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International Business
Q:
The United States accounted for a significantly larger share of the world economy in 2012 than it did in the 1960s.
Q:
The real costs of information processing and communication have fallen dramatically in the past two decades.
Q:
Containerization has revolutionized the transportation business, significantly lowering the costs of shipping goods over long distances.
Q:
The globalization of markets and production and the resulting growth of world trade, foreign direct investment, and imports all imply that firms are finding it easier to protect themselves from attack by foreign competitors.
Q:
As a result of international trade, the economies of the world's nation-states are becoming less intertwined.
Q:
The lowering of trade and investment barriers allows firms to base production at the optimal location for that activity.
Q:
The Uruguay Round extended GATT to cover services as well as manufactured goods.
Q:
After World War II, the advanced nations of the West committed themselves to increasing barriers to the free flow of goods, services, and capital between nations.
Q:
Foreign direct investment (FDI) occurs when a firm invests resources in business activities outside its home country.
Q:
The IMF is less controversial than its sister institution, the World Bank.
Q:
The WTO is seen as the lender of last resort to nation-states whose economies are in turmoil and whose currencies are losing value against those of other nations.
Q:
The World Trade Organization, the International Monetary Fund and its sister institution the World Bank, and the United Nations were all created by voluntary agreement between individual nation-states.
Q:
Substantial impediments, such as barriers to foreign direct investment, make it difficult for firms to achieve the optimal dispersion of their productive activities to locations around the globe.
Q:
As a result of globalization, companies rarely need to customize marketing strategies, product features, and operating practices in different countries.
Q:
By offering the same basic product worldwide, firms help to create a global market.
Q:
As a result of globalization, we have been moving toward a world in which national economies are relatively self-contained entities.
Q:
What challenges do international labor unions face as they try to accomplish their objectives?
Q:
A major drawback of the staffing policy recommended by Valerie is ________.A) the potential for losing control of the host-country operationsB) the necessity of depending on managers who don't know the local cultureC) the potential for creating legal barriers to host-country operationsD) the high cost of training managers in the language of the host country
Q:
An important advantage of the staffing policy recommended by Valerie is that it ________.A) re-creates local operations in the image of home-country operationsB) eliminates the high cost of relocating expatriate managers and familiesC) helps the company develop global managers who can adjust easily to any business environmentD) sends managers from home to look out for the company's interests
Q:
Which of the following is a drawback of Jerome's staffing approach?A) expense to relocate managersB) potential for losing control of the host-country operationsC) potential for losing control of the home-country operationsD) inability to re-create local operations in the image of the home-country operations
Q:
________ allows labor representatives in Germany to participate in high-level company meetings by actually voting on proposed actions.A) CentralizationB) CodeterminationC) IndividualismD) Authoritarianism
Q:
Large international companies tend to make high-level labor decisions at the home office because ________.
A) it creates a sense of unity and solidarity between the labour unions and management members
B) managers in the home office are better equipped than managers in the host-country office, to handle matters that affect workers personally
C) it places decisions that have a direct impact on host-country workers' lives in the hands of the home-country experts
D) it gives them greater control over their network of operations around the world
Q:
The positive or negative condition of relations between employers and their workers is referred to as ________.
A) international relations
B) labor-management relations
C) corporatism
D) organizational hierarchy
Q:
What factors influence the wages of nonmanagerial workers?
Q:
Briefly explain how companies compensate managers in international markets.
Q:
Compare and contrast the methods of cultural training. Is any single method better than all the others?
Q:
Codetermination allows labor representatives to participate in high-level company meetings.
Q:
Centralizing the decisions that directly impact workers' lives contribute to better labor"management relations.
Q:
The compensation of nonmanagerial workers is strongly influenced by increased cross-border business investment.
Q:
Which of the following is true of employee compensation in international companies?
A) The most common inducement that companies offer managers to accept international postings is free accommodation.
B) Companies need not cover the costs incurred by expatriate managers if the cost of living abroad is lower than that at home.
C) The greater mobility of labor affects the wages of nonmanagerial workers today.
D) Managers recruited from within the host country generally receive a much higher pay and lower perks than managers who work for local companies.
Q:
Managers who are asked to go into a particularly unstable country or one with a very low standard of living often receive a bonus called ________.
A) hardship pay
B) performance-related pay
C) stock options
D) fringe benefits
Q:
The most common inducement that companies offer managers to accept international postings is ________.
