History, Political System, Culture Diversity and Business Ethics of France - Case Study Example

 A Business Ethics Report about France Abstract France is a state in Western Europe with a population of approximately 60 million people, and its capital city is Paris. With so many countries bordering it, influence on the people’s culture and language was bound to happen. Over the years, this has brought about diversity in both, which has in turn influenced the business ethics of the people. France is one of the world’s top economic powers. This makes the thought of investing in France quite probable if one follows the set business policies and regulations. Furthermore, the large population offers both manpower and market. France being an economic power makes it a secure country in which to invest. It has a clearly set political system that has different roles and responsibilities towards the nation. This government values business that is why investing in France is easy because there is government support. Also, the government has clear policies that dictate how to relate to employees and the law. This ensures that there is no friction between the company and the government or its employees. France has a divergent culture that dictates how individuals do business. Its social code enables employees separate their work from their personal lives. A Business Ethics Report about France France is a state in Western Europe bordering Andorra, Belgium, Germany, Luxembourg, Monaco, Spain and Switzerland. It has a population of approximately 60 million people, and its capital city is Paris. With so many countries bordering it, influence on the people’s culture and language was bound to happen. Over the years, this has brought about diversity which has in turn influenced the business ethics of French people (Haine, 2006: 47-87). France is one of the world’s top economic powers and this makes the thought of investing in this country quite appealing if one follows the set business policies and regulations. Furthermore, the large population offers both manpower and market (Tomalin and Nicks, 2007: 237). ABC investment is a UAE organization that wishes to expand into France. The objective of this paper is to first develop a brief understanding of the country’s history, political system, culture diversity and business ethics. Secondly, it is to assess the nature of government business policies as well as business ethics and trade activities. Thirdly, is to investigate the relationships between ethics and culture diversity and lastly, to determine the codes of ethics and conduct to put into practice. Discussion Before the Iron Age, France was known to the ancient Romans and Greeks as Gaul. There existed three ethnic groups: the Gauls, Aquitani and Belgae. The Gauls were Celtic people who spoke Gaulish language and were the largest group of the three. In the first millennium before Christ, the Romans and Greeks formed colonies in the country. The Republic of Romans was situated south of Gaul in a province called Gallia Narbonensis. Under the leadership of Julius Caesar, Roman forces later conquered the rest of Gaul during the Gallic wars. This led to the emergence of the Gallo-roman culture as most of Gaul was under roman influence. Later, the Roman Empire was subjected to migration and raids by the Germanic franks. This saw Clovis 1, the Frankish king, unite most of the Gaul under his rule, which translated to years of Frankish dominance in the region. Under Charlemagne, the Frankish power reached a maximum, and the Kingdom of France emerged as West France. The kingdom grew over the subsequent years under a series of wars and leaders like Hugh Capet and later Napoleon Bonaparte to form the third French Republic in 1870 (Streissguth, 2008: 6-22). During the French revolution in 1789, there was the emergence of democracy in France. The political system evolved to the current form that gives the president substantial powers. He is the Head of Armed Forces, the chair of the Council of Ministers, appoints the prime minister and can dismiss the national assembly. He is also responsible for appointing members of the constitutional and high court; he is the chair to the judiciary’s higher council, negotiates foreign treaties and has the power to call for a referendum. He does not appear in person before the senate or national assembly. This ensures that the roles of the executive and the legislature are separate. He serves a term of five years. The prime minister heads the government and manages its daily affairs. He recommends ministers to the president and sets out their duties and responsibilities. He heads the executive made up of the fifteen ministers, but the president is the chair. The national assembly is the lower house in French political system consisting of 577 member seats for the constituencies. These members are elected through voting and serve a five year term. This assembly is responsible for analyzing the government’s daily activities (Verney, 2003: 33-62). In the political system, the senate consisting of 348 seats is the upper house. The senate members are elected by local officials and they serve a six year term. The senate’s main concern is foreign affairs and constitutional matters. There are two political parties, the Left-wing French Socialist Party and the right-wing Union for a Popular Movement. The judiciary is guided by the rule of law previously outlined by the Napoleonic code. Cour de Cassation is the highest court made up if six chief judges selected by the president (Verney, 2003: 33-62). Culture in France is determined by its geography, history and both internal and foreign groups and forces. Since 17th century, Paris was