Human resource management is a vital component in any business as they contribute significantly to the success of the business. Global businesses must be able to consider all the issues of HRM in any given country they launch their operations as they will reap more by understanding their cultural and institutional features and policies and practices. This is because it will help them be efficient and effective in management and hence gain a competitive advantage. As a result any company that tries to set shop in any country must understand their policies to make sure they are not in conflict with the law or employees. It is also difficult to carry along all employees with the company from one country to another; hence when a company establishes itself in another country they must employ people from there who have specified cultures and traditions that govern them. It is the duty of the human resource managers for all global companies to understand the organizational culture, national culture, institutional factors, labor-force characteristics and expatriate policies to ensure they build an efficient and effective local practice structure (Constant,& KZimmermann 2008) and (Constant,& Zimmermann 2009). This paper critically examines the major cultural and institutional features and Predominant policies and practices in Germany and India.
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