CCM SEM 2

• Family is key!
• Mañana mentality: "I have money now, so I spend money now. Who knows what will be tomorrow
• Communication style: Formal, affection through touching
• Strong belief in metaphysical powers
• Passion

• The countries are Mexico, Chile, Colombia and Peru
• They also form the Pacific Alliance

The recession officially ended in 2017.

Reasons for the recession:

• Petrobras scandal
• Declining commodity prices -> due to lower global demand caused by a slowdown in China's economy
• Bureaucracy and other governmental obstacles

• Bureaucracy
• Corruption
• Poor management of firms (relatives are hired instead of better-qualified strangers)
• Complex tax rules
• Weak infrastructure
• Shortage of skilled workers

• Produces 50% of world's soy and 30% of meat
• Supplies 45% of world's copper and 30% of biofuels
• Owns a third of the largest freshwater reserves in the world

Relationship building

• Need to build on relationship (-> trust)
• Product is less important than the person selling the product

• Confrontation between managers and subordinates are avoided
• Emphasys on teamwork
• All decisions are made by the manager
• Recruitment on social status (school, neighborhood), social relationships and appearance
• Relatives of employees are preferred when recruiting or doing business
• Illoyalty is not accepted!
• Subordinates work long and hard, executives take it easy

Power Distance

• Mexico is very hierarchical, everbody has a place and no further justification is required
• Subordinates expect to be told what to do and the ideal boss is a benevolent autocrat

Collectivism

• Committed to the member group
• Everyone takes responsibility for fellow members of their group
• Loyalty is paramount and over-rides most other societal rules and regulations

Masculinity

• People "live in order to work"
• Managers are expected to be decisive and assertive
• Conflicts are resolved by fighting them out

Uncertainty Avoidance

• Intolerant of unorthodox behavior and ideas
• Time is money, people have an inner urge to be busy and work hard
• Security is an important element in individual motivation

Normative

• People have a strong concern establishing the absolute truth
• Great respect for traditions, small propensity for the future
• Focus is on achieving quick results

Indulgence

• People act impulsively and enjoy life and have fun
• Positive and optimistic attitude
• People value leisure time a lot, act as they please and spend money as they wish

• Corruption as been endemic since colonial times
• Democratization in the 1980s increased corruption due to campaign finance for political parties
• Privatization in the 1990s further increased corruption as proceeds from large transactions enriched rulers
• Commodity boom and drug trade produced a lot of cash which was easy to use for bribing

• Investigation through state attorney
• Government names special prosecutor that reports to the top government level
• Investigation is persued by a NGO or supranational organisation (e.g. UN, OAS) as an independent auditor

Arab world is the region(s) where people speak arabic and/or identify as arabs. Basically Arab League member states.

• Founded in 1945, has 22 member countries
• All of the members have arabic as their official language
• It has a general secretary and several commissions and specialized organizations
• Yearly conference with all leaders/rulers

About OIC

• Religious organisation with 57 member states (47 of them being muslim majority countries) and a total population of 1.6 billion
• Official languages are Arabic, French and English

Goals

• Preserve Islamic social and economic values
• Promote solidarity amongst member states
• Increase cooperation in social, economic, cultural, scientific and political areas
• Uphold international peace and security
• Advance education, specifically in science and technology field

• Political split that happened around 400 years ago
• 88% are Sunni, 12% Shi'a
• Shi'a are concentrated in Azerbaidjan, Afghanistan and Iran
• Shi'a have their own ideology and believe that a Imam will come and save them, they also have a religious clerigy like the catholic church which also collects money from the people

Differences between Sunni and Shi'a are the major trigger for conflicts between the groups.

• Founded in 1981
• Six member states: Kuwait, Bahrain, Qatar, Oman, Saudi Arabia and UAE
• All members have the same natural resources oil & gas as well as the same topography
• All of them are Sunni
• All of them are monarchies

Goals

• Similar regulations in religion, finance, trade, customs, tourism, legislation and administration
• Scientific and technical progress
• Unified military (Peninsula Shield Force)
• Cooperation of the private sector
• Strengthen ties between its people
• Establishing a common currency (-> failed because some of the member's currencies are pegged to USD)

• Geopolitical position: 5 of 7 chokepoints worldwide are in the Arab world, energy routes
• Demography: 50% of population below 25 years -> big opportunity as they are the motor of the economy
• Democracy and stability: Bad performance on the index, best country is rank 70
• Conflicts and military spending: 4-5% of GDP
• Natural resources: Oil and energy, minerals, tourism, manpower
• Scarcities: Water, food, knowledge societies

• Faith declaration (Shahada)
• Prayers (Salah) -> 5x per day, friday mid-day has to be done in community (mosque)
• Charity, Alms (Zakat) -> general rule 2.5% of yearly savings
• Fasting (Siyam Ramadan) -> obligatory for every fit Muslim
• Pilgrimage (Hajj) -> obligatory once in a lifetime for able Muslims (health, wealth, security)

Every adult in possession of his faculties within the limits of his personal health, wealth and general condition. "You do what you can do"

Permitted

• all that is evidently not harming and everything which is not mentioned as well as food of the people of the book within the below-mentioned limits

Recommended

• Not to eat too much
• Not to enter food over not digested food
• (Not eat too much meat)

Forbidden

• Meat of animals found dead or carnivores (dogs, lions, cats, etc.)
• Meat on which the name of God is not invoked at the time of slaughtering
• Blood and blood products
• Pork
• Alcoholic beverages and drugs
• Exception: In extreme danger of death or medical prescription due to lack of alternatives

1. guarantee necessities
2. fulfill important needs
3. open the access to refinements if possible

Shari'ah (=law)

• "Constitution" of Muslims and includes the Qur'an and the Sunnah
• guideline dealing with ideology and faith, behavior and manners as well as with practical daily matters

Fiqh (=understanding)

• legal rulings of the Muslim scholars based on their knowledge and understanding of the shari'ah
• Fatwas (legal opinions) are delivered based on the Fiqh
• Has elements of flexibility, similar to precedents in common law system

Together, these rulings cover all aspects of human life.

1. Prohibition of Interests
2. Prohibition of Uncertainty
3. Prohibition of gambling and speculation
4. Prohibited sectors for investment activities (weapons, gambling, sex, alcohol, etc.)

We have to restrain ourselves from eating too much food whereas in former times life/nature restrained us from eating too much as not enough was available.

The desire to try new foods.

The fear that new foods might be harmful.

• Quality: Hard work, difficult/dangerous to catch, rarety, BIO
• Symbolic systems: Culture based value and meaning assigned to a specific food
• Religious legitimacy

• The argument of moral relativism: Western value standard is not necessarily taken as standard elsewhere.
• The argument of cultural imperialism: Behind the effort to implement human rights on a universal level, one might suspect the implementer's intention to political and cultural intervention and manipulation
• The argument of state sovereignty: The will to intervene and protect people wherever they are, curtails the authority of the nation state