Mizzou MANGMT3000W Final Exam

Chapters 4 & 9-14

Context

The situational or environmental characteristics that influence our behavior

Countertrading

Bartering goods for goods

Cross-cultural awareness

The ability to operate in different cultural settings

Culture

The shared set of beliefs, values, knowledge, and patterns of behavior common to a group of people

Embargo

A complete ban on the import or export of certain products

Ethocentric managers

Managers who believe that their native country, culture, language, and behavior are superior to all others

European Union (EU)

Union of 27 trading partners in Europe

Expropriation

A government’s seizure of domestic or foreign company’s assets

Foreign Corrupt Practices Act

Act that makes it illegal for employees of US companies to make “questionable” or “dubious” contributions to political decision makers in foreign nations

Franchising

A form of licensing in which a company allows a foreign company to pay it a fee and a share of the profit in return for using the first company’s brand name and a package of materials and services

Free trade

The movement of goods and services among nations without political or economic obstruction

Geocentric managers

Managers who accept that there are differences and similarities between home and foreign personnel and practices and that they should use whatever techniques are most effective

Global outsourcing

Also called offsharing; use of suppliers outside the US to provide labor, goods, or services

Global village

The “shrinking” of time and space as air travel and the electronic media have made it easier for the people around the globe to communicate with one another

GLOBE project

A massive and ongoing cross-cultural investigation of nine cultural dimensions involved in leadership and organizational processes

Greenfield venture

A foreign subsidiary that the owning organization has built from scratch

High-context culture

Culture in which people rely heavily on situational cues for meaning when communicating with others

Hofstede model of four cultural dimensions

Identifies four dimensions along which national cultures can be placed: (1) individualism/collectivism, (2) power distance, (3) uncertainty avoidance, and (4) masculinity/femininity

Import quota

A trade barrier in the form of a limit on the numbers of a product that can be imported

Licensing

Company X allows a foreign company to pay it a fee to make or distribute X’s product or service

Low-context culture

Culture in which shared meanings are primarily derived from written and spoken words

Maquiladoras

Foreign-owned manufacturing plants allowed to operate in Mexico with special privileges in return for employing Mexican citizens

Monochronic time

The standard kind of time orientation in US business; a preference for doing one thing at a time

Most favored nation

This trading status describes a condition in which a country grants other countries favorable trading treatment such as the reduction of import duties

North American Free Trade Agreement (NAFTA)

A trading bloc consisting of the US, Canada, and Mexico

Offshoring

Also called global outsourcing; use of suppliers outside the US to provide labor, goods, or services

Outsourcing

Using suppliers outside the company to provide goods and services

Parochialism

A narrow view in which people see things solely through their own perspective

Polycentric managers

Managers who take the view that native managers in the foreign offices best understand native personnel and practices, and so the home office should leave them alone

Polychronic time

The standard kind of time orientation in Mediterranean, Latin American, and Arab cultures; a preference for doing more than one thing at a time

Sanction

The trade prohibition on certain types of products, services, or technology to another country fro a specific reason

Tariff

A trade barrier in the form of a customs duty, or tax, levied mainly on imports

Trade protectionism

The use of government regulations to limit the import of goods and services

Trading bloc

Also known as an economic community, it is a group of nations within a geographical region that have agreed to remove trade barriers with one another

United States-Mexico-Canada Agreement (USMCA)

The US, Mexico, and Canada renegotiated NAFTA in November 2018, drafting a new policy known as the ______________

Wholly owned subsidiary

A foreign subsidiary, or subordinate section of an organization, that is totally owned and controlled by an organization

Geocentric

The successful international manager is not ethnocentric or polycentric but _________

Supplies, new markets, lower labor costs, access to financial capital, avoidance of tariffs or import quotas

Companies expand internationally because they seek these five things:

Global outsourcing, importing, exporting, and countertrading, licensing and franchising, joint ventures, wholly owned subsidiaries

Companies expand internationally through these five things:

Tariffs, import quotas, and sanctions and embargoes

What are the three barriers to trade?

the World Trade Organization, the World Bank, the International Monetary Fund

What are the three principal organizations that exist to facilitate international trade?

Brazil, Russia, India, China, and South Africa

What does BRICS stand for?

Individualism/collectivism, power distance, uncertainty avoidance, masculinity/femininity

What are the four dimensions along which national cultures can be placed, according to the Hofstede model?

Global Leadership and Organizational Behavior Effectiveness

What does “GLOBE” stand for in the GLOBE Project?

power distance, uncertainty avoidance, institutional collectivism, in-group collectivism, gender egalitarianism, assertiveness, future orientation, performance orientation, humane orientation

What are the nine cultural dimensions that are investigated in the GLOBE Project?

