BUS 280 - Chapter 17 Quiz

Which of the following is an advantage of adopting a geocentric staffing approach?

It tends to reduce cultural myopia and enhance local responsiveness.

Which of the following is true of organizations like the International Labor Organization and the Organization for Economic Cooperation and Development in terms of their role in international labor relations?

They have adopted codes of conduct for multinational firms to follow in labor relations.

In the context of expatriate compensation, what is the role of a balance sheet approach?

It equalizes purchasing power across countries so employees can enjoy the same living standard in their foreign posting that they enjoyed at home.

A firm that adopts a polycentric staffing policy is less likely to:

suffer from cultural myopia.

Megan, a U.S. citizen, is the operations manager at the Middle East office of HS Constructions Inc., an American firm. In this situation, she is an example of a(n) _____ manager.

expatriate

Which of the following staffing policies relies extensively on the use of expatriate managers?

Ethnocentric staffing policy

A(n) _____ refers to extra pay the expatriate receives for working outside his or her country of origin.

foreign service premium

A(n) _____ staffing policy is one in which all key management positions are filled by parent-country nationals.

ethnocentric

A(n) _____ approach to staffing has the following disadvantages: it limits career mobility and it isolates headquarters from foreign subsidiaries.

polycentric

Which of the following is an advantage of adopting a polycentric staffing approach?

It is less expensive to implement as compared to other staffing approaches.

The _____ function of an international business is typically responsible for international labor relations.

human resource management

A firm's failure to understand host-country cultural differences that require different approaches to marketing and management is referred to as _____.

cultural myopia

Firms that use an ethnocentric staffing policy consider it to be:

the best way to maintain a unified corporate culture.

A(n) _____ staffing policy requires host-country nationals to be recruited to manage subsidiaries, while parent-country nationals occupy key positions at corporate headquarters.

polycentric

Which of the following is an advantage of an ethnocentric staffing policy?

It helps transfer core competencies to a foreign operation.

In the absence of a reciprocal tax treaty, the expatriate:

may have to pay income tax to both the home- and host-country governments.

According to the results of a seminal study by R. L. Tung, what was the major reason for expatriate failure among European expatriates?

Inability of spouse to adjust to a new environment

A(n) expatriate manager refers to:

a citizen of one country who is working abroad in one of the firm's subsidiaries.

Mendenhall and Oddou identified that expatriates with _____, a dimension that predicts success, were able to adapt their interests in food, sport, and music.

self-orientation

Firms that pursue a localization strategy try to create value by:

emphasizing local responsiveness.

In firms following a(n) _____ staffing policy, the issue of compensation can be reduced to that of how much home-country expatriates should be paid.

ethnocentric

_____ refers to a subset of expatriates who are citizens of a foreign country working in the home country of their multinational employer.

Inpatriates

_____ refers to the premature return of an expatriate manager to his or her home country.

Expatriate failure

A(n) _____ staffing policy limits advancement opportunities for host-country nationals.

ethnocentric

In terms of training and management development, _____ is aimed at helping the expatriate manager and family ease themselves into day-to-day life in the host country.

practical training

Poor health care and housing standards and inhospitable climate make it difficult for expatriates to adjust to a particular posting. According to Mendenhall and Oddou's four dimensions that predict success in a foreign posting, which of the following is r

Cultural toughness

Which of the following is intended to build a manager's skills over his or her career with the firm?

Management development

In the context of approaches to expatriate pay, which of the following is true of a balance sheet approach?

It provides financial incentives to offset qualitative differences between assignment locations.

According to Mendenhall and Oddou, perceptual ability refers to:

an expatriate's ability to empathize.

According to Mendenhall and Oddou's dimensions that predict success in a foreign posting, relationship development refers to:

the ability to develop long-lasting friendships with host-country nationals.

The norms and value systems of an organization constitute its _____.

corporate culture

Which of the following is true of a polycentric staffing policy?

It prevents mistakes arising from cultural misunderstandings.

According to Mendenhall and Oddou, the attribute of _____ provides an expatriate the ability to understand why people of other countries behave the way they do.

perceptual ability

The long-term goal for organized labor to establish international trade secretariats was to:

be able to bargain transnationally with multinational firms.

According to Mendenhall and Oddou, what is the major problem in the selection of appropriate candidates for overseas assignments in many firms?

Equating domestic performance with overseas performance potential

A firm's ability to reduce its use of expatriates may be limited, particularly if it is pursuing a(n) _____ staffing policy.

geocentric

Home-country managers' performance appraisals may be biased by:

distance and by their own lack of experience of working abroad.

According to Mendenhall and Oddou, expatriate managers who lack the dimension of _____ tend to treat foreign nationals as if they were home-country nationals.

perceptual ability