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International MGNT > Chapter 14 > Flashcards

Chapter 14 Flashcards

1
Q
  1. There are four basic sources that multinational companies (MNCs) can tap for positions. These are:
    A. host-country nationals, third-country nationals, United Nations placements, and International Monetary Fund (IMF) placements.
    B. home-country nationals, International Monetary Fund (IMF) placements, inpatriates, and multipatriates.
    C. home-country nationals, host-country nationals, International Monetary Fund (IMF) placements, and multipatriates.
    D. home-country nationals, host-country nationals, third-country nationals, and inpatriates.
A

D. home-country nationals, host-country nationals, third-country nationals, and inpatriates.

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2
Q
  1. One study found that _____ were most effective in subsidiaries located in developing countries or those that relied on a local customer base.
    A. IMF placements
    B. local managers
    C. expatriates
    D. third-country nationals
A

B. local managers

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3
Q
  1. Which of the following statements is true about home-country nationals?
    A. They are third-country nationals who are assigned to work in the home country.
    B. They are expatriate managers who are citizens of the country where a multinational corporation (MNC) is headquartered.
    C. They are managers who are citizens of countries other than the country in which the multinational corporation (MNC) is headquartered.
    D. They are likely to be used by multinational corporations (MNCs) at the middle- and lower-level ranks.
A

B. They are expatriate managers who are citizens of the country where a multinational corporation (MNC) is headquartered.

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4
Q
  1. Which of the following statements is true about expatriates?
    A. Historically, multinational corporations (MNCs) have refrained from staffing key positions in their foreign affiliates with expatriates.
    B. They are individuals from a host country who are assigned to work in the home country.
    C. They are those who live and work outside their home country.
    D. Multinational corporations (MNCs) find it advantageous to use expatriates because their salary and benefit package is less than that of host-country nationals
A

C. They are those who live and work outside their home country.

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5
Q
  1. Identify a true statement about third-country national (TCN) managers.
    A. They frequently have a deep understanding of a corporation’s policies from the perspective of a foreigner.
    B. They are often incapable of achieving corporate objectives more effectively than expatriates or local nationals.
    C. They are most effective when they are in charge of subsidiaries located in developing countries or those that relied on a local customer base.
    D. They are often unable to offer different perspectives that can complement the narrowly focused viewpoints of both local nationals.
A

A. They frequently have a deep understanding of a corporation’s policies from the perspective of a foreigner

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6
Q
  1. Which of the following statements is true about host-country nationals?
    A. One of the most common reasons why multinational corporations (MNCs) use host-country nationals is for starting up operations.
    B. Historically, multinational corporations (MNCs) have staffed key positions in their foreign affiliates with host-country nationals.
    C. Multinational corporations (MNCs) use them at the middle- and lower-level ranks because many countries expect the MNC to hire local talent.
    D. They are individuals from a host country who are assigned by a multinational corporation (MNC) to work in the home country.
A

C. Multinational corporations (MNCs) use them at the middle- and lower-level ranks because many countries expect the MNC to hire local talent.

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7
Q
  1. Which of the following statements about third-country nationals (TCNs) is false?
    A. Third-country nationals (TCNs) can often achieve corporate objectives more effectively than expatriates.
    B. During periods of rapid expansion, third-country nationals (TCNs) can substitute for expatriates in well-established operations.
    C. During rapid expansion, third-country nationals (TCNs) can offer different perspectives that can expand on the narrowly focused viewpoints of local nationals.
    D. In joint ventures, third-country nationals (TCNs) can demonstrate a global image and bring unique cross-cultural skills to the relationship.
A

B. During periods of rapid expansion, third-country nationals (TCNs) can substitute for expatriates in well-established operations.

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8
Q
  1. _____ are managers who are citizens of countries other than the one in which a multinational corporation (MNC) is headquartered or the one in which they are assigned to work by the multinational corporation (MNC).
    A. Multipatriates
    B. Home-country nationals
    C. Inpatriates
    D. Third-country nationals
A

D. Third-country nationals

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9
Q
  1. Which of the following statements is true about inpatriates?
    A. One of the most common reasons for a multinational corporation (MNC) to use inpatriates is to start up operations.
    B. Inpatriates are also referred to as headquarters nationals.
    C. Multinational corporations (MNCs) are increasingly using inpatriates to help them better develop their global core competencies.
    D. Multinational corporations (MNCs) mostly use inpatriates to staff key positions in their foreign affiliates.
A

C. Multinational corporations (MNCs) are increasingly using inpatriates to help them better develop their global core competencies.

