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Applying the CAGE Distance Framework to compare economic environments
Suppose an American organization is considering expanding some or all parts of their business in the Czech Republic or Ireland. Thoroughly applying the CAGE distance framework, how would you analyze the business and economic environment in Ireland and the Czech Republic relative to the United States?
4-6 pages with references.
Analyzing the business and economic environment in Ireland relative to the United States:
Cultural distance of Ireland when compared to the United States is low, even though the Irish language and Ulster-Scots is spoken, most people speak English and it has emerged as the first language in Ireland. Even though Ireland has been influenced by eh Gealic culture, there is high participation in the broader European culture. The cultural network with the USA is high because of recent Americanization. As far as religion is concerned there is relative closeness with the USA as Christianity is widespread in Ireland. Even though Irish theology is different from what is practiced in the USA there are strong similarities. The social norms are different from those in the USA; the social interaction is laid back, casual, talkative, and endless discussion on whether. Even drivers on secluded roads acknowledge the presence of other drivers through a sign of hand.
Administrative distance of Ireland when compared to the United States is high. There are no direct colonial ties. Ireland has monetary and economic association with the European Union but not with the USA. However, there are no direct political hostilities with the US. The government policies are not against business ties with the USA. The administration is however strong.
Geographic distance of Ireland when compared to the United States is moderate. First, there is physical remoteness from the USA. Ireland is not close to the USA. There is no common border. However, there is direct access of Ireland from the sea. The area of the USA is 9,626, 675 km square, whereas the size of Ireland is 84, 420 km square. Area wise Ireland is a much smaller country ...
CAGE Distance Framework is discussed very comprehensively in this explanation..