Question 1    Multiple Choice  0 of 1 point(s)    
  
High transportation costs, trade barriers, and problems with local marketing agents are all disadvantages of:  
 Your Answer:  licensing  
Correct Answer:  exporting  
Feedback: Difficulty: MediumPage: 487 
 


  Question 2    Multiple Choice  0 of 1 point(s)    
  
Suppose Apple Computer granted a France company the rights to manufacture keyboards in France in exchange for a royalty fee. This type of arrangement is referred to as a:  
 Your Answer:  franchising agreement.  
Correct Answer:  licensing agreement.  
Feedback: Difficulty: MediumPage: 488-489 
 


  Question 3    Multiple Choice  0 of 1 point(s)    
  
Under a(n) _____ agreement, a firm might license some valuable intangible property to a foreign partner, but in addition to a royalty payment, the firm might also request that the foreign partner license some of its valuable know-how to the firm.  
 Your Answer:  inter-licensing  
Correct Answer:  cross-licensing  
Feedback: Difficulty: MediumPage: 489-490 
 


  Question 4    Multiple Choice  0 of 1 point(s)    
  
Which of the following is not an advantage of a wholly owned subsidiary?  
 Your Answer:  Ability to realize location and experience economies  
Correct Answer:  Low development costs and risks  
Feedback: Difficulty: MediumPage: 494 
 


  Question 5    True/False  0 of 1 point(s)    
  
The ability to realize location and experience curve economies are advantages of franchising as a mode of foreign market entry.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 495 
 


  Question 6    Multiple Choice  0 of 1 point(s)    
  
Which of the following industries are turnkey projects the most common in?  
 Your Answer:  Fresh fruit, grain, and meat products  
Correct Answer:  Chemical, pharmaceutical, and metal refining  
Feedback: Difficulty: MediumPage: 488 
 


  Question 7    Multiple Choice  0 of 1 point(s)    
  
Some _____ percent of the world's FDI flows is now in the form of mergers and acquisitions.  
 Your Answer:  47  
Correct Answer:  78  
Feedback: Difficulty: HardPage: 497 
 


  Question 8    True/False  0 of 1 point(s)    
  
Generally, the most inexpensive method of serving a foreign market is establishing a wholly owned subsidiary.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 494 
 


  Question 9    True/False  0 of 1 point(s)    
  
Firms pursuing global or transnational strategies tend to prefer establishing joint ventures.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 497 
 


  Question 10    True/False  1 of 1 point(s)    
  
Lack of control over technology, inability to realize location and experience curve economies, and inability to engage in global strategic coordination are disadvantages of licensing.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 495 
 

Question 1    Multiple Choice  0 of 1 point(s)    
  
According to a study conducted by R.L. Tung, _____ percent of U.S. multinationals experience expatriate failure rates of 10 percent or more.  
 Your Answer:  91  
Correct Answer:  76  
Feedback: Difficulty: HardPage: 624 
 


  Question 2    Multiple Choice  0 of 1 point(s)    
  
In the context of international labor relations, what does the acronym ITS stands for?  
 Your Answer:  International Trade Secrets  
Correct Answer:  International Trade Secretariats  
Feedback: Difficulty: MediumPage: 638 
 


  Question 3    True/False  0 of 1 point(s)    
  
An expatriate's base salary is normally double the base salary for a similar position in his or her home country.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 636 
 


  Question 4    True/False  1 of 1 point(s)    
  
Substantial differences exist in the compensation of executives at the same level in various countries.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: EasyPage: 632 
 


  Question 5    Multiple Choice  0 of 1 point(s)    
  
One of tasks of the _____ function is to foster harmony and minimize conflict between the firm and organized labor.  
 Your Answer:  marketing  
Correct Answer:  human resource  
Feedback: Difficulty: MediumPage: 637 
 


  Question 6    Multiple Choice  1 of 1 point(s)    
  
Only _____ of the firms in the study conducted by R.L. Tung used formal procedures and psychological tests to assess the personality traits and relational abilities of potential expatriates.  
 Your Answer:  5 %  
Correct Answer:  5 %  
Feedback: Difficulty: MediumPage: 628 
 


  Question 7    Multiple Choice  0 of 1 point(s)    
  
The activities an organization carries out to utilize its ____ effectively is referred to as human resource management.  
 Your Answer:  customers  
Correct Answer:  human resources  
Feedback: Difficulty: EasyPage: 618 
 


  Question 8    Multiple Choice  0 of 1 point(s)    
  
