Deck 14: Global Human Resource Management

Question 1

Franchising would most likely be used to globalize by a ________.

A) fast food restaurant
B) commercial bank
C) health insurance firm
D) toy manufacturer

Answer 1

A
Explanation: A)Franchising is popular with service firms,such as restaurants and hotels.Licensing is usually limited to manufacturers.

Question 2

Wilson Enterprises has corporate units in a number of countries that are integrated to operate as one organization worldwide.Wilson Enterprises is most likely a(n)________.

A) global corporation
B) multinational corporation
C) foreign corporation
D) international corporation

Answer 2

A
Explanation: A)Global corporations have corporate units in a number of countries that are integrated to operate as one organization worldwide.A multinational corporation (MNC)is a firm that is based in one country (the parent or home country)and produces goods or provides services in one or more foreign countries (host countries).

Question 3

A multinational corporation is based in one country and produces goods or provides services in one or more foreign countries.

Answer 3

True
Explanation: A multinational corporation (MNC)is a firm that is based in one country (the parent or home country)and produces goods or provides services in one or more foreign countries (host countries).A multinational corporation directs manufacturing and marketing operations in several countries; these operations are coordinated by a parent company,usually based in the firm's home country.

Question 4

Research shows that ________ of the total amount of consumers worldwide resides in the United States.

A) 15 percent
B) 5 percent
C) 10 percent
D) 20 percent

Question 5

Hartford Toys is a small business that wants to enter the global market.What is the most common way for small businesses such as Hartford Toys to enter the global market?

A) foreign investing
B) licensing
C) exporting
D) franchising

Question 6

Procter & Gamble is best categorized as a ________ corporation.

A) foreign-based
B) multinational
C) global
D) national

Question 7

Licensing is typically used by manufacturing firms that want to globalize.

Question 8

Which of the following is based in one country (the parent or home country)and produces goods or provides services in one or more foreign countries (host countries)?

A) global investment corporation
B) multinational corporation
C) foreign exporter
D) franchise

Question 9

Jenny's Jewelry is a small firm that sells its products abroad,either directly or indirectly,by retaining foreign agents and distributors.Jenny's Jewelry is most likely involved in ________.

A) foreign investing
B) exporting
C) licensing
D) franchising

Question 10

Franchising is an option whereby the parent company grants another firm the right to do business in a prescribed manner.

Question 11

An organization that has corporate units in a number of countries that are integrated to operate as one organization worldwide is a multinational corporation.

Question 12

What type of firm directs manufacturing and marketing operations in several countries,and these operations are coordinated by a parent company,usually based in the firm's home country?

A) global investment
B) foreign corporation
C) multinational corporation
D) international corporation

Question 13

Which of the following would most likely globalize through licensing?

A) fast food restaurant
B) telemarketing firm
C) luxury hotel chain
D) electronics manufacturer

Question 14

PEC Enterprises is based in the U.S.and produces plastic cooking utensils at plants in Taiwan and India.All operations are coordinated from the firm's U.S.headquarters.PEC Enterprises is most likely a(n)________.

A) franchiser
B) export/import firm
C) transnational corporation
D) multinational corporation

Question 15

An arrangement whereby the parent company grants another firm the right to do business in a prescribed manner is referred to as ________.

A) foreign investing
B) exporting
C) licensing
D) franchising

Question 16

Licensing entails selling abroad,either directly or indirectly,by retaining foreign agents and distributors.It is a way that many small businesses enter the global market.

Question 17

Dailey Enterprises is a mid-sized business that is considering expanding its operations globally.Which of the following is LEAST likely to occur as a result of Dailey globalizing?

A) improved selection process
B) some protection against domestic business cycles
C) increased competitiveness
D) increased profitability

Question 18

Exporting is an arrangement whereby an organization grants a foreign firm the right to use intellectual properties such as patents,copyrights,manufacturing processes,or trade names for a specific period of time.

Question 19

Modern Mosaics,an American firm,has granted a Chinese firm the right to use the Modern Mosaics manufacturing processes for a specific period of time.Modern Mosaics is most likely involved in ________.

A) foreign investing
B) exporting
C) licensing
D) franchising

Question 20

Which of the following sells similar products throughout the world with components that are made in different countries?

A) foreign corporation
B) multinational corporation
C) international corporation
D) global corporation

Question 21

In which country can prospective employers ask job applicants to report personal characteristics such as age and marital status?