Language, interpersonal space, communication, time orientation, religion, law and political stability

What are the six basic cultural perceptions that managers trying to understand other cultures should know?

listen and observe, become aware of the context, choose something basic

You can develop your awareness of individual differences competency by remembering to:

360-degree feedback appraisal

A performance appraisal in which employees are appraised not only by their managerial superiors byt also by peers, subordinates, and sometimes clients

Adverse impact

Effect an organization has when it uses an employment practice or procedure that results in unfavorable outcomes to a protected class (such as Hispanics) over another group of people (such as non-Hispanic whites)

Affirmative action

The focus on achieving equality of opportunity

Arbitration

The process in which a neutral third party, an arbitrator, listens to both parties in a dispute and makes a decision that the parties have agreed will be binding on them

Assessment center

Company department where management candidates participate in activities for a few days whille being assessed by evaluators

Behavioral-description interview

Type of structured interview in which the interviewer explores what applicants have done in the past

Behaviorally anchored rating scale (BARS)

Employee gradations in performance rated according to scales of specific behaviors

Boomerangs

Former employees who return to the organization

Collective bargaining

Negotiations between management and employees regarding disputes over compensation, benefits, working conditions, and job security

Compensation

Payment comprising three parts: wages or salaries, incentives, and benefits

Cost-of-living adjustment (COLA) clause

Clause in a union that ties future wage increases to increases in the cost of living

Disparate treatment

Results when employees from protected groups are intentionally treated differently

Employment at will

Governing principle of employment in the great majority of states, that anyone can be dismissed at any time for any reason at all — or for no reason

Equal Employment Opportunity Commission

US panel whose job it is to enforce anti-discrimination and other employment related laws

Fair Labor Standards Act of 1938 (FLSA)

Legislation passed in 1938 that established minimum living standards for workers engaged in interstate commerce, including provision of a federal minimum wage

Forced ranking performance review systems

Performance review systems whereby all employees within a business unit are ranked against one another, and grades are distributed along some sort of bell curve, like students being graded in a college course

Givebacks

Negotiation tactic in which the union agrees to give up previous wage or benefit gains in return for something else

Grievance

Complaint by an employee that management has violated the terms of the labor-management agreement

High-performance work system (HPWS)

Approach to strategic HRM deploys bundles of internally consistent HR practices in order to improve employee ability, motivation, and opportunities across the entire organization

Legal defensibility

The extent to which the selection device measures job-related criteria in a way that is free from bias

National Labor Relations Board (NLRB)

Legislated in 1935, US commission that enforces procedures whereby employees may vote to have a union and for collective bargaining

Nondisparagement agreement

Is a contract between two parties that prohibits one party from criticizing the other; it is often used in severance agreements to prohibit former employees from criticizing their former employers

Objective appraisals

Also called results appraisals; performance evaluations that are based on facts and that are often numerical

Performance appraisal

A management process that consists of (1) assessing an employee’s performance and (2) providing him/her with feedback

Performance improvement plans (PIPs)

Formal policies of progressive discipline that outline employee performance problems, routes to and timelines for improvement, and consequences for not meeting plan objectives

Psychological capital

Positive state of psychological development that is characterized by high levels of hope, resiliency, optimism, and self-efficacy

Right-to-work laws

Statutes that prohibit employees from being required to join a union as a condition of employment

Situational interview

A structured interview in which the interviewer focuses on hypothetical situations

Social capital

Economic or productive potential of strong, trusting, and cooperative relationships

Social Security Act of 1935

Established the US retirement system

Strategic human resource management

The process of designing and implementing systems of policies and practices that align an organization’s human capital with its strategic objectives

Subjective appraisals

Performance evaluations based on a manager’s perceptions of an employees traits or behaviors

Talent marketplace

Digital platforms that use AI to match existing employees with job openings, training opportunities, and mentoring relationships

Two-tier wage contracts

Contracts in which new employees are paid less or receive lesser benefits than veteran employees have

Union security clause

Part of a labor-management agreement that states employees who receive union benefits must join the union, or at least pay dues to it

Human capital and social capital

What are the two most important concepts to strategic HRM?

Talent management and high-performance work systems

What are two strategic HRM approaches?

Internal, external, hybrid

What are the three types of recruiting?

Background information, interviewing, employment tests

What are the three types of selection tools?

Application forms, resumes, background checks

Background information is ascertained through what three things?

Unstructured, structured situational, structured behavioral-description

What are the three forms of interviews?

Wages or salaries, incentives, benefits

What are the three parts to compensation?

Learning and development

___________ and __________ fills gaps between what employees know and what they need to know.

assessment, objectives, selection, implementation, evaluation

What are the five steps in L&D?

Define, monitor and evaluate, review, provide consequences

What are the four steps of performance management?

Assessing performance, providing feedback

What does performance appraisal consist of?

Objective, subjective

What are the two general types of appraisal?

Fairness, nondiscrimination, other employees’ resentments

When deciding promotions, managers must consider what three things?

Labor relations, compensation and benefits, health and safety, equal employment opportunity

What are the four areas of employment law that managers need to be aware of?

Social Security Act of 1935, Fair Labor Standards Act

Compensation and benefits are covered by which two acts?

Closed shop, union shop, agency shop, open shop

What are the four types of workplace labor agreements?

Social intelligence, emotional intelligence, ownership, proactive learning orientation, positive approach, self-awareness, openness to change

What are the seven career readiness competencies needed to become a better receiver of feedback?

Identify your tendencies, learn how to listen, try self-compassion instead of defensiveness, ask for feedback, practice being mindful

What are the five steps to becoming a better receiver of feedback?