Question 1

In a seminal study, R. L. Tung found that for managers of European firms, the biggest impediment to expatriate success was the:

Accepted Answer

Managers of European firms gave only one reason consistently to explain expatriate failure: the inability of the manager's spouse to adjust to a new environment.

Question 2

Discuss the advantages and disadvantages of a polycentric approach to staffing.

Accepted Answer

The answer of Discuss the advantages and disadvantages of a...

Question 3

A _____ may be paid to ensure that the expatriate can afford the same quality of housing in the foreign country as in the home country.

Accepted Answer

There are four types of allowances that are usually included in an expatriate's compensation package. A hardship allowance is paid when the expatriate is being sent to a location where basic amenities are grossly deficient as compared to the home country. A housing allowance may be included to ensure that the expatriate can afford the same quality of housing in the foreign country as in the home country. A cost-of-living allowance may be paid to ensure that the expatriate enjoys the same standard of living in the foreign location as at home. Finally, education allowances may be included to ensure that an expatriate's children receive adequate schooling.

Question 4

What is human resource management? Why is HRM an important strategic component?

Accepted Answer

The answer of What is human resource management? Why is...

Question 5

The premature return of an expatriate manager to his or her home country is known as _____.

Accepted Answer

A prominent issue in the international staffing literature is expatriate failure-the premature return of an expatriate manager to his or her home country. Expatriate failure represents a failure of the firm's selection policies to identify individuals who will not thrive abroad. The consequences include premature return from a foreign posting and high resignation rates.

Question 6

How can polycentric approach to staffing result in the creation of a "federation" within the firm? Why is this a disadvantage for the firm?

Accepted Answer

The answer of How can polycentric approach to staffing result...

Question 7

A polycentric approach to staffing is one in which:

Accepted Answer

A polycentric staffing policy requires host-country nationals to be recruited to manage subsidiaries, while parent-country nationals occupy key positions at corporate headquarters.

Question 8

Training can help a manager and spouse cope with issues of adjusting to the foreign environment. _____ is aimed at helping the expatriate manager and family ease themselves into day-to-day life in the host country.

Accepted Answer

Training can help a manager and spouse cope with issues of adjusting to the foreign environment. Three types of training are important. Cultural training seeks to foster an appreciation for the host country's culture. The belief is that understanding a host country's culture will help the manager empathize with the culture, which will enhance his/her effectiveness in dealing with host-country nationals. Language training is vital to an expatriate's ability to interact with host-country nationals. Finally, practical training is aimed at helping the expatriate manager and family ease themselves into day-to-day life in the host country.

Question 9

From a strategic perspective, the key issue in international labor relations is the degree to which organized labor can:

Accepted Answer

The HRM function of an international business is typically responsible for international labor relations. From a strategic perspective, the key issue in international labor relations is the degree to which organized labor can limit the choices of an international business. A firm's ability to integrate and consolidate its global operations to realize experience curve and location economies can be limited by organized labor, constraining the pursuit of a transnational or global standardization policy. One task of the HRM in any international business is to foster harmony and minimize conflict between the firm and organized labor.

Question 10

A strong _____, the organization's norms and value systems, can help a firm to implement its strategy.

Accepted Answer

Corporate culture refers to the organization's norms and value systems. A strong corporate culture can help a firm to implement its strategy. If employees are predisposed toward the organization's norms and value systems by their personality type, the firm will be able to attain higher performance.

Question 11

A _____ may be paid to ensure that the expatriate enjoys the same standard of living in the foreign location as at home.

Accepted Answer

There are four types of allowances that are usually included in an expatriate's compensation package. A hardship allowance is paid when the expatriate is being sent to a location where basic amenities are grossly deficient as compared to the home country. A housing allowance may be included to ensure that the expatriate can afford the same quality of housing in the foreign country as in the home country. A cost-of-living allowance may be paid to ensure that the expatriate enjoys the same standard of living in the foreign location as at home. Finally, education allowances may be included to ensure that an expatriate's children receive adequate schooling.

Question 12

One of the strategies pursued by international businesses is _____, where value is created by realizing experience curve and location economies.

Accepted Answer

The four strategies pursued by international businesses are localization, where value is created by emphasizing local responsiveness; international, where value is created by transferring products and competencies overseas; global standardization, where value is created by realizing experience curve and location economies; and transnational, where value is created by doing all of these things simultaneously. HRM policies must be congruent with the firm's strategy.

Question 13

Which of the following is true regarding approaches to labor relations?

