Human Resource Management Recommendations for Zespri's Expansion in China and Brazil

Purpose: 
The purpose of this assessment is to develop an understanding of how the culture of a nation and the culture of a business impact on the way that workforce, contractors, agents and business relationships are managed. Assessment 3 will cover the practical and ‘real world’ implications of Human Resources Management in an international business environment. 
 
Requirement: You are to write a professional report which identifies the human resource problems, solutions and support needed by Zespri to establish new business units in China and Brazil. This will be your own reference-based research. You will not contact Zespri or its staff under any circumstances.
Scenario:
Zespri's operation in China has been rocked by ongoing controversies and scandals involving Zespri's distributors. In the first scandal the agent was double invoicing and found guilty in 2012 of failing to pay import duties. Zespri's Chinese subsidiary was fined $1m and an employee was jailed for five years over the underpayment of customs duties on kiwifruit imports between 2008 and 2010. The most recent scandal does not involve New Zealand kiwifruit, however 9 staff of the same agent have been arrested following investigation of under-declaring customs duties and importing prohibited fruit (see provided article). 
As result of these ongoing troubles the Board of Zespri have decided that they wish to have more of their own people on the ground in China to manage and monitor the distributors. Imagine you have a Human Resource consultancy firm and you have been engaged by Zespri. You have been asked to produce a professional report from which Zespri can create new Human Resource Management policies required for their new operation in China. In addition to making recommendations for Zespri’s human resource management in China, your professional report will also make recommendations for Zespri's human resource management in its new business unit in Brazil. 
Instructions:
You are to analyse this situation from a human resource management perspective and identify the human resource problems, solutions and support required by Zespri to run successful business units in China and Brazil.
Your report should consider the relevant issues in sourcing local staff in the new setting, re-locating your own staff into the new international environment, as well as your strategies to communicate and support this international development. 
Your analysis should incorporate a discussion of how the workforce will be influenced by Zespri’s culture as well as the culture of the new international settings. You will cover topics such as: culture, the selection of staff, training and development of expats and locals, ethical issues (such as child labour, gender equality, race, sect or religion, bribery, corruption), Head Office support functions, repatriation of expatriates and any other challenges that you think Zespri may face in these new markets. 
You will need to approach the assignment from a human resource management perspective, and incorporate the theory and concepts of inter-cultural differences you think are pertinent, along with relevant data and research findings. 
The report must demonstrate comprehension of IBS804 Managing in a Globalised World. Therefore, you must make reference to whatever International Business frameworks, concepts and terminology that you have encountered in IBS804 and regard as relevant.  
Your report must also draw on industry material and data to provide a realistic rationale for your human resource management recommendations.