Additional Case 17.2
Golden Rod is an electronics firm based in Detroit with subsidiaries in several countries including Indonesia, Egypt, Argentina, and Thailand. The top management positions in these subsidiaries are filled by U.S. citizens. Golden Rod is planning on creating a new expatriate assignment in Egypt. The firm has created a selection board of expatriates to choose the best person for the job. In the past, Golden Rod has experienced a high turnover rate among repatriated managers, so executives hope to solve this problem.
-Refer to Additional Case 17.2.Golden Rod seems to use which of the following approaches to manage international subsidiaries?
A) The geocentric approach
B) The polycentric approach
C) The ethnocentric approach
D) The intranational approach

Question

Quizplus · Accepted Answer

Golden Rod is a U.S.-based company with U.S. citizens serving as top management in their international subsidiaries. This suggests an ethnocentric approach where the parent company relies on personnel from the home country to fill key positions in foreign subsidiaries.

Additional Case 17.2 Golden Rod Is an Electronics Firm Based in Detroit with in Detroit