Business Culture & Etiquette

The value systems and norms of a country  influence the costs of doing business in that country. The costs of doing business in a country influence the ability of firms to establish a competitive advantage in the global marketplace.

Improving the level of cultural awareness can help companies build international competencies and enable individuals to become more globally sensitive. If you don’t have the right level of knowledge of these issues, you are taking a gamble every time you work internationally.

One thing that I took away from my Business Development course; MRKT 4160, through completing an extensive report on the “Culture of Business & Etiquette in Thailand”, is that etiquette is an essential factor in determining the success or failure or a business. Etiquette is the way a person presents him or herself to others, being comfortable and making others comfortable.

By not making yourself aware of that country’s customs or etiquette intentionally or unintentionally, you are bound to face many obstacles on the path to success. But if you are generally considerate and attentive to the needs of those you are visiting by following the basic rules or etiquette, you are much more likely to be successful in any venture.

Some tips on Business Etiquette that I took away from the course:

1. Business executives who hope to profit from their travel should learn all they can about the country’s customs, history, and culture of the countries to be visited

2. Business manners, religious customs, dietary practices, humor and acceptable dress vary widely from country to country

3. Understanding and heeding to cultural variables such as these, is critical to the success in international business travel and international business

4. Lack of familiarity with the business practices, social customs and etiquette of a country can weaken a company’s position in the market, preventing it from accomplishing its objectives and can ultimately lead to failure

By practicing and following these tips on business culture and etiquette, you will have a remarkable effect in improving business while building long-term relationships with the necessary contacts for your business.

Spend the Holidays at Moda

From the natural splendor of Stanley Park to the quaint-glamour of Yaletown, or steam-clock inspired historic Gastown, Vancouver is an electrifying destination that captivates west coast spirit. Located in the heart of downtown, the Moda Hotel Vancouver is walking distance to legendary attractions, landmarks and things to do.

Looking for things to do in the City?

When you stay at the Moda Hotel Vancouver, the vibrant energy, culture and beauty of Vancouver surrounds you. The hotel is walking distance to Vancouver’s celebrated attractions, including Robson Square, Yaletown and Robson Street’s shopping district. Our convenient downtown location is steps from chic and swanky restaurants, world-class shopping – including Holt Renfrew, Pacific Centre Mall and Robson Street – fabulous nightclubs and lounges, art galleries, entertainment venues and major corporations and businesses.

Holiday Attractions {December Edition}

Looking to get in the spirit of the holidays while you stay with us? Vancouver plays host to many holiday-inspired attractions. Take a moon-lit trolley ride through Stanley Park and explore the two million twinkling lights at Stanley Park’s Bright Lights, go ice skating amid the unique urban backdrop of Robson Square after enjoying delicious hot cocoa and roasted chestnuts, or visit a magical winter wonderland at the Capilano Suspension Bridge’s Canyon Lights and gaze at the wonder of 250,000 multicolored lights as you take in breathtaking scenery of snow-covered treetops and the serenity of a west coast rainforest.

After a full day of taking in the city, our critically acclaimed Cibo Trattoria is a must-try for gourmands, where sleek decor is the backdrop for inventive Italian delights. Or come unwind at our authentic Italian Uva Wine Bar. Elegant modernism combined with the building’s historical elements create an intimate atmosphere to cozy up to over refined wines and delicious artisanal cheeses.

Retreat to modern guest rooms, vibrant designs, innovative cocktails and cuisine that create more than just a hotel experience, but a luxury lifestyle destination.

