MGT 480: ch.15

International companies: Companies that export or import, but their investments are within one home country

Multinational companies: Companies operating in multiple countries but with clearly designated headquarters in their home country

Transnational companies: Companies that have operations in multiple countries and do not view themselves as belonging to any one country

Offshoring: When companies produce physical goods or perform some of their operations overseas

Outsourcing: Moving some operations of the organization to a different organization

Global integration: When a company standardizes its HR practices around the world

Local differentiation :When organizations vary their HR practices in consideration of the local environment

Expatriate: A person who is living and working in a different country than their country of origin

Organizationally assigned expatriate: When an expat is sent by the organization for a predetermined time to work in an overseas operation

Self-initiated expatriate: A skilled professional who moves to a different country for a specific period of time with the intention of gaining overseas work experience

Cultural adjustment: Adjusting to the new culture one is now living in, including factors such as transportation, entertainment, health system, education, and general living conditions

Work adjustment: Feeling comfortable at work and with one’s new tasks

Interactional adjustment: The comfort felt with interacting with local individuals inside or outside work

Global mindset: Refers to being open to learning about different cultures, having a sense of adventure, being comfortable dealing with ambiguity, and having a nonjudgmental attitude toward those from other cultures

Culture shock: The feeling of disorientation individuals experience when they enter a new culture

Coreflex plan: A plan that provides some services (such as paying for movers and travel expenses) to all expatriates, with the remainder of benefits personalized to the unique situation of the expatriate