Defintions & Co.

Question 1

What is globalization?

Answer 1

Globalization involves growing interdependence in economies, cultures, and information, increasing worldwide interconnections across all spheres of activity.

Globalization affects various sectors, including trade, technology, and cultural exchanges.

Question 2

Define culture in the context of international management.

Answer 2

Culture is a set of knowledge structures consisting of systems of values, norms, attitudes, beliefs, and behavioral meanings that are shared by members of a social group and embedded in institutions.

Culture is learned and passed down through generations, influencing management practices.

Question 3

What are SMEs?

Answer 3

Small and medium enterprises, defined differently worldwide: in the US, companies with 500 employees or less; in the EU, 250 or less.

SMEs play a crucial role in global competition.

Question 4

What is outsourcing?

Answer 4

Outsourcing involves hiring external organizations to perform services or produce goods traditionally managed in-house, often to reduce costs.

It can lead to cross-cultural conflicts and ethical dilemmas.

Question 5

What is privatization?

Answer 5

Privatization transfers ownership from public to private entities, aiming for greater efficiency.

It may enhance competitiveness but can also create monopolies.

Question 6

What does migration refer to?

Answer 6

Migration is the movement by people from one place to another with the intention of settling, permanently or temporarily, in a new location.

Global migration has reshaped workforce demographics, with an increasing number of skilled migrants.

Question 7

What are the three levels of culture according to the Iceberg Model?

Answer 7

• Artifacts (Visible)
• Espoused Values (Just Below Surface)
• Basic Assumptions (Deepest Level)

Each level represents different aspects of culture, influencing perceptions and behaviors.

Question 8

What is the impact of globalization on international managers?

Answer 8

Globalization presents both opportunities and challenges, significantly influencing managerial work.

Managers must adapt to rapid changes in global contexts while navigating cultural differences.

Question 9

What is the definition of tariffs?

Answer 9

Tariffs are taxes used to restrict imports by increasing the price of goods and services purchased from another country.

They make imported goods less attractive to domestic consumers.

Question 10

True or False: Culture is an observable aspect of a country.

Answer 10

False

Culture is largely invisible and influences behavior in ways that are often overlooked by managers.

Question 11

What are the 3 managerial roles in Mintzberg’s model.

Answer 11

Interpersonal —> figurehead, leader, liaison (relationship)

Informational —> monitor information, disseminator (informing stakeholders

Decisional —> entrepreneur, Ressource allocation

Question 12

What are the advantages of globalization?

Answer 12

• Improved living standards
• Economies of scale
• Human rights advancements

Globalization can lead to economic growth and social improvements.

Question 13

What are the disadvantages of globalization?

Answer 13

• Environmental harm
• Job insecurity
• Inequalities exacerbated by global competition

These challenges require careful management and policy responses.

Question 14

What is the role of culture in shaping management practices?

Answer 14

Culture influences behavior, organizational processes, and national systems, affecting how international managers operate.

Its effects are often invisible yet pervasive in management.

Question 15

What is acculturation?

Answer 15

Acculturation is the process by which individuals adopt values from new cultures, potentially achieving biculturalism.

Biculturals may adapt behaviors based on context.

Question 16

What is ethnocentrism?

Answer 16

Ethnocentrism is the belief that one’s culture is superior, often leading to negative judgments of out-groups.

This bias can hinder effective intercultural interactions.

Question 17

What factors influence culture?

Answer 17

• Language
• Religion and ideology
• Geography and economy
• Technology and political boundaries

These factors shape cultural traits and their persistence over time.

Question 18

What is the significance of cultural diversity in teams?

Answer 18

Cultural diversity introduces complexities in work methods, compensation, and management, challenging organizations to integrate demographic changes.

This includes the growing presence of women and older workers in the workforce.

Question 19

What does the term ‘flat world’ refer to?

Answer 19

The term ‘flat world’, coined by Thomas Friedman, suggests that the competitive playing field between industrial and emerging market countries is leveling.

It emphasizes the role of global supply chains in modern economies.

Question 20

What are the characteristics of totalitarianism?

Answer 20

Totalitarianism is a system of government that is entrenched and dictatorial, requiring complete subservience to the state.

It can be based on religious (theocratic) or ideological (secular) principles.

Question 21

How does understanding culture benefit managers?

