MGMT CH 16

____ use geo-diversity to great advantage, placing their top executives and core corporate functions in different countries to gain a competitive edge. What makes them different is that even the executive suite is virtual. A. International corporations B. Domestic corporations C. Transnational corporations D. Regional corporations

C. Transnational corporations

The _____ approach is by far the most common method used by North American, European, and Japanese global organizations to compensate expatriates. A. localization B. home-cost C. balance-sheet D. multinational

C. balance-sheet

The recruitment strategy of seeking the best person for the job regardless of nationality is called: A. ethnocentrism. B. polycentrism. C. geocentrism. D. egocentrism.

C. geocentrism

Europeans pay more attention to ____, which results in a more formal management approach than Americans are used to. A. wages B. consensus decision-making C. power and status D. short-term results

C. power and status

The extent to which members of a culture accept inequality in positions is: A. masculinity-femininity. B. individualism. C. power distance. D. uncertainty avoidance.

C. power distance

After becoming accustomed to foreign ways, many expatriates suffer _____ upon reentry into the United States. A. repatriation shock B. reverse discrimination C. reverse culture shock D. cultural disorientation

C. reverse culture shock

Research shows that unless there is a planned purpose in repatriation, the investment of as much as _____ to send an expatriate overseas is likely to be squandered completely, because turnover among expatriates is 50 percent within the first two years back in their home countries. A. $50,000 B. $200,000 C. $500,000 D. $1 million

D. $1 million

Which of the following countries scores highest in long-term orientation? A. The Philippines B. Pakistan C. Nigeria D. China

D. China

What is the disadvantage of ethnocentrism? A. It requires a great deal of centralized control over managers. B. It is inappropriate during the early phases of international expansion. C. Cross-cultural adjustment problems of managers and their families. D. Increased tendencies to impose the management style of the parent company.

D. Increased tendencies to impose the management style of the parent company

Which of the following would not be considered a premium? A. Home leave B. Hazardous-duty pay C. School allowance D. Profit sharing

D. Profit sharing

_____ is the extent to which a culture programs its members to feel either comfortable or uncomfortable in unstructured situations. A. Masculinity-femininity B. Individualism C. Power distance D. Uncertainty avoidance

D. Uncertainty avoidance

In terms of work motivation and practices, in the United States: A. people pay more attention to power and status. B. managers are encouraged to seek consensus before acting. C. employees work as teams. D. individual initiative and achievement are rewarded.

D. individuals initiative and achievement are rewarded

Understanding different __________ minimizes culture shock and allows managers to be more effective with employees and customers. A. supervisors B. companies C. benefits D. perspectives

D. perspectives

______ is the country where the expatriate is working. A. Host B. Home C. Nationals D. Provider

A. Host

Self-identity in _____ emphasizes group cooperation and conformity. A. Japan B. Latin America C. Canada D. The United States

A. Japan

According to Hofstede, which of the following is the top power-distance country? A. Malaysia B. Austria C. Israel D. Denmark

A. Malaysia

____ may be defined broadly as the ability to learn. A. Adaptability B. General mental ability C. Conscientiousness D. Long-term orientation

B. General mental ability

A major problem in international staffing is that the selection of people for overseas assignments often is based solely on _____ and job knowledge. A. personality B. motivation C. cultural diversity D. technical competence

D. technical competence

What is the disadvantage of geocentrism? A. Consideration of only home- and host-country nationals may result in the exclusion of some very able executives. B. It requires a great deal of centralized control over managers and their career patterns. C. If there are many subsidiaries, home-country nationals must recognize that their foreign service may not lead to faster career progress. D. There are increased tendencies to impose the management style of the parent company.

B. It requires a great deal of centralized control over managers and their career patterns.

____ refers to the practice of paying expatriates on the same scale as local nationals in the country of assignment. A. Base-line equity B. Localization C. Native balance D. Resident equality

B. Localization

Which of the following countries scores low on uncertainty avoidance as compared to others? A. Greece B. The United States C. Belgium D. Japan

B. The United States

Linear thinking and logic are stressed by _____ cultures. A. Arabic B. Western C. Oriental D. African

B. Western

Managers with a ________ perspective are sensitive to cultural differences, respect the distinctive practices of others, and make allowances for such factors. A. bigoted B. cosmopolitan C. superiority D. regional

B. cosmopolitan

The final aspect of overseas orientation, called post-arrival orientation, consists of all of the following EXCEPT: A. orientation toward the environment. B. cultural briefing orientation. C. orientation toward the work unit. D. an actual job orientation.

B. cultural briefing orientation

A strategy that may be appropriate during the early phases of international expansion is known as: A. geocentrism. B. ethnocentrism. C. polycentrism. D. transnational development.

B. ethnocentrism

_____ have allowed new ideas and technology to flow freely around the globe, accelerating productivity growth and allowing U.S. companies to be more competitive than they have been in decades. A. Corporate Web sites B. Open borders C. Virtual teams D. International ambassadors

B. open borders

To some degree, _____ expresses the philosophy of a people about important facets in life. A. mental process B. religion C. dress and appearance D. eating habits

B. religion

In terms of scope, international operations as compared to domestic operations have all of the following EXCEPT: A. more HR activities. B. similar approaches to management. C. more involvement in employees' personal lives. D. broader external influences.