A) fringe benefits
B) a financial bonus
C) a vacation
D) free housing
Q:
________ is the process of staffing a company and ensuring that employees are as productive as possible.
A) Business process reengineering
B) Human resource management
C) Organizational diagnostics
D) Industrial relations
Q:
Differentiate between culture shock and reverse culture shock. How can companies help employees deal with such issues?
Q:
Explain the advantages and disadvantages of a geocentric staffing policy, and discuss the effects of culture shock when assigning an employee to work in another country.
Q:
Training local workers on how to work on an assembly line is an example of cultural assimilation.
Q:
Sensitivity training constitutes the most basic level of cultural training for managers on international assignments.
Q:
Guerrilla linguistics is often used in the cultural assimilation stage.
Q:
One lower-level position Erica must fill requires the employee to be familiar with the new market and its customs, traditions, and language. Also, the new hire must be comfortable with Hudson Food's organizational culture and business traditions. Who among the following will Erica most likely recruit for this position?A) a local fresher with strong government contactsB) an existing Hudson Foods employee from the United StatesC) a native of the target market who has completed a one-year internship at Hudson FoodsD) an individual from the U.S. who has experience in the frozen food industry
Q:
If the family finds it difficult to adjust on returning to Japan after three years, they will experience ________.A) social loafingB) reverse culture shockC) expatriate failureD) halo effect
Q:
Mr. Yoshimura's daughters are extremely unhappy and have been complaining every night about their lifestyle in the United States. They insist on returning to Japan. If Mr. Yoshimura gives in to his family members' pleas and decides to return home, which of the following will most likely be true about his experience?A) He and his family will experience reverse culture shock.B) He will leave his company within one year of returning home.C) His case will represent an instance of expatriate failure.D) He will be terminated from employment for failing to complete his assignment.
Q:
Mr. Yoshimura and his family were initially very excited to see Tennessee but soon started missing their home, relatives and friends in Japan. They are facing ________.A) culture shockB) reverse culture shockC) expatriate failureD) cultural cringe
Q:
To teach its employees the values, attitudes, manners, and customs of the host-country culture, Gem Jewels should offer ________.A) language trainingB) environmental briefingsC) cultural assimilationD) field experience
Q:
If Gem Jewels wants its employees to get "into the minds" of the local people, it should provide ________.A) language trainingB) sensitivity trainingC) cultural orientationsD) environmental briefings
Q:
If Gem Jewels wants its employees to get "under the skin" of the local people, it should provide ________.A) language trainingB) sensitivity trainingC) cultural orientationsD) field experience
Q:
The most basic level of training that can be given to the managers is ________.A) language trainingB) field experienceC) sensitivity trainingD) environmental briefings
Q:
Which of the following international assignment preparation methods involves a trainee feeling the stresses inherent in living in the culture?A) language trainingB) field experienceC) sensitivity trainingD) cultural orientation
Q:
Which of the following training approaches involve employees visiting another culture, walking the streets of its cities and villages, and becoming absorbed by the culture for a short time?A) language trainingB) field experienceC) sensitivity trainingD) cultural orientation
Q:
Which of the following approaches to cultural training gets a trainee "under the skin" of the local people?
A) language training
B) cultural narcissism
C) sensitivity training
D) cultural orientation
Q:
Which of the following trains managers to be considerate and understanding of other people's feelings and emotions?A) cultural orientationB) sensitivity trainingC) language trainingD) cultural narcissism
Q:
Which of the following methods of cultural training involves the use of guerilla linguistics?A) cultural orientationB) language trainingC) cultural assimilationD) cultural narcissism
Q:
________ teaches an expatriate a culture's values, attitudes, manners, and customs.A) Cultural assimilationB) Cultural orientationC) Language trainingD) Cultural environmentalism
Q:
Which of the following is the correct order of the different methods of cultural training from the least advanced to the most advanced?
A) environmental briefings; language training; cultural orientations
B) cultural orientations; field experience; language training
C) cultural assimilation; language training; field experience
D) sensitivity training; cultural orientations; field experience
Q:
Which of the following offers insight into a host country's political, legal, economic, and social institutions as a way of enhancing environmental briefings?
A) language training
B) field experience
C) sensitivity training
D) cultural orientation
Q:
A manager could most likely gain information on a local area's housing, health care, transportation, schools, and climate by participating in ________.
