Deck 16: Global Human Resource Management

Question 1

The term corporate culture refers to an organization's ________.

A)compensation systems
B)norms and value systems
C)standing among its peer firms
D)policies, rules, and regulations
E)behaviour and attitudes

Answer 1

B

Question 2

Philip Thomas is a manager for XYZ International Inc.Philip's job requires him to deal with the differences in equal employment legislations between each country.Philip could be considered to be a(n)

A)external manager.
B)account manager.
C)human resource manager.
D)expatriate manager.
E)labour lawyer

Answer 2

C

Question 3

A(n) ______________ staffing policy requires host country nationals to be recruited to manage subsidiaries, while parent company nationals occupy key positions at corporate headquarters.

A)polycentric
B)geocentric
C)ethnocentric
D)intercentric
E)multicentric

Answer 3

A

Question 4

Molex, according to the opening case, can be best described as having a

A)geocentric policy.
B)polycentric policy.
C)multidomestic policy.
D)global policy.
E)transnational policy

Question 5

A reason not to pursue an ethnocentric staffing policy is

A)if a firm is trying to create value by transferring core competencies to a foreign operation, it may believe that the best way to do this is to transfer parent country nationals who have knowledge of that competency to the foreign operation.
B)the firm may believe there is a lack of qualified individuals in its own parent company to fill senior management positions.
C)the firm may see an ethnocentric staffing policy as the best way to maintain a unified corporate culture.
D)the firm may believe there is a lack of qualified individuals in the host country to fill senior management positions.
E)the firm may believe that parent company managers are superior to host country managers.

Question 6

Multi domestic firms try to create value by emphasizing

A)local responsiveness.
B)ethnocentrism.
C)empowerment.
D)strategic alliances.
E)core competency sharing

Question 7

The activities an organization carries out to utilize its ____________ effectively is referred to as human resource management.

A)customers
B)external stakeholders
C)employees
D)suppliers
E)management

Question 8

According to the opening case, Molex now operates some 50 manufacturing plants in 21 countries.From that base, _______________ of its $2.5 billion in annual revenues are outside of the United States.

A)25 percent
B)45 percent
C)65 percent
D)75 percent
E)85 percent

Question 9

In the Dutch firm Philips, all important positions in most foreign subsidiaries were at one time held by Dutch nationals who were referred to by their non-Dutch colleagues as the Dutch Mafia.This example illustrates a(n)

A)ethnocentric staffing policy.
B)globalcentric staffing policy.
C)polycentric staffing policy.
D)domesticcentric staffing policy.
E)nationalcentric staffing policy

Question 10

A(n) ______ staffing policy is one in which all key management positions are filled by parent company nationals.

A)ethnocentric
B)intercentric
C)polycentric
D)geocentric
E)nationalistic

Question 11

______ is concerned with the selection of employees for particular jobs.

A)Compensation policy
B)Staffing policy
C)Performance appraisal policy
D)Training policy
E)Hiring policy

Question 12

The activities which include determining the firm's human resource strategy, staffing, performance evaluation, management development, compensation, and labour relations are referred to as

A)personnel psychology management.
B)stakeholder management.
C)human resource management.
D)positive-sum management.
E)employee relations management

Question 13

A(n) __________ manager is a citizen of one country who is working abroad in one of his or her firm's subsidiaries.

A)expatriate
B)cross-divisional
C)cross-cultural
D)ethnocentric
E)inpatriate

Question 14

Compensation practices may varying from country to country, labour laws prohibiting union organization, and the strong pursuit of equal employment legislation are all complexities in

A)customers orientation.
B)external stakeholders.
C)human resources.
D)supplier confidence.
E)firm structure

Question 15

There are two reasons that the ethnocentric staffing policy is on the wane in most international businesses.These are

A)an ethnocentric staffing policy limits advancement opportunities for host country nationals and an ethnocentric policy can lead to "cultural myopia."
B)an ethnocentric staffing policy is the most expensive of the alternatives and an ethnocentric policy limits advancement opportunities for parent country personnel.
C)an ethnocentric staffing policy limits the cultural awareness of parent company personnel and an ethnocentric policy can lead to "cultural myopia."
D)an ethnocentric staffing policy is the most expensive of the alternatives and an ethnocentric policy limits the cultural awareness of parent company personnel.
E)an ethnocentric staffing policy prevents a company from realizing compensation savings from hiring local staff and can lead to the dilution of corporate culture

Question 16

Adam Cowgill works for Dell Computer (a U.S.based firm) but is assigned to Dell's sales office in Germany.Under these circumstances, Mr.Cowgill would be called a(n) _____ manager.