Answer 21

It helps in communication, decision-making, and building trust across cultures.

Question 22

What is cultural distance?

Answer 22

The measure of how far apart the values of two societal groups are.

Question 23

Name the six universal issues outlined in Kluckhohn and Strodtbeck’s framework.

Answer 23

• Relationship to Nature
• Time Orientation
• Beliefs about Human Nature
• Nature of Human Activity
• Social Relationships
• Conception of Space (perspective on ownership )

Question 24

What does Hofstede’s dimension of Individualism-Collectivism refer to?

Answer 24

The prioritization of personal identity versus group identity.

Question 25

What does the dimension of Power Distance measure?

Answer 25

Acceptance of unequal power distribution within society.

Question 26

What are the seven value orientations identified in Schwartz’s Value Survey?

Answer 26

* Egalitarianism (social equality) * Harmony (balance with nature) * Embeddedness (social order) * Hierarchy (authority) * Mastery (ambition) * Affective Autonomy (emotional independence) * Intellectual Autonomy

Question 27

What are Trompenaars’s dimensions?

Answer 27

1. Universalism vs. Particularism: Rules vs. relationships. 2. Individualism vs. Collectivism: Personal goals vs. group loyalty. 3. Specific vs. Diffuse: Separate work/personal life vs. integrated. 4. Neutral vs. Emotional: Suppressed vs. open emotional expression. 5. Achievement vs. Ascription: Status by merit vs. status by title/background. 6. Sequential vs. Synchronous Time: Linear, task-focused vs. multitasking, fluid. 7. Internal vs. External Direction: Control environment vs. adapt to it.

Question 28

What is the significance of cultural tightness-looseness?

Answer 28

It describes the strictness of norms and conformity within cultures.

Question 29

What is cultural friction?

Answer 29

Refinement of cultural distance, considering relationship dynamics. Conflicts from differing cultural norms or values.

Question 30

What is social cognition?

Answer 30

How we process, store, and apply information about others and social situations.

Question 31

What are schemas in social cognition?

Answer 31

Mental frameworks organizing information to simplify complex environments.

Question 32

What is the difference between Type 1 and Type 2 cognition?

Answer 32

Type 1 is spontaneous and automatic; Type 2 is deliberate and slower.

Question 33

Define cultural identity.

Answer 33

A person’s sense of belonging to a particular cultural or ethnic group.

Question 34

What do cultural scripts guide?

Answer 34

Behavior based on cultural expectations.

Question 35

What are cultural norms?

Answer 35

Shared standards of acceptable behavior within a cultural group.

Question 36

What is selective perception?

Answer 36

The process of interpreting information based on cultural expectations and past experiences.

Question 37

What factors influence the categorization of individuals as in-group or out-group members?

Answer 37

* Certain category indicators (e.g., race, gender) * Distinctiveness against the wider population * Typicality of a person to a particular group * Speech differences * Interactions with another group ## Footnote Example: In rural Japan, Europeans are easily categorized due to their distinctiveness.

Question 38

True or False: We see differences among in-group members but perceive out-group members as more similar to each other.

Answer 38

True

Question 39

What is selective avoidance?

Answer 39

The tendency to direct attention away from information that challenges existing beliefs.

Question 40

Define stereotypes.

Answer 40

Simplified ideas about groups that shape expectations and feelings toward those groups.

Question 41

What is Social Dominance Theory?

Answer 41

A theory of intergroup relations that focuses on the maintenance and stability of group-based social hierarchies.

Question 42

What are the two types of attribution in the context of behavior?

Answer 42

**1. Internal Attribution: Behavior is due to personal traits or choices** (e.g., “They succeeded because they’re hardworking”). **2. External Attribution: Behavior is caused by external forces or circumstances **(e.g., “They failed because the task was unfair”).

Question 43

What is the Fundamental Attribution Error?

Answer 43

The tendency to overemphasize personal characteristics and ignore situational factors in judging others' behavior.

Question 44

What are the steps in the Cross-Cultural Interaction Model?

Answer 44

* Observing a behavior * Categorizing it * Making causal attributions * Responding

Question 45

Define independent and interdependent self schemas

Answer 45

A self-schema is a mental framework of beliefs about oneself, shaping how identity, traits, and experiences are perceived and remembered. * Independent self-schema: Personal needs * Interdependent self-schema: Group cohesion

Question 46

What is bounded rationality?