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10
Q
  1. Factors used to choose personnel for international assignments are referred to as _____.
    A. global placement criteria
    B. international selection criteria
    C. global selection heuristics
    D. international recruitment and selection heuristics
A

B. international selection criteria

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11
Q
  1. All of the following are correct with regard to the impact of age, experience, and education on expatriate managers except:
    A. there is universal agreement that degrees in marketing or engineering are the most desirable for expatriate managers.
    B. most multinational corporations (MNCs) strive for a balance between age and experience.
    C. many companies consider an academic degree, preferably a graduate degree, to be of critical importance to an international executive.
    D. there is evidence that younger managers are more eager for international assignments than older managers.
A

A. there is universal agreement that degrees in marketing or engineering are the most desirable for expatriate managers.

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12
Q
  1. Which of the following statements is true about language training in the context of selection criteria for international assignments?
    A. According to research, expatriates are most likely to learn the local language if the host country is a developing nation.
    B. Traditionally, managers from English-speaking countries have done very well in the language area.
    C. Language training is less important in countries like Russia, where successful integration is independent of the ability of an expatriate to converse in Russian.
    D. Being able to speak with locals in their own language is a major milestone for many expatriates in finally feeling connected to the foreign country.
A

D. Being able to speak with locals in their own language is a major milestone for many expatriates in finally feeling connected to the foreign country.

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13
Q
  1. Which of the following is a conclusion put forward by Borstorff and her associates after examining the factors associated with employee willingness to work overseas?
    A. Married couples with children at home or those with teenage children are probably the most willing to move.
    B. Unmarried employees are more willing than any other group to accept expat assignments.
    C. Careers and attitudes of spouses is unlikely to have an impact on employee willingness to move overseas.
    D. Individuals most committed to their professional careers and to their employing organizations are prone to be least willing to work as expatriates.
A

B. Unmarried employees are more willing than any other group to accept expat assignments.

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13
Q
  1. Borstorff and her associates examined a number of factors associated with employee willingness to work overseas and concluded that:
    A. unmarried employees are least willing than any other group to accept expat assignments.
    B. employee and spouse perceptions of organizational support for expatriates are critical to employee willingness to work overseas.
    C. married couples with children at home or those with teenage children are probably the most willing to move.
    D. individuals most committed to their professional careers and to their employing organizations are prone to be less willing to work as expatriates
A

B. employee and spouse perceptions of organizational support for expatriates are critical to employee willingness to work overseas.

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14
Q
  1. The two most common selection procedures used by multinational corporations (MNCs) are _____.
    A. assessment centers and tests
    B. references and interviews
    C. application forms and assessment centers
    D. tests and interviews
A

D. tests and interviews

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15
Q
  1. Which of the following statements is true about an in-country adjustment that an expatriate must make when going on an overseas assignment?
    A. It is carried out before the expat leaves for an overseas assignment.
    B. It is affected by the expat’s ability to maintain a positive outlook in the face of a high-pressure situation.
    C. It is affected by the previous experience the expat may have had with the assigned country or with countries with similar cultures.
    D. It includes cross-cultural seminars or workshops and is designed to acquaint expats with the culture and work life of the country to which they will be posted.
A

B. It is affected by the expat’s ability to maintain a positive outlook in the face of a high-pressure situation

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16
Q
  1. Which of the following is a factor that influences an expatriate while making an anticipatory adjustment?
    A. The previous experience the expat may have had with the assigned country or with countries with similar cultures
    B. The toughness with which the expatriate faces a whole new cultural experience
    C. The job itself, as reflected by the clarity of the role the expat plays in the host management team
    D. The expat’s ability to maintain a positive outlook in the face of a high-pressure situation
A

A. The previous experience the expat may have had with the assigned country or with countries with similar cultures

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17
Q
  1. According to Tu and Sullivan, the third phase of preparation for an international assignment includes:
    A. if possible, visiting the host country with his or her spouse before the formally scheduled departure.
    B. starting to learn the language, customs, and etiquette of the region where one will be posted.
    C. developing an awareness of the culture and value systems of this geographic area.
    D. conducting a technical skills match to ensure that his or her skills are in line with those that are required for the job.
A

