Overview Make sure you have thoroughly reviewed concepts of host, home, and third country nationals as well as ethnocentric, polycentric, and geocentric strategies. Rao (2010) is the main reference for these topics but the tutorial and video will also help as will Hooper (2012). Make sure you are also thoroughly familiar with Hofstede’s cultural dimensions and other aspects of national culture. Carpenter and Dunung (2012) as well as Hofstede’s webpage will help with this topic. Case Assignment 1. Suppose a British computer company has a top secret manufacturing technology. They are expanded overseas to China and Bangladesh to establish new factories using this secret technology. What kind of staffing policy do you think they should use when hiring managers for their new factories? Should they emphasize parent country nationals in their hiring? Host country nationals? Third country nationals? Explain your reasoning and cite Rao (2010) as part of your answer. 2. An American beverage company is planning an expansion both to France and to India by merging with some local companies in these countries. Based on Hofstede’s measures, which of these mergers would be easier to manage? What type of global selection approach to hiring do you think would be used in France and India—ethnocentric, polycentric, or geocentric? Explain your reasoning, and cite Rao (2010) as part of your answer. 3. Bob Smith is the CEO of an American company. All of his employees, even entry-level employees, call him “Bob” rather than “Mr. Smith.” He has an open-door policy where any employee can stop by his office to share their concerns. While Bob is approachable, he is also quick to reward employee performance through pay raises or bonuses and quick to punish poor performing employees with suspensions or even termination. Now Bob is planning on opening a new branch of his company in South Korea. Which of Bob’s practices may have to change in the Korean office? Refer to Hofstede’s dimensions and to Carpenter and Dunung (2012) as part of your answer. 4. Rick is an American corporate executive who gets assigned to the company’s China branch. His first month in China is really difficult for him. He is frustrated when people don’t know English, is shocked by the non-Western restroom facilities, and can’t handle most of the food served in the restaurants. After a few months he starts to learn the language a bit and makes some friends with some local residents. How does Rick’s first few months differ from the four-step “U-shaped” curve discussed in Rao (2010)? What techniques discussed in Rao (2010) could Rick’s company have used to help prevent his initial culture shock?
