In France, appropriate conduct, trust and understanding of social Essay

In France, appropriate conduct, trust and understanding of social status are vital factors for success - Essay Example International business management comprises learning different cultures of the nations where a company intends to enter. Cross-cultural management helps to gain understanding about business tactics, human personality and leadership/management style that are significant for possessing effective business relationships with people in foreign countries (Bowie, 2008). The paper describes the business environment and culture of France and China for conducting business of a retail fashion organisation in the United Kingdom named River Island. The objective of the paper is to recognise the cross-cultural aspects of China and France with respect to leadership style and business practices which need to be considered by River Island in order to conduct business in foreign nations. Furthermore, the paper analyses the business environment and legal structure of both nations for assessing the suitability of conducting business. Business Environment of France France is regarded as the international cultural capital. It is one of the biggest and most diverse nations in Europe. France is also recognised as a modern nation among the European countries with respect to technology and business. France has always been the core of international business and trade. France is an extremely consolidated nation. Among many larger cities in France, Paris plays a significant part with respect to governmental regulations and business opportunities. France has advanced rail network and structured road transport system that offer smooth access to major capitals and metropolises (Nouel, 2005). Economic Environment France is known as the world’s fifth biggest economy with respect to gross domestic product (GDP). In the year 2007, the GDP of France was almost â‚ ¬1892 billion and inflation rate was about 1.5%. In the year 2002, France had accepted Euro as its domestic currency (Moore Stephens International Limited, 2009). France is also considered as one of the biggest exporters of the world. In the year 2008, France had exported US$767 billion worth of goods (MGI World, 2009). France not only has progressive industrial economy, but also is advanced in automobile industry, aerospace, information technology, electronics, chemicals and fashion industry. France is one of the significant members of G8 leading industrialised nations (MGI World, 2009). Fashion Retail Industry of France France plays a vital role in catalysing enthusiasm about fashion all through the nation. The fashion industry of France has acquired its acceptability from high-end and high creative sector. The brand management capability, affluence and commercial aptitude of France gradually dribbled over the mass fashion retail market segment by motivating the appearance of international brands (Girod, 2012). In the year 2009, the total income of French apparel retail industry was worth US$48,956.4 million which accounted for compound annual growth rate (CAGR) of 0.6% (Datamonitor, 2009). In order to