A drawback of polycentric staffing policies is that
A) it is less expensive to use employees from the home country.
B) there are additional expenses associated with relocating these employees and their families.
C) these employees may not have experience with the language and culture of the host country.
D) there can be a conflict of loyalty between the host country and the employer.

Question

Quizplus · Accepted Answer

A drawback of polycentric staffing policies is that there can be a conflict of loyalty between the host country and the employer. For example, the host-country national may give preference to a local supplier even though imported products may be less expensive or of better quality. Local managers may oppose headquarters' requests to set low transfer prices that might benefit the IC by causing lower levels of taxes to be paid to the host government.

A Drawback of Polycentric Staffing Policies Is That