Arts & Culture

• Vancouver Art Gallery – 550m or 2mins
• Queen Elizabeth Theatre – 750m or 3mins
• Victory Square – 1.2 km or 4mins
• UBC Robson Square – 500m or 2mins
• Vancouver Public Library – 550m or 2mins
• Gastown Steam Clock – 1.3km or 5mins
• BC Sports Hall of Fame Museum – 950m or 2mins

Nearby Destinations

• Waterfront Station – 900m or 4mins
• Vancouver City Centre Station – 750m or 4mins
• Stadium-Chinatown Station – 1.4km or 4mins
• Yaletown – Roundhouse Station – 1.0km or 5mins
• Granville Skytrain – 600m or 3mins

Recreation

• Helmcken Park – 1.1km or 5mins
• Emery Barnes Park – 900m or 4mins
• Victoria Park – 5.0km or 9mins
• Nelson Park – 850m or 3mins
• Granville Island – 3.0km or 7mins
• Stanley Park – 3.1km or 8mins

Shopping

• Pacific Centre Mall – 850m or 4mins
• Robson Street – 850m or 4mins
•  South Granville – 2.8km or 5mins
• Harbour Centre – 950m or 4mins

Entertainment

• Media Club – 750m or 3mins
• Pacific Cinematheque – 550m or 2mins
• Vancity Theatre – 800m or 4mins
• Empire Theatres -110m or 31 sec
• Japa Dog – 400m or 2mins
• Edgewater Casino – 1.8km or 6mins

Sources: 

Tourism Vancouver: http://bit.ly/2HLzXx
Google Maps: http://maps.google.ca/maps?hl=en&tab=wl
Vancouver Park Board: http://vancouver.ca/parks/events/brightnights/

Organizational Development – Change Implementation

Successful change initiatives are not just a matter of planning; they must be implemented as well. In most cases, the change implementation process comes with its own set of difficulties. Even the best made plans will experience problems as they are implemented.

Despite the experience of many organizations, it is possible to turn strategies and plans into individual actions, necessary to produce a great business performance. It’s not easy, however, and many companies repeatedly fail to truly motivate their people to work with enthusiasm, all together, towards the corporate aims. Most companies and organizations know their businesses, and the strategies required for success. However many corporations, especially large ones, struggle to translate the theory into action plans that will enable the strategy to be successfully implemented and sustained. I have listed some leading edge methods for effective strategic corporate implementation;

For example; Fortune Magazine study suggested that 70% of 10 CEOs who fail do so not because of a bad strategy, but because of bad execution (Why CEOs Fail, R Charan, Fortune Magazine). In another study of 200 companies in the Times 1000, 80% of directors said they had the right strategies but only 14% thought they were implementing them well, this could be linked to the finding that despite 97% of directors having a ‘strategic vision’, only 33% reported achieving ‘significant strategic success’. (Why do only one-third of UK companies achieve strategic success?, I Cobbold & G Lawrie).

The message is clear. Effective strategy realisation is key for achieving strategic success.

Some essential elements for strategic realisation are as follows;

• Motivational Leadership: concentrating on achieving sustained performance through personal growth, value-based relationships and planning that recognizes human dynamics
• Turning Strategy into Action: entails a phase approach, linking identified performance factors with strategic initiatives and projects designed to develop and optimise departmental and individual activities.
• Performance Management: involving the construction of organizational processes and capabilities necessary to achieve performance through people delivering results.

There are simple ways to judge whether your strategy realisation process is working:

• look for business results and progress on the delivery of targets and KPI’s
• look for signs that your people have really got the corporate message and have taken it to heart
• sadly, in many organizations the vast majority of staff do not understand the corporate aims, let alone see themselves as an integral part of the effort
• If your methods enable every person to know what they are doing, and why, and to be emotionally committed to it, then the process of turning strategy into action is probably working.
  

Plans for implementing a particular change are generally made with a great deal of thought given to all the possible problems that might arise so that adequate allowances and provisions can be made. When the unexpected problems invariably arise, those responsible for the planning as well as those responsible for the implementation are often at a loss about how to correct the problem or adjust the plan.

In some cases, those involved may put time and effort into making a guess about and implementing a possible solution just to find that things move even farther off course. At this point, organization members, who are already struggling to make the change, become even more unhappy and resistant, causing fear and frustration for those seeking a solution and reluctance to try again. Unanticipated problems that are not quickly solved can sabotage the entire change initiative.