Accepted Answer

Because labor costs account for such a large percentage of total costs, many firms are now using the threat to move production to another country in their negotiations with unions to change work rules and limit wage increases.

Question 14

Which of the following is a problem that limits a firm's ability to pursue a geocentric policy?

Accepted Answer

The company may need a compensation structure with a standardized international base pay level higher than national levels in many countries. The higher pay enjoyed by managers placed on an international fast track may be a source of resentment within a firm.

Question 15

_____ refers to the relationship between the country of assignment and how well an expatriate adjusts to a particular posting.

Accepted Answer

Mendenhall and Oddou identified four dimensions that seem to predict success in a foreign posting: self-orientation, others-orientation, perceptual ability, and cultural toughness. Cultural toughness refers to the relationship between the country of assignment and how well an expatriate adjusts to a particular posting. Some countries are much tougher postings than others because their cultures are more unfamiliar and uncomfortable.

Question 16

Why should a firm pursue an ethnocentric approach to staffing? What are the disadvantages of this approach?

Accepted Answer

The answer of Why should a firm pursue an ethnocentric...

Question 17

Which of the following is one of the factors that impact a spouse adjusting to expatriation?

Accepted Answer

The failure of spouse to adjust appears to be related to a several factors. Often spouses find themselves in a foreign country without the familiar network of family and friends. Language differences make it difficult for them to make new friends, making the spouse feel trapped at home. If immigration rules prohibit employment, the spouse may find it even more difficult to adapt. Research suggests that a main reason managers now turn down international assignments is concern over the impact the assignment might have on their spouse's career.

Question 18

One of the strategies pursued by international businesses is _____, where value is created by transferring products and competencies overseas.

Accepted Answer

The four strategies pursued by international businesses are localization, where value is created by emphasizing local responsiveness; international, where value is created by transferring products and competencies overseas; global standardization, where value is created by realizing experience curve and location economies; and transnational, where value is created by doing all of these things simultaneously. HRM policies must be congruent with the firm's strategy.

Question 19

What are the three types of staffing policies in international business? Briefly describe each one. Which is the most attractive approach and why?

Accepted Answer

The answer of What are the three types of staffing...

Question 20

Which of the following is an advantage of the geocentric staffing policy?

Accepted Answer

A geocentric staffing policy has a number of advantages. First, it enables the firm to make the best use of its human resources. Second, a geocentric policy enables the firm to build a cadre of international executives who feel at home working in a number of cultures. Creation of such a cadre may be a critical first step toward building a strong unifying corporate culture and an informal management network, both of which are required for global standardization and transnational strategies. Firms pursuing a geocentric staffing policy may be better able to create value from the pursuit of experience curve and location economies and from the multidirectional transfer of core competencies than firms pursuing other staffing policies. In addition, the multinational composition of the management team that results from geocentric staffing tends to reduce cultural myopia and to enhance local responsiveness.

Quiz 19: Global Human Resource Management

In a seminal study, R. L. Tung found that for managers of European firms, the biggest impediment to expatriate success was the:

Discuss the advantages and disadvantages of a polycentric approach to staffing.

A _____ may be paid to ensure that the expatriate can afford the same quality of housing in the foreign country as in the home country.

What is human resource management? Why is HRM an important strategic component?

The premature return of an expatriate manager to his or her home country is known as _____.

How can polycentric approach to staffing result in the creation of a "federation" within the firm? Why is this a disadvantage for the firm?

A polycentric approach to staffing is one in which:

Training can help a manager and spouse cope with issues of adjusting to the foreign environment. _____ is aimed at helping the expatriate manager and family ease themselves into day-to-day life in the host country.

From a strategic perspective, the key issue in international labor relations is the degree to which organized labor can:

A strong _____, the organization's norms and value systems, can help a firm to implement its strategy.

A _____ may be paid to ensure that the expatriate enjoys the same standard of living in the foreign location as at home.

One of the strategies pursued by international businesses is _____, where value is created by realizing experience curve and location economies.

Which of the following is true regarding approaches to labor relations?

Which of the following is a problem that limits a firm's ability to pursue a geocentric policy?

_____ refers to the relationship between the country of assignment and how well an expatriate adjusts to a particular posting.

Why should a firm pursue an ethnocentric approach to staffing? What are the disadvantages of this approach?

Which of the following is one of the factors that impact a spouse adjusting to expatriation?

One of the strategies pursued by international businesses is _____, where value is created by transferring products and competencies overseas.

What are the three types of staffing policies in international business? Briefly describe each one. Which is the most attractive approach and why?

Which of the following is an advantage of the geocentric staffing policy?