A. if possible, visiting the host country with his or her spouse before the formally scheduled departure.

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18
Q
  1. According to Tu and Sullivan, in the first phase of preparation for an international assignment, an applicant should:
    A. start to learn the language, customs, and etiquette of the region where he or she will be posted.
    B. conduct a technical skills match to ensure that his or her skills are in line with those that are required for the job.
    C. find out if his or her spouse and family support the decision to go international.
    D. speak with expatriates and foreign nationals about the assigned country.
A

C. find out if his or her spouse and family support the decision to go international.

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19
Q
  1. The organizational input into anticipatory adjustment is most directly related and concerned with the _____.
    A. motivation process
    B. selection process
    C. compensation plan
    D. quality of leadership
A

B. selection process

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20
Q
  1. Traditionally, multinational corporations (MNCs) relied on only one important selection criterion for overseas assignments:
    A. training.
    B. technical competence.
    C. previous experience.
    D. education.
A

B. technical competence.

21
Q
  1. The most common elements in the typical expatriate compensation package include:
    A. base salary, benefits, allowances, incentives, and taxes.
    B. base salary, bonuses, stock options, and free housing.
    C. base salary, benefits, free housing, and free education for the expatriate’s children.
    D. base salary, benefits, free travel, free housing, and taxes
A

A. base salary, benefits, allowances, incentives, and taxes.

22
Q
  1. _____ are an expensive feature of expatriate compensation packages.
    A. Base salaries
    B. Allowances
    C. Incentives
    D. Taxes
A

B. Allowances

23
Q
  1. Expatriate salaries typically are set according to the base pay of:
    A. an index of firms maintained by the United Nations.
    B. the home country.
    C. the host-country.
    D. a neutral third-country determined by the expatriate and his/her company
A

B. the home country.

24
Q
  1. An allowance may cover a variety of expenses, including all of the following except _____.
    A. relocation
    B. housing
    C. education
    D. salary
A

D. salary

25
Q
  1. The _____ approach to formulating compensation packages involves working out a special, ad hoc arrangement that is acceptable to both the company and an expat.
    A. negotiation
    B. balance-sheet
    C. localization
    D. cafeteria
A

A. negotiation

26
Q
  1. Which of the following statements is true about localization as an approach to formulating compensation packages?
    A. According to Mercer’s findings, localization is practiced in Latin America and Asia Pacific more than Europe and North America.
    B. Localization is a direct consequence of increasing corporate growth and profitability, as well as a stable economic environment.
    C. The increasing trend toward localization reflects companies’ efforts to either tap into the local talents or to offer less generous packages to locally hired foreign workers.
    D. The trend toward localization failed in emerging markets because the local compensation and benefits packages are more generous than home-country plans.
A

C. The increasing trend toward localization reflects companies’ efforts to either tap into the local talents or to offer less generous packages to locally hired foreign workers

27
Q
  1. An approach to developing an expatriate compensation package that involves giving the expat a predetermined amount of money and letting the individual make his/her own decisions regarding how to spend it is referred to as the _____.
    A. localization approach
    B. cafeteria approach
    C. lump-sum method
    D. balance-sheet approach
A

C. lump-sum method

28
Q
  1. Which of the following approaches to formulating a compensation package is most commonly used with individuals early in their careers who are being given a long-term overseas assignment?
    A. Lump-sum method
    B. Cafeteria approach
    C. Localization approach
    D. Balance-sheet approach
A

C. Localization approach

29
Q
  1. The most common approach to formulating a compensation package of an expat is the _____, which involves ensuring that the expat is “made whole” and does not lose money by taking the assignment.
    A. regional system approach
    B. balance-sheet approach
    C. cafeteria approach
    D. localization approach
A

B. balance-sheet approach

30
Q
  1. A number of thorny issues surround compensation for expatriates, including all of the following except:
    A. whether third-country benefits programs should be available to local nationals.
    B. whether the home or host country is responsible for the expatriates’ social security benefits.
    C. whether benefits should be subject to the requirements of the home or host country.
    D. which country should pay for benefits?
A

A. whether third-country benefits programs should be available to local nationals.

31
Q
  1. An agreement whereby the firm tells the individual how long she or he will be posted overseas and promises to give the individual, on return, a job that is mutually acceptable is a _____.
    A. strategic plan
    B. human resource plan
    C. labor-contract agreement
    D. repatriation agreement
A

D. repatriation agreement

32
Q
  1. Strategies used to help smooth the adjustment from an overseas to a stateside assignment are referred to as _____.
    A. readjustment strategies
    B. transition strategies
    C. changeover strategies
    D. progression strategies
A