In addition to unanticipated problems, many change initiatives require more resources of all kinds to implement than those that have been provided for in the plan. The implementation may take longer than expected. Re-education and training may be more involved than expected. Retooling costs may be higher than budgeted. The greater the investment of resources over time in the change initiative, the greater the anxiety about the wisdom or change in general. Those who were once cheerleaders may become less supportive and those who were against the change may become more negative.

Regardless of the nature of the issues that arise during the implementation, it is a sure bet that at some point during the process, some members of the organization or group will want to abandon the initiative and go back to “the way things were”. And it is at these points that having an external partner involved in the change implementation or having a relationship with an external resource can be extremely helpful.

Framework for Organizational Development: The Why, What & How of OD work. www.ufv.ca

Organizational Change & Development (Managing Change & Change Management). http://managementhelp.org/organizationalchange/

The Effective Implementation of Multi-Source Feedback Processes. http://armandojusto.blogspot.com

A Closer Look at Organic & Mechanistic Organizational Structures

My research is based on the work done by theorists T. Burns and G.M. Stalker (1961). The theorists argue that organizations need different kinds of structure to control their activities that will allow the company to adapt and react to changes and uncertainties in their environment.

Changes in environment can be analyzed through a pestel analysis, where changes in the factors found in the pestel analysis may either stabilize or destabilize the environment of a given company.

Companies facing a dynamic and uncertain environment may have to develop or maintain an organic organizational structure, whereas companies operating in a stable environment may benefit from developing or maintaining a mechanism organizational structure.

The reason behind this is that organic structures can process and distribute information and knowledge faster within the organization, which then results in an increased ability to respond or react to changes in the environment.

However, mechanistic structures may act as an effective and efficient organizational structure for companies operating in a more stable and certain environment. Companies operating in a stable environment may not need to make decisions quickly. Likewise, many of the day-to-day decisions and operating procedures may be formalized and centralized, because there is no inherent need for constant change or innovation.

Organizational structure can inhibit or foster creativity and innovation. The problem with organizational structure, however is that it is resultant of many factors including history, organic growth, strategy, operational design, product diversity, logistics, marketing, client base, supplier base and so on.

Therefore, what managers need, are not recipes for complete structural change, but insights into the properties of fostering structures that can be adapted into the existing structure.

In our case of investigating Mechanic and Organic structures, Mechanic structures include centralized control and authority, clearly defined tasks, vertical communication links, obedience to supervisors , rigidity and inflexibility. Organic structures, which are more generally preferred, focus on decentralisation of authority, loosely defined, horizontal communications, greater individual authority, flexible and acceptable.

Mechanistic and organic structures are two possibilities at opposite ends of the organizational spectrum. They give shape to the concept of the factors of organizational structure. A mechanistic organization is characterized by the following structural factors:

• Degree of work specialization is high
• Departmentalization is rigid
• Managerial hierarchy has many layers
• Span of control is narrow
• Decision making is centralized
• Chain of command is long
• Organizational structure is very tall

While an organic organization is characterized by the following factors:

• Degree of work specialization is low
• Departmentalization is loose
• Managerial hierarchy has few layers
• Span of control is wide
• Decision making is decentralized
• Chain of command is short
• Organizational structure is flat

Organic Organizational Design
www.hinrichsconsulting.com

Mechanistic & Organic System
www.valuesbasedmanagement.net

Organic Structure Theory
www.washingtoniv.com

The Many Theories of Leadership

In this week’s blog, I outline some of the many theories of Leadership, and what are considered to be two of the most important keys to effective Leadership.

Early leadership theories focused on what qualities distinguished between leaders and followers, while subsequent theories look at other variables such as situational factors and skill levels. While many different leadership theories have emerged, most can be classified as one of eight major theories:

“Great Man” Theories

Great man theories assume that the capacity for leadership is inherent, that great leaders are born, not made. These theoires often portray great leaders as heroic, mythic and destined to rise to leadership when needed. The term “Great Man” was used because, at that time leadership was thought of primarily as a male quality, especially in terms of military leadership.

