Question 1

Which of the following best summarizes the goal of cross-cultural awareness training for expatriates?

Accepted Answer

A)  It enables expatriates to cope with reverse-culture shock. 
B)  It enables expatriates to share knowledge with host-country nationals more effectively. 
C)  It enables expatriates to significantly upgrade their technical skills. 
D)  It enables expatriates to effectively communicate with local customers and employees and be sensitive to the host-country's culture. 
A)  It enables expatriates to cope with reverse-culture shock. 
B)  It enables expatriates to share knowledge with host-country nationals more effectively. 
C)  It enables expatriates to significantly upgrade their technical skills. 
D)  It enables expatriates to effectively communicate with local customers and employees and be sensitive to the host-country's culture.

Question 2

Foreign subsidiaries are never staffed from the home country.

Accepted Answer

A) True 
 B)False

Question 3

Advanced economies tend to pay higher wages.

Accepted Answer

A) True 
 B)False

Question 4

International Management Qualifications (Scenario)
Core Computer Corporation (CCC) recently opened a customer service facility in New Delhi, India. Managers of the Texas-based firm have been displeased with the local manager hired to run the New Delhi facility because of a variety of problems that took place. CCC managers believe that a representative from the headquarters should manage the Indian facility for one year in order to train personnel and to improve the quality of customer service. Two CCC executives have expressed a desire to work and live in India: Craig Springer and Devon Parks. The CCC human resources department is comparing the qualifications and characteristics of the two men in order to determine which candidate would be the most successful in India.
-Which of the following, if TRUE, most seriously undermines the argument in favor of hiring Devon Parks as manager for CCC's facility in New Delhi?

Accepted Answer

A)  Devon has few local connections in New Delhi, where success is largely determined by local connections and networking. 
B)  CCC wants to maintain strong control over all its foreign operations including India. 
C)  Devon is capable of working independently and with little direction. 
D)  CCC has significantly benefited in the past by hiring PCNs for training local managers in Asia. 
A)  Devon has few local connections in New Delhi, where success is largely determined by local connections and networking. 
B)  CCC wants to maintain strong control over all its foreign operations including India. 
C)  Devon is capable of working independently and with little direction. 
D)  CCC has significantly benefited in the past by hiring PCNs for training local managers in Asia.

Question 5

Which of the following is the best example of a situation in which a firm is compensating an employee with base remuneration?

Accepted Answer

A)  An American engineer working in Japan receives a salary comparable to that of engineers working in the U.S. 
B)  A Dutch computer programmer working in Hong Kong receives an additional payment to cover the cost of relocation. 
C)  A German accountant working in India receives a one-time bonus for the potential hardships of working abroad. 
D)  A British manager working in a civil war-torn zone receives additional allowances for working under perceived threat. 
A)  An American engineer working in Japan receives a salary comparable to that of engineers working in the U.S. 
B)  A Dutch computer programmer working in Hong Kong receives an additional payment to cover the cost of relocation. 
C)  A German accountant working in India receives a one-time bonus for the potential hardships of working abroad. 
D)  A British manager working in a civil war-torn zone receives additional allowances for working under perceived threat.

Question 6

Briefly describe the three types of managers commonly found in the foreign subsidiaries of MNEs. What are the distinctive traits of managers with a global mind-set?

Accepted Answer

There are three types of managers common

Question 7

Which of the following is a recent trend regarding women in business?

Accepted Answer

A)  Companies worldwide are substantially increasing the number of women on foreign assignments. 
B)  The majority of international managers are female. 
C)  Better-educated women are no more likely to obtain jobs than their less-educated counterparts. 
D)  New legislation in Norway requires listed and state-owned companies to ensure that women hold no more than 20 percent of seats on corporate boards. 
A)  Companies worldwide are substantially increasing the number of women on foreign assignments. 
B)  The majority of international managers are female. 
C)  Better-educated women are no more likely to obtain jobs than their less-educated counterparts. 
D)  New legislation in Norway requires listed and state-owned companies to ensure that women hold no more than 20 percent of seats on corporate boards.

Question 8

Critical incident analysis examines ________.

Accepted Answer

A)  a situation under which an MNE is forced to relocate operations abroad 
B)  an episode in which tension arises between employee and foreign counterpart due to a cross-cultural misunderstanding 
C)  an episode in which tension arises between an employee and a manager with regard to performance evaluation 
D)  a critical situation in which the internal stakeholders of a firm fail to reach a consensus with regard to a common issue 
A)  a situation under which an MNE is forced to relocate operations abroad 
B)  an episode in which tension arises between employee and foreign counterpart due to a cross-cultural misunderstanding 
C)  an episode in which tension arises between an employee and a manager with regard to performance evaluation 
D)  a critical situation in which the internal stakeholders of a firm fail to reach a consensus with regard to a common issue

Question 9

Training programs designed for preparing employees for assignments abroad consist of area studies, practical information, and cross-cultural awareness.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following is TRUE about the taxation of expatriates?