B. transition strategies

33
Q
  1. _____ is defined as the process of altering employee behavior and attitudes in a way that increases the probability of goal attainment.
    A. Organizing
    B. Planning
    C. Training
    D. Controlling
A

C. Training

34
Q
  1. An individual who is responsible for ensuring that a firm’s business systems are in accord with those of the local culture is a(n) _____.
    A. cultural integrator
    B. global facilitator
    C. international transition specialist
    D. global socialization specialist
A

A. cultural integrator

35
Q
  1. The four basic philosophical positions that multinationals can assume and influence a company’s training program are:
    A. polycentric, geocentric, multicentric, and ultracentric positions.
    B. ethnocentric, globalcentric, regiocentric, and unicentric positions.
    C. multicentric, globalcentric, geocentric, and unicentric positions.
    D. ethnocentric, polycentric, regiocentric, and geocentric positions.
A

D. ethnocentric, polycentric, regiocentric, and geocentric positions.

36
Q
  1. Which of the following multinational corporations (MNCs) places local nationals in key positions and allows these managers to appoint and develop their own people?
    A. Globalcentric multinational corporations (MNCs)
    B. Polycentric multinational corporations (MNCs)
    C. Regiocentric multinational corporations (MNCs)
    D. Ethnocentric multinational corporations (MNCs)
A

B. Polycentric multinational corporations (MNCs)

36
Q
  1. A(n) _____ multinational corporation (MNC) puts home-office people in charge of key international management positions.
    A. ethnocentric
    B. polycentric
    C. multicentric
    D. geocentric
A

A. ethnocentric

37
Q
  1. A(n) _____ multinational corporation (MNC) seeks to integrate diverse regions of the world through a global approach to decision making.
    A. polycentric
    B. ethnocentric
    C. geocentric
    D. unicentric
A

C. geocentric

38
Q
  1. A(n) _____ multinational corporation (MNC) relies on local managers from a particular geographic region to handle operations in and around that area.
    A. ethnocentric
    B. geocentric
    C. ultracentric
    D. regiocentric
A

D. regiocentric

39
Q
  1. _____ multinational corporations (MNCs) do all of their training at their headquarters.
    A. Multicentric
    B. Regiocentric
    C. Polycentric
    D. Ethnocentric
A

D. Ethnocentric

40
Q
  1. _____ is the acquisition of skills, knowledge, and abilities that results in a relatively permanent change in behavior.
    A. Learning
    B. Development
    C. Motivation
    D. Controlling
A

A. Learning

41
Q
  1. “Learning organizations” continually focus on activities such as _____.
    A. planning and development
    B. organizing and controlling
    C. training and development
    D. planning and organizing
A

C. training and development

42
Q
  1. Training programs are useful in preparing people for overseas assignments for many reasons. These reasons can be put into two general categories which are _____.
    A. organizational and personal
    B. economic and philosophical
    C. personal and impersonal
    D. financial and psychological
A

A. organizational and personal

43
Q
  1. _____ is the belief that one’s own way of doing things is superior to that of others.
    A. Polycentrism
    B. Geocentrism
    C. Ethnocentrism
    D. Regiocentrism
A

C. Ethnocentrism

44
Q
  1. _____ is common in many large multinational corporations (MNCs) where managers believe that the home office’s approach to doing business can be exported intact to all other countries because this approach is superior to anything at the local level.
    A. Regiocentrism
    B. Ethnocentrism
    C. Geocentrism
    D. Polycentrism
A

B. Ethnocentrism

45
Q
  1. Research shows that small firms undertaking international business generally rely on _____.
    A. standard training programs
    B. strategic alliances
    C. trade zones
    D. uniform commercial codes
A

A. standard training programs

45
Q
  1. _____ training programs are created for the specific needs of the participants involved.
    A. Generic
    B. Standardized
    C. Tailor-made
    D. Universal
A

C. Tailor-made

46
Q
  1. A(n) _____ is a programmed learning technique that is designed to expose members of one culture to some of the basic concepts, attitudes, role perceptions, customs, and values of another.
    A. cultural assimilator
    B. ethnocentric regulator
    C. educational regulator
    D. developmental assimilator
A

A. cultural assimilator

47
Q
  1. Which of the following terms refers to the quality of being effective and producing the desired results?
    A. Capacity
    B. Validity
    C. Reliability
    D. Stability
A

B. Validity

International MGNT (14 decks)

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