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International Business, 12e (Hill)
1) An expatriate manager is a citizen of one country who is working abroad in one of the firm's
subsidiaries.
2) HRM professionals have a critically important strategic role.
3) The most popular staffing policy is the ethnocentric approach.
4) Cultural myopia refers to a firm's failure to understand host-country cultural differences that
require different approaches to marketing and management.
5) In the case of an ethnocentric approach, it is possible that managers may make decisions that are
ethically suspect because they do not understand the culture in which they are managing.
6) A firm that adopts a polycentric approach to staffing is likely to suffer from cultural myopia.
7) Firms may choose an ethnocentric approach to staffing as opposed to a polycentric approach
because of the cost savings it promotes.
8) A geocentric approach tends to weaken local responsiveness.
9) The geocentric approach is the most popular because it is the least expensive to implement.
10) A citizen of Japan who moves to the United States to work at Microsoft would be classified as
an inpatriate.
11) Expatriate failure refers to a manager's failure to understand host-country cultural norms and
values, leading to ineffective work.
12) In a seminal study, R.L. Tung revealed that for European firms, the top reason for expatriate
failure was the inability of the manager to cope with larger overseas responsibilities.
13) An executive who performs well in a domestic setting may not be able to adapt to managing in
a different cultural setting.
14) An expatriate needs to have language fluency to show willingness to communicate.
15) According to Mendenhall and Oddou, poorly adjusted expatriates tend to be nonjudgmental
and nonevaluative in interpreting the behavior of host-country nationals.
16) Cultural toughness refers to the relationship between the country of assignment and how well
an expatriate adjusts to a particular posting.
17) A manager might be sent on several foreign postings over a number of years to build his or her
cross-cultural sensitivity and experience as part of a management development program.
18) Selection is the first step in matching a manager with a job.
19) Historically, most international businesses have been more concerned with training than with
management development, focusing on preparing home-country nationals for foreign postings.
20) Most managers believe that knowledge of a foreign language is necessary to succeed in an
international posting.
21) Where an expatriate community exists, firms often devote less effort to ensuring that the new
expatriate family is quickly integrated into that group.
22) A firm's performance appraisal systems are an important element of its control systems.
23) Most expatriates believe that more weight should be given to an on-site manager's appraisal
than to an off-site manager's appraisal.
24) In polycentric firms, the lack of managers' mobility among national operations implies that pay
can and should be kept country-specific.
25) Base pay in most firms is set with regard to global market conditions.
26) From a strategic perspective, the key issue in international labor relations is the degree to
which organized labor can limit the choices of an international business.
27) Labor unions generally prefer it if an international business keeps highly skilled tasks in its
home country and farms out only low-skilled tasks to foreign plants.
28) Union influence in the auto industry is increasing in part due to Japanese carmakers building
autos in the United States.
29) The international trade secretariats have had tremendous success.
