Question 1

Tanya is a social activist who works in association with a local community in her city to spread awareness on the importance of education in rural areas.She is actively involved in planning and organizing programs conducted by the community.In the context of cultural dimensions identified by Hofstede, she is likely to score high on _____.

Accepted Answer

A)  uncertainty avoidance 
B)  collectivism 
C)  masculinity 
D)  power distance 
E)  short-term orientation

Question 2

Which of the following is least likely to be the basis of selection of an expatriate manager who is sent on a foreign assignment as a developmental opportunity so that he can learn and bring back information to the home country?

Accepted Answer

A)  Level of self-reliance 
B)  Language ability 
C)  Appropriate experience 
D)  Technical expertise 
E)  Educational qualifications

Question 3

How does the area of labor relations affect international human resource management?

Accepted Answer

The answer of How does the area of labor relations...

Question 4

Which of the following staffing modelscalls for the dominantuse of host-country nationalsthroughout the organization?

Accepted Answer

A)  Ethnocentric 
B)  Polycentric 
C)  Geocentric 
D)  Egocentric 
E)  Anthropocentric

Question 5

Which of the following is NOT likely to be a part of the compensation package designed for an expatriate?

Accepted Answer

A)  Housing benefits 
B)  Job location assistance for the spouse 
C)  A cost-of-living allowance 
D)  A hardship premium 
E)  Complete tax exemptions

Question 6

Scenario 3.1
Mini-PC is a Houston-based manufacturer of handheld computers.In response to high European demand, Mini-PC purchased Marstrand Electronics, a handheld computer manufacturer in Stockholm, Sweden.Mini-PC allowed the management of Marstrand to continue its functions rather than sending U.S.managers to oversee Swedish operations.Mini-PC decided to purchase Marstrand because virtually all Swedes speak English, value women's rights, and are predominantly Christian in religious beliefs.The Swedish workforce is about 80 percent unionized, in comparison to Mini-PC's nonunionized workforce.Sweden has a socialist approach to health benefits, which means higher personal taxes for workers but lower health benefits costs for employers.When comparing average national scores on Hofstede's dimensions of culture, the United States and Sweden are about the same in power distance and long-term orientation, but the United States scores higher than Sweden in individualism and uncertainty avoidance.
-Refer to Scenario 3.1.Which of the following is likely to be true on the basis of scores on Hofstede's dimensions of culture?

Accepted Answer

A)  The Swedish workers are less likely to accept an egalitarian work environment as compared to Mini-PC's Houston employees. 
B)  The Swedish workersare likely to place a much greater value on patience and persistence than do Mini-PC's American workers. 
C)  The Swedish workersare likely to emphasize individual contributions, as opposed to Mini-PC's workers in the United States, who value team or group contributions. 
D)  The Swedish workersare likely to be more comfortable working in unstructured environments as compared to Mini-PC's American workers. 
E)  The Swedish workersare more likely to require intensive training in communication and language skills .

Question 7

In the context of Bartlett and Goshal's analysis of the situation relative to potential agency problems for international strategies, if an expatriate manageris expected to acquire, leverage, and transfer specializedknowledge and is yet given independence, he is most likely to be working with a firm using the _____.

Accepted Answer

A)  regional strategy 
B)  global strategy 
C)  transnational strategy 
D)  local strategy 
E)  multidomestic strategy

Question 8

Scenario 3.1
Mini-PC is a Houston-based manufacturer of handheld computers.In response to high European demand, Mini-PC purchased Marstrand Electronics, a handheld computer manufacturer in Stockholm, Sweden.Mini-PC allowed the management of Marstrand to continue its functions rather than sending U.S.managers to oversee Swedish operations.Mini-PC decided to purchase Marstrand because virtually all Swedes speak English, value women's rights, and are predominantly Christian in religious beliefs.The Swedish workforce is about 80 percent unionized, in comparison to Mini-PC's nonunionized workforce.Sweden has a socialist approach to health benefits, which means higher personal taxes for workers but lower health benefits costs for employers.When comparing average national scores on Hofstede's dimensions of culture, the United States and Sweden are about the same in power distance and long-term orientation, but the United States scores higher than Sweden in individualism and uncertainty avoidance.
-Which of the following forms of trade control places a limit on the number or value of goods that can be traded​?

Accepted Answer

A)  ​Quota 
B)  ​Tariff 
C)  ​Common currency 
D)  ​Licensing 
E)  ​Strategic alliance

Question 9

Repatriation is said to occur when a(n):

Accepted Answer

A)  company sends a manager on a second foreign assignment. 
B)  expatriate manager comes home from a foreign assignment. 
C)  expatriate manager is replaced in the middle of an assignment. 
D)  manager is sent on a foreign assignment. 
E)  manager fails to successfully complete a foreign assignment.

Question 10

A cultural dimension identified by Hofstede that focuses on relationship building and quality of life is:

Accepted Answer

A)  femininity. 
B)  uncertainty avoidance. 
C)  time orientation. 
D)  power distance. 
E)  individualism.

Question 11

A leading mobile software developer agrees to develop exclusive software application platforms for a new line of good quality, affordable smartphones about to be launched by a popular smartphone device manufacturer.Their brand reputations and pricing strategies are expected to bring in large volumes of sales of the phones.Which of the following best exemplifies this business strategy?

