IMS Exam 2 TB
According to the text, approximately ______ of the companies surveyed required cross-cultural training for their expats or their families.
20 percent
According to the text, the proportion of expatriates who are women has increased to _____ percent.
22
According to the text, the failure rate for expatriate assignments, including failing to achieve performance targets for an international assignment or prematurely returning from the assignment, range from_______ percent.
25 to 45
According to the text, about ____ percent of medium and large companies have employees working abroad.
80
According to the text, approximately ______ of expatriate failures are family related.
90 percent
Daily operations of the EU are conducted by the
European Commission.
All member countries belong to the UN's
General Assembly.
Labor unions represent the largest percentage of workers in
Sweden and Denmark
In developing economies, informal institutions tend to play a greater role than in developed economies, possibly because
The developing economies have more ambiguity and lack formal institutions by definition, so informal institutions step into the breach.
The Doha Development Agenda is
a WTO conference on trade.
Civil law is based on
a collection of codes and tends to be bureaucratic.
An informal cognitive institution is
a collection of shared ideas that define reality, such as a collection of assumptions around a cultural pattern.
A policy of hiring and promoting based on ability and experience without considering race or citizenship is
a geocentric policy
Extraterritoriality is
a nation's attempt to enforce its law beyond its borders.
The major function of the World Bank is to serve as
a nonprofit banking cooperative for its members to meet development needs.
Trademarks can be
a shape, color, design, sound, phrase, abbreviation by which the product is designated.
Mercosur or Mercosul is
a vital trading bloc in Latin America known as the Common Market of the South.
A policy of hiring and promoting based on the parent company's home-country frame of reference is
an ethnocentric policy
The Doha Development Agenda is
an extended conference of the WTO initially convened in Doha
The three main approaches to law are
civil, common, and religious.
The need to change the color of packages when selling a product in a new market is generally a result of the influence of
cultural differences
Standardized advertising is attractive because it allows for
economies of scale.
The WTO exists to
establish and help implement rules of trade among nations to increase trade flows.
Informal normative institutions
establish standards and propagate principles (UN, professional organizations).
Industrial products require _________________ than do consumer products.
greater adaptation
At the end of World War II, the UN called for the conference that set up the World Bank and the IMF. This conference was
held in Bretton Woods.
Guest workers are immigrants who
immigrate for specified periods to perform service, factory, or construction work.
The attraction of using the Internet as an international advertising medium
includes the use of common languages, two-way communication, and user profile.
The continuum from insensitive to sensitive to foreign environment begins with __________ and ends with __________.
industrial products; high style and faddish consumer products
Disparity of income worldwide
is an obstacle to standardization.
Growing labor pools are found in
many developing countries.
A polycentric staffing policy
may confront the problem of having the best people pirated away by local firms or other IC subsidiaries.
A regiocentric staffing policy
may send TCNs to fill management posts, to avoid problems from using PCNs or HCNs
Examples of goods that can be sold worldwide without adaptation include
memory chips.
In some areas, instructions
must be in several languages, as in Canada, the U.S., and Switzerland.
Strict liability requires
no proof of the manufacturer's negligence.
Arbitration is a private solution that is
often preferred by foreign litigants because it is perceived as fairer, faster, cheaper, and more confidential than are the courts.
Arbitration is
often preferred by foreign litigants in the U.S., for speed and privacy.
According to the text, approximately ______ of expatriates leave their firms during the course of their overseas assignment.
one-quarter
Arbitration is often preferred when the contract stipulates U.S. law and one of the litigants is foreign because it is
quicker, cheaper, and more private than the U.S. court system.
To exert control of brand names, companies are advised to
register them quickly in every possible country in which they may do business, now and in the future.
A geocentric staffing policy
selects the best person for each job, without considering national origin.
Governments can force local product adaptation by enacting laws that
set product standards, such as noise, safety, and emissions.
An ethnocentric staffing policy
tends to be used by companies with an international strategic orientation.
The idea that WTO members treat all members equally is known as
the MFN/most favored nation principle
Disintermediation is
the unraveling of traditional distribution structures.
A polycentric staffing policy is appropriate when
there are low levels of pressure for cost reduction and high levels for localization.
A drawback of polycentric staffing policies is that
there can be a conflict of loyalty between the host country and the employer
A drawback of ethnocentric staffing policies is that
these employees may not have experience with the language and culture of the host country.
An advantage of using home-country citizens abroad is that
they expand their experience, enhancing their potential for promotion at home.
