Question 1

Countries with _____ are attractive sites for direct foreign investment that creates high-skill jobs.

Accepted Answer

Countries with high human capital are attractive sites for direct foreign investment that creates high-skill jobs.

Question 2

Intelitech, Inc. is a software company that has its headquarters in Japan. The company functions at a multinational level with operations in five other countries. Japan is the _____ for the Intelitech.

Accepted Answer

A parent country is the country in which the company's corporate headquarters are located.

Question 3

According to Hofstede's research, a country's economic health is positively correlated with _____.

Accepted Answer

Hofstede's research found that countries with individualist cultures were wealthier. Collectivist cultures with high power distance were all poor.

Question 4

GlobeTech, Inc. is a software company headquartered in the U.S. The company also has operations in Germany. The company exports some products to China though they do not plan to have a facility in China. China is a _____ country for the company.

Accepted Answer

A third country is a country other than the host country or parent country, and a company may or may not have a facility there. In this case, China is a third country.

Question 5

A country that serves as the home for a corporation's headquarters is referred to as the _____.

Accepted Answer

A parent country is the country in which the company's corporate headquarters are located.

Question 6

Sam Parker was visiting Mexico for a business meeting. At the meeting, Sam called his boss her first name instead of her title, which seemed to offend her. This offense most likely stemmed from a difference between the U.S. culture and Mexico's culture in the _____ dimension.

Accepted Answer

Differences in power distance often result in miscommunication and conflicts between people from different cultures. In Mexico, individuals are always addressed by their titles. Individuals from the United States, however, often believe in minimizing power distances by using first names.

Question 7

In _____ systems, there is less opportunity to develop human capital without higher costs.

Accepted Answer

In capitalist systems, there is less opportunity to develop human capital without higher costs.

Question 8

Which of the following values will most likely be promoted in feminine cultures?

Accepted Answer

The masculinity-femininity dimension describes the division of roles between the sexes within a society. Feminine societies promote values that have been traditionally regarded as feminine, such as putting relationships before money, helping others, and preserving the environment.

Question 9

A culture characterized by easygoing and flexible people who take each day as it comes is one that is _____.

Accepted Answer

Cultures that have weak uncertainty avoidance socialize individuals to accept this uncertainty and take each day as it comes. People from these cultures tend to be rather easygoing and flexible regarding different views.

Question 10

U.S. companies tend to relocate their low-skill-high-wage manufacturing and assembly jobs to Mexico because it has _____.

Accepted Answer

Countries with low human capital attract facilities that require low skills and low wage levels. This explains why U.S. companies want to move their currently unionized low-skill-high-wage manufacturing and assembly jobs to Mexico, where they can obtain low-skilled workers for substantially lower wages.

Question 11

The masculinity-femininity dimension describes:

Accepted Answer

The masculinity-femininity dimension describes the division of roles between the sexes within a society.

Question 12

_____ often exhibit greater differences between the highest- and lowest-paid individuals in the organization.

Accepted Answer

Individualistic cultures such as those found in the United States often exhibit great differences between the highest- and lowest-paid individuals in an organization, with the highest-paid individual often receiving many times the salary of the lowest.

Question 13

_____ cultures tend to have the flattest salary structures.

Accepted Answer

Collectivist cultures tend to have much flatter salary structures, with the top-paid individual receiving only about 20 times the overall pay of the lowest-paid one.

Question 14

Countries with low human capital attract facilities that require _____.

Accepted Answer

A country's human capital may profoundly affect a foreign company's desire to locate there or enter that country's market. Countries with low human capital attract facilities that require low skills and low wage levels.

Question 15

Softel, Inc. is a company based in the U.S. After functioning at the domestic level for 5 years, the company is planning to expand its operations to Brazil. In this scenario, Brazil is the _____ country for the company.

Accepted Answer

A host country is the country in which the parent country organization seeks to locate (or has already located)a facility.

Question 16

In third countries, a company _____.

Accepted Answer

A third country is a country other than the host country or parent country, and a company may or may not have a facility there.

Question 17

Misha Branson was born in England and is currently working for a French company's facility in England. She is referred to as a(n)_____.

Accepted Answer

Host-country nationals (HCNs)are those employees who were born and raised in the host country.

Question 18

Values such as success, performance, assertiveness, and competition are associated with _____ cultures.

Accepted Answer

The masculinity-femininity dimension describes the division of roles between the sexes within a society. Masculine societies stress assertiveness, performance, success, and competition.

Question 19

A _____ country is the country in which the parent country organization seeks to locate or has already located a facility.

Accepted Answer

A host country is the country in which the parent country organization seeks to locate or has already located a facility.

Question 20

_____ describes how cultures seek to deal with the fact that the future is not perfectly predictable.

Accepted Answer

Uncertainty avoidance describes how cultures seek to deal with the fact that the future is not perfectly predictable. Uncertainty avoidance is defined as the degree to which people in a culture prefer structured over unstructured situations.

Quiz 15: Managing Human Resources Globally