• 1) Global Competitiveness Index 2010-11 (World
Economic Forum)
• Nepal ranked 130th of 139 for its overall competitiveness
• Ranked 132nd for its sophisticated business culture and 137th
for its innovation capacity
• Ranked 126th for Labor market efficiency ,106th for Financial
market development ,134th for Technological readiness ,120th
for Efficient use of talent (http://gcr.weforum.org/gcr2010/)
 Opportunities to Nepalese
Managers
• Low cost production
• Market Expansion
• Identity and status
• Learning and experience
• NRNs Investment
 Threats to Nepalese Manager
1. Increased sensitivity to external economic volatility
2. Demographic shift and human resources (Brain
drain)
3. Strong competition from large economies
4. Natural resources and environmental depletion
5. Global climate change
6. International security problems
7. Technological change
Major challenges of Nepalese Business
• According to an opinion survey covering different sections of
the Nepalese society (Pant 2007), the major challenges facing
governance and management development front of
contemporary Nepal in light of its changing contexts are:

i. Fast unfolding of political situation, with absence of minimum

consensus
ii. Socio-cultural hindrances (e.g., non-performing work culture /
ethics)
iii. Dominance of external development partners in national choices
iv. Slow pace of peace-building process
v. Economic / resource constraints
vi. Low capabilities of management development institutions
 Potential of Nepalese Business
Environment
• Some of the famous export products in the country are woolen carpets,
ready-made garments, leather and leather products, pulses, handicrafts, tea
and coffee, and indigenous paper products.
• Germany, USA, Austria, Netherlands, and UK are the major export
markets for Nepalese carpets.
• USA, Canada, Germany, France, Netherlands, UK, and Switzerland are the
major export market of Nepalese garments.
• USA, Japan, Pakistan, Italy, Netherlands, Switzerland, and Brazil are the
major export market for Nepalese leather and leather products.
• Pulses are exported mainly to Bangladesh, Singapore, Sri Lanka, Germany,
and Korea.
• Major Nepalese handicraft markets are USA, UK, Germany and France.
Tea and coffee are exported mainly to Germany, Japan, France, Italy,
Hong Kong, and UK (Export Directory of Nepal, 2000)
Conclusion