Answer 46

The concept that decisions are limited by constraints such as limited information and biases.

Question 47

List the four main decision styles.

Answer 47

* Vigilance (Careful, systematic, and thorough) * Complacency (ignoring decision or choosing first possible option) * Defensive Avoidance (postponing decisions and their importance) * Hypervigilance (Rushed and impulsive under stress.)

Question 48

What is a heuristic?

Answer 48

An approach to problem solving that employs a practical method, not guaranteed to be optimal.

Question 49

Define the availability heuristic.

Answer 49

A mental shortcut that relies on immediate examples that come to mind when evaluating a specific topic.

Question 50

What is the Pygmalion effect?

Answer 50

The phenomenon whereby others' expectations of a person affect that person's performance.

Question 51

What is cultural relativism?

Answer 51

The idea that a person's beliefs, values, and practices should be understood based on their own culture.

Question 52

List the six stages of Cognitive Moral Development.

Answer 52

* Stage 1: Obedience and punishment * Stage 2: Instrumental purpose and exchange * Stage 3: Interpersonal accord and conformity * Stage 4: Social accord and system maintenance * Stage 5: Social contracts and individual rights * Stage 6: Universal ethical principles

Question 53

What are hypernorms?

Answer 53

Principles so fundamental that they serve to evaluate lower-order norms, reflecting universal ethical principles.

Question 54

What is the rational decision-making model?

Answer 54

* Problem Definition * Identify Criteria * Weight Criteria * Generate Alternatives * Evaluate Alternatives * Select the Best Option

Question 55

What is the difference between prescriptive and descriptive decision-making approaches?

Answer 55

* Prescriptive: What managers should do * Descriptive: What managers actually do

Question 56

What is the concept of satisficing in decision-making?

Answer 56

The practice of settling for satisfactory solutions rather than aiming for optimal ones.

Question 57

What is the role of grounding in communication?

Answer 57

The common knowledge or shared understanding required for effective communication.

Question 58

What are the three general heuristics in decision-making?

Answer 58

• Availability: Based on easily recalled examples. • Representativeness: Based on similarity to a prototype. • Anchoring: Influenced by initial information.

Question 59

What is the cultural field?

Answer 59

The culturally based elements of a person's background that influence communication ## Footnote Elements like education, values, and attitudes shape communication.

Question 60

What are the steps in the cross-cultural communication process?

Answer 60

1. Sender encodes the message 2. Message transmitted through a channel 3. Receiver decodes the message ## Footnote The process is linear and influenced by cultural fields.

Question 61

What is a lingua franca?

Answer 61

A common language used for communication between speakers of different native languages ## Footnote Example: English in international business.

Question 62

What are the challenges faced by non-native speakers using a lingua franca?

Answer 62

1. Mental strain 2. Overestimation of competence 3. Foreigner speak ## Footnote Simplified language can be perceived as patronizing.

Question 63

Define low-context communication.

Answer 63

Communication where most of the message is in the explicit code; direct and detailed ## Footnote Common in individualistic cultures like the U.S.

Question 64

Define high-context communication.

Answer 64

Communication where much information is in the physical context or communicator, relying on context and nonverbal cues ## Footnote Prevalent in collectivist cultures like Japan.

Question 65

What is the difference between direct and indirect communication?

Answer 65

Direct communication emphasizes clarity and truth; indirect communication prioritizes harmony and politeness ## Footnote Example: A 'no' may be softened in collectivist cultures.

Question 66

How does praise vary across cultures?

Answer 66

1. Americans praise often, focusing on appearance 2. Japanese praise skill 3. Responses to praise vary by culture ## Footnote British people accept praise, while Hong Kong Chinese may deflect it.

Question 67

What role does silence play in collectivist cultures?

Answer 67

Silence regulates interaction and conveys respect or thoughtfulness ## Footnote Example: Japanese negotiators use silence strategically.

Question 68

What is verbal overkill?

Answer 68

Use of exaggeration and repetition to emphasize points ## Footnote Common in cultures like Arabic-speaking countries.

Question 69

What is the difference between slang and jargon?

Answer 69

Slang: Informal, group-specific language Jargon: Specialized language for professionals ## Footnote Jargon aids communication within a group but not outside it.

Question 70

What are emblems in nonverbal communication?