In firms pursuing __________ strategies, we might expect the HRM function to pay significant attention to selecting individuals who not only have the skills required to perform particular jobs but who also "fit" the prevailing culture of the firm.  
 Your Answer:  international and global  
Correct Answer:  transnational and global  
Feedback: Difficulty: HardPage: 620 
 


  Question 9    Multiple Choice  0 of 1 point(s)    
  
According to the textbook, in practice, the International Trade Secretariats have had  
 Your Answer:  resounding success.  
Correct Answer:  virtually no success.  
Feedback: Difficulty: MediumPage: 638 
 


  Question 10    Multiple Choice  1 of 1 point(s)    
  
Beth's behavioral style, beliefs, and value system are consistent with that of the company that she works for. She is said to be compatible with her company's  
 Your Answer:  corporate culture.  
Correct Answer:  corporate culture.  
Feedback: Difficulty: MediumPage: 620 
 

Question 1    Multiple Choice  1 of 1 point(s)    
  
“Cultural Myopia” refers to the firm's failure to  
 Your Answer:  understand host-country cultural differences that require different approaches to marketing and management.  
Correct Answer:  understand host-country cultural differences that require different approaches to marketing and management.  
Feedback: Difficulty: HardPage: 622 
 


  Question 2    Multiple Choice  0 of 1 point(s)    
  
According to Mendenhall and Oddou, the attribute of _____ provides an expatriate the ability to understand why people of other countries behave the way they do, that is, the ability to empathize with them.  
 Your Answer:  cultural toughness  
Correct Answer:  perceptual ability  
Feedback: Difficulty: MediumPage: 627 
 


  Question 3    True/False  1 of 1 point(s)    
  
Cultural training seeks to foster an appreciation for the host country's culture.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: EasyPage: 629 
 


  Question 4    Multiple Choice  0 of 1 point(s)    
  
What is the most common approach to expatriate pay?  
 Your Answer:  Merit approach  
Correct Answer:  Balance sheet approach  
Feedback: Difficulty: MediumPage: 634 
 


  Question 5    Multiple Choice  1 of 1 point(s)    
  
From a strategic perspective, the key issue in international labor relations is  
 Your Answer:  the degree to which organized labor can limit the choices of an international business.  
Correct Answer:  the degree to which organized labor can limit the choices of an international business.  
Feedback: Difficulty: MediumPage: 637 
 


  Question 6    True/False  0 of 1 point(s)    
  
An expatriate's base salary is normally double the base salary for a similar position in his or her home country.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 636 
 


  Question 7    Multiple Choice  1 of 1 point(s)    
  
A(n) __________ staffing policy is one in which all key management positions are filled by parent-company nationals.  
 Your Answer:  ethnocentric  
Correct Answer:  ethnocentric  
Feedback: Difficulty: MediumPage: 621 
 


  Question 8    True/False  1 of 1 point(s)    
  
Human resource management refers to the activities an organization carries out to utilize its human resources effectively.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: EasyPage: 618 
 


  Question 9    Multiple Choice  0 of 1 point(s)    
  
What does a firm typically do when a reciprocal tax treaty is not in force?  
 Your Answer:  Pays one-third of the expatriate's income tax in the host country  
Correct Answer:  Pays the expatriate's income tax in the host country  
Feedback: Difficulty: MediumPage: 637 
 


  Question 10    Multiple Choice  0 of 1 point(s)    
  
R.L. TUNG identified all of the following as reasons for expatriate failure among U.S. expatriate managers except  
 Your Answer:  manager's personal or emotional maturity.  
Correct Answer:  poor working conditions overseas.  
Feedback: Difficulty: MediumPage: 624-625 
 

Question 1    Multiple Choice  1 of 1 point(s)    
  
Multidomestic firms try to create value by emphasizing  
 Your Answer:  local responsiveness.  
Correct Answer:  local responsiveness.  
Feedback: Difficulty: HardPage: 619 
 


  Question 2    True/False  1 of 1 point(s)    
  
In most cases, two groups evaluate the performance of expatriate managers, host-nation managers and home-office managers.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 632 
 


  Question 3    Multiple Choice  0 of 1 point(s)    
  
Two advantages of adopting a polycentric approach are:  
 Your Answer:  overcomes lack of qualified managers in host country it is less inexpensive to implement  
Correct Answer:  alleviates cultural myopia and is inexpensive to implement  
Feedback: Difficulty: HardPage: 622 
 


  Question 4    Multiple Choice  0 of 1 point(s)    
  
The type of training that is aimed at helping an expatriate manager and his or her family ease them into day-to-day life in the host country is called  
 Your Answer:  cognitive training.  
Correct Answer:  practical training.  
Feedback: Difficulty: EasyPage: 629 
 


