12) In most cases, global firms employ host-country nationals with the long-term goal of turning Show
over control to local management. Answer: TRUE Explanation: In most industries, host-country nationals comprise more than 98 percent of the workforce in the foreign operations of North American and Western European multinational companies. Hiring local people and operating the company like local companies whenever possible is good business. The ultimate goal of most foreign operations is to turn over control to local management. Diff: 2 Chapter: 14 Skill: Concept LO: 4 13) A host-country national is a citizen of one country, working in a second country, and employed by an organization headquartered in a third country. Answer: FALSE Explanation: A third-country national (TCN) is a citizen of one country, working in a second country, and employed by an organization headquartered in a third country. A host-country national (HCN) is an employee who is a citizen of the country where the subsidiary is located. Diff: 1 Chapter: 14 Skill: Concept LO: 4 14) An example of a third-country national would be an Italian citizen working for a French company in Germany. Answer: TRUE Explanation: A third-country national (TCN) is a citizen of one country, working in a second country, and employed by an organization headquartered in a third country. An example would be an Italian citizen working for a French company in Germany. Diff: 2 Chapter: 14 Skill: Concept LO: 4 15) With polycentric staffing, companies primarily hire expatriates to staff higher-level foreign positions. Answer: FALSE Explanation: With ethnocentric staffing, companies primarily hire expatriates to staff higher- level foreign positions. When host-country nationals are used throughout the organization, from top to bottom, it is referred to as polycentric staffing. Diff: 2 Chapter: 14 Skill: Concept LO: 4 43 Copyright © 2014 Pearson Education Which type of expatriate is a citizen of the country where the firm is headquartered foreign country national?Expatriates who are from the country where the company is headquartered are referred to as headquarters expatriates. An expatriate may also be referred to as a parent-country national.
Which of the following terms refers to citizens of the country in which the multinational company has its headquarters?Home-country nationals are citizens of the country in which the multinational firm has its headquarters. Home-country nationals are also called parent-country nationals.
What is the definition of an expatriate quizlet?Expatriates are. employees who work outside their home country.
What is the difference between host country national and third country national?Host Country National – Permanent resident of the country where the operations of the company are located. Third Country National – Permanent Resident of a country other than the parent country and the host country.
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Which of the following terms refers to a citizen of one country who is working in a second country for an organization that is headquartered in a third country?
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