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Bruce works for a Houston-based energy company and has been assigned to live and work in Indonesia for the next three years. When Bruce is living in India, he is an example of a(n) ________.
urbanizer
expatriate
collective bargainer
union
The pool of available employees with the necessary knowledge. skills, and abilities within commuting distance of an employer is called the _________ _________.
Which two developing countries contain over one-third of the world's 15- to 24-year-olds?
Brazil
India
China
United States
By 2050, in developed countries, the population aged 65 or over is expected to be over ______.
35%
25%
50%
45%
Which of the following are a result of the urbanization of workforce? (Check all that apply.)
a vulnerable workforce
a pool of low-skilled workers
increase in industry sector employment
a pool of high-cost workers
a vulnerable workforce
a pool of low-skilled workers
increase in industry sector employment
A person who lives outside of his or her country of citizenship is called a(n)
The term __________ _________ refers to people moving from country to country in search of work.
Which of the following are dimensions associated with labor conditions? (Check all that apply.)
urbanization of workforces
best-selling books
overall size of the workforce
aging populations
immigration
labor unions
urbanization of workforces
overall size of the workforce
aging populations
immigration
labor unions
Which of the following are characteristic of "3-D" jobs? (Check all that apply.)
Workers are often paid under the table.
Jobs typically include benefits.
They employ vulnerable workers.
Workers move quickly to the top of the organization.
Workers do not have a contract.
Employment often violates local laws.
Workers are often paid under the table.
They employ vulnerable workers.
Workers do not have a contract.
Employment often violates local laws.
What factors are contributing to the decline in population in many developed countries? (Check all that apply.)
high infant mortality rates
low levels of immigration
high death rates
low birthrates
low levels of immigration
low birthrates
True or false: The aging population is more evident in developing countries than in developed countries.
False - The aging population is more evident in developed countries than in developing countries.
Which of the following are characteristic of developing countries? (Check all that apply.)
increase in agriculturally based employment
increase in economic development
increase in the level of urbanization of the workforce
increase in population
increase in economic development
increase in the level of urbanization of the workforce
increase in population
Which four of the following countries are receiving the largest number of international migrants? (Check all that apply.)
Germany
Saudi Arabia
Mexico
Russia
United States
Germany
Saudi Arabia
Russia
United States
The term "3-D" jobs refers to work that is _______. (Check all that apply.)
dirty
depressing
desired
degrading
dangerous
dirty, degrading, dangerous
Countries such as Switzerland and France have experienced low birthrates that have brought about labor shortages. As a result, these countries bring in people from foreign countries to legally work in the factory and construction jobs that need employees. The people who come into the country to do these jobs are known as ________ workers.
seasonal
labor
migrant
guest
Which of the following has led to the loss of skilled professionals, such as scientists, in developing countries?
guest worker mentality
ethnocentric movement
brain drain
bright flight
For which of the following reasons do migrating skilled workers choose the United States as a destination? (Check all that apply.)
top-quality universities
political environment
standard of living
open, merit-based economic system
top-quality universities
standard of living
open, merit-based economic system
Which of the following are a result of the urbanization of workforce? (Check all that apply.)
a pool of low-skilled workers
increase in industry sector employment
a pool of high-cost workers
a vulnerable workforce
A(n) __________ ________ is an organization of workers formed to promote the interest of its members.
Which three of the following countries are losing the largest number of their population to emigration? (Check all that apply.)
Mexico
Russia
Brazil
China
United States
A _______ _______ is a person who goes to a foreign country temporarily and legally in order to perform certain types of jobs.
In which process does a union represent the interests of its members in negotiations with management?
arbitration
dispute resolution
strike
collective bargaining
Which of the following explain declining union membership? (Check all that apply.)
movement of jobs to lower-cost countries
employers' efforts to keep their businesses union-free
Increase in lower-wage secondary income workers
fewer women in the labor force
increase in industrial jobs in developed countries
movement of jobs to lower-cost countries
employers' efforts to keep their businesses union-free
Increase in lower-wage secondary income workers
True or false: In the United States, native-born citizens create new businesses at a rate 30% greater than do immigrants.
false - In the United States, immigrants create new businesses at a rate 30% greater than do native-born citizens.
