Compare and contrast the regional models of organisation shown below. Which model is the best? Justify your answer.

Exhibit 4.3 Regional models of organisation Characteristics Investor Family model Network Mutual model model benefit model Country examples American, Chinese gong-si, Japanese German Australian, South Korean kaisha and konzern, British, and chaebol, keiretsu Danish Canadian Mexican grupo selskabet, companies Dutch bedrijf, and Swedish foretag Primary Principal Principal Sequential Relative beneficiaries emphasis on emphasis on emphasis on balance stockholders extended family corporate between and members as both network, stockholders investors as investors and individual and investors, principal principal company most beneficiaries beneficiaries shareholders, employees, and permanent local employees community, and public-at- largeCentre of power and inuence Trends in management selection Trends in decisionmaking Centralised power largely held by investors and stockholders and delegated to top executives Professional education Topdown centralised management common, but not universal Centralised power held by family with government backing and tightly controlled through family management Family membership Topdown centralised management, often with government involvement and support Moderately distributed power held by investors, sister companies, key banks, unions, and government Seniority Consultation with employees up, down, and across hierarchy, but nal decisions typically made at top Widely distributed power held by investors , partners , managers, works councils , unions, and government Technical mwww Collaboration between managers, works councils, and unions on key decisions Employee rights and job security Variability in basic model Weak legal protection of employee rights and job security for all employees Wide variations within basic model Weak legal protection of employee rights and job security for all employees Few variations in basic model Weak legal, but strong social, protection of employee rights and job security for all "permanent" employees Moderate variations in basic model Strong legal protection of employee rights and job security for almost all employees Few variations in basic model