1.

The country where the headquarters of a multinational company is located is known as

(a) Host Country
(b) Home Country
(c) Third Country
(d) None of the Above
2. When an international firm follows a strategy of choosing only from the nationals of the parent
country, it is called
(a) polycentric approach
(b) geocentric approach
(c) ethnocentric approach
(d) none of the above
3. The Cadburys case found in the text, illustrates the increasing influence of what trend?

a) Environmental policies
b) Developmental economic policies

c) Changes in food policy

d) Internationally mobile firms
4. The institutional approach is not rooted in which academic discipline?
a) Psychology

b) Politics
c) Sociology

d) International Relations
5. What was the estimated number of MNCs by UNCTAD (2010)?

a) 11,000
b) 22,000

c) 82,000
d) 155.000
6. What per cent of staff returning back from an international assignment leave the organization within
twelve months of coming back?

a) 20%
b) 30%

c) 40%
d) 50%
7. How does the selection of an international assignee usually take place?
a) Formal interview process with internal staff.

b) Informal discussion based on chance conversations with internal staff.

c) Informal discussion between each member of a specific team.
 d) Formal recruitment process that includes internal and external candidates.
8. According to PricewaterhouseCoppers (2005) the proportion of females undertaking international
assignments is under what per cent?
a) 5%

b) 10%
c) 20%

d) 25%
9. Which multinational bank used business sponsors to monitor international assignees?

a) Oman international bank

b) Falcon international
c) HSBC
d) Barclays
10. What is the main problem with the life-cycle approach to strategic IHRM?
a) The assumption that firms progress through a defined stages in a specific order.

b) It does not explain what happens when the organization comes to the end of its life.
c) The assumption that firms will grow.

d) It focuses too little on the international context.

11. What is the major problem with the theorizing of strategic IHRM?

a) It becomes obsolete very quickly as change occurs so fast.

b) It is biased towards western ideas.

c) It tends to offer a highly idealized perspective on strategy formulation.

d) It fails to incorporate conflict.
12. How can HRM help to build successful cross-border alliances?
a) By ensuring that organizations spend 25% of their budgets on cross-border alliances.

b) By ensuring that a strategy is in place before embarking on a cross-border alliance.

c) By ensuring that organizations export their ideas to other societies and cultures.