Which approach to international human resource management is based on the parent company's home-country frame of reference?
geocentric
ethnocentric
regiocentric
polycentric
Labor unions _________ from one nation to another.
are identical
are similar
vary significantly
Staffing includes which two activities? (Check all that apply.)
selection
training
development
recruitment
Which of the following are characteristic of a polycentric approach to staffing? (Check all that apply.)
Human resource policies are made at the local level.
The company hires PCNs for headquarters positions.
Movement from the local subsidiaries to headquarters positions is common.
The company hires host-country nationals to work in foreign subsidiaries.
Human resource policies are made at the local level.
The company hires PCNs for headquarters positions.
The company hires host-country nationals to work in foreign subsidiaries.
In which one of the following regions are labor unions weak and union leaders inexperienced?
Japan
United States
Latin American countries
European nations
Over the past several years, the number of union members in developed countries has been __________.
increasing
declining
remaining the same
Which of the following are international human resource management approaches to hiring and promoting employees? (Check all that apply.)
concentric
ethnocentric
polycentric
egocentric
geocentric
regiocentric
ethnocentric
polycentric
geocentric
regiocentric
What international human resource approach would be used by companies with slightly higher pressures for cost reductions and slightly lower pressures for local responsiveness than is the case for the multidomestic strategy?
ethnocentric
polycentric
geocentric
regiocentric
If a company is driven simultaneously by high pressures for cost reduction and high pressures for local responsiveness, it is likely to follow a _______ staffing policy.
ethnocentric
regiocentric
polycentric
geocentric
Which international human resource management approach would be utilized by a company with a primarily international strategic orientation characterized by low pressures for cost reduction and low pressures for local responsiveness?
regiocentric
geocentric
ethnocentric
polycentric
Which international human resource management approach would be utilized by a company with a primarily international strategic orientation characterized by low pressures for cost reduction and low pressures for local responsiveness?
regiocentric
geocentric
ethnocentric
polycentric
Training and (hiring/development) which help employees acquire knowledge, skills, and abilities, will vary depending on whether the employee is from the host country, the home country, or a third country.
What international human resource management approach would be used when a company's primary strategic orientation is multidomestic?
polycentric
regiocentric
ethnocentric
geocentric
Prior to being sent on an international assignment, parent-country nationals may be required to __________. (Check all that apply.)
study the language of the foreign country
study the culture of the foreign country
take short trips abroad to be exposed to foreign surroundings
study the parent company's culture
study the language of the foreign country
study the culture of the foreign country
take short trips abroad to be exposed to foreign surroundings
The _________ human resource approach utilizes a variety of host-country nationals and third-country nationals for key positions in the region.
ethnocentric
geocentric
polycentric
regiocentric
Which of the following are characteristic of HCNs? (Check all that apply.)
They lack knowledge of advanced business techniques.
They lack knowledge of corporate operations.
They lack knowledge of host country culture.
They lack knowledge of host country language.
They lack knowledge of advanced business techniques.
They lack knowledge of corporate operations.
Which two human resource management activities include efforts to help employees acquire knowledge, skills, and abilities? (Check all that apply.)
testing
appraisal
development
training
True or false: After being hired, host-country graduates from home-country business schools are sent directly to the host-country subsidiaries.
false - After being hired, host-country graduates from home-country business schools are sent to headquarters to receive indoctrination.
What are the possible advantages of hiring a third-country national? (Check all that apply.)
The person may accept lower wage and benefits.
The person may come from a similar culture of the host country.
The person may be unable to get a work permit from the government.
The person may have worked for another subsidiary of the company.
The person may accept lower wage and benefits.
The person may come from a similar culture of the host country.
The person may have worked for another subsidiary of the company.
Prior to being sent on an international assignment, _________ may be required to take an international business course at a business school.
third-country nationals
host-country nationals
parent-country nationals
What is the common length of time for most expatriate assignments?
2 - 5 years
6 months to 1 year
3 - 6 months
more than 10 years
An (expatriate/inpatriate) is more likely to help transfer and install company-wide systems or cultures.