  Question 5    True/False  0 of 1 point(s)    
  
An expatriate's base salary is normally double the base salary for a similar position in his or her home country.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 636 
 


  Question 6    True/False  1 of 1 point(s)    
  
Substantial differences exist in the compensation of executives at the same level in various countries.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: EasyPage: 632 
 


  Question 7    Multiple Choice  1 of 1 point(s)    
  
What four dimensions seem to predict success in expatriate selection according to Mendenhall and Oddou?  
 Your Answer:  Self-orientation, others-orientation, perceptual ability, and cultural toughness  
Correct Answer:  Self-orientation, others-orientation, perceptual ability, and cultural toughness  
Feedback: Difficulty: MediumPage: 627 
 


  Question 8    Multiple Choice  0 of 1 point(s)    
  
Which of the following was identified by R.L. Tung as the number one reason for expatriate failure among U.S. expatriate managers?  
 Your Answer:  Manager's personal or emotional maturity  
Correct Answer:  Inability of spouse to adjust  
Feedback: Difficulty: MediumPage: 624 
 


  Question 9    Multiple Choice  0 of 1 point(s)    
  
What does a firm typically do when a reciprocal tax treaty is not in force?  
 Your Answer:  Pays one-third of the expatriate's income tax in the host country  
Correct Answer:  Pays the expatriate's income tax in the host country  
Feedback: Difficulty: MediumPage: 637 
 


  Question 10    True/False  1 of 1 point(s)    
  
Staffing policy can be a tool for developing and promoting corporate culture.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 620 
 

Question 1    True/False  1 of 1 point(s)    
  
A geocentric staffing policy is one in which all key management positions are filled by parent country nationals.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 621 
 


  Question 2    Multiple Choice  1 of 1 point(s)    
  
A principle concern of domestic unions about multinational firms it that the multinational can counter their bargaining power with  
 Your Answer:  the power to move production to another country.  
Correct Answer:  the power to move production to another country.  
Feedback: Difficulty: MediumPage: 637 
 


  Question 3    Multiple Choice  0 of 1 point(s)    
  
Beth's behavioral style, beliefs, and value system are consistent with that of the company that she works for. She is said to be compatible with her company's  
 Your Answer:  corporate bureaucracy.  
Correct Answer:  corporate culture.  
Feedback: Difficulty: MediumPage: 620 
 


  Question 4    True/False  0 of 1 point(s)    
  
A geocentric staffing policy uses human resources efficiently.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 623 
 


  Question 5    True/False  1 of 1 point(s)    
  
A geocentric staffing policy requires host-country nationals to be recruited to manage subsidiaries, while parent-country nationals occupy key positions at corporate headquarters.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 622 
 


  Question 6    True/False  0 of 1 point(s)    
  
In most cases, two groups evaluate the performance of expatriate managers, host-nation managers and home-office managers.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 632 
 


  Question 7    True/False  0 of 1 point(s)    
  
A citizen of one country who is working abroad in one of the firm's subsidiaries is an expatriate manager.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 618 
 


  Question 8    Multiple Choice  0 of 1 point(s)    
  
A(n) __________ staffing policy is one in which all key management positions are filled by parent-company nationals.  
 Your Answer:  geocentric  
Correct Answer:  ethnocentric  
Feedback: Difficulty: MediumPage: 621 
 


  Question 9    Multiple Choice  0 of 1 point(s)    
  
What does a firm typically do when a reciprocal tax treaty is not in force?  
 Your Answer:  Requires the expatriate to pay his or her own income tax in the host country  
Correct Answer:  Pays the expatriate's income tax in the host country  
Feedback: Difficulty: MediumPage: 637 
 


  Question 10    Multiple Choice  0 of 1 point(s)    
  
From a strategic perspective, the key issue in international labor relations is  
 Your Answer:  the degree to which organized labor resists the transfer of domestic employees to overseas operations.  
Correct Answer:  the degree to which organized labor can limit the choices of an international business.  
Feedback: Difficulty: MediumPage: 637 
 

Question 1    True/False  0 of 1 point(s)    
  
An advantage of an ethnocentric staffing policy is that it alleviates cultural myopia.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 622 
 


  Question 2    Multiple Choice  0 of 1 point(s)    
  
According to Mendenhall and Oddou, the attribute of ______ strengthens an expatriate's self-esteem, self-confidence, and mental well-being.  
 Your Answer:  cultural toughness  
Correct Answer:  self-orientation  
Feedback: Difficulty: MediumPage: 627 
 


  Question 3    True/False  1 of 1 point(s)    
  
