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30) A strong ________, the organization's norms and value systems, can help a firm to implement
its strategy.
A) corporate culture
B) human resources division
C) mission statement
D) beliefs systems
31) What is an advantage of the geocentric staffing policy?
A) It enables the firm to grow its human resources department.
B) It enables the firm to build a cadre of international executives who feel at home working in a
number of cultures.
C) It enables the firm to build a cadre of home-country executives.
D) Firms may be better able to create value despite adverse experience curves and poor location
economies.
32) Which policy is mainly concerned with the selection of employees for particular jobs?
A) retention policy
B) staffing policy
C) incentive policy
D) appraisal policy
33) A Japanese firm prefers expatriate Japanese managers to head its foreign operations because
these managers have been socialized into the firm while employed in Japan. This indicates that the
firm
A) believes that such managers cannot progress beyond middle-manager positions in their parent
company.
B) follows an ethnocentric staffing policy to maintain a unified corporate culture.
C) is trying to create value by transferring core competencies to a foreign operation.
D) requires host-country nationals to be recruited to manage subsidiaries.
34) In an ethnocentric staffing policy,
A) all key management positions are filled by host-country nationals.
B) host-country nationals are recruited to manage subsidiaries.
C) all key management positions are filled by parent-country nationals.
D) the best people are recruited for key jobs throughout the organization, regardless of nationality.
35) Cultural myopia refers to a firm's failure to
A) adapt to certain ethnocentric cultures.
B) act confidently in host countries.
C) understand host-country cultural differences.
D) prevent gender discrimination within the firm.
36) What is the difference between an ethnocentric and a polycentric staffing approach?
A) An ethnocentric staffing approach alleviates cultural myopia, while a polycentric staffing
approach can lead to cultural myopia.
B) An ethnocentric staffing approach may be more expensive compared to a polycentric staffing
approach.
C) An ethnocentric staffing approach seeks host-country nationals for all key positions, while a
polycentric staffing approach seeks the best people for key jobs regardless of nationality.
D) An ethnocentric staffing approach is now used in most international businesses, while the
polycentric staffing approach is on the wane.
37) If a company recruits host-country nationals to manage subsidiaries while parent-country
nationals occupy key positions at corporate headquarters, the firm is following ________ staffing
policy.
A) a polycentric
B) an ethnocentric
C) a geocentric
D) an internal
38) Which of the following is a drawback of the polycentric approach to staffing?
A) Firms are likely to suffer from cultural myopia.
B) Host-country nationals are vulnerable to cultural misunderstandings.
C) This approach increases the cost of value creation.
D) Host-country nationals have limited opportunities for advancement beyond senior positions in
their subsidiary.
39) ________ seeks the best people for key jobs throughout the organization, regardless of
nationality.
A) A polycentric staffing policy
B) An ethnocentric staffing policy
C) A geocentric staffing policy
D) A uniform staffing policy
40) A polycentric approach may be effective for firms pursuing
A) an international strategy.
B) a localization strategy.
C) a transnational strategy.
D) a global standardization strategy.
41) A firm using a polycentric staffing policy will
A) be less likely to suffer from cultural myopia.
B) seek the best people for key jobs throughout the organization, regardless of nationality.
C) most likely follow an ethnocentric strategy.
D) be likely to have improved communication between host-country managers and parent-country
managers.
42) What is the most important advantage of using a geocentric staffing policy?
A) It enables the firm to build a cadre of international executives who feel at home working in a
number of cultures.
B) It may be less expensive to implement than other policies, reducing the costs of value creation.
C) The higher pay managers on an international fast track enjoy is a source of inspiration within a
firm.
D) It reduces the need for futile and time-consuming documentation.
43) An ethnocentric approach to staffing is appropriate for firms that are pursuing
A) a localization strategy.
B) an international strategy.
C) a global standardization strategy.
D) a transnational strategy.
44) Which of the following staffing approaches will be most effective for a firm that is pursuing a
transnational strategy?
A) a polycentric staffing policy
B) an ethnocentric staffing policy
C) a geocentric staffing policy
D) an internal staffing policy
45) A geocentric staffing policy
A) requires host-country nationals to be recruited to manage subsidiaries, while parent-country
nationals occupy key positions at corporate headquarters.
B) leads to ineffective use of human resources.
C) requires extensive documentation.
D) is compatible with both international and localization strategy.
46) An organization's norms and value systems are known as its
A) corporate culture.
B) mission statement.
C) human resources.
D) organizational structure.
47) A firm with ________ staffing policy will fill all key management positions with
parent-country nationals.
A) a geocentric
B) an ethnocentric
C) a eurocentrict
D) a polycentric
48) A firm following ________ approach to staffing believes that the host-country nationals
should be recruited to manage subsidiaries, while parent-country nationals occupy key positions at
corporate headquarters.
A) a geocentric
B) a eurocentric
C) a polycentric
D) an ethnocentric
49) ________ staffing policy seeks the best people for key jobs throughout the organization,
regardless of nationality.
A) An ethnocentric
B) A polycentric
C) A eurocentric
D) A geocentric