Answer 70

Standalone gestures with cultural meanings ## Footnote Example: 'Thumbs up' in the West vs. offensive in some Middle Eastern cultures.

Question 71

What are the six basic emotions universally expressed?

Answer 71

1. Happiness 2. Surprise 3. Disgust 4. Fear 5. Anger 6. Sadness ## Footnote These emotions are expressed similarly but interpreted differently across cultures.

Question 72

How does eye contact vary across cultures?

Answer 72

Maintaining eye contact signals friendliness in the U.S. but may indicate disrespect in East Asian and African cultures ## Footnote Both maintaining and avoiding eye contact communicate important messages.

Question 73

What are the four stages of the negotiation process?

Answer 73

1. No-task sounding or relationship building 2. Task-related information exchange 3. Persuasion 4. Agreement-making ## Footnote The importance of each stage differs across cultures.

Question 74

What cultural dimension influences negotiation styles?

Answer 74

Collectivism emphasizes harmony and mediation; Individualism prefers adversarial methods ## Footnote Example: Japanese negotiators prioritize early information exchange, while Westerners focus on persuasion.

Question 75

What are adaptors in nonverbal communication?

Answer 75

Gestures linked to internal states ## Footnote Example: Covering the mouth when giggling.

Question 76

What is proxemics?

Answer 76

The study of personal space in interactions ## Footnote Cultures differ in conversational distances.

Question 77

Name 4 main aspects of culture

Answer 77

• Socially constructed: Formed through shared experiences. • Historically determined: Shaped by the organization’s history. • Holistic: An integrated system of cultural elements. • Difficult to change: Resilient due to deep-rooted nature.

Question 78

Human Development Index

Answer 78

Statistic to rank countries level of human development (Life expectancy, education and income per capita)

Question 79

Brain Drain

Answer 79

The emigration of highly skilled or educated individuals from one country to another.

Question 80

Knowledge Workers

Answer 80

Individuals whose work involves handling or using information and intellectual skills.

Question 81

State socialism

Answer 81

Economic system where the government owns and controls the means of production and distribution of goods

Question 82

Digital divide

Answer 82

Gap between individuals or communities who have access to modern information and communication technology and those who do not.

Question 83

Global commons

Answer 83

The earths unowned natural resources.

Question 84

What is the relationship between knowledge transfer, reverse transfer, and hybridization?

Answer 84

Knowledge transfer involves sharing expertise from headquarters to subsidiaries. Reverse transfer occurs when subsidiaries share localized innovations back to headquarters. Hybridization blends global and local knowledge to create adapted solutions, integrating insights from both transfers.

Question 85

Cultural intelligence

Answer 85

Ability to understand, adapt, and interact effectively with people from different cultural backgrounds.

Question 86

Mindfulness:

Answer 86

Being fully present and aware of the current moment, without judgment, often to improve focus and reduce stress.

Question 87

Maslows Hierarchy of Needs

Answer 87

-Basic needs: Physiological, safety, belongingness -Growth needs: Self-esteem, self-actualization --> Leading to self-fulfillment

Question 88

McClelland´s Theory of needs

Answer 88

3 key drivers: Achievement, affiliation, power

Question 89

Sociotechnical systems

Answer 89

Interaction between people and technology

Question 90

Quality circles

Answer 90

Small groups of employees who meet regularly to discuss and solve work-related problems to improve quality and efficiency.

Question 91

Equity Theory

Answer 91

Motivation based on fairness perception.

Question 92

Path-Goal Theory

Answer 92

Aligning leadership behaviors with follower needs.

Question 93

Servant leadership

Answer 93

Leadership rooted in serving others.

Question 94

What is the key difference between Western and Non-Western leadership styles?

Answer 94

Western leadership often emphasizes individualism (personal achievement, autonomy), while Non-Western leadership tends to focus on collectivism (group harmony, shared goals).

Question 95

Whats a task force? | Workgroups

Answer 95

Formed to complete a specific task within a defined timeframe – (Police)

Question 96

Whats a crew? | Workgroups

Answer 96

groups of individuals working together to achieve a common goal, typically in a coordinated, specialized manner – Film crew or aircraft crew

Question 97

Whats a team? | Workgroups

Answer 97

Groups of individuals who collaborate with a shared goal, relying on each other – Corporate strategy team, Football Team

Question 98

Explain the **group process over time**

Answer 98

- Forming stage – begin to form group - Storming stage – differences cause problems - Norming stage – group agrees on norms - Performing stage – shift to perform as a group - Adjourning stage – final stage if completed (task forces and crews only)

Question 99

punctuated equilibrium model

Answer 99

organizations experience long periods of stability interrupted by short, rapid changes.

