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Executive Summary

The international supermarket chain Tesco is eyeing a takeover of the Brazilian market. The
company's recruitment strategy and staffing method are crucial to this endeavour's success.
Tesco may look to local talent acquisition, international talent acquisition, university
collaborations, and recruiting firms to find the best candidates. Tesco must weigh the pros
and cons of each tactic to devise an economic recruiting strategy sensitive to Brazilian values
and successfully boost the company's expansion there.

Tesco should use a mix of staffing strategies to guarantee the success of its acquisition: the
ethnocentric approach for top-level positions, the polycentric approach for those that require
knowledge of the local market, and the geocentric approach for those that call for a balance
between the parent company's expertise and that of the local market. Tesco's acquisition in
Brazil is likely to be fruitful because of the company's strategy of combining local knowledge
with the expertise of its employees.

In addition, Tesco needs a systematic approach to change management to integrate new HR


policies effectively and practises in Brazil's new market entry option. When entering a new
market, businesses must be ready for the cultural, legal, and regulatory variations that may
arise. This will help the transition go smoothly and improve Tesco's chances of success in the
Brazilian market.

Part 1

Introduction

Tesco, a British retailer, is contemplating making an acquisition that would allow it to expand
into either North or South America. Understanding the cultural differences and similarities
between the UK and the target country is essential for success in the new market. Using the
Globe Project as a framework, this report will examine Brazil's national culture, compare it to
the United Kingdom's, and then recommend HR strategies and practices that Tesco should
implement in Brazil.

Culture Visualisation

The nine cultural variables that impact organisational behaviour are mapped out in detail by
the Globe Project model. Understanding cross-national cultural differences and variations in
leadership styles is made possible by the Globe Project's methodology. Several parallels and
distinctions in national culture between Brazil and the United Kingdom are apparent.
Uncertainty aversion, power distance, institutional collectivism, in-group collectivism, gender
egalitarianism, assertiveness, future orientation, performance orientation, and compassionate
orientation are some of these aspects.

Comparison Table

Cultural Brazil Practice Brazil Value England Practice England


Dimension Score Score Score Value Score
Performance
4.04 6.13 4.08 5.9
orientation
Assertiveness 4.2 2.91 4.15 5.06
Future
3.81 5.69 4.28 5.06
orientation
Humane
3.66 5.68 3.72 5.43
orientation
Institutional
3.83 5.62 4.27 4.31
collectivism
In-group
5.18 5.15 5.18 5.55
collectivism
Gender
3.31 4.99 3.67 5.17
egalitarianism
Power Distance 5.33 2.35 5.15 2.8
Uncertainty
3.6 4.99 4.65 4.11
avoidance

Performance Orientation

On this metric, the United Kingdom and Brazil are below the average worldwide. This
suggests that, unlike the United Kingdom, Brazil prioritises elements such as relationships
and personal growth more than outcomes and performance.

Assertiveness
Brazil ranks better than the UK in assertiveness when comparing ideals and practises. Taking
ownership of one's life and ideas is valued more highly in Brazilian communication. In
contrast, Britain may emphasise peaceful negotiation and conflict avoidance.

Future Orientation

The two nations are almost tied on this metric, with Brazil scoring slightly lower than the
United States but better on values. This suggests that the United Kingdom, like the United
States, places a premium on planning and innovation but may be better at putting these ideals
into practice.

Humane Orientation

On this metric, Brazil and the UK both perform below average. The United Kingdom
performs marginally better than the worldwide average. This indicates that the British
emphasise compassion, empathy, and social responsibility more than the Brazilians. Brazil,
on the other hand, may put more emphasis on individualism and material gain.

Institutional Collectivism

On this metric, Brazil and the UK both perform below average. The United Kingdom
performs marginally better than the worldwide average. The results imply that the British
emphasise collaboration and social harmony, whereas Brazilians place a higher value on
individual accomplishment and independence.

In-group Collectivism

The two nations are almost tied on this metric, with Brazil holding a little edge due to its
emphasis on practice and ideals. This demonstrates that both countries place a premium on
kinship, community, and organisation ties.