A)ethnocentric
B)cross-cultural
C)expatriate
D)cross-divisional
E)foreign

Question 17

the

A)networkcentric approach.
B)intercentric approach.
C)globalcentric approach.
D)geocentric approach.
E)multicentric approach

Question 18

Many Japanese firms prefer their foreign operations to be headed by expatriate Japanese managers because these managers will have socialized into the firm's culture while employed in Japan.This is an example of

A)polycentricity.
B)intercentricity.
C)ethnocentricity.
D)egocentricity.
E)nationalistic

Question 19

General Electric is not just concerned with hiring people who have the skills required for performing particular jobs; it wants individuals whose behavioural styles, beliefs, and value systems are consistent with those of GE.This would be an example of

A)ethnocentrism.
B)corporate culture.
C)polycentric policy.
D)network approach.
E)behavioural approach

Question 20

Beth's behavioural style, beliefs, and value system are consistent with that of the company that she works for and is said to be compatible with her company's

A)corporate culture.
B)corporate structure.
C)corporate resources.
D)corporate bureaucracy.
E)corporate standards

Question 21

Research suggests that between _______________ of all American employees sent abroad to developed nations return from their assignments early.

A)4 and 12 percent
B)8 and 22 percent
C)12 and 26 percent
D)16 and 40 percent
E)26 and 56 percent

Question 22

The strategy that is most compatible with an ethnocentric staffing policy is

A)transnational strategy.
B)global strategy.
C)multidomestic strategy.
D)international strategy.
E)pan-national strategy

Question 23

________________ is the premature return of an expatriate manager to his of her home country.

A)Expatriate relief
B)Expatriate failure
C)Expatriate rotation
D)Expatriate timing
E)Repatriation

Question 24

inexpensive to implement.

A)polycentric
B)intercentric
C)geocentric
D)ethnocentric
E)multicentric

Question 25

One estimate of the costs of expatriate failure is that the average cost per failure to the parent company can be as high as __________________ time the expatriate's annual domestic salary plus the cost of relocation.

A)1.5
B)3
C)5
D)7
E)2

Question 26

According to the textbook, what staffing policy has the advantage of having firms that are less likely to suffer from cultural myopia?

A)Geocentric
B)Intercentric
C)Polycentric
D)Ethnocentric
E)Multicentric

Question 27

______________ percent of U.S.multinationals experience expatriate failure rates of 10 percent or more, according to a study conducted by R.L.Tung.

A)91
B)76
C)44
D)17
E)28

Question 28

isolates headquarters from foreign subsidiaries.

A)polycentric
B)intercentric
C)geocentric
D)ethnocentric
E)multicentric

Question 29

Which of the following two strategies are most compatible with a geocentric staffing policy?

A)Global and transnational
B)Multidomestic and transnational
C)International and multidomestic
D)Global and multidomestic
E)Global and international

Question 30

"Cultural Myopia" refers to the firm's failure to

A)understand host-country cultural differences that require different approaches to marketing and management.
B)create the proper environment for fostering creativity.
C)adapt to certain ethnocentric cultures through the expatriate.
D)distinguish between forward thinking and empowerment among cultures.
E)be far sighted in considering cultural trends and developments in host countries.

Question 31

helps build strong culture and informal management network?

A)Ethnocentric
B)Geocentric
C)Intercentric
D)Polycentric
E)Multicentric

Question 32

Japanese expatriate managers would have to comply with Canada's _____________, which mandates __________ in the workplace.