d) By ensuring that international joint ventures are staffed by high-quality managers.
13. Linda has been working in the London office of a U.S. company for two years. When it's time for her
to return home, the process will be called:
(a) Return
(b) Repatriation
(c) Patriation
(d) Homecoming
 (e) Expatriation
14. How much will a company typically spend to finance an expatriate employees overseas assignment?
(a) Whatever local customs say the employee should be paid
(b) Three to five times the employees new salary
(c) Whatever the local currency exchange rate is
(d) Less than the employees former salary
(e) Double the employees former salary
15. Which of these employees will likely have the fewest personal considerations when considering an
overseas assignment?
(a) A married employee with young children
(b) A single employee who works many hours
(c) A married employee with several children who is multilingual
(d) An married employee who socializes frequently
(e) A married employee with no children at home but both have jobs
16. Why should a company have an expatriation training program?
(a) To familiarize employees with the history,culture and customs of the country they are being
assigned to
(b) To teach them how to implement the home countries ways of doing business in other cultures
(c) To familiarize them the company's mission statement and purpose for existance
(d) To teach the employees to fluently speak foreign languages
(e) To familiarize employees with repatriation issues
17. What type of staffing strategy hires host-country nationals for positions in the company from mail
room clerks all the way up to the executive suites?
(a) Polycentric
(b) Third-country approach
(c) Ethnocentric
(d) Geocentric
18. What is ‘International HRM’?
(a) Management of employees in an international environment, typically within the confines of the
multinational corporation
(b) Comparison of how people are managed in different national contexts
(c) An specific approach to HRM, where the focus is on recruiting the best people for the job
(d) A variety of integration in the global marketplace.
19.By which means do HRM practices and activities become International?
(a) When a company employs foreign nationals
(b) When a company trades with a foreign market
(c) When a company expands to a foreign market
(d) When a company adopts best practices.
20. Why do Multinational Corporations (MNC’s) promote the diffusion of ‘best practices’?
(a) To improve administrative efficiency
(b) To increase technical gains
(c) To increase organisational gains
(d) All of the above.
21.What is the primary underlying tension in labour relations?
(a) People do not speak the same language
(b) Different legal and judicial frameworks in different countries
(c) Separation of employees from the products of their labour
(d) None of the above.
22. Which of these approaches to IHRM is most closely related to the idea of ‘geocentrism’?
(a) Institutionalism (b) Culturalism
(c) Universalism (d) Capitalism.
23. What are the benefits of an ‘ethnocentric’ approach to international staffing?
(a) Staff are more familiar with the organisation’s policies and procedures
(b) Lower costs and reduced uncertainty
(c) The company can incorporate their corporate culture into the foreign subsidiary
(d) All of the above.
24. Which of following factors needs to be considered during the selection decisions of expatriates?
(a) Ability to perform the actual job
(b) Willingness to live in a new environment
(c) Ability to adjust to other cultures
(d) All of the above.
25. What does ‘pragmatic’ boundary in organisations refer to?
(a) A lack of a shared syntax between different actors within an organisation
(b) A difference in interpretations, which make communication and collaboration difficult
(c) A difference in the way individuals understand the consequences of any actions related to their area
of work, and how those may affect their value and legitimacy in the organisation
(d) A lack of cross-training between different specialists in an organisation.
26. Which of the following best describes a Coordinated Market Economy within the Varieties of
Capitalism framework?
(a) Conservative welfare regime, strong bargaining rights, long-term contracts
(b) Liberal welfare regime, weak bargaining rights, short-term contracts
(c) Market-based education, general skills, weak unions
(d) Competitive market arrangements, unequal income distribution, radical innovation.
27. What is the role of IHRM in supporting business strategy?
(a) To provide cross-cultural training to expatriates
(b) To minimise exposure to limiting effects of foreign country labour regulations
(c) To select and recruit the next generation of managers and key specialists
(d) To create and maximise strategic rents by developing the most capable workforce.
28. Which of the following is an example of an ‘immersive approach’ to cross-cultural training?
(a) Lecture (b) Role play (c) Simulation (d) Language training.
29. What is the value of frameworks such as Hofstede’s Cultural Dimensions and GLOBE to IHRM?
(a) They offer a true representation of a foreign culture
(b) They provide a way of measuring and comparing different cultures
(c) They give rules for how people in foreign countries respond to different actions
(d) They determine the selection of international business strategy.
30. Who are the ‘knowledge brokers’?
(a) People with competence across multiple knowledge areas
(b) People with high network centrality
(c) People who encourage communication
(d) All of the above.
31. What is the main characteristic of the stakeholder approach?
(a) The idea that many different groups have a legitimate interest in the corporation
(b) Critical perspective on corporations and business
(c) Focus on social and environmental responsibilities of a corporation
(d) The assumption that shareholders are not the main stakeholders in the corporation.
32. Which of the following is a central tenet of diversity management?
(a) It is internally driven rather than externally imposed
(b) It is focused on collective group representation
(c) It is concerned with eliminating race and sex discrimination
(d) All of the above.
33. What is meant by MNC?
(a) Multi National Co-operation
(b) Multi National Corporation
(c) Multi National Committee
(d) Multi National Career
34. What is meant by TNC?
(a) Trans National Corporation
(b) Trans National Career
(c) Trans National Co-operation
(d) Trans National Committee
(e) Trans National Consortium
35. Which of the following describes an ‘ethnocentric’ approach to staffing?
(a) Locals fill managerial positions in national subsidiaries
(b) Filling all key positions with parent country nationals
(c) Dividing operations into several geographical regions and freely transferring staff between each
region