Trait Theories

Similar in some ways to “Great Man” theories, trait theories assume that people inherit certain qualities and traits that make them better suited to leadership. Trait theories often identify particular personality or behavioral characteristics shared by leaders. If particular traits are key features of leadership, then how do we explain people who possess those qualities but are not leaders? This question is one of the difficulties in using trait theories to explain leadership.

Contingency Theories

Contingency theories of leadership focus on particular variables related to the environment that might determine which particular style of leadership is best suited for the situation. According to this theory, no leadership style is best in all situations. Success depends on a number of variables, including the leadership style, qualities of the followers and aspects of the situation.

Situational Theories

Situational theories propose that leaders choose the best course of action based upon situational variables. Different styles of leadership may be more appropriate for certain types of decision-making.

Behavioral Theories

Behavioral theories of leadership are based upon the belief that great leaders are made not born. Rooted in behaviorism, this leadership theory focuses on the actions of leaders not on mental qualities or internal states. According to this theory, people can learn to become leaders through teaching and observation.

Participative Theories

Participative leadership theories suggest that the ideal leadership style is one that takes the input of others into account. These leaders encourage participation and contribution from group members and help group members feel more relevant and committed to the decision-making process. In participative theories, however, the leader retains the right to allow the input of others.

Management Theories

Management theories, also known as transactional theories, focus on the role of supervision, organization and group performance. These theories base leadership on a system of rewards and punishments. Managerial theories are often used in business; when employees are successful, they are rewarded; when they fail, they are reprimanded or punished.

Relationship Theories

Relationship theories, also known as transformational theories, focus upon the connections formed between leaders and followers. Transformational leaders motivate and inspire people by helping group members see the importance and higher good of the task. These leaders are focused on the performance of group members, but also want each person to fulfill their potential. Leaders with this style often have high ethical and moral standards.

What makes a person want to follow a leader? People want to be guided by those they respect and who have a clear sense of direction. To gain respect, they must also be ethical. A sense of direction is achieved by conveying a strong vision of the future.
2 Most Important Keys to Effective Leadership According to a Study by the Hay Group, a Global Management Consultancy;

• Trust & Confidence in top Leadership was the single most reliable predictor of employee satisfaction in an organization
• Effective communicationby leadership in three critical areas was the key to winning organizational trust & confidence: helping employees understand the company’s overall business strategy, helping employees understand how they contribute to achieving key business objectives, sharing information with employees on both how the company is doing and how an employee’s own division is doing – relative to strategic business objectives.A true leader must be trustworthy while able to communicate a strong  vision of where the organization needs to go. By implementing these qualities on a regular basis, you will be able to grow your influence and employee satisfaction, to it’s potential as a leader.

http://www.nwlink.com/~donclark/leader/leader.html 

http://www.leadership501.com/five-most-important-leadership-traits/27/

http://true-leadership.info/leadership-theories.html 

Keeping the Peace in the Workplace

Conflict is defined as the difference in wants, needs, or expectations. The workplace is filled with people who have differences of wants, needs, and expectations. So, naturally, conflict will likely occur. These conflicts can sometimes be an asset to an organization. They may be opportunities for creativity, collaboration, and improvement.

But conflict can also be costly to an organization. The trouble isn’t necessarily the fact that conflict exists, but how we deal with those conflicts or rather, what happens when they aren’t resolved. The impact of conflict can be devastating – to the parties involved, colleagues, clients and to the business as a whole. Some results of unresolved conflict in the workplace include:

• Stress, frustration & anxiety
• Loss of sleep
• Strained relationships
• Employee turnover
• Loss of productivity
• Increased client complaints
• Absenteeism
• Sick leave

These symptoms of unresolved conflict are a significant cost factor in organizations.

