Chapter 14

Front 1

MNC's can tap four basic sources positions

Back 1

1)Host country nationals
2)Home country nationals
3Third country nationals
4) Inpatriates

Front 2

Home-country nationals

Back 2

managers who are citizens of the country where the MNC is headquartered

Front 3

Host-country nationals

Back 3

______________ are local managers who are hired by the MNC

Front 4

Headquartered nationals

Back 4

another word for Home-country nationals.

Front 5

Third-country nationals (TCN’s)

Back 5

managers who are citizens of countries other than the country in which the MNC is headquartered or the one in which they are assigned to work by the MNC.

Front 6

Expatriates, or simply “expats”

Back 6

refers to those who live and work outside their home county.

Front 7

Inpatriate

Back 7

An individual from a host country or a third-country national who is assigned to work in the home country.

Front 8

English

Back 8

The primary language of international business; more expatriates from all countries can converse in it

Front 9

Adaptability screening

Back 9

The process of evaluating how well a family is likely to stand up to stress of overseas life.

Front 10

Tests and interviews

Back 10

The two most common selection procedures used by MNC’s

Front 11

1) Anticipation
2) In-Country Adjustment

Back 11

There are two different types of adjustments that an expatriate must make when going on an overseas assignment

Front 12

Training and previous experience

Back 12

The two factors that help determine the accuracy of the expat’s expectations

Front 13

Technical Competence

Back 13

Traditionally what was the only selection criteria an MNC relied on for overseas assignments

Front 14

Base salary

Back 14

the amount of money that an expatriate normally receives in the home country.

Front 15

Allowances

Back 15

These are an expensive feature of expatriate compensation packages

Front 16

Balance Sheet Approach

Back 16

An approach to developing an expatriate compensation package that ensures that expat is “made whole” and does not lose money by taking the assignment

Front 17

Localization

Back 17

An approach to developing an expatriate compensation package that involves paying the expat a salary comparable to that of local nationals.

Front 18

Lump-sum Method

Back 18

an approach to developing an expatriate compensation package that involves giving the expat a predetermined amount of money and letting the individual make his or her own decisions regarding how to spend it.

Front 19

Cafeteria Approach

Back 19

an approach to developing an expatriate compensation package that entails giving the individual a series of options and letting the person decide how to spend the available funds.

Front 20

Repatriation

Back 20

The return to one’s home country from an overseas management assignment.

Front 21

Transition Strategies

Back 21

Used to help smooth the adjustment from an overseas assignment to a stateside assignment.

Front 22

Repatriation Agreement

Back 22

An agreement whereby the firm tells the individual how long he/she will be posted overseas and promises to give the individual on return a job that is mutually acceptable.

Front 23

Cultural Integrator

Back 23

An individual who is responsible for ensuring that the firm’s business systems are in accordance with those of the home culture.

Front 24

The four philosophical positions

Back 24

1) ethnocentric
2) polycentric
3) regiocentric
4) geocentric

Front 25

Ethnocentric MNC

Back 25

puts home-office people in charge of key international management positions.

Front 26

Regiocentric MNC

Back 26

relies on local managers from a particular geographic region to handle operations in and around that area.

Front 27

Geocentric MNC

Back 27

seeks to integrate diverse regions of the world through a global approach to decision making.

Front 28

Learning

Back 28

the acquisition of skills knowledge and abilities that result in a relatively permanent change in behavior.

Front 29

Ethnocentrism

Back 29

The belief that once all ways of doing things is superior to that of others.

Front 30

Testing

Back 30

In general, some evidence suggests that _________is not extremely popular among MNCs.

Front 31

Home Countries

Back 31

These Expatriate salaries typically are set according to the base pay of the ________________

Front 32

Training and Developing

Back 32

Learning organizations continually focus on __________and __________

Front 33

Ethnocentric

Back 33

___________MNC’s do all of their training at their headquarters.

Front 34

Five common elements of expatriate compensation package

Back 34

1) Base Salary
2) Benefits
3) Allowances
4) Incentives
5) Taxes.