Accepted Answer

A)  Expatriates are exempted from paying taxes while working abroad. 
B)  Most employers do not reimburse the extra tax burden incurred by expatriates. 
C)  Most parent countries insist on double taxation for expatriates. 
D)  Most parent-country governments have devised regulations that allow expatriates to minimize double taxation. 
A)  Expatriates are exempted from paying taxes while working abroad. 
B)  Most employers do not reimburse the extra tax burden incurred by expatriates. 
C)  Most parent countries insist on double taxation for expatriates. 
D)  Most parent-country governments have devised regulations that allow expatriates to minimize double taxation.

Question 11

Subsidiary managers are often assessed by multiple evaluators mainly because MNEs are typically characterized by a low level of mutual trust among employees.

Accepted Answer

A) True 
 B)False

Question 12

Cross-cultural awareness training tends to raise intercultural sensitivity and effectiveness.

Accepted Answer

A) True 
 B)False

Question 13

How can international human resource managers effectively minimize culture shock for expatriates?

Accepted Answer

A)  by allowing personnel a short trip to the foreign location before the actual assignment 
B)  by training personnel to understand the host country's government, culture, and language 
C)  by inviting foreign employees to the homes of future expatriates for enhancing cultural awareness 
D)  by asking the expatriate to return to the headquarters 
A)  by allowing personnel a short trip to the foreign location before the actual assignment 
B)  by training personnel to understand the host country's government, culture, and language 
C)  by inviting foreign employees to the homes of future expatriates for enhancing cultural awareness 
D)  by asking the expatriate to return to the headquarters

Question 14

In expatriate compensation, tax equalization is a special consideration.

Accepted Answer

A) True 
 B)False

Question 15

In a short essay, discuss the connection between expatriate assignment failure and culture shock. What are the different components of training designed to prepare expatriates for assignments abroad?

Accepted Answer

Human resource managers need to prepare

Question 16

International Management Position (Scenario)
Global Choppers Inc. is an MNE based in Vancouver that manufactures high-quality motorcycles for sale around the world. The majority of design work is done at the Vancouver headquarters, but manufacturing and assembly are performed in company facilities located in Romania. In order to maintain control over manufacturing quality, Global Choppers sends representatives from the company headquarters to manage the Romanian facility for one-year rotations. Conrad O'Neil has been selected to run the foreign facility for the upcoming year. The human resources department of Global Choppers will be preparing him for his foreign assignment through a variety of training methods.
-The human resources department of Global Choppers designs trainings for employees in a way that helps them avoid the self-reference criterion. This implies that the training designed by the human resources department of Global Choppers ________.

Accepted Answer

A)  helps counter the tendency of viewing foreign assignments with suspicion and distrust 
B)  does not emphasize cultural awareness 
C)  is inadequately equipped to enhance the cultural intelligence of employees 
D)  helps counter the tendency of viewing other cultures through the lens of one's own culture 
A)  helps counter the tendency of viewing foreign assignments with suspicion and distrust 
B)  does not emphasize cultural awareness 
C)  is inadequately equipped to enhance the cultural intelligence of employees 
D)  helps counter the tendency of viewing other cultures through the lens of one's own culture

Question 17

Which of the following measures would a progressive firm most likely take to ensure female equality in international business?

Accepted Answer

A)  encourage senior executives to learn multiple foreign languages 
B)  limit the number of female executives for international executive posts 
C)  deny leadership roles in foreign assignments to men 
D)  have female executives serve as mentors and role models for aspiring women 
A)  encourage senior executives to learn multiple foreign languages 
B)  limit the number of female executives for international executive posts 
C)  deny leadership roles in foreign assignments to men 
D)  have female executives serve as mentors and role models for aspiring women

Question 18

International Management Qualifications (Scenario)
Core Computer Corporation (CCC) recently opened a customer service facility in New Delhi, India. Managers of the Texas-based firm have been displeased with the local manager hired to run the New Delhi facility because of a variety of problems that took place. CCC managers believe that a representative from the headquarters should manage the Indian facility for one year in order to train personnel and to improve the quality of customer service. Two CCC executives have expressed a desire to work and live in India: Craig Springer and Devon Parks. The CCC human resources department is comparing the qualifications and characteristics of the two men in order to determine which candidate would be the most successful in India.
-Which of the following, if TRUE, would strengthen the argument in favor of hiring a local manager for the New Delhi facility?

Accepted Answer

A)  Indians are mostly multilingual. 
B)  Local connections are crucial to achieve success in the local marketplace in India. 
C)  CCC wants to have strong control over all its foreign operations. 
D)  The quality of labor in New Delhi is no lesser than that in Texas. 
A)  Indians are mostly multilingual. 
B)  Local connections are crucial to achieve success in the local marketplace in India. 
C)  CCC wants to have strong control over all its foreign operations. 
D)  The quality of labor in New Delhi is no lesser than that in Texas.

Question 19

________ refers to the confusion and anxiety experienced by a person who lives in a foreign culture for an extended period, and it can affect the expatriate or family members and results from an inability to cope with the differences experienced in a foreign environment.