Communication both breeds and resolves conflict and controversy. An organization leader, manager, or supervisor is responsible for creating a positive work environment that enables people to thrive. If conflict, disagreements or differences of opinion escalate into interpersonal conflict, they must be dissolved immediately.  Conflict resolution, with a mediator is essential. Conflict resolution is an immediate priority for the organization.

I’ve put together some key actions that organizations should consider when implementing an effective program to minimize conflict, as follows;

1. Regularly review job descriptions: gather employee’s input to ensure that job roles are not conflicting.
2. Intentionally build relationships with all subordinates: meet at least once per month in-house to discuss accomplishments, challenges and issues.
3. Get regular, written status reports and include accomplishments, current issues and needs from management, plans for the upcoming period.
4. Conduct basic training about interpersonal communications, conflict management, delegation.
5. Develop procedures for routine tasks and include the employees input. Have employees write procedures when possible and appropriate, get employees review of the procedures, distribute the procedures, train employees on procedures.
6. Regularly hold management meetings, for example, once per month, to communicate new initiatives and status of current programs.
7. Consider an anonymous suggestion box in which employees can provide suggestions.

Actions to avoid in Conflict Resolution

• Don’t avoid the conflict, hoping it will go away: unresolved conflict or interpersonal disagreement fester when stress increases or a new disagreement occurs.
• Avoid meeting separately with people in conflict: If you allow each individual to tell their story, you run the risk of polarizing their positions. The person in conflict has a vested interest in making him or herself “right” if you place yourself in the position of judge and jury. The sole goal of the employee, in this situation, is to convince you of the merits or their case.
• Don’t pass judgement: everyone in your office and each employee with whom the conflicting employees interact, is affected by the stress of conflict. People feel as if they are walking on egg shells in the presence of the antagonists. This contributes to the creation of a hostile work environment for the other employees. In worst case scenarios, your organization members take sides and your organization is divided.

In a perfect world everyone would enter the workplace with the best interest of the company in mind, professionalism, integrity and a positive outlook on every situation they encounter, but unfortunately for us, this is not always the case. Therefore, it is up the organizations to implement effective procedures to deal with workplace conflicts, focusing on ways to prevent common conflicts from occurring to ensure that their employees are exposed to a positive and productive workplace environment.

Understanding Conflict and Conflict Management http://www.foundationcoalition.org/teams Retrieved: 05/27/2011 Conflict Management – Style and Strategy: www.wright.edu/~scott.williams/leaderletter/conflict.htm Retrieved 05/27/2011  Structural and Individual Determinants of Workplace Victimization: The effects of hierarchical status & Conflict Management. Aquino, Karl. Journal of Managment. April 2000. Vol 26. No. 2 171-193

Intrinsic vs Extrinsic Motivation

Motivation is an important concept in both psychology and in the workplace. It provides insight into why we behave the way we do. Motivation is an internal process that reflects the desire to achieve certain goals, and can be divided into two basic types: intrinsic motivation and extrinsic motivation.

Intrinsic motivation reflects the desire to do something because it is enjoyable. If we are intrinsically motivated, we would not be worried about external rewards such as praise or recognition. If we are intrinsically motivated, the enjoyment we experience would be sufficient for us to want to perform the activity again in the future.

For example, writing short stories because you really enjoy writing them, reading a nonfiction book because you are curious about the topic, and playing chess because you enjoy effortful thinking are some intrinsic motivation examples.

Extrinsic motivation reflects the desire to do something because of external rewards such as money or praise. People who are extrinsically motivated may not enjoy certain activities. They may only wish to engage in certain activities because they wish to receive some external reward.

For example, the writer who only writes poems to be submitted to poetry contests would be one example of extrinsic motivation. The person who dislikes sales but accepts a sales position because he or she desires to earn an above average salary is another example of extrinsic motivation. A third example of extrinsic motivation is selecting a major in college based on salary and prestige, rather than personal interest in the major.

Teachers may be interested in fostering intrinsic motivation. If students are only interested in receiving grades or praise, and do not enjoy learning, then teaching may be very difficult. They may only be concerned with what will be on the tests. In contrast, students who are intrinsically motivated may enjoy challenging work, and may think in greater depth about ideas. Teachers may be able to foster intrinsic motivation by having students work on projects that allow them to see how the information is relevant to their lives.

