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The stage of international involvement at which a company first starts a joint venture, if

The stage of international involvement at which a company first starts a joint venture, if it chooses to do so, is most likely stage:

A) 1.

B) 2.

C) 3.

D) 4.

31) Brantley Services deliberately downplays the fact that it is a U.S. firm and actively searches internationally to fill key positions with the best people. Brantley is most likely using a(n) ________ approach to management.

A) ethnocentric

B) polycentric

C) geocentric

D) multinational

32) Van Siclen and Company is a German firm that fills top management and other key positions with Germans. Van Siclen is most likely using a(n) ________ approach to managing its international subsidiaries.

A) ethnocentric

B) polycentric

C) geocentric

D) multinational

33) When General Electric chose to staff its Hungarian subsidiary with Hungarian nationals, it was using a(n) ________ approach to management.

A) ethnocentric

B) polycentric

C) geocentric

D) multinational

34) It has been estimated that using an expatriate costs ________ more than a local employee.

A) 200%-400%

B) 500%-1,000%

C) 1,000%-2,000%

D) 3,000%-5,000%

35) Which of the following is an advantage of using expatriates in international subsidiaries?

A) Labor costs are lower for an expatriate than for a local worker.

B) Using an expatriate increases recognition of the company within the local community.

C) An expatriate allows the home company to maintain close control of the foreign subsidiary.

D) The use of an expatriate increases the motivation and morale of local managers and workers.

36) Which of the following is an advantage of using local employees in international subsidiaries?

A) Difficult decisions are often handled earlier by local employees than by expatriates.

B) A local manager is better able to balance local demands with the firm's international priorities.

C) Using a local employee ensures transfer of management practices from the home company to the subsidiary.

D) Using local employees increases the community's acceptance of the company as a legitimate participant in the local economy.

37) The use of local nationals as managers in foreign subsidiaries will most likely:

A) act as a disincentive to local morale and motivation.

B) create problems of adaptability due to the lack of cultural flexibility.

C) lead to the postponement of difficult local decisions until they are unavoidable.

D) lead to increased government restrictions regarding transfers, salaries, and taxes.

38) It is best to use an expatriate when:

A) the international and domestic units are highly independent.

B) the political situation is unstable.

C) there are minimal cultural differences between the host and home countries.

D) a shared corporate identity is not important.

Dec 12 2019 View more View Less

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