Gender Egalitarianism

On this metric, Brazil and the UK both perform below average. The United Kingdom
performs marginally better than the worldwide average. This may indicate that conventional
gender norms in Brazil contribute to a more significant gender wage disparity than in the
United Kingdom.

Power Distance
Brazil performs better than the average country on this metric, while the United Kingdom
performs somewhat worse. This may indicate a more centralised and hierarchical social
structure in Brazil, whereby individuals value their societal position more. On the other hand,
the UK's social network may be more decentralised and open.

Uncertainty Avoidance

The two nations are almost tied on this metric, with Brazil scoring slightly lower than the
United States but better on values. This suggests that both the United States and the United
Kingdom place a premium on predictability and safety but that the British may be better
equipped to handle ambiguity and uncertainty.

Leadership Visualisation

Human-oriented leadership in Brazil is below the worldwide average, whereas in England, it


is significantly above. Caring about employees and tailoring the workplace to meet their
needs are hallmarks of human-centred leadership. Given this disparity, it's possible that
Brazilian managers would benefit from putting more effort into cultivating trust and
camaraderie among their staff.

In contrast, England had a slightly higher score than the global average, and Brazil had a
lower score on autonomous leadership than the worldwide average. In independent
leadership, workers are trusted to make their judgements and are expected to take
responsibility for their output. Given this disparity, Brazilian managers might benefit by
empowering their staff with more discretion and authority.

Lastly, England outperformed the world average on the leadership quality of self-protection,
whereas Brazil did not. Leadership characterised by self-protection prioritises the leader and
their interests above those of the group. Because of this discrepancy, it's possible that English
managers and executives put themselves first more often than they do their employees.

Recommendations

Considering the cultural analysis of Brazil, Tesco needs to adopt a different HR strategy and
practices while entering the Brazilian market. The recommendations are as follows:

i. Talent Acquisition: Brazil has a high power distance culture, meaning people value
power and social status highly. Tesco must therefore consider the candidates' social
standing and interactions with other people when making employment decisions.
Moreover, Brazilian culture favours in-group collectivism, which implies that
candidates for employment should be chosen for their compatibility with the business
culture and their capacity for teamwork.

ii. Performance Management: Brazil has a culture that values assertiveness highly,
suggesting that there may be more direct and clear communication there. Tesco must
therefore create channels for open and honest communication while overseeing
employee performance. This strategy will assist in preventing any ambiguity in
expectations, objectives, or feedback.

iii. Human Resource Development: Brazil's humane orientation score is below the global
average, suggesting that the nation may emphasise personal gain more than social
responsibility. While creating HR policies, Tesco must consider this to ensure
workers' professional and personal growth jives with the organisation's overarching
social responsibility objectives.

iv. Leadership Development: Brazil scores lower on human-oriented leadership, so


Brazilian leaders must concentrate more on cultivating relationships with their staff.
Tesco should train its Brazilian leaders to make them aware of the value of fostering a
positive work environment and demonstrating care for their employees' welfare.

v. Gender Diversity and Inclusion: Brazil's gender equality rating falls below the
worldwide average, highlighting the need to address gender diversity and inclusion.
Tesco has to establish rules and procedures supporting women's workplace rights and
gender equality.

vi. Autonomous Work Environment: Brazil performs worse than the average country
globally regarding autonomous leadership. Tesco must give its Brazilian workers
more freedom to take charge of their tasks and make their own decisions. Increased
productivity, contentment, and staff involvement will result from this strategy.

To comply with local customs, values, and expectations, Tesco must implement specialised
human resources policies and procedures in Brazil. Tesco will be able to enter and expand in
the Brazilian market if it takes this action to ensure its staff members are motivated, engaged,
and supportive of the business's objectives.