Staffing policy can be a tool for developing and promoting corporate culture.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 620 
 


  Question 4    True/False  1 of 1 point(s)    
  
A geocentric staffing policy uses human resources efficiently.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 623 
 


  Question 5    True/False  0 of 1 point(s)    
  
Cultural toughness refers to the fact that how well an expatriate adjusts to a particular posting tends to be related to the number of previous international assignments the expatriate has successfully completed.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 627 
 


  Question 6    True/False  1 of 1 point(s)    
  
Cultural training seeks to foster an appreciation for the host country's culture.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: EasyPage: 629 
 


  Question 7    Multiple Choice  0 of 1 point(s)    
  
Two advantages of adopting a polycentric approach are:  
 Your Answer:  overcomes lack of qualified managers in host country it is less inexpensive to implement  
Correct Answer:  alleviates cultural myopia and is inexpensive to implement  
Feedback: Difficulty: HardPage: 622 
 


  Question 8    Multiple Choice  0 of 1 point(s)    
  
According to a study conducted by R.L. Tung, _____ percent of U.S. multinationals experience expatriate failure rates of 10 percent or more.  
 Your Answer:  91  
Correct Answer:  76  
Feedback: Difficulty: HardPage: 624 
 


  Question 9    Multiple Choice  0 of 1 point(s)    
  
What is the most common approach to expatriate pay?  
 Your Answer:  Merit approach  
Correct Answer:  Balance sheet approach  
Feedback: Difficulty: MediumPage: 634 
 


  Question 10    Multiple Choice  0 of 1 point(s)    
  
In firms pursuing __________ strategies, we might expect the HRM function to pay significant attention to selecting individuals who not only have the skills required to perform particular jobs but who also "fit" the prevailing culture of the firm.  
 Your Answer:  international and global  
Correct Answer:  transnational and global  
Feedback: Difficulty: HardPage: 620 
 



Question 1    Multiple Choice  0 of 1 point(s)    
  
Relationship development and willingness to communication are the two factors that are particularly important in developing a healthy degree of  
 Your Answer:  cultural toughness.  
Correct Answer:  others-orientation.  
Feedback: Difficulty: MediumPage: 627 
 


  Question 2    True/False  1 of 1 point(s)    
  
An expatriate's base salary is normally double the base salary for a similar position in his or her home country.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 636 
 


  Question 3    True/False  0 of 1 point(s)    
  
In most cases, two groups evaluate the performance of expatriate managers, host-nation managers and home-office managers.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 632 
 


  Question 4    Multiple Choice  0 of 1 point(s)    
  
Multidomestic firms try to create value by emphasizing  
 Your Answer:  ethnocentrism.  
Correct Answer:  local responsiveness.  
Feedback: Difficulty: HardPage: 619 
 


  Question 5    True/False  0 of 1 point(s)    
  
European-based multinationals experience a much higher expatriate failure rate than either Japanese or United States multinationals, according to a study conducted by R.L. Tung.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: HardPage: 624 
 


  Question 6    True/False  1 of 1 point(s)    
  
By corporate structure, we mean the organization's norms and value systems.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 620 
 


  Question 7    True/False  0 of 1 point(s)    
  
Human resource management refers to the activities an organization carries out to utilize its human resources effectively.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: EasyPage: 618 
 


  Question 8    Multiple Choice  0 of 1 point(s)    
  
Many Japanese firms prefer their foreign operations to be headed by expatriate Japanese managers because these managers will have socialized into the firm's culture while employed in Japan. This is an example of  
 Your Answer:  polycentricity.  
Correct Answer:  ethnocentricity.  
Feedback: Difficulty: MediumPage: 621 
 


  Question 9    True/False  1 of 1 point(s)    
  
According to a study by R.L. Tung, the number one reason for expatriate failure among U.S. multinationals is the inability of the expatriate manager's spouse to adjust.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 624 
 


  Question 10    Multiple Choice  1 of 1 point(s)    
  
In firms pursuing __________ strategies, we might expect the HRM function to pay significant attention to selecting individuals who not only have the skills required to perform particular jobs but who also "fit" the prevailing culture of the firm.  
 Your Answer:  transnational and global  
Correct Answer:  transnational and global  
Feedback: Difficulty: HardPage: 620 
 


Question 1    True/False  0 of 1 point(s)    
  
Historically, most international businesses have been more concerned with management development than with training.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 628 
 


  Question 2    Multiple Choice  0 of 1 point(s)    
  
According to the textbook, the key to solving expatriate repatriation problems is:  
 Your Answer:  strategic planning  
Correct Answer:  human resource planning  
Feedback: Difficulty: MediumPage: 630 
 


