Open Case Exercises 1) Describe Chinas strategy in Africa. China has managed to bring a lot of people out of poverty by combining state intervention with economic incentives with the purpose of attracting private investment. (Carpenter, International business). Moreover, Chinas desire is to bring its success story to the continent of Africa. Chinas strategy in Africa is a combination between self-interest and desire to apply the lessons learned from their successful development. China enters into agreements with countries rich in resources and helps them develop their infrastructure, medical system, education system and water system. In exchange, is using the resources that Africa has to offer such as oil, diamonds, minerals and commodities, which are in high demand in China. Therefore, by making agreements with different countries in Africa, China managed to follow its interests but also to help these countries develop and prosper. However, their success was also based on the fact that local political environment in African countries is controlled by small number of leaders that have the power and the decision-making. 2)If you were the head of a Chinese business that was operating in Sudan, how would you address issues of business ethics and doing business with a repressive regime? Should businesses care about local government ethics and human rights policies? As a head of a Chinese business I would try to discuss with the government officials to come up with a rational solutions, which could help to reduce the aggressive approach of repressive regimes, combined with some example of a more realistic approach towards ruling without the use of force or violence from China. Moreover, discuss some other ways of doing business by trying to respect the human rights and business ethics and ensure the well being of the citizens or employees, which in turn will lead to economic growth and prosperity. Businesses should care about the ethics and human rights policies since their success depends on the way the local governments operates. Human rights must apply to everybody in order to avoid situations of infringement of their rights. These unpleasant situations could generate conflicts that will have a negative impact on the business. All employees, must be treated fairly and respectfully, therefore avoiding belligerent situations that could develop from mistreating employees. Moreover, the company should be aware because unfair treatment and chaotic work environment will badly affect the business. 3. If you were a foreign businessperson working for a global oil company that was eager to get favorable government approval to invest in a local oil refinery in an African country, how would you handle any demands for paybacks (i.e., bribes)? A very clear and transparent contract should be made from the beginning between the oil company and the government. As an investor, I will be involved in the market from day one. Even though some local practices accept bribes as a form of sealing the deal this should be avoided always and found alternative ways that will create a long standing and trustful relationship. A good approach will be a zero-tolerance policy for any forms of bribes. Instead of bribes, incentives can be given after certain goals have been achieved and also recommendation for good progresses. All these should be mentioned clearly in the contract. Therefore, all parties will be determined to contribute and work towards achieving goals that will benefit them. By establishing my unwavering stance against corrupt payments I will poise myself to effectively operate in African markets.(Devex) Citations: "International Business: Opportunities and Challenges in a Flattening World, v. 1.0." Flat World Knowledge., n.d. Web. 19 Jan. 2017 WarrenDenson. " Try to Reason with Government Officials - MGT - 450." Help Come - MGT - 450. N.p., n.d. Web. 23 Jan. 2017. "Dealing with Corruption in Africa: A Complex Yet Surprisingly Simple Answer." Devex. N.p., 01 Aug. 2014. Web. 23 Jan. 2017. Https://www.devex.com/news/authors/1017979.