Accepted Answer

A)  Exporting 
B)  Strategic alliance 
C)  Repatriation 
D)  Direct foreign investment 
E)  Licensing

Question 12

Which of the following staffing models is based on the assumptionthat home-office perspectives and issues shouldtake precedence over local perspectives and issues?

Accepted Answer

A)  ​Ethnocentric 
B)  ​Egocentric 
C)  ​Geocentric 
D)  ​Polycentric 
E)  ​Anthropocentric

Question 13

How should businesses compensate expatriates?

Accepted Answer

The answer of How should businesses compensate expatriates?...

Question 14

Who among the following is likely to earn a hardship premium?

Accepted Answer

A)  An intern who puts in extra hours of work 
B)  A business development manager on a foreign client visit 
C)  An expatriate manager posted in a war-torn country 
D)  A physician volunteering to serve the poor in his locality 
E)  A research scientist who often works long hours

Question 15

In the context of Hofstede's dimensions of national culture, a culture that scores high in uncertainty avoidance prefers unstructured situations over structured situations.

Accepted Answer

A) True 
 B)False

Question 16

Scenario 3.1
Mini-PC is a Houston-based manufacturer of handheld computers.In response to high European demand, Mini-PC purchased Marstrand Electronics, a handheld computer manufacturer in Stockholm, Sweden.Mini-PC allowed the management of Marstrand to continue its functions rather than sending U.S.managers to oversee Swedish operations.Mini-PC decided to purchase Marstrand because virtually all Swedes speak English, value women's rights, and are predominantly Christian in religious beliefs.The Swedish workforce is about 80 percent unionized, in comparison to Mini-PC's nonunionized workforce.Sweden has a socialist approach to health benefits, which means higher personal taxes for workers but lower health benefits costs for employers.When comparing average national scores on Hofstede's dimensions of culture, the United States and Sweden are about the same in power distance and long-term orientation, but the United States scores higher than Sweden in individualism and uncertainty avoidance.
-Refer to Scenario 3.1.Which of the following domestic human resource issues is likely to be the most challenging due to cultural differences between the host country and the parent country?

Accepted Answer

A)  Local compensation issues 
B)  Local selection issues 
C)  Local training issues 
D)  Local recruiting issues 
E)  Local development issues

Question 17

The interdependence of global markets was demonstrated by the recent economic turndown in the United States that affected many other parts of the world.

Accepted Answer

A) True 
 B)False

Question 18

Scenario 3.1
Mini-PC is a Houston-based manufacturer of handheld computers.In response to high European demand, Mini-PC purchased Marstrand Electronics, a handheld computer manufacturer in Stockholm, Sweden.Mini-PC allowed the management of Marstrand to continue its functions rather than sending U.S.managers to oversee Swedish operations.Mini-PC decided to purchase Marstrand because virtually all Swedes speak English, value women's rights, and are predominantly Christian in religious beliefs.The Swedish workforce is about 80 percent unionized, in comparison to Mini-PC's nonunionized workforce.Sweden has a socialist approach to health benefits, which means higher personal taxes for workers but lower health benefits costs for employers.When comparing average national scores on Hofstede's dimensions of culture, the United States and Sweden are about the same in power distance and long-term orientation, but the United States scores higher than Sweden in individualism and uncertainty avoidance.
-Refer to Scenario 3.1.Which international strategy is Mini-PC using to expand its international operations?

Accepted Answer

A)  Exporting 
B)  Licensing 
C)  Direct investment 
D)  Joint venture 
E)  Strategic alliance

Question 19

In the context of a firm entering the international business market, which of the following is least associated with the firm's human resource function?

Accepted Answer

A)  Training programs 
B)  Compensation plans 
C)  Personnel acquisition 
D)  Repatriation 
E)  Production plans

Question 20

In the international business scenario, when a firm owns physical assets in another country, it is called direct foreigninvestment.

Accepted Answer

A) True 
 B)False

Exam 3: The Global Environment

Which of the following is least likely to be the basis of selection of an expatriate manager who is sent on a foreign assignment as a developmental opportunity so that he can learn and bring back information to the home country?

How does the area of labor relations affect international human resource management?

Which of the following staffing modelscalls for the dominantuse of host-country nationalsthroughout the organization?

Which of the following is NOT likely to be a part of the compensation package designed for an expatriate?

Repatriation is said to occur when a(n) :

A cultural dimension identified by Hofstede that focuses on relationship building and quality of life is:

Which of the following staffing models is based on the assumptionthat home-office perspectives and issues shouldtake precedence over local perspectives and issues?

How should businesses compensate expatriates?

Who among the following is likely to earn a hardship premium?

In the context of Hofstede's dimensions of national culture, a culture that scores high in uncertainty avoidance prefers unstructured situations over structured situations.

The interdependence of global markets was demonstrated by the recent economic turndown in the United States that affected many other parts of the world.

In the context of a firm entering the international business market, which of the following is least associated with the firm's human resource function?

In the international business scenario, when a firm owns physical assets in another country, it is called direct foreigninvestment.