Question 100

Groupthink

Answer 100

The desire for harmony or conformity in a group leads to irrational or dysfunctional decision-making.

Question 101

Social Loafing

Answer 101

Individuals put in less effort in a group setting compared to when working alone.

Question 102

Process loss

Answer 102

The decrease in group performance due to inefficiencies like poor communication, lack of coordination, or conflict

Question 103

Process gains

Answer 103

Improvements in group performance that occur when individuals collaborate effectively, leveraging diverse skills and ideas.

Question 104

Vertical Complexity & Horizontal Complexity

Answer 104

- Vertical Complexity: Refers to the number of hierarchical levels within an organization. - Horizontal Complexity: Refers to the number of different departments or units at the same level.

Question 105

Spatial Complexity

Answer 105

Refers to the geographical spread of an organization and its locations.

Question 106

What are Parts of the Organizational Design

Answer 106

- Operating core – people who do basic tasks - Strategic Apex – Senior top-level management - Technostructure – Tech analysts - Middle Line – Managers connecting top level and lower level - Support staff – Administrative services

Question 107

Matrix design

Answer 107

Employees report to two managers: one for their function and one for specific projects or products.

Question 108

Institutional theory

Answer 108

focuses on how organizations are influenced differently in the same environment 1. Environmental agents 2. Processes within an organization

Question 109

Isomorphism

Answer 109

Isomorphism: • Coercive: Pressures from laws, regulations, or external authority. • Mimetic: Imitation of successful organizations to reduce uncertainty. • Normative: Adoption of standards and practices from professional norms and values.

Question 110

Culture Free | Cultural influence on Organizational Design

Answer 110

Only contingency factors influence the design (size, strategy & technology)

Question 111

Culture-bound approach | Cultural influence on Organizational Design:

Answer 111

National Culture -> Societal Pressure and Managers values + Contingency Factors -> Organizational Design

Question 112

# Cultural influence on Organizational Design: Informal organization

Answer 112

Casual, unofficial connections between people in a group, based on friendships and personal relationships.

Question 113

# The role of Expatriates Polycentric

Answer 113

A management approach where each country or region is treated as unique, with local managers making decisions.

Question 114

# The role of Expatriates Ethnocentric

Answer 114

A management approach where the home country’s practices are considered superior and are applied globally.

Question 115

# The role of Expatriates Geocentric

Answer 115

A management approach that seeks the best practices from all over the world, regardless of location.

Question 116

# The role of Expatriates Regiocentric

Answer 116

A management approach where decisions are made based on regional considerations, blending local and global practices.

Question 117

# The role of Expatriates Third Country National

Answer 117

An employee from a country other than the parent or host country, working in a foreign location.

Question 118

What is the U-curve of cross-cultural adjustment?

Answer 118

Typical pattern of adaptation that individuals go through when adjusting to a new culture, starting with a 1. high point of excitement, followed by a dip in comfort (2. culture shock) and then rising to a higher level of 3. adjustment and 4.comfort over time.

Question 119

Name factors influencing expatriate success

Answer 119

- Individual factors: Communication skills, adaptability etc. - Demographics: Age, tenure, education - Foreign language and previous international experiences - Gender: Women have increased, still low. Firms to send women as expatriates because of bias, prejudice against women and women not being interested

Question 120

Cultural novelty

Answer 120

Extent to which host country is different to home country

Question 121

Trailing spouse

Answer 121

If partner travels with expatriate

Question 122

Repatriation

Answer 122

Returning a person to their home country after they have lived or worked abroad

Question 123

Difference between content and process theories in motivation

Answer 123

• Content: Focuses on what motivates (needs and drivers). • Process: Explains how motivation happens (cognitive processes).

Question 124

What’s a boundary spanner?

Answer 124

A boundary spanner bridges gaps between groups, cultures, or organizations, facilitating communication, collaboration, and understanding. They ensure information flow, mediate conflicts, and align diverse perspectives.