A) United States
B) India
C) United Kingdom
D) all of the above

Question 22

Which of the following statement best describes a masculine culture in modern times?

A) Masculine cultures place high value on achievement, material award, and assertiveness.
B) Masculine cultures emphasize quality of life and assertiveness
C) Maintaining impersonal relationships to promote group productivity.
D) Masculine cultures emphasize taking on new experiences and seeking material reward.

Question 23

Which of the following is NOT a factor that sets the stage for global HR practice?

A) country's economic structure
B) political system
C) age of the company
D) characteristics of the labor force

Question 24

Which of the following BRIC countries has the highest female labor-force participation rate?

A) Brazil
B) China
C) India
D) Russia

Question 25

Female employment in the United Arab Emirates is negatively influenced because ________.

A) a single woman is not permitted to drive
B) a woman's desire to stay at home to raise children is stronger than her desire to work outside the home
C) a single woman cannot board a plane or stay in a hotel unless a male relative is willing to accompany her
D) it is frowned upon when a woman places aging parents in a nursing home

Question 26

The U.S.economy is based on the idea of ________.

A) capitalism
B) communism
C) democracy
D) republicanism

Question 27

Which of the following statements is true about the role of international sales for small and medium-sized businesses?

A) international sales are not easily facilitated through e-commerce
B) international sales have become a vital and growing part of the market for small to medium-sized businesses
C) international sales require a change in a country's legal system
D) international sales have become a vital and growing part of the market exclusively for large businesses.

Question 28

Data protection laws in ________ conflict directly with the Sarbanes-Oxley Act.

A) the United Kingdom
B) Canada
C) France
D) Mexico

Question 29

Companies' considerations that range from cultural to political barriers to demographic considerations in the workforce and international aspects such as compensation describe ________.

A) international global executive compensation
B) global human resource management
C) global employment laws
D) global employment relations

Question 30

In principle,China's citizens do not elect individuals to serve in the Communist Party.

Question 31

What is the foundation for the political systems in the United States and China,respectively?

A) socialism, communism
B) democracy, socialism
C) democracy, communism
D) republican, democrat

Question 32

China's labor force consists of a multitude of older workers for the following reason: ________.

A) communism favors taking care of younger citizens by having parents and grand parents employed
B) economic growth has led employers to favor workers with greater experience
C) it is more common for Chinese citizens to stay in school longer than citizens of other countries
D) Chinese government's one-child policy has left a substantial gap in younger generations

Question 33

The functional areas in global human resource management are unlike those in domestic human resource management because of cultural and economic differences around the world.

Question 34

In which country has economic growth been affected by the widespread return of unskilled factory workers from large cities to rural farming locations?

A) United States
B) Germany
C) China
D) India

Question 35

What is a global corporation? Explain the staffing approach commonly used by global corporations.

Question 36

All of the following are national/cultural values EXCEPT ________.

A) job satisfaction
B) masculinity/feminity
C) accomplishing indulgence/restraint
D) individualism/collectivism

Question 37

Identify and define the three ways in which companies can enter global markets without making substantial investments.

Question 38

Companies that engage in the global economy place even greater emphasis on ________.

A) foreign language skills
B) talent mobility
C) strategic HRM
D) benefits

Question 39

Shelby Enterprises is a global corporation that has a fully functioning HR department in each of its foreign subsidiaries.Host-country nationals are employed throughout the firm.Which staffing approach is most likely used by Shelby?

A) biocentric
B) geocentric
C) polycentric
D) ethnocentric

Question 40

Discuss the role of strategic human resource management in global business.

Question 41

In most cases,the majority of employees in international offices are ________.

A) foreigners
B) third-country nationals
C) expatriates
D) host-country nationals

Question 42

Which of the following is most likely associated with hiring host-country nationals?

A) repatriation
B) lower costs
C) cultural problems
D) required relocation

Question 43

Murphy Enterprises recently acquired a controlling interest in Mexico's leading clothing retailer.Murphy plans to open additional retail stores in the next three years.Some of Murphy's top executives advocate the idea of transferring U.S.managers to Mexico to oversee the construction and opening of the new stores.Another group of Murphy executives believe that host-country nationals should manage the project.Which of the following best supports a decision to fill management positions with expatriates?

