2026 QUESTIONS WITH CORRECT
ANSWERS GRADED A+
◍ Which one is not one of the most important reasons for members to form
international alliances?.
Answer: competitive advantage
◍ What is the first thing to consider when developing a training program in a
foreign subsidiary?.
Answer: The Local Culture. Before designing and implementing any
training program abroad, you must understand the cultural context of the
host country. Culture influences how people learn, how they interact with
trainers, how they perceive authority, and what motivates them.
◍ A human resources (HR) manager is evaluating work roles and categorizing
them in order based on each role's perceived value in relation to others
within the company. Which evaluation method is the HR manager
applying?.
Answer: Job-ranking
◍ What are the three factors of successful expatriation?.
Answer: AdjustmentThe expatriate’s ability to adapt to the host country’s
culture, language, work environment, and lifestyle.Involves both
professional adjustment (on the job) and personal/family adjustment
(outside of work)Includes coping with culture shock, building local
relationships, and adapting to different business norms2. PerformanceThe
expatriate’s ability to meet or exceed job expectations in the foreign
assignment.Successful expatriates apply their skills effectively in a new and
often complex environmentPerformance is measured by goal achievement,
leadership impact, and contribution to business strategy3. Retention (or
, Commitment)The long-term retention and engagement of the expatriate,
especially after the assignment ends (during repatriation).Includes the
organization’s ability to:Reintegrate the employee successfullyLeverage
their international experienceProvide meaningful career paths
post-assignment
◍ Achieving balance between centralized consistency and de-centralized
autonomy requires continual evaluation and discussion..
Answer: TRUE
◍ Which external factor impacts a company's strategy.
Answer: Assessing the local labor market to find candidates
◍ Which form of indirect compensation can a firm use to help reach its
strategic goals and keep costs down?.
Answer: Employee benefits
◍ Regiocentric Staffing Approach.
Answer: The regiocentric approach is when an MNE hires and promotes
employees within a specific geographic region, rather than focusing solely
on home-country or host-country nationals.Staffing decisions are made
regionally (e.g., Europe, Asia-Pacific, Latin America), and managers may be
transferred within that region, but not necessarily globally.Key
Characteristics:Employees are transferred within the same region, not
globally or just locallyRegional headquarters may coordinate staffing and
decision-makingFocuses on building regional talent pipelinesCommon in
companies that divide operations by regions (e.g., Asia-Pacific, EMEA,
Latin America)Disadvantages:Limited Global IntegrationMay create
regional silos with less alignment to global HQ strategyCareer Ceiling for
Regional TalentEmployees may struggle to move into global roles outside
their regionPotential Inconsistencies Between RegionsHR practices and
leadership styles may differ widely across regionsExample:A U.S.-based
multinational divides its operations into Asia-Pacific (APAC),
Europe-Middle East-Africa (EMEA), and Americas. A Malaysian manager
might be assigned to a leadership role in Thailand or Singapore but not in
, Europe or the U.S.
◍ How is an implied contract created?.
Answer: By actions of the employer and the employee
◍ A firm offers an individual a job paying $40,000 per year selling widgets.
The employee counter-offers by requesting that he be paid $2,000 per
widget sale that he closes. Which pay structures are being discussed?.
Answer: The firm is offering fixed compensation, while the employee is
requesting variable compensation.
◍ Individuals' preferred team roles impact the overall effectiveness of teams,
but do not adequately take into account the global and cultural context in
which teams now increasingly must operate, such as their increased size..
Answer: TRUE
◍ Under Co-determination, what are the three corresponding systems of
co-decisions:.
Answer: Information sharing, constultation and Co-Determination
◍ 4. Inpatriates (Inpats).
Answer: Employees who are from a foreign subsidiary but are brought to
work at the corporate headquarters.Helps develop global talent
pipelinesEnhances HQ's understanding of international operationsExample:
A Chinese employee from a Shanghai subsidiary is assigned to work at the
headquarters in New York.
◍ A Human resources manager needs to determine the performance criteria for
the company's marketing positions.Which part of the performance
management system should the HR manager consult for this information?.
Answer: Job analysis
◍ Codes of conduct should not be defended as the "company culture"..
Answer: FALSE
◍ What is an emerging interdisciplinary field that refers to the processes of
influencing foreign government policy and regulatory decisions that affect
, global trade?.
Answer: Global Governance is an emerging interdisciplinary field that
studies how international organizations, governments, corporations, and
non-state actors influence and shape global policies, regulations, and trade
decisions.
◍ A firm is hiring several new employees. The new employees are largely
inexperienced and unfamiliar with the company and its methods of
conducting business. Given this, the firm plans to have an orientation period
for all new hires and hopes the orientation will reduce the stress associated
with the new job for the new employees..
Answer: It will help the new employees understand what is expected of
them.
◍ Which benefit would an organization that uses diversity strategies
experience?.
Answer: Increased creativity
◍ Factors such as economics, labor relations, laws and regulations, and the
level of government-provided and -mandated benefits play a limited role in
Global C&
B. .
Answer: FALSE
◍ Home-Country Spendable.
Answer: refers to the portion of an expatriate's salary that is typically spent
on day-to-day living expenses (like food, transportation, entertainment,
clothing, etc.) in their home country — and is used as a baseline to calculate
cost-of-living allowances for international assignments.
◍ What is the focus on comparative IHRM.
Answer: the focus of Comparative International Human Resource
Management (Comparative IHRM) is on analyzing and understanding how
HR practices and employment systems differ across countries and cultures,
and what factors influence those differences.