Part 2
Potential Recruitment Strategies

Recruiting the right talent is crucial for any business and becomes even more critical when
entering a new market. Tesco's entry into Brazil will require a thoughtful recruitment strategy
that addresses the Brazilian market's unique cultural and social dynamics. Here are some
potential recruitment strategies that Tesco can consider:

i. Recruiting Local Talent: Tesco can hire local candidates to fill critical jobs inside
the organisation. With this strategy, the business may successfully traverse the
Brazilian market using local knowledge and skills. Local staff members may provide
helpful knowledge about language, traditions, and cultural norms that can aid Tesco in
forging a significant local presence. Local talent may also assist Tesco in establishing
connections with essential parties, such as clients, vendors, and authorities.

ii. International Talent Acquisition: As an alternative, Tesco may hire external talent,
such as the UK. With this strategy, the organisation may benefit from new viewpoints
and ideas that might help it succeed in a new market. Employees from other cultures
may also provide crucial cross-cultural abilities that can assist Tesco and its Brazilian
stakeholders in overcoming cultural differences. Yet, since it necessitates negotiating
complex immigration and visa procedures, recruiting talent from outside may be
costly and time-consuming.

iii. Collaborations with Universities: To attract excellent candidates, Tesco may


consider cooperating with regional institutions. With this strategy, the business may
establish long-lasting connections with talented young people with ambition who can
support its expansion in Brazil. A talent pool already acquainted with the regional
language, culture, and traditions may be tapped into by Tesco by collaborating with
institutions. This technique calls for a significant time and resource commitment to
build partnerships with institutions and create successful recruiting campaigns.

iv. Recruiting Agencies: As a last option, Tesco may consider partnering with
recruitment agencies to find talent for the business. Access to various applicants with
diverse backgrounds and skill levels is possible via recruitment agencies. The
complicated and challenging local labour rules and regulations may also be negotiated
with recruiting services. Finding agencies that focus on recruiting for specific sectors
or occupations may take time, and dealing with recruitment firms can be costly.
While assessing these prospective recruiting techniques, Tesco should weigh several aspects,
including the expense, time, and effort necessary to execute each one, as well as the cultural
fit of potential candidates and their capacity to aid Tesco's expansion in Brazil. Tesco should
also know regional labour laws and regulations and ensure its hiring procedures adhere to
regional norms.

Combination of Staffing Approaches for Tesco's Acquisition in Brazil

Choosing the appropriate employment strategy is essential for every multinational business to
grow into a new nation. Tesco may successfully acquire a firm in Brazil with the aid of the
mix of staffing techniques, which can balance the advantages of local knowledge with the
company's experience.

Combination of Staffing Approaches

To ensure the successful acquisition of a company in Brazil, Tesco should consider a


combination of staffing approaches, including ethnocentric, polycentric, and geocentric
approaches.

Ethnocentric Approach

Companies with a solid corporate culture and a centralised decision-making structure are
likelier to use the ethnocentric approach. In this strategy, foreign nationals from the parent
company fill critical positions in the new nation. Tesco could implement its corporate culture,
practises, and policies in Brazil if it adopted an ethnocentric approach. For senior-level jobs
like CEO or CFO that need a thorough grasp of the company's culture, Tesco could consider
employing the ethnocentric approach.

Polycentric Approach

Companies that appreciate local expertise and want to offer the local management team a lot
of autonomy tend to employ the polycentric strategy. This strategy entails employing local
people to occupy important posts in the new nation. By using the polycentric strategy, Tesco
would be able to adapt to regional norms and practices in the Brazilian market. Tesco needs
to consider applying the polycentric approach to roles requiring a solid grasp of the local
market, such as those in marketing or sales.

Geocentric Approach
Companies that want to combine the advantages of local knowledge with the company's
experience often employ the geocentric strategy. This strategy entails filling important
positions in the new nation with personnel from both the parent firm and the local market. By
using the geocentric method, Tesco could combine the know-how and corporate culture of
the parent business with the understanding and experience of the local market. For roles
requiring a balance of both, such as those in human resources or finance, Tesco should
consider employing the geocentric approach.

To secure a successful business purchase in Brazil, Tesco should use various employment
strategies. For roles requiring a thorough awareness of the local market, the polycentric
method should be employed; for senior-level positions, the ethnocentric approach; and for
positions requiring a balance between the parent company's knowledge and that of the local
market, the geocentric approach. Tesco may successfully acquire a business in Brazil by
using this mix of employment strategies that combine the advantages of local knowledge with
the firm's experience.

