Dimensions of Culture
He identified 6 dimensions of culture that help explain how and why people from various cultures behave as they do.
Geert Hofstede
EPRG Framework: In this strategy, the subsidiaries must comply with the default policies and procedures of HQ.
Ethnocentric
The study of how verbal & non-verbal communication takes place among individuals from different backgrounds, geographies, and cultures.
Cross Cultural Communication
This refers to the act of leaving one's home country to live in another country.
Expatriation
The possibility that your business could suffer because of instability or political change in a country.
Political Risk
Hofstede's 116,000 respondents were from over 70 countries. What company did these respondents work for?
IBM
In India, MacDonald's offers the McAloo Tikki, a vegetable patty with Indian spices. In the EPRG framework, which strategic predisposition is McDonald's using?
Polycentric Predisposition
This popular western gesture can be offensive is some cultures meaning "up yours".
Thumbs Up
According to research by INSEAD, failure rates for expat assignments ranges from __ to __% across industries
10 - 50%
There are a number of types of political risk, name two.
Sanctions - War - Unilateral decisions, Geopolitical decisions.
In this country, when greeting business professionals; avoid direct eye contact, and shake the oldest person's hand first.
China
This strategic predisposition views the entire world as their potential market
Geocentric Predisposition
This branch of non-verbal communication refers to the ways in which people interact via the sense of touch.
Haptics
International HRMs deal with unique issues which go beyond the ordinary scope of domestic HHRMs. Name two of these unique issues.
Foreign labor laws - Organize Visas - Housing - Spousal support - determining international salaries
The process of taking privately-controlled assets and putting them under the control of the government.
Nationalization
The CEO of this Japanese corporation lost his job from seeking treatment for jet lag.
Suntory Global Spirits
With this strategic predisposition, the basic assumption is that the needs of the potential customers in these countries would be similar.
Regiocentric Predisposition.
The study of how humans use and perceive time in communication.
Chronemics
In different approaches to IHRM, over 50% of MNCs utilize a structure in which all HR administration is conducted from the businesses headquarters. What approach is this?
Centralized Approach
Effective political risk management requires four core competencies. What are they?
Understanding risk, analyzing risks, mitigating risks, responding to the crisis.
Of Hofstede's Six Dimensions, which dimension focuses on how comfortable people are with inequality?
Power Distance Index
A world-wide view of operations, support for overseas activities, paying close attention to political winds, and using local nationals whenever possible, leads to..
MNC Success
Also known as paralanguage, this refers to the nonverbal aspects of speech such as volume, pitch tone, etc.
Vocalics
What are the four functional areas of IHRM?
Recruitment & talent management
Expat & repat
Training & development
Renumeration
In understanding risks - what industries have high risk appetites and what industries tend to have low risk appetites?
High - Extractive industries (oil / gas)
Low - Consumer-facing industries (hotels, theme parks)