  Question 3    Multiple Choice  0 of 1 point(s)    
  
A principle concern of domestic unions about multinational firms it that the multinational can counter their bargaining power with  
 Your Answer:  wage rates tied to global rather than domestic standards.  
Correct Answer:  the power to move production to another country.  
Feedback: Difficulty: MediumPage: 637 
 


  Question 4    Multiple Choice  1 of 1 point(s)    
  
In the context of international labor relations, what does the acronym ITS stands for?  
 Your Answer:  International Trade Secretariats  
Correct Answer:  International Trade Secretariats  
Feedback: Difficulty: MediumPage: 638 
 


  Question 5    True/False  0 of 1 point(s)    
  
Cultural training seeks to foster an appreciation for the host country's culture.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: EasyPage: 629 
 


  Question 6    Multiple Choice  0 of 1 point(s)    
  
What are the four types of allowances that are often included in an expatriate's compensation package?  
 Your Answer:  Travel allowances, emergency allowances, training allowances, relocation allowances  
Correct Answer:  Hardship allowances, housing allowances, cost-of-living allowances, and education allowances  
Feedback: Difficulty: MediumPage: 635 
 


  Question 7    Multiple Choice  0 of 1 point(s)    
  
Which of the following international strategies is most compatible with a polycentric staffing policy?  
 Your Answer:  International strategy  
Correct Answer:  Multidomestic strategy  
Feedback: Difficulty: MediumPage: 623 
 


  Question 8    True/False  0 of 1 point(s)    
  
Cultural toughness refers to the fact that how well an expatriate adjusts to a particular posting tends to be related to the number of previous international assignments the expatriate has successfully completed.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 627 
 


  Question 9    True/False  0 of 1 point(s)    
  
A geocentric staffing policy uses human resources efficiently.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 623 
 


  Question 10    True/False  0 of 1 point(s)    
  
By corporate structure, we mean the organization's norms and value systems.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 620 
 

Question 1    Multiple Choice  0 of 1 point(s)    
  
From a strategic perspective, the key issue in international labor relations is  
 Your Answer:  the degree to which organized labor increases the costs of conducting international business.  
Correct Answer:  the degree to which organized labor can limit the choices of an international business.  
Feedback: Difficulty: MediumPage: 637 
 


  Question 2    Multiple Choice  1 of 1 point(s)    
  
______ is concerned with the selection of employees for particular jobs.  
 Your Answer:  Staffing policy  
Correct Answer:  Staffing policy  
Feedback: Difficulty: EasyPage: 620 
 


  Question 3    True/False  1 of 1 point(s)    
  
An expatriate's base salary is normally double the base salary for a similar position in his or her home country.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 636 
 


  Question 4    True/False  0 of 1 point(s)    
  
A citizen of one country who is working abroad in one of the firm's subsidiaries is an expatriate manager.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 618 
 


  Question 5    True/False  0 of 1 point(s)    
  
Cultural toughness refers to the fact that how well an expatriate adjusts to a particular posting tends to be related to the number of previous international assignments the expatriate has successfully completed.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 627 
 


  Question 6    Multiple Choice  1 of 1 point(s)    
  
According to a study conducted by R.L. Tung, _____ percent of U.S. multinationals experience expatriate failure rates of 10 percent or more.  
 Your Answer:  76  
Correct Answer:  76  
Feedback: Difficulty: HardPage: 624 
 


  Question 7    True/False  0 of 1 point(s)    
  
According to a study by R.L. Tung, the number one reason for expatriate failure among U.S. multinationals is the inability of the expatriate manager's spouse to adjust.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 624 
 


  Question 8    Multiple Choice  1 of 1 point(s)    
  
A(n) _____ staffing policy requires host country nationals to be recruited to manage subsidiaries, while parent company nationals occupy key positions at corporate headquarters.  
 Your Answer:  polycentric  
Correct Answer:  polycentric  
Feedback: Difficulty: MediumPage: 622 
 


  Question 9    Multiple Choice  0 of 1 point(s)    
  
According to Mendenhall and Oddou, the attribute of _____ provides an expatriate the ability to understand why people of other countries behave the way they do, that is, the ability to empathize with them.  
 Your Answer:  cultural toughness  
Correct Answer:  perceptual ability  
Feedback: Difficulty: MediumPage: 627 
 


  Question 10    True/False  1 of 1 point(s)    
  
Training is a much broader concept than management development.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 628 
 

Question 1    Multiple Choice  0 of 1 point(s)    
  