(d) Parent country nationals fill managerial positions at headquarters
36. The use of third-country nationals (TCNs) provides a number of advantages. Which of the following is
NOT one of these advantages?
(a) They take the organisation away from criticism as ethnocentric
(b) They are usually considerably cheaper
(c) They often have a cultural awareness which can be beneficial
(d) They have an adequate knowledge of home office goals and procedures
37. In international human resource management, communication in polycentric organisations is:
(a) Totally connected in a network of subsidiaries and of subsidiaries with headquarters
(b) Little among subsidiaries and little between the subsidiaries and headquarters
(c) From headquarters to local subsidiaries
(d) Little between the subsidiaries and headquarters, medium to high among subsidiaries in regions
38. In international human resource management, communication in regio-centric organisations is:
(a) Totally connected in a network of subsidiaries and of subsidiaries with headquarters
(b) Little among subsidiaries and little between the subsidiaries and headquarters
(c) From headquarters to local subsidiaries
(d) Little between the subsidiaries and headquarters, medium to high among subsidiaries in regions
39. Which of the following factors is NOT related directly to the success of expatriate assignments?
(a) The personality of expatriate employees
(b) The intentions of expatriate employees
(c) The incapability of the spouse to adjust to the new situation
(d) The nature of products produced by the company
40. Which of the following is NOT an advantage of a geocentric approach to staffing for international
businesses?
(a) It uses human resources efficiently
(b) It helps build a strong culture
(c) It is inexpensive to implement
(d) It helps build a strong informal management network
41. In international human resource management, communication in ethnocentric organisations is:
(a) Totally connected in a network of subsidiaries and of subsidiaries with headquarters
(b) Little among subsidiaries and little between the subsidiaries and headquarters
(c) From headquarters to local subsidiaries
(d) Little between the subsidiaries and headquarters, medium to high among subsidiaries in regions
42. Which of the following perspectives views the exchanges of resources between an organisation and
its constituencies as the main feature of the relationship?
(a) Institutionalist perspective
(b) Resource dependency perspective
(c) Resource-based perspective
(d) Transaction cost perspective
43. The basic functions of the management process include all of the following EXCEPT ________.
A) planning B) organizing
C) outsourcing D) leading
44. Which of the following is the person responsible for accomplishing an organization's goals by
managing the efforts of the organization's people?
A) manager B) entrepreneur
C) generalist D) marketer
45. Which of the following includes five basic functions—planning, organizing, staffing, leading, and
controlling?
A) a job analysis B) strategic management
C) the management process D) adaptability screening
46. Which function of the management process requires a manager to establish goals and standards and
to develop rules and procedures?
A) planning B) organizing
C) staffing D) leading
47. Claire spends most of her time at work establishing goals for her staff of fifty employees and
developing procedures for various tasks. In which function of the management process does Claire
spend most of her time?
A) leading B) controlling
C) organizing D) planning
48. Jolene, a manager, delegates the authority for a project to Lee, her subordinate. Jolene is most likely
involved in which function of the management process?
A) staffing B) organizing
C) motivating D) leading
49. Human resource managers generally exert ________ within the human resources department and
________ outside the human resources department.
A) line authority; staff authority B) staff authority; line authority
C) functional authority; line authority D) staff authority; implied authority
50. An HR generalist at Wilson Manufacturing has been assigned to the sales department to provide HR
management assistance as needed. Which of the following best describes the structure of the HR
services provided at Wilson Manufacturing?
A) shared HR teams B) embedded HR teams
C) centers of expertise D) corporate HR teams
51. Which of the following would most likely provide assistance to executives about long-term strategic
plans?
A) centers of expertise B) embedded HR teams
C) corporate HR teams D) professional employee organizations
52. All of the following are the most common reasons that firms decide to globalize EXCEPT ________.
A) lower costs B) supervising quality control methods
C) make employees more productive D) to do things better
53. ________ refers to the tendency of firms to extend their sales, ownership, and/or manufacturing to
new markets abroad.
A) Expansion B) Globalization
C) Export growth D) Diversification
54. Which was NOT a change in the economic and political philosophies that drove the globalization
boom causing U.S. imports and exports to rise from $47 billion in 1960, to $562 billion in 1980, to about
$5.1 trillion recently?
A) government dropped cross-border taxes or tariffs
B) economic free trades areas were formed
C) steps were taken to encourage free flow of trade among countries
D) instability in the world labor market
55. Which of the following is NOT one of the five main types of digital technologies driving the transfer
of functionality from HR professionals to automation?
A) Email B) Social media
C) Mobile applications D) Cloud computing
56. Over the next few years, employers may face a severe labor shortage because ________.
A) there are fewer people entering the workforce than there are retiring baby boomers
B) one-third of single mothers are not employed in the U.S. labor force
C) there are too many nontraditional workers holding multiple jobs
D) older employees are more family-centric than younger employees
57. What is the term for workforces like those at the company Uber, where freelancers and
independent contractors work when they can, on what they want to work on, and when the company
needs them?
A) tele-commuters B) human capital
C) job-analysts D) on-demand workers
58. Which term refers to exporting jobs to lower-cost locations abroad?
A) freelancing B) offshoring
C) rightsizing D) warehousing
59. Tools such as Twitter, Facebook, and LinkedIn that can be used to recruit new employees are known
as: A) data analytics B) social media
C) mobile applications D) cloud computing
60. According to the Bureau of Labor Statistics, between now and 2022 the number of workers classified
as "white, non-Hispanic" will decrease, and the number of workers classified as Asian will increase.
(a) True (b) False