the center of decorative arts and high culture. Cinema, cuisine and fashion made a mark on this culture in the 19th century. This culture has evolved over the years depending on the economic, military and political importance. The common language is French, but there are also other regional languages such as Breton, Alsatian, Occitan and Basque language. According to a recent poll, 51% of the French populations are Roman Catholics, 31% are atheists, 4% are Muslims, 3% are Protestants and 2% Buddhists and Jews (Haine, 2006: 47-87). In France, individuals make business decisions after having a meeting with the affected parties. These meetings are highly creative; they rarely start on time, are full of interruptions and most dissolve without having come to a conclusion. The French people are creative and flexible in their businesses since they are not bound by previously made decisions. They also do not use a clear procedure and that is why their organization and objectives are not clear. The business owners believe in win - loose situations making negotiations and consensus between them extremely difficult. There is a set social code that totally separates working and personal life. The management has a boss and an authoritative management under it. The employees are naturally attached and faithful to their firms. They are remarkably talented at multitasking though they discourage team work and information is distributed selectively. The French do not value accountability that much and perceive reporting as a weakness and a risk. Surprisingly, with such a system France is ranked among the top world economic powers (Alston et al., 2003: 73-133). The French government has freedom from internal control, which permits its citizens to do their businesses without undue government’s interference. However, foreign companies have to seek government authority before setting up their businesses. There are no restrictions on speech only if they do not negatively affect the freedom and rights or others. The government offers protection to citizen’s properties through the French intellectual property code. Commercial banks have a duty to offer loans to businesses and although the process is complex and has high interest rates, it is effective. The creation of the national minimum wage law ensures the employees’ salaries can sustain their living standards. The government also helps unemployed people to get jobs, in addition to providing them with financial aid. This ensures that there is job security for the employees. The French government also values business and that is why it has raised platforms that help entrepreneurs and investors to start companies. Just like in many other countries, businesses are expected to pay taxes; Value added tax for goods and services used within France, company tax for companies and corporations or a combination of the two are the most common (Tomalin and Nicks, 2007: 237). The diverse culture of the French people has over the years had an impact on the business ethics practiced. The different religions and languages spoken by the French people have favored the social code that they adopt. This code enables the people from different backgrounds to set aside such differences and work together. After liberation from war, the French people have adopted independent personalities i.e. they make business decisions individually, they discourage accountability and have no work organization and ethics as high as in other equally developed countries. Simply they do as they please. The war has also brought a competitive edge on individuals, and that is why in their businesses, there can only be one loser and one winner (Alston et al., 2003: 73-133). In light of this, ABC investments should put into practice the following code of conduct in France. First, it should seek for government approval through the senate since it is the one that deals with foreign direct investments. Secondly, it should ensure that the employee’s wages are paid according to the national minimum wage law. This will ensure that the company does not have legal problems with the government and the workers’ unions in future. Furthermore, it will make the company enjoy employee loyalty. Thirdly, the company should ensure it pays corporate taxes for companies and corporations as stipulated by requisite Acts. Fourthly, the management should ensure that they adhere to the social code of the French people. This will enable them to separate their work and personal life as they wish. Lastly, they should fulfill their corporate social responsibilities, for example, by helping in community related activities. France being an economic power makes it a secure country in which to invest. It has a clearly set political system that has different roles and responsibilities towards the nation. This government values business and that is why investing in France is an excellent decision by the company. Also, the government has clear policies that dictate how to relate to employees and the law. This ensures that there is no friction between the company and the government or its employees. France has a divergent culture that dictates how individuals do business. Its social code enables employees to separate their work from their personal lives. References Alston, J. P., Hawthorne, M. and Saillet, S. (2003). A practical guide to French business. Universe. Haine, W. S. (2006). Culture and customs of France. Greenwood Publishing Group. Streissguth, T. (2008). France. Lerner Publications. Tomalin, B and Nicks, M. (2007). The world's business cultures and how to unlock them. Thorogood Publishing. Verney, D. V. ( 2003). The analysis of political systems. Routledge. . Read More