In firms pursuing __________ strategies, we might expect the HRM function to pay significant attention to selecting individuals who not only have the skills required to perform particular jobs but who also "fit" the prevailing culture of the firm.  
 Your Answer:  international and global  
Correct Answer:  transnational and global  
Feedback: Difficulty: HardPage: 620 
 


  Question 2    True/False  1 of 1 point(s)    
  
According to a study by R.L. Tung, the number one reason for expatriate failure among U.S. multinationals is the inability of the expatriate manager's spouse to adjust.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 624 
 


  Question 3    True/False  0 of 1 point(s)    
  
A geocentric staffing policy uses human resources efficiently.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 623 
 


  Question 4    True/False  0 of 1 point(s)    
  
Cultural training seeks to foster an appreciation for the host country's culture.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: EasyPage: 629 
 


  Question 5    True/False  0 of 1 point(s)    
  
An advantage of an ethnocentric staffing policy is that it alleviates cultural myopia.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 622 
 


  Question 6    True/False  1 of 1 point(s)    
  
By corporate structure, we mean the organization's norms and value systems.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 620 
 


  Question 7    Multiple Choice  0 of 1 point(s)    
  
The activities an organization carries out to utilize its ____ effectively is referred to as human resource management.  
 Your Answer:  customers  
Correct Answer:  human resources  
Feedback: Difficulty: EasyPage: 618 
 


  Question 8    Multiple Choice  0 of 1 point(s)    
  
According to Mendenhall and Oddou, the attribute of ______ strengthens an expatriate's self-esteem, self-confidence, and mental well-being.  
 Your Answer:  perceptual ability  
Correct Answer:  self-orientation  
Feedback: Difficulty: MediumPage: 627 
 


  Question 9    True/False  1 of 1 point(s)    
  
European-based multinationals experience a much higher expatriate failure rate than either Japanese or United States multinationals, according to a study conducted by R.L. Tung.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: HardPage: 624 
 


  Question 10    Multiple Choice  0 of 1 point(s)    
  
In 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.  
 Your Answer:  education  
Correct Answer:  hardship  
Feedback: Difficulty: MediumPage: 636 
 


Question 1    Multiple Choice  0 of 1 point(s)    
  
_______ is a subset of expatriates who are citizens of a foreign country working in the home country of their multinational employer.  
 Your Answer:  Immigrants  
Correct Answer:  Inpatriates  
Feedback: Difficulty: MediumPage: 623 
 


  Question 2    Multiple Choice  0 of 1 point(s)    
  
According to Mendenhall and Oddou, the attribute of ______ strengthens an expatriate's self-esteem, self-confidence, and mental well-being.  
 Your Answer:  cultural toughness  
Correct Answer:  self-orientation  
Feedback: Difficulty: MediumPage: 627 
 


  Question 3    Multiple Choice  0 of 1 point(s)    
  
Dell Computers is not just concerned with hiring people who have the skills required for performing particular jobs; it wants individuals whose behavioral styles, beliefs, and value systems are consistent with those of Dell. This would be an example of  
 Your Answer:  ethnocentrism.  
Correct Answer:  corporate culture.  
Feedback: Difficulty: MediumPage: 620 
 


  Question 4    True/False  0 of 1 point(s)    
  
By corporate structure, we mean the organization's norms and value systems.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 620 
 


  Question 5    Multiple Choice  0 of 1 point(s)    
  
R.L. TUNG identified all of the following as reasons for expatriate failure among U.S. expatriate managers except  
 Your Answer:  manager's personal or emotional maturity.  
Correct Answer:  poor working conditions overseas.  
Feedback: Difficulty: MediumPage: 624-625 
 


  Question 6    True/False  1 of 1 point(s)    
  
Human resource management refers to the activities an organization carries out to utilize its human resources effectively.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: EasyPage: 618 
 


  Question 7    True/False  0 of 1 point(s)    
  
According to the textbook, almost all expatriates believe that a position in a foreign country is beneficial to careers of almost all expatriates because their knowledge is used immensely in their company when they get home.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 629-630 
 


  Question 8    Multiple Choice  0 of 1 point(s)    
  
The type of training that is aimed at helping an expatriate manager and his or her family ease them into day-to-day life in the host country is called  
 Your Answer:  technical training.  
Correct Answer:  practical training.  
Feedback: Difficulty: EasyPage: 629 
 


  Question 9    True/False  1 of 1 point(s)    
  
In most cases, two groups evaluate the performance of expatriate managers, host-nation managers and home-office managers.  
 Your Answer:  true 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 632 
 


  Question 10    Multiple Choice  1 of 1 point(s)    
  