A)Employment Compensation Act; equal pay for equal work
B)Fair Employment Practices Act; seniority based compensation
C)Minorities Employment Act; hiring of minorities
D)Unemployment Insurance Act; severance pay
E)Employment Equity Act; equality

Question 33

Which of the following is not an advantage of a geocentric approach to staffing for international businesses?

A)Uses human resources efficiently
B)Helps build a strong culture
C)Inexpensive to implement
D)Helps build a strong informal management network
E)Helps build a group of managers who are comfortable working in many different cultures

Question 34

helps transfer core competencies.

A)polycentric
B)geocentric
C)ethnocentric
D)intercentric
E)multicentric

Question 35

A(n) __________ is a response to the shortcomings of an ethnocentric approach.

A)ethnocentric staffing policy
B)geocentric staffing policy
C)polycentric staffing policy
D)intercentric staffing policy
E)multicentric staffing policy

Question 36

What two of the three common international staffing policies rely on extensive use of expatriate managers?

A)Ethnocentric, geocentric
B)Polycentric, intercentric
C)Ethnocentric, intercentric
D)Polycentric, geocentric
E)Ethnocentric, multicentric

Question 37

Which of the following strategies is most compatible with a polycentric staffing policy?

A)International strategy
B)Global strategy
C)Multidomestic strategy
D)Transnational strategy
E)Pan-national

Question 38

A(n) ____________ staffing policy seeks the best people for key jobs throughout the organization.

A)intercentric
B)ethnocentric
C)geocentric
D)polycentric
E)multicentric

Question 39

_________________ is a subset of expatriates who are citizens of a foreign country working in the home country of their multinational employer.

A)Immigrants
B)Inpatriates
C)Third-country nationals
D)Hyperpatriate
E)Repatriates

Question 40

can lead to cultural myopia.

A)polycentric
B)intercentric
C)ethnocentric
D)geocentric
E)multicentric

Question 41

According to the results of a study of R.L.Tung, the number one reason that Japanese expatriate managers fail is

A)inability of spouse to adjust.
B)lack of technical competence.
C)personal or emotional problems.
D)inability to cope with larger overseas responsibilities.
E)ethnocentric attitudes

Question 42

According to Mendenhall and Oddou, the attribute of _____________ provides an expatriate the ability to understand why people of other countries behave the way they do, that is, the ability to empathize with them.

A)cultural toughness
B)perceptual ability
C)self orientation
D)others-orientation
E)cultural sensitivity

Question 43

Recent research suggests that a main reason managers now turn down international assignments is concern over

A)the impact of such an assignment might have on their spouse's career.
B)how well the expatriate can develop in a new atmosphere.
C)the technical expertise of the individual.
D)whether or not there will be a job lined up with the same company after the return.
E)security concerns

Question 44

According to the results of a study by R.L.Tung, what indicated that the most consistent reason cited by European expatriates for expatriate failure among their group?

A)Personal or emotional problems
B)Inability to cope with larger overseas responsibilities
C)Poor pay
D)The inability of the manager's spouse to adjust to a new environment
E)Ethnocentric attitudes

Question 45

According to Mendenhall and Oddou, what refers to the fact of how well an expatriate adjusts to a particular posting as it relates to the country of assignment?

A)Cultural toughness
B)Expatriate stamina
C)Country-specific durability
D)Expatriate persistence
E)Adaptive ability

Question 46

A person who is an expatriate with good mental well being, high self-esteem and high self-confidence is successful in what dimension

A)cultural toughness
B)others-orientation
C)perceptual ability
D)self-orientation
E)reflection

Question 47

Relationship development and willingness to communicate are the two factors that are particularly important in developing a health degree of

A)cultural toughness.
B)perceptual ability.
C)others-orientation.
D)self-orientation.
E)socialization

Question 48

In a recent survey, almost ________________ of employees sent to developing nations return home early.

A)25 percent
B)33 percent
C)50 percent
D)60 percent
E)70 percent

Question 49

Which of the following was not identified by R.L.Tung as a reason for expatriate failure among U.S.expatriate managers?

