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According to some critics,firms that have a broad geographic scope are the most likely to have a geocentric mind-set.

A) True
B) False

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A principal concern of domestic unions about multinational firms is that the multinational can counter its bargaining power with:


A) work schedules tied to global rather than domestic standards.
B) wage rates tied to global rather than domestic standards.
C) the power to import labor from abroad.
D) the power to move production to another country.

E) A) and C)
F) B) and C)

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Which of the following was identified by R.L.Tung as a reason for expatriate failure among U.S.expatriate managers?


A) Inability of the spouse to adjust
B) Difficulties with the new environment
C) Insufficient and below par pay
D) Personal or emotional problems

E) C) and D)
F) A) and B)

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Firms pursuing an ethnocentric staffing policy may be better able to create value from the pursuit of experience curve and location economies than firms pursuing other staffing policies.

A) True
B) False

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According to Mendenhall and Oddou,expatriate managers who lack _____ tend to treat foreign nationals as if they were home-country nationals.


A) cultural toughness
B) self-orientation
C) others-orientation
D) perceptual ability

E) A) and C)
F) C) and D)

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There is now a trend toward greater centralized control.

A) True
B) False

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A polycentric staffing policy can lead to "cultural myopia."

A) True
B) False

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Mendenhall and Oddou identified that individuals who had high _____ were able to adapt their interest in food,sport,and music better.


A) perceptual ability
B) self-orientation
C) others orientation
D) cultural toughness

E) A) and B)
F) All of the above

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Unintentional bias makes it easy to evaluate the performance of expatriate managers objectively.

A) True
B) False

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Reentry of expatriate managers into their home-country organization is termed as _____.


A) inpatriation
B) nesting
C) repatriation
D) homing

E) B) and D)
F) B) and C)

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What is repatriation? How does it affect an employee considering an overseas assignment?

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Repatriation is an expatriate manager's ...

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Except for a relative small cadre of internationally mobile executives,base pay in most firms is set with regard to:


A) the economic climate.
B) local market conditions.
C) compensation surveys.
D) job location.

E) B) and D)
F) B) and C)

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Which of the following strategies is most compatible with a polycentric staffing policy?


A) International strategy
B) Global standardization strategy
C) Localization strategy
D) Transnational strategy

E) B) and D)
F) None of the above

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International firms create value by


A) transferring products and competencies overseas.
B) realizing experience curve and location economies.
C) focusing on local responsiveness.
D) concentrating on repatriation.

E) B) and D)
F) B) and C)

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A geocentric staffing policy is one in which all key management positions are filled by parent-country nationals.

A) True
B) False

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What type of allowance ensures that an expatriate will enjoy the same standard of living in the foreign posting as at home?


A) Hardship allowance
B) Base salary allowance
C) Cost-of-living allowance
D) Education allowance

E) B) and D)
F) B) and C)

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Megan is the operations manager at HS Constructions Inc.She is asked to manage operations of her firm's subsidiary in the Middle-East.When posted,she will be referred to as a(n) _____ manager.


A) immigrant
B) host-country
C) home-country
D) expatriate

E) A) and D)
F) All of the above

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A firm's ability to reduce its use of expatriates may be limited,particularly if it is pursuing a(n) _____ or _____ staffing policy.


A) ethnocentric;geocentric
B) polycentric;geocentric
C) polycentric;ethnocentric
D) regiocentric;ethnocentric

E) B) and C)
F) C) and D)

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A citizen of Japan who moves to the United States to work at Microsoft would be classified as a repatriate.

A) True
B) False

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In _____ firms,the issue of deciding to pay executives in different countries according to the prevailing standards in each country,or to equalize pay on a global basis,can be reduced to that of how much home-country expatriates should be paid.


A) polycentric
B) ethnocentric
C) geocentric
D) regiocentric

E) None of the above
F) All of the above

Correct Answer

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