Which group of employees is most likely to lack knowledge of advanced business techniques?
third-country nationals
parent-country nationals
host-country nationals
home-country nationals
Which of the following are symptoms of culture shock? (Check all that apply.)
delusions of grandeur
physical and emotional discomfort
disorientation
feelings of inadequacy
feelings of confusion
ethnocentrism
physical and emotional discomfort
disorientation
feelings of inadequacy
feelings of confusion
To find employees who understand advanced business techniques, international companies are hiring _________ students upon graduation from home-country business schools.
host-country
parent-country
third-country
home-country
True or false: Third-country nationals often accept lower wages than employees from the home country
What is the main reason that employees decline international relocation assignments?
culture concerns
financial concerns
educational concerns
family concerns
About _____ of expatriates' spouses are employed during the course of their partner's expatriate assignment, which can increase financial pressures and strain relationships.
8%
24%
51%
82%
Which of the following are advantages of hiring an expatriate? (Check all that apply.)
They have technical and managerial expertise.
They may provide trusted connections for facilitating oversight.
They provide local knowledge and cultural expertise.
They can help transfer corporate culture.
They have technical and managerial expertise.
They may provide trusted connections for facilitating oversight.
They can help transfer corporate culture.
Which of the following are potential benefits for children joining their parents on an expatriate assignment? (Check all that apply.)
developing a global mind-set
learning new languages
exposure to multiple cultures
developing a strong sense of security
developing a global mind-set
learning new languages
exposure to multiple cultures
The anxiety experienced when moving to an entirely different culture is known as ____________ ___________
True or false: After being hired, host-country graduates from home-country business schools are sent directly to the host-country subsidiaries.
False - After being hired, host-country graduates from home-country business schools are sent to headquarters to receive indoctrination.
What is the main cause for expatriate failure?
tax burdens
job clarity issues
family-related issues
culture shock
What are the advantages of understanding the host country's language? (Check all that apply.)
Expatriates better understand the local culture.
It is better to speak the local language when trying to sell to potential customers.
Speaking the local language develops trust.
Speaking a second language guarantees an increase in salary.
Expatriates better understand the local culture.
It is better to speak the local language when trying to sell to potential customers.
Speaking the local language develops trust.
What percentage of expatriates are accompanied by a spouse or partner?
50%
10%
30%
80%
True or false: Locals can teach expats where to shop and where not to shop as well as the social norms.
About ______ of expatriates have children when they take an international assignment.
26%
76%
45%
82%
When employees become accustomed to the host country's culture, upon return home they can experience _________ __________ ________
True or false: A good compensation plan will over-compensate the overseas executive.
False - The plan should be equitable and consistent and not over-compensate the overseas executive.
To find employees who understand advanced business techniques, international companies are hiring _________ students upon graduation from home-country business schools.
host-country
parent-country
third-country
home-country
The _______ ______ approach pays the expatriate a base salary equal to that of a domestic counterpart plus a variety of allowances and bonuses.
Which of the following are common services offered to expatriates and their families? (Check all that apply.)
house-hunting assistance
long-distance child care
health care programs
culture and language training
house-hunting assistance
health care programs
culture and language training
In countries with high tax rates on personal incomes, companies pay executives (lower/higher) salaries and give them expensive perquisites.
Which of the following practices should be a part of the repatriation process? (Check all that apply.)
Allow expatriates to make regular visits back to home-country office.
Offer access to counseling to promote adjustment.
Set up a mentoring program for the expatriate.
Planning should begin towards the end of the assignment.
Allow expatriates to make regular visits back to home-country office.
Offer access to counseling to promote adjustment.
Set up a mentoring program for the expatriate.
Which of the following are the most common types of allowances provided to expatriates? (Check all that apply.)
housing
education
cost of living
tax differentials
moving
transportation
health care
housing
education
cost of living
tax differentials
moving
For the expatriates' compensation plan to be effective, it must be _______.
one-size-fits-all
skewed towards overcompensation
equitable and consistent
skewed towards undercompensation
A housing _________ permits expatriates to live in housing comparable to their housing in the home country.
Cost-of-living allowances are based on difference in the prices paid for _________. (Check all that apply.)
utilities
transportation
housing
entertainment
food
utilities
transportation
entertainment
food
Which compensation approach is favored by a majority of American international companies?
lump-sum approach
balance sheet approach
localization approach
negotiation approach
Equal-pay-for-equal-work means paying ________ base salaries to host-country nationals and home-country nationals.
higher
equal
lower
Compensation payments added to the base salaries of expatriates because of higher expenses encountered when living abroad are known as _________.
per diem fees
perks
bonuses
allowances
A common rule of the housing allowance is for an international company to pay all the rent in excess of _____ of the expatriate's base salary.