Accepted Answer

A)  Culture shock 
B)  Culture pluralism 
C)  Enculturation 
D)  Segregation 
A)  Culture shock 
B)  Culture pluralism 
C)  Enculturation 
D)  Segregation

Question 20

International Management Position (Scenario)
Global Choppers Inc. is an MNE based in Vancouver that manufactures high-quality motorcycles for sale around the world. The majority of design work is done at the Vancouver headquarters, but manufacturing and assembly are performed in company facilities located in Romania. In order to maintain control over manufacturing quality, Global Choppers sends representatives from the company headquarters to manage the Romanian facility for one-year rotations. Conrad O'Neil has been selected to run the foreign facility for the upcoming year. The human resources department of Global Choppers will be preparing him for his foreign assignment through a variety of training methods.
-Conrad's training for his assignment in Romania would most likely include ________.

Accepted Answer

A)  technical training 
B)  area studies 
C)  training on developing global managers 
D)  natural disaster management 
A)  technical training 
B)  area studies 
C)  training on developing global managers 
D)  natural disaster management

Which of the following best summarizes the goal of cross-cultural awareness training for expatriates?

Foreign subsidiaries are never staffed from the home country.

Advanced economies tend to pay higher wages.

Which of the following is the best example of a situation in which a firm is compensating an employee with base remuneration?

Briefly describe the three types of managers commonly found in the foreign subsidiaries of MNEs. What are the distinctive traits of managers with a global mind-set?

Which of the following is a recent trend regarding women in business?

Critical incident analysis examines ________.

Training programs designed for preparing employees for assignments abroad consist of area studies, practical information, and cross-cultural awareness.

Which of the following is TRUE about the taxation of expatriates?

Subsidiary managers are often assessed by multiple evaluators mainly because MNEs are typically characterized by a low level of mutual trust among employees.

Cross-cultural awareness training tends to raise intercultural sensitivity and effectiveness.

How can international human resource managers effectively minimize culture shock for expatriates?

In expatriate compensation, tax equalization is a special consideration.

In a short essay, discuss the connection between expatriate assignment failure and culture shock. What are the different components of training designed to prepare expatriates for assignments abroad?

Which of the following measures would a progressive firm most likely take to ensure female equality in international business?

________ refers to the confusion and anxiety experienced by a person who lives in a foreign culture for an extended period, and it can affect the expatriate or family members and results from an inability to cope with the differences experienced in a foreign environment.

Introduction: What Is International Business

Globalization of Markets and the Internationalization of the Firm

The Cultural Environment of International Business

Ethics, Corporate Social Responsibility, Sustainability and Corporate Governance in International Business

Theories of International Trade and Investment

Political and Legal Systems in National Environments

Government Intervention and Regional Economic Integration

Understanding Emerging Markets

The International Monetary and Financial Environment

Financial Management and Accounting in the Global Firm

Strategy and Organization in the International Firm

Global Market Opportunity Assessment

Exporting and Global Sourcing

Foreign Direct Investment and Collaborative Ventures

Licensing, Franchising, and Other Contractual Strategies

Marketing in the Global Firm

Filters

Exam 17: Human Resource Management in the Global Firm

Which of the following best summarizes the goal of cross-cultural awareness training for expatriates?

Foreign subsidiaries are never staffed from the home country.

Advanced economies tend to pay higher wages.

Which of the following is the best example of a situation in which a firm is compensating an employee with base remuneration?

Briefly describe the three types of managers commonly found in the foreign subsidiaries of MNEs. What are the distinctive traits of managers with a global mind-set?

Which of the following is a recent trend regarding women in business?

Critical incident analysis examines ________.

Training programs designed for preparing employees for assignments abroad consist of area studies, practical information, and cross-cultural awareness.

Which of the following is TRUE about the taxation of expatriates?

Subsidiary managers are often assessed by multiple evaluators mainly because MNEs are typically characterized by a low level of mutual trust among employees.

Cross-cultural awareness training tends to raise intercultural sensitivity and effectiveness.

How can international human resource managers effectively minimize culture shock for expatriates?

In expatriate compensation, tax equalization is a special consideration.

In a short essay, discuss the connection between expatriate assignment failure and culture shock. What are the different components of training designed to prepare expatriates for assignments abroad?

Which of the following measures would a progressive firm most likely take to ensure female equality in international business?

________ refers to the confusion and anxiety experienced by a person who lives in a foreign culture for an extended period, and it can affect the expatriate or family members and results from an inability to cope with the differences experienced in a foreign environment.

Introduction: What Is International Business

Globalization of Markets and the Internationalization of the Firm

The Cultural Environment of International Business

Ethics, Corporate Social Responsibility, Sustainability and Corporate Governance in International Business

Theories of International Trade and Investment

Political and Legal Systems in National Environments

Government Intervention and Regional Economic Integration

Understanding Emerging Markets

The International Monetary and Financial Environment

Financial Management and Accounting in the Global Firm

Strategy and Organization in the International Firm

Global Market Opportunity Assessment

Exporting and Global Sourcing

Foreign Direct Investment and Collaborative Ventures

Licensing, Franchising, and Other Contractual Strategies

Marketing in the Global Firm

Filters