B. similar approaches to management

A(n) _______ is a generic term applied to anyone working outside her or his home country with a planned return to that third country. A. Host B. Headquarter C. Expatriate D. Domestic

C. Expatriate

______ is the expatriates' country of residence. A. Domestic B. Headquarter C. Home D. Host

C. Home

Which of the following is NOT a broad classification that helps managers assess any culture and examine its people systematically? A. Food and feeding habits B. Values and norms C. Local laws and regulations D. Mental processes and learning

C. Local laws and regulations

All of the following employment laws may apply to United States citizens working abroad EXCEPT: A. Title VII of the Civil Rights Act B. The Age Discrimination in Employment Act C. The Equal Pay Act D. The Uniformed Services Employment and Reemployment Rights Act

C. The Equal Pay Act

The most individualistic country is: A. Ecuador. B. Guatemala. C. the United States. D. Panama.

C. The United States

Masculine cultures tend to emphasize: A. centrality of work. B. quality of life. C. helping others. D. relationships.

A. centrality of work

Initial orientation for expatriates includes: A. cultural briefing. B. orientation to the job. C. orientation toward the work unit. D. introduction to the languages.

A. cultural briefing

In ____, national labor markets can usually supply the skilled technical and professional people needed. A. developed countries B. developing countries C. second-tier cities D. third-tier cities

A. developed countries

A(n) _____ is one that has become an "insider" in any market or nation where it operates and is thus competitive with domestic firms operating in local markets. A. global corporation B. multinational corporation C. international corporation D. transnational corporation

A. global corporation

To avoid a severe financial shock upon repatriation, many firms have replaced the monthly foreign-service premium with a(n) _____ for each move. A. mobility premium B. moving bonus C. expatriate payment D. global guarantee

A. mobility premium

Much of the flow of capital, labor, services, and goods among Asia, America, and Europe are _____ based. A. technology B. manufacturing C. service D. people

A. technology

Turnover among repatriates is nearly ___ within the first two years back in their home countries. A. 100% B. 50% C. 25% D. 10%

B. 50%

A foreign-service employee is an expatriate who has transferred to an additional country while working abroad.

FALSE

Although agreeableness may be universally positive for forming social relationships, individuals who are too agreeable may be seen as dishonest in some cultures.

FALSE

Begun in 1994, NAFTA eliminated trade barriers on goods and services within the United States, Canada, and Mexico over the next 50 years.

FALSE

Cross-cultural adaptation refers to formal programs designed to prepare persons of one culture to interact in another culture or to interact more effectively with persons from different cultures.

FALSE

Evidence indicates that U.S.-based multinationals actually do not perform better when they have CEOs with international assignment experience.

FALSE

Evidence indicates that the most important time for expatriate training to take place is prior to departure.

FALSE

General mental ability may be defined broadly as the ability to adapt to foreign cultures.

FALSE

In cultures where a religious view of work still prevails, work is viewed as a necessary evil and is expressed in a moral commitment to the job or quality of effort.

FALSE

Just as national unions tend to follow the development of national companies, union expansion also typically follows the expansion of a company across national boundaries.

FALSE

Power distance reflects the extent to which people emphasize personal or group goals.

FALSE

Rather than accepting differences as legitimate, managers with a cosmopolitan perspective view and measure alien cultures in terms of their own.

FALSE

The balance-sheet approach is the least common method used by North American, European, and Japanese global organizations to compensate expatriates.

FALSE

The more a firm moves away from the export stage of development, the less rigorous the training should be, including its breadth of content.

FALSE

A variety of legal issues confront companies in each country, and the human and financial consequences of a mistake in the international arena are much more severe.

TRUE

An effective way to train employees to adapt is to expose them to situations like they will encounter in their assignments that require adaptation.

TRUE

Both the expatriation assignment and the repatriation move should be examined as parts of an integrated whole - not as unrelated events in an individual's career.

TRUE

Compensation policies can produce intense internal conflicts within a company at any stage of globalization.

TRUE

Female expatriates need training on the norms, values, and traditions that host nationals possess about women and also on how to deal with challenging situations they may face as women.

TRUE

General mental ability is just as robust a predictor of job performance and training in Europe as it is in the United States.

TRUE

Home country is the country in which the expatriate is working.

TRUE

In the United States, the most important issues are generally discussed first when making a business deal.

TRUE

It is common practice for companies to pay for security guards in many overseas locations, such as in Middle Eastern countries, in the Philippines, and in Indonesia.

TRUE

Knowledge of food and eating habits often provides insights into customs and cultures.

TRUE

Labor unions in the United States are attempting to influence the international labor practices of U.S.-based corporations, arguing that U.S.-based employees are unable to compete with overseas workers who are paid below-market wages and benefits.

TRUE

Managers who bear responsibility for international operations need to understand the cultural differences inherent in the management systems of countries in which their firms do business.

TRUE

Organizational structure directly affects all HR functions from recruitment through retirement because to be effective, HR management must be integrated into the overall strategy of the organization.

TRUE

Practices that are not consistent with the dominant values of a culture are less likely to have positive effects on employees' performance and behavior.

TRUE

Several factors that affect the backlash against globalization include insecurity, mistrust, the difficulty managing global supply networks, and a fear of science and innovation.

TRUE

The Age Discrimination in Employment Act, Title VII, and the Americans with Disabilities Act apply to United States citizens employed abroad.

TRUE

third country national is an expatriate who is transferred to an additional country while working abroad.

TRUE