Staffing preferences relates to the degree of control an organization feels it should have over its subsidiary.

Question

Quizplus · Accepted Answer

Staffing preferences do indeed relate to the level of control an organization desires over its subsidiary. The staffing approach an organization chooses reflects its level of involvement with and control over the subsidiary's activities. For example, a parent company may opt for ethnocentric staffing, in which all key positions are held by employees from the parent company, to ensure greater control over the subsidiary's operations. Alternatively, a company may favor a polycentric staffing approach, in which local personnel are appointed to key positions, to increase the subsidiary's autonomy and responsiveness to local market conditions.

Staffing Preferences Relates to the Degree of Control an Organization