Part 3

Change Management

To successfully adopt new HR strategies and practises in the new market entry option in the
target nation, managing change is a vital process that calls for a methodical approach. The
ability of top personnel to properly work the transformation process will determine the new
venture's success. Lewin's Change Management Model, which offers a framework for
comprehending the change process and successfully managing change, is used in this article
to evaluate how senior employees should drive the change process critically.

Lewin's Change Management Model:

Lewin's Change Management Model outlines effective change management in three steps.
Unfreezing, altering, and refreezing are the three stages. The state of affairs is evaluated in
the unfreezing phase, and any necessary adjustments are determined. The new HR strategies
and procedures are implemented during the altering stage and then normalised during the
refreezing phase.

Senior Staff's Role in Managing Change:


Senior personnel play a crucial part in change management as they are in charge of
organising and carrying out the change process. First and foremost, they must inform all
parties involved—including workers, shareholders, and clients—of the need for change. This
may be done via various communication methods, including one-on-one conversations, town
hall meetings, and email updates. Building support for the change process and addressing any
concerns or resistance require effective communication.

Second, top staff members should include workers in the transformation process by asking
for their opinions and views. Focus groups, surveys, or one-on-one conversations can be used
for this. Employee commitment to the new HR strategies and practises are increased by
involving them in the change process.

Finally, senior staff members should provide workers with chances for training and
development to ensure they can implement the new HR policies and practices. Training may
be delivered in various ways, including seminars, e-learning, and coaching.

Last, top staff members should exemplify by exhibiting the required actions and procedures.
This entails developing a culture that supports the new HR tactics and techniques and
praising and rewarding staff members who exhibit the desired behaviours.

Combining Different Approaches:

To manage change efficiently, senior staff should mix several staffing strategies, such as
geocentric, polycentric, and ethnocentric. The ethnocentric strategy entails employing staff
from the parent firm for essential jobs in the new business. The culture and values of the
parent firm may be maintained using this strategy, although local workers may object, and
there may be cultural disputes.

The polycentric method employs locals to fill essential jobs in the new business. While this
strategy helps adjust to local cultures and values, it may only sometimes be consistent with
the parent organisations.

The geocentric strategy focuses on finding the best person for the position without regard to a
candidate's location or country. Due to linguistic and cultural obstacles, it might not be easy
to adopt this strategy even if it is effective for using the finest people from the parent firm and
the local market.
An organised strategy that includes training, modelling desirable behaviours and practises,
communication, engagement, and involvement are necessary for successful change
management. Senior staff members should mix several hiring strategies to make the most of
the top talent available in both the parent firm and the local market. Lewin's Change
Management Model provides an excellent framework for comprehending and managing
change. Using this strategy will help senior staff effectively change the new HR strategies
and practises in the new market entrance choice in the target nation.

Conclusion

Before entering the Brazilian market, Tesco must carefully evaluate several variables,
including market research, hiring practices, and change management. Tesco must
comprehend the social and cultural characteristics of the Brazilian market to create a
significant local presence there. Tesco may discover future possibilities and problems using
market analysis, an essential part of this process. Tesco should also use various employment
strategies to achieve the ideal mix between corporate knowledge and local competence,
resulting in a successful purchase.

In this process, recruiting techniques are also crucial, and Tesco should consider candidates
who can handle the Brazilian market's specific social and cultural characteristics. To
determine the best recruiting tactics, Tesco should consider relationships with colleges,
foreign talent acquisition, local talent acquisition, and recruitment agencies.

The success of the new endeavour relies on how successfully Tesco manages the adoption of
new HR policies and practices in the new market entrance. Change management is essential
to Tesco's entry into the Brazilian market. Tesco has to ensure its change management
procedure is organized, adaptable and focused on obtaining the required results. While
Tesco's debut in the Brazilian market gives several chances for development and expansion, it
also comes with several difficulties. Tesco can create a significant local presence in Brazil
and achieve long-term success by taking a thorough and deliberate approach to market
research, recruiting tactics, and change management.

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