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What is the most common approach to expatriate pay?


A) Merit approach
B) Correspondence approach
C) Balance sheet approach
D) Parity approach

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

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Firms that emphasize localization try to create value by emphasizing:


A) local responsiveness.
B) ethnocentrism.
C) brand consciousness.
D) repatriation.

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

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What is ITS? What are the impediments to the strategies used by organized labor?

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In the 1960s,organized labor began to es...

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One advantage of adopting a polycentric approach is that the firm is less likely to suffer from:


A) higher fixed costs.
B) skill deficits.
C) corporate center control.
D) cultural myopia.

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

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A firm's performance appraisal systems are an important element of its control systems. strategy and the attainment of a competitive advantage.

A) True
B) False

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

A) True
B) False

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_____ are a subset of expatriates who are citizens of a foreign country working in the home country of their multinational employer.


A) Immigrants
B) Inpatriates
C) Third-country nationals
D) Host-country nationals

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

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A disadvantage of ethnocentric staffing is that it produces resentment in the home country.

A) True
B) False

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According to Mendenhall and Oddou,what are the four dimensions that seem to predict success in a foreign posting? Explain any two of them.

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Mendenhall and Oddou identified four dim...

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According to Mendenhall and Oddou,the _____ dimension refers to the relationship between the country of assignment and how well an expatriate adjusts to a particular posting.


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

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

Correct Answer

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Which of the following countries provides the highest pay to company CEOs?


A) Switzerland
B) The United States
C) Japan
D) Australia

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

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Many Americans regard Great Britain as a relatively easy foreign posting.This example pertains to the perceptual ability dimension identified by Mendenhall and Oddou.

A) True
B) False

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Which of the following actions is taken by organized labor in response to the increased bargaining power of multinational corporations?


A) Trying to impose regulations on multinationals through organizations such as GATT
B) Trying to achieve international regulations on multinationals through such organizations as the United Nations
C) Trying to establish regional boards
D) Trying to lobby multinational corporations to restrict their global reach to three or fewer foreign countries

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

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Discuss the issue of expatriate compensation.

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Substantial differences exist in the com...

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One of the reasons firms pursue a polycentric staffing policy is that it is the best way to maintain a unified corporate culture.

A) True
B) False

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Which of the following is an advantage of adopting a geocentric staffing approach?


A) The multinational composition of the team reduces cultural myopia and enhances local responsiveness.
B) It is inexpensive to implement.
C) It reduces the costs of value creation.
D) The firm may believe the host country lacks qualified individuals to fill senior management positions.

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

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Discuss how unintentional bias is a problem for performance appraisal of expatriates,and some guidelines for performance appraisal in these situations.

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Unintentional bias makes it difficult to...

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The ideological similarity between union leaders in different countries has made cooperation easy.

A) True
B) False

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Which approach attempts to provide expatriates with the same standard of living in their host countries as they enjoy at home plus a financial inducement for accepting an overseas assignment?


A) Merit approach
B) Correspondence approach
C) Parity approach
D) Balance sheet approach

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

Correct Answer

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With regard to the types of allowances often included in an expatriate's compensation package,a(n) _____ allowance is paid when the expatriate is being sent to a difficult location.


A) education
B) housing
C) hardship
D) cost-of-living

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

Correct Answer

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