A)Poor pay
B)Difficulties with new environment
C)Inability of spouse to adjust
D)Personal or emotional problems
E)Family discord

Question 50

Only _____________ of the firms in the study conducted by R.L.Tung used formal procedures and psychological tests to assess the personality traits and relational abilities of potential expatriates.

A)5%
B)15%
C)20%
D)30%
E)45%

Question 51

Which of the following describes the most important reason why American expatriates fail?

A)Other family problems
B)Manager's personal or emotional maturity
C)Inability of spouse to adjust
D)Lack of technical competence
E)Inability to cope with larger overseas responsibilities

Question 52

What trend has contributed to spousal discontent in foreign postings?

A)the increased security threats
B)lack of cross cultural sensitivity
C)host country nationalism
D)increased restrictions on spousal work permits
E)the rise in two career families

Question 53

A recent study by International Orientation Resources, an HRM consulting firm, found that ______________ of expatriate failures occur because of three reasons.

A)20%
B)30%
C)40%
D)50%.
E)60%

Question 54

What four dimensions seem to predict success in expatriate selection were identified by Mendenhall and Oddou?

A)Self-orientation, others-orientation, perceptual ability, and cultural toughness
B)Cognitive ability, subjective ability, positive affect, and cultural awareness
C)Self-orientation, cognitive ability, subjective ability, and cultural toughness
D)Subjective ability, others-orientation, perceptual ability, and cultural awareness
E)Multicultural exposure, self confidence, self reflection, and social personality type

Question 55

According to Mendenhall and Oddou, the attribute of _________________ enhances the expatriate's ability to interact effectively with host country nationals.

A)others-orientation
B)self-orientation
C)cultural toughness
D)perceptual ability
E)multiculturalism

Question 56

All of the following were identified by R.L.Tung as a reason for expatriate failure among U.S.expatriate managers except

A)manager's personal or emotional maturity.
B)inability to cope with larger overseas responsibility.
C)inability of spouse to adjust.
D)poor working conditions overseas.
E)other family problems

Question 57

According to Mendenhall and Oddou, expatriate managers who lack _____________ tend to treat foreign nationals as if they were home country nationals.

A)cultural toughness
B)self-orientation
C)others-orientation
D)perceptual ability
E)empathic ability

Question 58

The ability of a female western manager to adapt to a culture that is extremely male dominated is an example of

A)cultural toughness.
B)others-orientation.
C)perceptual ability.
D)self-orientation.
E)religious tolerance

Question 59

If you were transferred abroad and didn't like interacting those in the host country and didn't know the local language, this might mean that you lacked attributes of Mendenhall and Oddou's _______________ dimension.

A)self-orientation
B)others-orientation
C)perceptual ability
D)cultural toughness
E)cross-cultural literacy

Question 60

According to Mendenhall and Oddou, the attribute of _____________ strengthens an expatriate's self-esteem, self-confidence, and mental well-being.

A)cultural toughness
B)perceptual ability
C)others-orientation
D)self-orientation
E)self confidence

Question 61

In regard to expatriate pay, the _______________ equalizes purchasing power across countries so employees can enjoy the same living standard in their foreign posting that they enjoyed at home.

A)balance sheet approach
B)standard of living approach
C)merit approach
D)correspondence approach
E)country equity approach

Question 62

A(n) _____ program is intended to develop a manager's skills over his or her career with a firm.

A)organizational development
B)personnel development
C)management development
D)technical development
E)career development

Question 63

The type of training that seeks to foster an appreciation for the host country's culture is called

A)cultural training
B)technical training
C)language training
D)practical training
E)cultural literacy

Question 64

A(n) ____________ is extra pay the expatriate receives for working outside his or her country of origin.

A)parity adjustment
B)expatriate special circumstance
C)foreign service premium
D)allowance
E)foreign service allowance

Question 65

In most cases, which two groups evaluate the performance of expatriate managers?

