Question 1

Only 20 percent of people globally are covered by any sort of social insurance programs.

Accepted Answer

A) True 
 B)False

Question 2

Expatriates can be compensated for their services in several ways.At one end,their pay can be based on their earnings in the home country.What is at the other end of expatriate pay?

Accepted Answer

A) host-based pay 
B) skill-based pay 
C) balance-sheet pay 
D) third-country-based pay

Question 3

Which of the following is the source of overseas employees that provides the advantages of less cost and greater facility in the language?

Accepted Answer

A) home-country nationals 
B) expatriates 
C) third-country nationals 
D) host-country nationals

Question 4

In general,it is typically better to hire host-country nationals when operating abroad because it is less expensive,it pleases the local government,and it eliminates the problem of employees adjusting to the culture.

Accepted Answer

A) True 
 B)False

Question 5

UVW is an international firm with headquarters in Germany.Its operations in other parts of the world are fully autonomous.What type of firm is UVW?

Accepted Answer

A) a transnational corporation 
B) a global enterprise 
C) a multidomestic corporation 
D) an international corporation

Question 6

Codetermination refers to the training an expatriate manager receives before an international assignment.

Accepted Answer

A) True 
 B)False

Question 7

Learning how people think and act in their relations with others is a part of cultural training that prepares employees for working internationally.

Accepted Answer

A) True 
 B)False

Question 8

The host country is the country in which an international business operates.

Accepted Answer

A) True 
 B)False

Question 9

In some countries,such as India,profit sharing is mandated by law.Thus,companies have to distribute some of their profits to the employees.What is the key reason for this requirement?

Accepted Answer

A) These countries are corrupt,and thus they require foreign firms to bribe the workers. 
B) This is a requirement for all new foreign investments,as mandated by the United Nations. 
C) It is done to punish these companies for colonialism. 
D) It allows for a redistribution of wealth at the firm level.

Question 10

Rand Computers is a mid-sized firm located in Toronto.As a result of personal connections,Rand Computers has started a division in Buffalo,New York.What type of corporation is Rand Computers?

Accepted Answer

A) a multidomestic corporation 
B) a global corporation 
C) an international corporation 
D) a transnational corporation

Question 11

In designing compensation systems,what does the philosophy of "thinking globally and acting locally" mean?

Accepted Answer

A) Expatriates should be rewarded primarily for their local actions. 
B) Pay plans should be originated at the local level but global organizational issues should be considered in pay plan development. 
C) Expatriates should be rewarded for their local actions as well as their performance that impacts the entire organization. 
D) Pay plans should be designed to support the overall strategic intent of the organization and also provide enough flexibility to customize certain policies to meet the needs of employees in specific locations.

Question 12

When an American multidomestic corporation hires a Canadian to work in its offices in India,what is this employee known as?

Accepted Answer

A) a third-country national 
B) a Canadian national 
C) a home country national 
D) a host-country national

Question 13

Managers' attitudes and behaviours are influenced by the society in which they received their education and training.

Accepted Answer

A) True 
 B)False

Question 14

NBC Petroleum Corporation,a French firm,is now establishing a subsidiary in Bangladesh.This represents an early stage of international expansion for the company.What type of employees would NBC Petroleum most likely use?

Accepted Answer

A) home-country nationals 
B) third-country nationals 
C) host-country nationals 
D) expatriates

Question 15

The European Union (EU)was established to facilitate free trade with North America.

Accepted Answer

A) True 
 B)False

Question 16

What is evident when you compare wages and benefits for employees in European countries such as Norway and Denmark to employees in North America?

Accepted Answer

A) There are higher wages and benefits in Europe. 
B) There are lower wages and better benefits in North America. 
C) There are higher wages but lower benefits in North America. 
D) There are higher wages and benefits in North America.

Question 17

Global managers must be capable of managing highly decentralized organizations.

Accepted Answer

A) True 
 B)False

Question 18

What is the specialized agency of the United Nations that promotes the rights of workers?

Accepted Answer

A) the International Labour Organization 
B) the World Trade Organization 
C) the Centre for Labour Standards 
D) the Security Council

Question 19

The balance-sheet approach to compensation refers to designing pay systems that equalize the purchasing power of employees at comparable position levels living overseas and in the home country.

Accepted Answer

A) True 
 B)False

Question 20

Think about a spider's web with the spider in the middle.In this scenario,the spider controls the web from the centre.What type of corporation does this web resemble the most?

Accepted Answer

A) an international corporation 
B) a multidomestic corporation 
C) a global corporation 
D) a transnational corporation

Exam 15: International Human Resources Management

Only 20 percent of people globally are covered by any sort of social insurance programs.

Expatriates can be compensated for their services in several ways.At one end,their pay can be based on their earnings in the home country.What is at the other end of expatriate pay?

Which of the following is the source of overseas employees that provides the advantages of less cost and greater facility in the language?

In general,it is typically better to hire host-country nationals when operating abroad because it is less expensive,it pleases the local government,and it eliminates the problem of employees adjusting to the culture.

UVW is an international firm with headquarters in Germany.Its operations in other parts of the world are fully autonomous.What type of firm is UVW?

Codetermination refers to the training an expatriate manager receives before an international assignment.

Learning how people think and act in their relations with others is a part of cultural training that prepares employees for working internationally.

The host country is the country in which an international business operates.

In some countries,such as India,profit sharing is mandated by law.Thus,companies have to distribute some of their profits to the employees.What is the key reason for this requirement?

Rand Computers is a mid-sized firm located in Toronto.As a result of personal connections,Rand Computers has started a division in Buffalo,New York.What type of corporation is Rand Computers?

In designing compensation systems,what does the philosophy of "thinking globally and acting locally" mean?

When an American multidomestic corporation hires a Canadian to work in its offices in India,what is this employee known as?

Managers' attitudes and behaviours are influenced by the society in which they received their education and training.

NBC Petroleum Corporation,a French firm,is now establishing a subsidiary in Bangladesh.This represents an early stage of international expansion for the company.What type of employees would NBC Petroleum most likely use?

The European Union (EU)was established to facilitate free trade with North America.

What is evident when you compare wages and benefits for employees in European countries such as Norway and Denmark to employees in North America?

Global managers must be capable of managing highly decentralized organizations.

What is the specialized agency of the United Nations that promotes the rights of workers?

The balance-sheet approach to compensation refers to designing pay systems that equalize the purchasing power of employees at comparable position levels living overseas and in the home country.

Think about a spider's web with the spider in the middle.In this scenario,the spider controls the web from the centre.What type of corporation does this web resemble the most?