A) Murphy needs to ensure that Mexico operations are closely linked to headquarters.
B) Most Murphy expatriates resign within one year of their return to the United States.
C) Murphy wants to develop close community relationships in Mexico.
D) Employees hired by Murphy are provided extensive training.

Question 44

An employee who is not a citizen of the country in which the firm is located,but is a citizen of the country in which the organization is headquartered is referred to as a(n)________.

A) host-country national
B) third-country national
C) expatriate
D) operant

Question 45

Murphy Enterprises recently acquired a controlling interest in Mexico's leading clothing retailer.Murphy plans to open additional retail stores in the next three years.Some of Murphy's top executives advocate the idea of transferring U.S.managers to Mexico to oversee the construction and opening of the new stores.Another group of Murphy executives believe that host-country nationals should manage the project.Which of the following questions is LEAST relevant to the decision to fill management positions in Mexico with expatriates or host-country nationals?

A) What are Murphy's anticipated relocation costs for using expatriates?
B) What degree of corporate control does Murphy want in Mexico?
C) What is the global safety and health record for Murphy?
D) What is the attrition rate for Murphy's expatriates?

Question 46

China and the United States are significant players on the global stage.Many differences between the countries influence how they operate.Compare and contrast the political systems of both countries.

Question 47

Most foreign operations of North American MNCs are primarily staffed by ________.

A) host-country nationals
B) third-country nationals
C) contingent workers
D) expatriates

Question 48

In Brazil,women are rapidly moving into the ranks of management.

Question 49

Murphy Enterprises recently acquired a controlling interest in Mexico's leading clothing retailer.Murphy plans to open additional retail stores in the next three years.Some of Murphy's top executives advocate the idea of transferring U.S.managers to Mexico to oversee the construction and opening of the new stores.Another group of Murphy executives believe that host-country nationals should manage the project.Which of the following best supports a decision to fill management positions in Mexico with host-country nationals?

A) Murphy's marketing department created a new advertising campaign for the Mexican audience.
B) Murphy's HR department is translating the firm's e-learning programs from English to Spanish.
C) Murphy plans to direct operations in Mexico from the firm's U.S. headquarters.
D) Murphy is establishing a fully functioning HR department in Mexico.

Question 50

Murphy Enterprises recently acquired a controlling interest in Mexico's leading clothing retailer.Murphy plans to open additional retail stores in the next three years.Some of Murphy's top executives advocate the idea of transferring U.S.managers to Mexico to oversee the construction and opening of the new stores.Another group of Murphy executives believe that host-country nationals should manage the project.Which of the following best supports the decision to use a polycentric staffing approach?

A) Murphy's HR department has been unable to locate qualified Mexican managers.
B) Murphy wants to establish that the corporation is fully committed to Mexico.
C) HR managers at Murphy rely on selection tests to find competent workers.
D) Most Murphy managers have international work or travel experience.

Question 51

It is important for global firms to consider cultural differences when implementing e-learning programs.Culture is a complex phenomenon.Define national culture and the following three national cultures: power distance,individualism/collectivism,and masculine/feminine.

Question 52

Sarita,a Spanish citizen,is employed at a Samsung facility in Texas.Samsung is a South Korean firm.Sarita would most likely be categorized as a(n)________.

A) expatriate
B) third-country national
C) home-country national
D) host-country national

Question 53

Jorge,a Mexican citizen,works for Ford Motor Company at the firm's factory near Mexico City.Jorge would most likely be categorized as a(n)________.

A) host-country national
B) third-country national
C) expatriate
D) operant

Question 54

Which of the following is an example of a third-country national?

A) a U.S. citizen working for a Japanese company in the United States
B) a Japanese citizen working for a Japanese company in the United States
C) an Italian citizen working for a French company in Germany
D) an Indian citizen working for an Indian company in Singapore

Question 55

Which of the following is most likely a host-country national?

A) a U.S. citizen working for a Japanese company in the United States
B) a Japanese citizen working for a Japanese company in the United States
C) an Italian citizen working for a French company in Germany
D) an Indian citizen working for an Indian company in Singapore

Question 56

Which two global staffing approaches are most similar?

A) regiocentric staffing and polycentric staffing
B) regiocentric staffing and ethnocentric staffing
C) regiocentric staffing and allocentric staffing
D) ethnocentric staffing and polycentric staffing

Question 57

Describe how legal factors influence the conduct of business globally?

Question 58

The U.S.expatriate population has grown rapidly in recent years because of the large numbers being sent to ________.