Supervisors may also be interested in ways to increase intrinsic motivation. The ideal employee may be one who is self-motivated and does not require constant supervision. Intrinsically motivated employees may be less likely to be late. They also may be more likely to excel at their jobs. It is possible that supervisors may increase intrinsic motivation by allowing employees to have greater autonomy, making the workplace fun, or encouraging creativity.

If a reward- money, awards, praise, or winning a contest comes to be seen as the reason one is engaging in an activity, that activity will likely be viewed as less enjoyable in its own right.

While extrinsic motivation has some success with some, it also has some serious setbacks:

• It’s not sustainable: as soon as you withdraw the punishment or reward, the motivation disappears.
• Diminishing returns: if the punishment or rewards stay at the same levels, motivation slowly drops off. In order to achieve the same motivation next time requires a bigger reward.
• It hurts intrinsic motivation: punishing or rewarding people for doing something removes their own innate desire to do it on their own. From now on you must punish/reward every time to get them to do it.

Some factors that create and sustain intrinsic motivation includes:

• Challenge: being able to challenge yourself and accomplish new tasks
• Control: having choice over what you do
• Cooperation: being able to work with and help others
• Recognition: getting meaningful, positive recognition for your work
• Happiness at work: people who like their job and workplace are much more likely to find intrinsic motivation
• Trust: when you trust the people you work with, intrinsic motivation is much easier

 

- “Intrinsic & Extrinsic Motivation: The Search for Optimal Motivation & Performance”. Sansone, Carol (ed); Harackiewicz, Judith M. (ed). San Diego, CA, US: Academic Press (2000).

- “Intrinsic & Extrinsic Motivation”. Retrieved from www.callcentercomincs.com/call-center-comics-35-Management-Motivation

- “Internal Motivation vs. External Influence”. retrieved from http://incentive-intelligence.typepad.com

The Importance of Setting Goals

We all have goals, whether we consciously set them or not. Whether it is to be promoted, or to increase profits in your business, or to lose those extra five pounds, everyone has goals. The difference

between living a fulfilling life and just living an average life is the quality of those goals you set for yourself. Being aware of this, you would think setting goals would be common sense, yet only 5% of adults ever write goals. Studies have found that 95% of adults will never write a goal in their life.

Setting goals is like having a destination before taking off. If you know where you are going, you can focus on the end result and get back on track if any obstacles get in your way. Without a set destination you’ll be knocked off course by the first obstacle in your path, and never end up reaching your destination.

Without writing your own goals, you’re like a plane that leaves the airport with no destination in mind to land. While you might be able to take off and cruise for while, you eventually will land somewhere….and that somewhere may not be where you want to be headed without proper planning.

We all have at least 5 major areas in our life that if we set clear written goals for would dramatically improve the quality of our life in each area. Those areas could include: finances, career, health, family, friendship etc

By setting goals in each area of our life we give ourselves a target, a direction, something to aim for, something that if we achieved would have a dramatic positive impact in our life.

Goals give us something to measure our progress against, to see if what we are doing is moving us closer or further from our ultimate target. If our actions are moving us closer to our target then we keep doing what we’re doing. If our actions are moving us further from our target, then we must change what we are doing so that we are able to move closer to our target.

In all aspects of our life, health, career, family, goals play an instrumental role in the planning and direction of where we would like our life to head in.

I go back and re-write my goals about every four months to ensure that I keep on track with my plan, to refresh my goals in case any slight adjustments need to be made and so that my goals are always SMART (Specific, Measurable, Attainable, Realistic and Timely)

So ask yourself, have you set your goals?