15%
26%
12%
33%
If the host-country taxes are (lower/higher) than the taxes of the home country, then the company will often pay the tax differential.
Which allowance is based on the differences in prices paid for basic necessities in the host country compared to the home country?
overseas premium
orientation allowance
tax differential allowance
cost-of-living allowance
In China, private schools for children can cost as much as ______ per child.
Multiple choice question.
$100,000
$15,000
$250,000
$5,500
The objective of the __________ is to ensure that expatriates will not have less after-tax take-home pay in the host country than they would in the home country.
orientation allowance
overseas premium
tax differential allowance
cost-of-living allowance
tax differential allowance
Which of the following are types of bonuses? (Check all that apply.)
tax differentials
home leave reimbursement
overseas premiums
contract termination payments
home leave reimbursement
overseas premiums
contract termination payments
What is the typical range for an overseas premium?
30% - 40%
10% - 25%
5% - 8%
16% - 32%
What percentage of international companies provide an educational allowance for dependent children of long-term expatriates?
76%
53%
82%
27%
Contract termination payments are common in which of the following? (Check all that apply.)
hardship foreign post
petroleum industry
construction industry
agricultural sector
hardship foreign post
petroleum industry
construction industry
A(n) _____ for an expatriate is the combination of many types of payments or reimbursements and must take into consideration exchange rates and inflation.
bonus
compensation package
allowance
premium package
What term is used for compensation payments in addition to base salaries to compensate employees for hardships, inconveniences, or danger?
commissions
differentials
allowances
bonuses
Which allowance is based on the differences in prices paid for basic necessities in the host country compared to the home country?
overseas premium
tax differential allowance
orientation allowance
cost-of-living allowance
Which type of expenses are typically paid in home-country currency? (Check all that apply.)
professional society memberships
purchases during home leave
payments on outstanding debts in the home country
tuition for children in host-country schools
professional society memberships
purchases during home leave
payments on outstanding debts in the home country
The additional payments to expatriates to compensate them for disagreeable or challenging living conditions are called _________.
tax differentials
overseas premiums
orientation allowances
cost-of-living allowances
Compensation packages must take _______ into account. (Check all that apply.)
inflation
stock index
interest rates
exchange rates
Which of the following is the current trend towards compensating third-country nationals?
paying them less than home-country expatriates
paying them the same as home-country expatriates
paying them less than host-country employees
paying them more than home-country expatriates
paying them the same as home-country expatriates
Generally about 65% to 70% of an expatriate's base salary and all allowances are paid in the _________ currency.
third-country
host-country
home-country
black market
Which of the following are valued reasons for promoting host-country employees to international status? (Check all that apply.)
compensating employees for hardship or inconvenience
rewarding valuable employees
preventing employees from leaving for better jobs
putting host-country employees at a level comparable to their peers in other countries
rewarding valuable employees
preventing employees from leaving for better jobs
putting host-country employees at a level comparable to their peers in other countries
A(n) _____ for an expatriate is the combination of many types of payments or reimbursements and must take into consideration exchange rates and inflation.
allowance
premium package
compensation package
bonus
Which of the following characterize perks? (Check all that apply.)
They are symbols of rank in the corporate hierarchy.
They are used to minimize executives' tax burdens.
They are used to compensate executives.
They are premiums paid based on hardships.
They are symbols of rank in the corporate hierarchy.
They are used to minimize executives' tax burdens.
They are used to compensate executives.
Which of the following are potential issues when compensating third-country nationals? (Check all that apply.)
calculating income tax differentials
home leave reimbursements
cost-of-living issues
contract termination payments
calculating income tax differentials
home leave reimbursements
What entitles the expatriate employee to all the allowances and bonuses applicable to the place of residence and employment?
third-country nationals
international status
guest worker status
repatriation
Jeremiah has a company car, and his company pays for his gym membership. These two items are examples of _________.
salaries
bonuses
perks
allowances