Only _____ of the firms in the study conducted by R.L. Tung used formal procedures and psychological tests to assess the personality traits and relational abilities of potential expatriates.  
 Your Answer:  5 %  
Correct Answer:  5 %  
Feedback: Difficulty: MediumPage: 628 
 

Question 1    Multiple Choice  0 of 1 point(s)    
  
What are the four types of allowances that are often included in an expatriate's compensation package?  
 Your Answer:  Emergency allowances, hardship allowances, training allowances, cost-of-living allowances  
Correct Answer:  Hardship allowances, housing allowances, cost-of-living allowances, and education allowances  
Feedback: Difficulty: MediumPage: 635 
 


  Question 2    Multiple Choice  0 of 1 point(s)    
  
“Cultural Myopia” refers to the firm's failure to  
 Your Answer:  adapt to certain ethnocentric cultures through the expatriate.  
Correct Answer:  understand host-country cultural differences that require different approaches to marketing and management.  
Feedback: Difficulty: HardPage: 622 
 


  Question 3    Multiple Choice  1 of 1 point(s)    
  
According to Mendenhall and Oddou, the attribute of ______ strengthens an expatriate's self-esteem, self-confidence, and mental well-being.  
 Your Answer:  self-orientation  
Correct Answer:  self-orientation  
Feedback: Difficulty: MediumPage: 627 
 


  Question 4    Multiple Choice  0 of 1 point(s)    
  
A principle concern of domestic unions about multinational firms it that the multinational can counter their bargaining power with  
 Your Answer:  work schedules tied to global rather than domestic standards.  
Correct Answer:  the power to move production to another country.  
Feedback: Difficulty: MediumPage: 637 
 


  Question 5    Multiple Choice  0 of 1 point(s)    
  
A(n) __________ staffing policy is one in which all key management positions are filled by parent-company nationals.  
 Your Answer:  geocentric  
Correct Answer:  ethnocentric  
Feedback: Difficulty: MediumPage: 621 
 


  Question 6    Multiple Choice  0 of 1 point(s)    
  
According to a study conducted by R.L. Tung, _____ percent of U.S. multinationals experience expatriate failure rates of 10 percent or more.  
 Your Answer:  17  
Correct Answer:  76  
Feedback: Difficulty: HardPage: 624 
 


  Question 7    Multiple Choice  0 of 1 point(s)    
  
In the context of international labor relations, what does the acronym ITS stands for?  
 Your Answer:  International Trade Sanctions  
Correct Answer:  International Trade Secretariats  
Feedback: Difficulty: MediumPage: 638 
 


  Question 8    True/False  0 of 1 point(s)    
  
Historically, most international businesses have been more concerned with management development than with training.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 628 
 


  Question 9    Multiple Choice  0 of 1 point(s)    
  
In firms pursuing __________ strategies, we might expect the HRM function to pay significant attention to selecting individuals who not only have the skills required to perform particular jobs but who also "fit" the prevailing culture of the firm.  
 Your Answer:  multidomestic and transnational  
Correct Answer:  transnational and global  
Feedback: Difficulty: HardPage: 620 
 


  Question 10    True/False  1 of 1 point(s)    
  
By corporate structure, we mean the organization's norms and value systems.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 620 
 

Question 1    Multiple Choice  0 of 1 point(s)    
  
_______ is a subset of expatriates who are citizens of a foreign country working in the home country of their multinational employer.  
 Your Answer:  Immigrants  
Correct Answer:  Inpatriates  
Feedback: Difficulty: MediumPage: 623 
 


  Question 2    Multiple Choice  0 of 1 point(s)    
  
Many Japanese firms prefer their foreign operations to be headed by expatriate Japanese managers because these managers will have socialized into the firm's culture while employed in Japan. This is an example of  
 Your Answer:  intercentricity.  
Correct Answer:  ethnocentricity.  
Feedback: Difficulty: MediumPage: 621 
 


  Question 3    Multiple Choice  1 of 1 point(s)    
  
According to Mendenhall and Oddou, the attribute of _____ provides an expatriate the ability to understand why people of other countries behave the way they do, that is, the ability to empathize with them.  
 Your Answer:  perceptual ability  
Correct Answer:  perceptual ability  
Feedback: Difficulty: MediumPage: 627 
 


  Question 4    Multiple Choice  1 of 1 point(s)    
  
According to a study conducted by R.L. Tung, _____ percent of U.S. multinationals experience expatriate failure rates of 10 percent or more.  
 Your Answer:  76  
Correct Answer:  76  
Feedback: Difficulty: HardPage: 624 
 


  Question 5    Multiple Choice  0 of 1 point(s)    
  
