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What is expatriate failure? According to Tung's survey, what are the different reasons for expatriate failure in U.S. multinationals?

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Expatriate failure refers to the prematu...

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When Parul, an expatriate manager for Castle Mfg., went to work in the company's Thailand operations, she was often frustrated when her staff showed up thirty minutes late for meetings and did not have an explanation for their tardiness. She didn't understand why her staff in Thailand didn't behave like her staff had in the home office. According to Mendenhall and Oddou, an expatriate manager like Parul who tends to treat Thai nationals as if they were home-country nationals lacks the dimension of


A) cultural toughness.
B) self-orientation.
C) power distance.
D) perceptual ability.
E) willingness to communicate.

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An expatriate manager refers to


A) a citizen of one country who is working abroad in one of the firm's subsidiaries.
B) a parent-country national who works in the parent country.
C) a host-country national who works in the host country.
D) any person who lives in a foreign country.
E) a person willing to work in different departments of a foreign firm.

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In the context of international labor relations, one of the reasons for a decline in union influence is the


A) introduction of a reciprocal tax treaty.
B) retention of low-skilled tasks in an international firm's home country.
C) importing of employment practices and contractual agreements that are alien to the host country.
D) increased bargaining power of organized labor.
E) increased ability to threaten to disrupt production, either by a strike or some other form of work protest.

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Repatriation refers to


A) sending expatriate managers to a new host country.
B) training expatriate managers to adjust to the new environment of the host country.
C) reentry of expatriate managers into their home-country organization.
D) helping expatriate managers build rapport with local employees.
E) increasing expatriate managers' effectiveness in dealing with host-country nationals.

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Describe the different approaches that international businesses take to labor relations.

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International businesses differ markedly...

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How is a geocentric staffing policy beneficial to a firm?


A) It requires the firm to provide little or no documentation to hire a foreign national.
B) It is inexpensive to implement.
C) It helps the firm follow a localization strategy.
D) It allows all key management positions to be filled by parent-country nationals.
E) It enables the firm to make the best use of its human resources.

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The balance sheet approach to expatriate pay is used for expatriates in lower economic postings to show how their reduced income level is in line with the economy where they are living.

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Marlee is a manager at the California home office of Tech-Cor. She is gathering information about the company's international subunits and has profitability figures and market share analysis, which she plans to use in her performance appraisal when she meets with the expatriate manager next week in Brazil. What type of information is Marlee using for her appraisal?


A) qualitative data
B) soft data
C) biased data
D) hard data
E) secondary data

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Flor-Restore, a U.S. dental products company, follows a polycentric staffing approach, and key positions at the company's U.S. headquarters are staffed by U.S. nationals while foreign subsidiaries are managed by locals. While the company's international business has grown exponentially in the past five years, greater competition in the United States has caused this office to see a decline in sales and many top U.S. managers are leaving the company. What drawback to a polycentric approach might explain this?


A) It is expensive to implement.
B) It leads managers to make mistakes due to cultural misunderstandings.
C) It limits advancement opportunities for managers.
D) It invariably makes a firm suffer from cultural myopia.
E) It bridges the gap between the headquarters of a firm and its foreign subsidiaries.

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A(n) ________ staffing policy is pursued by firms where the lack of managers' mobility among national operations implies that the pay for expatriates should be kept country-specific.


A) regional
B) ethnocentric
C) geocentric
D) polycentric
E) domestic

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Unions garner their bargaining power mostly through


A) the ability to increase tax rates.
B) tying wages to product quality.
C) the power to import labor from abroad.
D) the threat to disrupt production.
E) the retention of low-skilled tasks in home country.

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It is important for the spouse of an expatriate manager, and perhaps the whole family, to be included in cultural training programs.

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At a job fair, a recruiter explained to Matt that his company not only looks for employees who have college degrees and work experience, but also those who have the same beliefs and value systems as the company. What aspect of the company is the recruiter referring to?


A) corporate social responsibility
B) cultural toughness
C) cultural sensitivity
D) corporate culture
E) perceptual ability

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In the Swiss watch firm PrimeTime Inc., all the top management positions in its international operations are held by Swiss nationals. What is the staffing policy followed by PrimeTime Inc.?


A) eurocentric
B) ethnocentric
C) polycentric
D) geocentric
E) transnational

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Transnational firm managers need to be able to detect pressures for local responsiveness, which means they need to understand the culture of a host country.

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Which aspect of organizational architecture is considered the linchpin that brings together all of the other components?


A) culture
B) people
C) processes
D) structure
E) product

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The ________ approach is the most common approach to expatriate pay, which equalizes purchasing power across countries so employees can enjoy the same living standard in their foreign posting that they enjoyed at home.


A) merit
B) receivables
C) balance sheet
D) purchasing parity
E) commission

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There are vast differences in local market needs in the consumer soft drink business around the world. TwinFold Media, a Canadian multinational advertising agency, specializes in the soft drink industry and uses a geocentric staffing approach. What advantage would the company gain by using this approach?


A) It tends to reduce cultural myopia and enhance local responsiveness.
B) It is inexpensive to implement.
C) It reduces the costs of value creation.
D) It allows all key management positions of a firm and its subsidiaries to be filled by parent-country nationals.
E) It requires minimal documentation for hiring foreign nationals.

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A(n) ________ staffing approach is compatible with an international strategy but can produce resentment in the host country.


A) ethnocentric
B) geocentric
C) polycentric
D) transnational
E) ethical

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