A) Russia and Italy
B) China and India
C) France and Mexico
D) China and Taiwan

Question 59

Which of the following is NOT an approach to global staffing?

A) polycentric
B) biocentric
C) regiocentric
D) ethnocentric

Question 60

Which of the following is NOT a type of global staff member?

A) expatriate
B) contingent worker
C) third-country national
D) host-country national

Question 61

Tyler is a corporate HR manager at a global corporation that uses the polycentric staffing approach.Which of the following most likely describes the focus of Tyler's job?

A) handling adjustment issues when home-country nationals return from assignment
B) coordinating relevant activities with their counterparts in each foreign operation
C) developing appropriate expatriate compensation packages
D) selecting and training managers for foreign assignments

Question 62

Firms that use a polycentric staffing approach will most likely employ ________ for positions at foreign facilities.

A) expatriates
B) contingent workers
C) third-country nationals
D) host-country nationals

Question 63

All of the following are primary HR concerns associated with ethnocentric staffing EXCEPT ________.

A) handling repatriation issues
B) selecting experienced local managers
C) developing global compensation packages
D) training managers for foreign assignments

Question 64

Which of the following is LEAST likely to be an expatriate selection criterion?

A) cultural adaptability
B) interpersonal skills
C) technical competence
D) foreign language degree

Question 65

Which of the following is NOT a characteristic of the regiocentric staffing approach?

A) Each region develops a common set of employment practices.
B) Promotions from the region to headquarters rarely occur.
C) Each region actively recruits third-country nationals.
D) Some autonomy exists in regional decision making.

Question 66

With regard to background investigation,which country prohibits criminal checks of its citizens?

A) Mexico
B) Japan
C) Canada
D) United Kingdom

Question 67

A background investigation of a potential employee would most likely take up to 40 days in which country?

A) United States
B) United Kingdom
C) Japan
D) Canada

Question 68

Monique is a manager at a firm based in Chicago.She has recently been selected to manage the firm's Singapore office along with three other managers from the Chicago office.The firm hopes that the American managers will effectively represent the views of the home office and will link the Singapore office to the Chicago office.Which type of staffing approach is most likely being used by Monique's employer?

A) polycentric
B) regiocentric
C) ethnocentric
D) geocentric

Question 69

When host-country nationals are used throughout the organization,from top to bottom,what staffing approach is being used?

A) polycentric
B) geocentric
C) regiocentric
D) ethnocentric

Question 70

Which staffing strategy assumes that home-office perspectives and issues should take precedence over local perspectives and issues?

A) polycentric
B) ethnocentric
C) regiocentric
D) geocentric

Question 71

Which staffing model assumes that host-country nationals are better equipped to deal with local market conditions?

A) ethnocentric
B) regiocentric
C) polycentric
D) geocentric

Question 72

With which staffing strategy do companies primarily hire expatriates to staff higher-level foreign positions?

A) polycentric
B) geocentric
C) regiocentric
D) ethnocentric

Question 73

In which staffing approach would the corporate HR function typically be the most complicated?

A) ethnocentric
B) polycentric
C) geocentric
D) regiocentric

Question 74

With the ________ staffing approach,regional groups of subsidiaries reflecting the organization's strategy and structure work as a unit.

A) geocentric
B) polycentric
C) regiocentric
D) ethnocentric

Question 75

With which staffing approach does the firm always attempt to hire the best person available for a position,regardless of where that individual comes from?

A) geocentric
B) polycentric
C) regiocentric
D) ethnocentric

Question 76

Which of the following is NOT one of the stages in the expatriate selection process?

A) supervisor recommendation
B) candidate pool creation
C) technical skills assessment
D) self-selection

Question 77

Which staffing approach uses a worldwide-integrated business strategy?

A) ethnocentric
B) polycentric
C) geocentric
D) regiocentric

Question 78

Which of the following occurs in the first stage of the expatriate selection process?

A) creating a candidate pool from a database
B) conducting personal and family assessments
C) determining technical and managerial skills
D) conducting a thorough background investigation

Question 79

Which staffing model is most likely to be adopted and used by truly global firms?

A) ethnocentric
B) polycentric
C) regiocentric
D) geocentric

Question 80

With which staffing approach does each region develop a common set of employment practices?

A) ethnocentric
B) polycentric
C) geocentric
D) regiocentric