“Cultural Myopia” refers to the firm's failure to  
 Your Answer:  adapt to certain ethnocentric cultures through the expatriate.  
Correct Answer:  understand host-country cultural differences that require different approaches to marketing and management.  
Feedback: Difficulty: HardPage: 622 
 


  Question 6    Multiple Choice  0 of 1 point(s)    
  
Only _____ of the firms in the study conducted by R.L. Tung used formal procedures and psychological tests to assess the personality traits and relational abilities of potential expatriates.  
 Your Answer:  15%  
Correct Answer:  5 %  
Feedback: Difficulty: MediumPage: 628 
 


  Question 7    True/False  1 of 1 point(s)    
  
Cultural toughness refers to the fact that how well an expatriate adjusts to a particular posting tends to be related to the number of previous international assignments the expatriate has successfully completed.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 627 
 


  Question 8    Multiple Choice  0 of 1 point(s)    
  
What are the four types of allowances that are often included in an expatriate's compensation package?  
 Your Answer:  Travel allowances, emergency allowances, training allowances, relocation allowances  
Correct Answer:  Hardship allowances, housing allowances, cost-of-living allowances, and education allowances  
Feedback: Difficulty: MediumPage: 635 
 


  Question 9    True/False  1 of 1 point(s)    
  
According to the textbook, almost all expatriates believe that a position in a foreign country is beneficial to careers of almost all expatriates because their knowledge is used immensely in their company when they get home.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 629-630 
 


  Question 10    Multiple Choice  1 of 1 point(s)    
  
What does a firm typically do when a reciprocal tax treaty is not in force?  
 Your Answer:  Pays the expatriate's income tax in the host country  
Correct Answer:  Pays the expatriate's income tax in the host country  
Feedback: Difficulty: MediumPage: 637 
 

Question 1    Multiple Choice  0 of 1 point(s)    
  
One estimate of the costs of expatriate failure is that the average cost per failure to the parent company can be as high as ____ times the expatriate's annual domestic salary plus the cost of relocation.  
 Your Answer:  1.5  
Correct Answer:  3  
Feedback: Difficulty: HardPage: 624 
 


  Question 2    True/False  0 of 1 point(s)    
  
Historically, most international businesses have been more concerned with management development than with training.  
 Your Answer:  true 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 628 
 


  Question 3    Multiple Choice  0 of 1 point(s)    
  
“Cultural Myopia” refers to the firm's failure to  
 Your Answer:  adapt to certain ethnocentric cultures through the expatriate.  
Correct Answer:  understand host-country cultural differences that require different approaches to marketing and management.  
Feedback: Difficulty: HardPage: 622 
 


  Question 4    Multiple Choice  0 of 1 point(s)    
  
Which of the following international strategies is most compatible with a polycentric staffing policy?  
 Your Answer:  International strategy  
Correct Answer:  Multidomestic strategy  
Feedback: Difficulty: MediumPage: 623 
 


  Question 5    True/False  1 of 1 point(s)    
  
Training is a much broader concept than management development.  
 Your Answer:  false 
Correct Answer:  false 
Feedback: Difficulty: MediumPage: 628 
 


  Question 6    Multiple Choice  0 of 1 point(s)    
  
The type of training that is aimed at helping an expatriate manager and his or her family ease them into day-to-day life in the host country is called  
 Your Answer:  cognitive training.  
Correct Answer:  practical training.  
Feedback: Difficulty: EasyPage: 629 
 


  Question 7    Multiple Choice  0 of 1 point(s)    
  
_______ is a subset of expatriates who are citizens of a foreign country working in the home country of their multinational employer.  
 Your Answer:  Immigrants  
Correct Answer:  Inpatriates  
Feedback: Difficulty: MediumPage: 623 
 


  Question 8    Multiple Choice  0 of 1 point(s)    
  
Multidomestic firms try to create value by emphasizing  
 Your Answer:  ethnocentrism.  
Correct Answer:  local responsiveness.  
Feedback: Difficulty: HardPage: 619 
 


  Question 9    True/False  0 of 1 point(s)    
  
Staffing policy can be a tool for developing and promoting corporate culture.  
 Your Answer:  false 
Correct Answer:  true 
Feedback: Difficulty: MediumPage: 620 
 


  Question 10    Multiple Choice  0 of 1 point(s)    
  
R.L. TUNG identified all of the following as reasons for expatriate failure among U.S. expatriate managers except  
 Your Answer:  inability of spouse to adjust.  
Correct Answer:  poor working conditions overseas.  
Feedback: Difficulty: MediumPage: 624-625 
 

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