1. Markets can only be segmented in a set number of ways.
1. False
2. True
2. Price elasticity is how demand changes when price changes.
1. True
2. False
3. Which of the following is a reason why standardization is not always a viable option?
1. Selling standardized products is successful only in certain industries.
2. It is more costly.
3. It takes more innovation on a local level.
4. One size does not fit all.
4. Localization strategy requires a polycentric approach in staffing.
1. False
2. True
5. Which of the following is NOT an advantage of parent country nationals?
1. PCNs may be the best people for the job because of special skills and experience.
2. Control and coordination by HQ are facilitated.
3. Managers are given international experience.
4. Language and cultural barriers are eliminated.
6. Problems associated with repatriation include:
1. All of these answers
2. Career anxiety and work adjustment
3. Difficult for the spouse and children to adjust.
4. Loss of status and pay
7. The balance sheet approach in expatriate compensation pays expatriates the prevailing rate for comparable positions in a host country.
1. False
2. True
8. MNEs intend to eventually replace even top-level expatriates with HCNs, in part to save cost.
1. False
2. True