MIB Master of International Business: Cross Culture Management 5 — Questions and Answers
Question 1: A multinational corporation creates a code of ethics that applies uniformly across all countries. This approach reflects which cross-cultural strategy?
- Polycentrism
- Geocentrism
- Ethical universalism (Correct answer)
- Cultural relativism
Correct answer: Ethical universalism
Ethical universalism holds that core ethical standards should apply globally regardless of local cultural practices, establishing a consistent moral baseline across operations.
Question 2: Which phenomenon occurs when expatriate managers who have successfully adapted abroad return home and find it difficult to reintegrate into their home culture?
- Culture shock
- Reverse culture shock (re-entry shock) (Correct answer)
- Cultural convergence
- Bicultural identity conflict
Correct answer: Reverse culture shock (re-entry shock)
Reverse culture shock occurs when repatriates return home after abroad assignments and find that their own culture now feels foreign due to changed expectations and perspectives.
Question 3: When Hofstede's masculinity dimension is HIGH in a culture, business environments typically emphasize:
- Work-life balance, cooperation, and employee welfare
- Assertiveness, material success, and competitive achievement (Correct answer)
- Consensus decision-making and modest behavior
- Flexibility, nurturing, and quality of life
Correct answer: Assertiveness, material success, and competitive achievement
High masculinity cultures value competitiveness, achievement, and material rewards, whereas feminine cultures prioritize quality of life, cooperation, and caring for others.
Question 4: The 'Bennett Model of Intercultural Sensitivity' (DMIS) describes a progression from ethnocentrism to ethnorelativism. Which stage represents the midpoint transition?
- Denial
- Minimization (Correct answer)
- Integration
- Adaptation
Correct answer: Minimization
Minimization is the last ethnocentric stage where one acknowledges cultural differences but minimizes their importance, believing all humans are essentially the same.
Question 5: A Japanese company implements nemawashi before a major organizational change. This practice involves:
- A formal top-down announcement of the decision
- Consensus-building through informal consultations before formal approval (Correct answer)
- Bringing in external consultants to manage the change
- A competitive internal bidding process for project leadership
Correct answer: Consensus-building through informal consultations before formal approval
Nemawashi is the Japanese practice of building consensus through quiet, one-on-one consultations with all stakeholders before a formal decision is announced.
Question 6: In cross-cultural marketing, 'glocalization' refers to:
- Selling only locally produced products globally
- Standardizing products globally to reduce costs
- Adapting global products and strategies to fit local cultural preferences (Correct answer)
- Restricting marketing campaigns to specific geographic regions
Correct answer: Adapting global products and strategies to fit local cultural preferences
Glocalization combines 'global' and 'local' — companies maintain a global brand strategy while adapting products, messaging, and tactics to resonate with local cultural contexts.
Question 7: Which of the following is the primary risk of using a 'geocentric' staffing strategy in multinational operations?
- Over-reliance on host-country cultural norms
- High costs of relocating and compensating international managers (Correct answer)
- Lack of global standards and inconsistent practices
- Inability to attract qualified local talent
Correct answer: High costs of relocating and compensating international managers
Geocentric staffing selects the best person regardless of nationality, but this results in significant relocation, compensation, and cross-cultural training costs.
A multinational corporation creates a code of ethics that applies uniformly across all countries.
This approach reflects which cross-cultural strategy?