Susan Ward. Goal Setting: Your guide to setting goals. Retrieved from http://sbinfocanada.about.com/od/goalsetting/Goal_Setting.htm

SEO VS. SEM

Whether you’re a business owner or daytime blogger, there is a certain art to creating and then managing a website or blog. Beyond the underlying mechanical aspects of building and designing the site, there are other duties you would greatly benefit from performing…

SEARCH ENGIN OPTIMIZATION…
SEO = Search Engine Optimization, while SEM stands for Search Engine Marketing. Clever. They’re similar in some respects, but actually serve very different purposes.

One of the challenges of having a blog or website is that you want to be found by the search engine. In order to do that, your blog or website has to make sense to the search engine. …confusing you say?

SEO is about making your blog or website appeal to search engines. If they can’t find what they’re looking for, then they can’t build up a list of things they need to know about and then use to match against a search someone types into Google, for example.

SEO includes not only changes to the mechanical code of your blog or website, but also to the words in your web pages, too. Knowing who you’re writing about will help you choose the right words to use in your articles that the search engines can then match search queries against.

SEARCH ENGINE MARKETING…
SEM is when you promote an article to specific places, like web directories, industry forums, email campaigns, or by asking friends or related businesses to add a link from their blog or website to yours.

Adding comments to blog articles, which allow you to add a link for a web page form your blog or website is also an example of SEM. The more links you gain, the greater value of trust and authority the search engines place on your blog or website. The added value of the article encourages people to share your content with others.

WHAT ELSE?…
Put simply, the search engines can be looked at as very, very fussy readers. As a blogger, you’re going to make friends and hopefully influence people. Adding value to your articles with links to other websites and blogs is something that can help you enrich your articles. As blogs become more popular, thoughts will probably turn to monetizing the traffic it’s created. Often, the very thing that made those blogs what they are, is disrupted or demoted to make room for money-making schemes, like banner ads and link adverts.

Always keep in mind that content is king, and everything else is secondary.

soo basically…everybody wins!

Facebook is now offering users who are willing to share their locations in their status updates: deals from nearby merchants or big-brand marketers including Starbucks, Gap or McDonald’s. Interesting…..

DEALS DOWNLOAD…
FB has announced “Deals,” an extension of its Places mobile feature which allows users to check in at the location they frequent such as bars, local restaurants or retail stores. “Deals” users simply walk into their favourite coffee shop and check in on their mobile devices in order to get the deal, giving marketers the ability to reach consumers and potentially attracting them into any given store. Sheer brilliance!

Fb’s newest service combines two of the hotter trends in local marketing: location-based check-in services such as the popular Foursquare, and local group deals services such as Groupon or LivingSocial. “There are many changes in mobile, and there’s a revolution in the social space,” said Mark Zuckerberg, founder and CEO of Facebook, which in case you’ve been living under a rock somewhere, has 200 million mobile users. “Mobile is as big as that-when you combine mobile and social, industries can get disrupted.”

WHAT DOES IT MEAN FOR FB…
Just like everything else Facebook does, it has the potential of taking a niche phenomenon and turing it into a mass phenomenon. “While businesses have been able to use other geolocation services to incentivize customers to some extent, Facebook Deals allows global brands to do so at massive scale,” said Michael Lazerow, CEO of social marketing firm Buddy Media.

HOW DOES IT WORK?…
Facebook is launching the Deals service with 22 big brand partners and 20,000 small-to medium-sized businesses can start creating Deals on their Places page inside of Facebook. *Sigh…simplicity on each end. All merchants have to do is create a Facebook page where there is an option for choosing the kind of deal they would like to offer: individual, loyalty, friends or charity.

Individual and loyalty offers are digital versions of the traditional (and now stone-age) coupon and loyalty cards, where a customer gets a punch hole for every coffee or sandwich purchased.

The friends offer is a strictly Facebook style deal, where if a user checks in his or her friends, they get a discount. Quick, easy and awesome. The charity deal is where the merchant will donate $1 to charity for each check in #gooddeedfortheday.

What a brilliant way to captivate a chosen target market, attract consumers to businesses, donating to charity all while browsing through your favourite store. I don’t think it could get much easier than this.