A) language training
B) environmental briefings
C) field experience
D) sensitivity training
Q:
Which of the following constitutes the most basic level of training to prepare managers for international assignments?
A) environmental briefings
B) language training
C) cultural assimilation
D) field experience
Q:
Explain why a person's ability to bridge cultural differences must be considered during "selection" for international assignments. How can eTraining help in bridging cultural differences?
Q:
Describe the differences between human resource management in a domestic setting and an international setting, and explain the three phases of human resources planning.
Q:
Reverse culture shock is much milder than the initial culture shock an expatriate faces.
Q:
The psychological process of readapting to one's home culture is seldom difficult for expatriates who have successfully adapted to new cultures.
Q:
Expatriate failure refers to an employee's early return from an international assignment because of inadequate job performance.
Q:
Reverse culture shock is the trouble expatriates face while adjusting to a new environment in which they find themselves.
Q:
The process of identifying and attracting a qualified pool of applicants for vacant positions is called selection.
Q:
Companies typically recruit locally for nonmanagerial positions.
Q:
To speed up the process of getting government approval for local operations, companies must hire home country nationals.
Q:
The process of recruitment involves screening and hiring the best-qualified applicants with the greatest performance potential.
Q:
The process of reducing the size of an organization's workforce is called decruitment.
Q:
The new subsidiary's production facilities will employ approximately 100 full-time nonmanagerial workers. Who among the following will Erica most likely recruit to fill these positions?A) highly productive workers relocated from developing nationsB) bilingual U.S. citizens who speak the language of the host countryC) qualified workers from the local marketD) workers from the American headquarters who are interested in gaining international experience
Q:
One challenge facing Hudson Foods as it expands into Europe is getting through all the bureaucratic and legal regulations surrounding the food industry. Erica plans to hire a manager to ensure that this challenge is overcome. Who among the following will Erica most likely recruit for this position?A) a local manager with strong government contactsB) an experienced manager from the Hudson Foods U.S. headquartersC) a native of the target market who is a recent U.S. college graduateD) a candidate from the U.S. with extensive management experience in the frozen food industry
Q:
Which of the following is most likely to occur in the honeymoon stage of culture shock?A) new arrivals are fascinated by aspects of the new cultureB) individuals become annoyed by unpredictable quirks of the new cultureC) emotions hit rock bottom for visitorsD) visitors better understand and appreciate local customs and behavior
Q:
Which of the following is a reason why there are only a few managers who are ready and willing to go to foreign branches on short notice?A) expatriate failureB) decruitmentC) culture shockD) social loafing
Q:
An expatriate manager who returns after a few years from an overseas assignment to find that there is no position for him in his home country office experiences a(n) ________.A) reverse culture shockB) expatriate failureC) cognitive dissonanceD) assimilation effect
Q:
The psychological process of readapting to one's home culture after working in a host-country culture is called ________.A) social loafingB) assimilation effectC) reverse culture shockD) expatriate failure
Q:
Which of the following is a psychological process affecting employees living abroad and is characterized by homesickness, irritability, confusion, aggravation, and depression?A) social loafingB) groupthinkC) culture shockD) halo effect
Q:
The early return by an employee from an international assignment because of inadequate job performance is called ________.
A) culture shock
B) decruitment
C) reverse culture shock
D) expatriate failure
Q:
The process of screening and hiring the best-qualified applicants with the greatest performance potential is called ________.
A) performance appraisal
B) orientation
C) recruitment
D) selection
Q:
Companies typically recruit ________ to train individuals placed in more demanding nonmanagerial positions at foreign branches.
A) workers from the local market
B) recent college graduates from the host country
C) qualified third-party nationals
D) specialists from the home country
Q:
________ would most likely be recruited for nonmanagerial positions at foreign subsidiaries that do not require specialized skills.
A) Recent graduates from colleges in the home country
B) Home-country specialists
C) Workers from the local host-country market
D) Current employees from the company headquarters
Q:
To help speed up the process of getting approvals for local operations, a firm would most likely benefit from hiring ________.
A) home-country managers from the company's headquarters
B) managerial talent from the host country
C) recent college graduates trained in the home country
D) third-country expatriates with extensive experience in the field
Q:
Which of the following terms is defined as the process of identifying and attracting a qualified pool of applicants for vacant positions?
A) orientation
B) outsourcing
C) recruitment
D) selection