Complete Solutions
What are the two primary reasons for expatriate assignments?
Correct Answer - personal development in knowledge, skills, and
networks; and transfer of technology
are those employees who are citizens of the country where the
company's branch is located, which is different from the country in
which the company is headquartered.; Thus, for example a US
multinational IBM employs British Citizens in its British operations
Correct Answer - HCN
or expatriate. In an international firm, a PCN is a person whose
nationality is the same as that of the firm, but different from the
country in which they are working: for example, a Japanese manager
working for a UK-based subsidiary of a Japanese company. OR a US
multinational IBM sends US Citizens to Asia-Pacific countries on
assignment. Correct Answer - PCN
In an international firm, a _____ is a person whose nationality is
different from that of the firm, and of the country in which the firm
is operating: for example, a UK manager working for an Australian-
based subsidiary of a Japanese company. OR a US multinational
company sends its Singaporean employees on an assignment to its
Chinese operations Correct Answer - TCN
a firm which owns or controls business activities in more than one
foreign country Correct Answer - MNE
____ can be defined using headcount, annual turnover, or the annual
balance sheet total. there is no common definition, but the European
Commission definition is very specific, while other definitions
,include companies with up to 1k employees. When
internationalizing their operations, these organizations experience
different challenges than larger organizations. they have less
experience with environmental contexts in different countries, less
power to withstand the demand of host governments, less
reputation, and fewer financial resources as well as fewer resources
for managing international operations Correct Answer - SME
a means of ranking multinational corporations that is employed by
economists and politicians. It is calculated as the arithmetic mean of
the following three ratios (where "foreign" means outside of the
corporation's home country): the ratio of foreign assets to total
assets. Correct Answer - Index of Transnationality (The
Transnationality Index (TNI) assesses the extent of a company's
internationalization and global operations, including the
distribution of assets, sales, and employees across different
countries. As a company becomes more transnational (i.e., operating
globally), it is likely to have a more culturally diverse workforce due
to its international operations.)
the term _____ has come into vogue to signify the transfer of
subsidiary staff into the parent-country (headquarters) operations.
SHRM defines this as "a foreign manager in the US". Correct
Answer - Inpatriate
- One in which competition in each country is essentially
independent of competition in other countries. Traditional examples
include retailing, distribution and insurance Correct Answer -
Multidomestic Industry
includes an organization's expectations, experiences, philosophy,
and values that hold it together, and is expressed in its self-image,
inner workings, interactions with the outside world, and future
expectations. It is based on shared attitudes, beliefs, customs, and
, written and unwritten rules that have been developed over time and
are considered valid Correct Answer - organizational culture
is the offsetting of any such difference so that working abroad is tax
neutral for the worker/expat; firms withhold an amount equal to the
home-country tax obligation of the expatriate, and pay all taxes in
the host country Correct Answer - tax equilization
are described as visible organization structures and processes
Correct Answer - artifacts (cultural)
is about the rights of the group or society. It seeks to put the family,
group,
company, and country before the individual. It sees individualism as
selfish and short-sighted; an ideology which emphasizes the
responsibility of the individuals to the community and the social
importance of the family unit Correct Answer -
communitarianism
is characterized by: a large private life that includes a relatively
large number
of people; a small public space that is difficult to enter (e.g. an
outsider needs a formal introduction from a mutual friend in order
to do business with a particular manager); indirect communication
that does not always say what is really meant; and no clear
distinction between work and private life. Correct Answer -
diffuse culture
in this type of cultures, a more indirect form of expression is
common, where the receiver must decipher the content of the
message from its context. Correct Answer - high context
communication