A)host-nation employment standards committees and home country superiors
B)host nation managers and host nation customers
C)home country managers and host nation customers
D)home country managers and host country employees
E)home country managers and host country managers

Question 66

In regard to expatriate pay, the balance sheet approach accomplishes two objectives.These are

A)compensates for higher taxes in the host country and reduces expatriate failure rates
B)relieves an employee of the burden of paying taxes on income earned overseas, and provides an employee a standard 25% increase in pay for taking an overseas assignment.
C)equalizes purchasing power across countries so employees can enjoy the same living standard in their foreign posting that they enjoyed at home, and relieves an employee of the burden of paying taxes on income earned overseas.
D)provides financial incentives to offset qualitative differences between assignment locations, and provides an employee a standard 25% increase in pay for taking an overseas assignment.
E)equalizes purchasing power across countries so employees can enjoy the same living standard in their foreign posting that they enjoyed at home, and provides financial incentives to offset qualitative differences between assignment locations.

Question 67

What is the most common approach to expatriate pay?

A)merit approach
B)correspondence approach
C)balance sheet approach
D)parity approach
E)country equity approach

Question 68

_____________ programs are designed to increase the overall skill levels of managers through a mix on ongoing management education and rotations of managers through a number of jobs within the firm to give them varied experiences.

A)Organizational development
B)Technical development
C)Management development
D)Personnel development
E)Competency and skills development

Question 69

A housing allowance is normally given to ensure that the expatriate can afford the same quality of housing in the foreign country as at home.In locations where housing is very expensive, this allowance can be substantial as much as ______ percent.

A)5
B)7
C)15
D)25
E)30

Question 70

Guardian Smitz is an expatriate working in the Philippines.As an expatriate, Guardian incurs an extra pay incentive for working outside his country.This extra pay incentive is called a(n)

A)travel allowance
B)emergency allowance
C)foreign service premium
D)parity adjustment
E)foreign service allowance

Question 71

One of tasks of the _____________ function is to foster harmony and minimize conflict between the firm and organized labour.

A)marketing
B)exporting
C)human resource
D)production
E)host country management

Question 72

Which compensation approach attempts to provide expatriates with the same standard of living in their host countries as they enjoy at home plus a financial inducement for accepting an overseas assignment?

A)merit approach
B)correspondence approach
C)parity approach
D)balance sheet approach
E)country equity approach

Question 73

In regard to the types of allowances often included in an expatriate's compensation package, a(n) ____________ allowance is paid when the expatriate is being sent to a difficult location.

A)education
B)housing
C)hardship
D)cost-of-living
E)distance

Question 74

According to one study, what percent of repatriated employees didn't know what their position would be when they returned home?

A)10-15
B)25-35
C)45-50
D)50-60
E)60-70

Question 75

Some of the reasons that may bias the home country managers' appraisals of expatriate managers are:

A)distance and lack of experience working abroad
B)unfamiliarity with the language and culture
C)personal relationships and subjectivity
D)their compensation is tied to the evaluation of the host country manager
E)None of these answers is correct

Question 76

The form of compensation that compensates an expatriate for having to live in an unfamiliar country isolated from family and friends is referred to as a(n)

A)expatriate special circumstance
B)allowance
C)parity adjustment
D)foreign service premium
E)foreign service allowance

Question 77

An important goal in management development programs is to:

A)build an informal network of contacts
B)encourage the cross-transfer of skills and knowledge
C)encourage cross-cultural literacy
D)enhance the employability of participants
E)build a unifying culture

Question 78

The type of training that is aimed at helping an expatriate managers and his or her family ease themselves into day-to-day life in the host country is called

A)cognitive training
B)practical training
C)technical training
D)cultural training
E)life training

Question 79

What are the four types of allowances that are often included in an expatriate's compensation package?

A)Travel allowances, emergency allowances, training allowances, relocation allowances
B)Hardship allowances, housing allowances, cost-of-living allowances, and education allowances
C)Emergency allowances, hardship allowances, training allowances, cost-of-living allowances
D)Housing allowances, travel allowances, cost-of-living allowances, and relocation allowances
E)Living allowance, education allowance, travel allowance, spousal allowance

Question 80

When evaluating the performance of an expatriate manager, home-country managers tend to rely on what?

A)the appraisals of host-country managers
B)pay grades
C)overall compensation
D)soft variables
E)hard data