KOF Globalisation Index by Thomas Köllen in International Human Resource Management
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Which factor does NOT influence the localization of HRM practices in multinational enterprises?

  • Institutional environment of the host country
  • Subsidiary role within the multinational network
  • The global requirements of the multinational enterprise (correct)
  • Cultural environment of the host country

    • What does the text suggest is the LEAST important factor in the localization of HRM practices in multinational enterprises?

  • Firm size and maturity of the local affiliate
  • Mode of operation of the local affiliate (correct)
  • Subsidiary role within the multinational network
  • Cultural environment of the host country

    • Which stage of internationalization is MOST likely to have issues with roles and responsibilities?

  • Exporting
  • Sales subsidiary (correct)
  • Licensing
  • Foreign production

    • What is the MAIN purpose of the 'Stages of internationalization' section in the text?

    <p>To illustrate the different functional roles required at each stage of internationalization</p> Signup and view all the answers

    Which of the following is the BEST characterization of the relationship between global standardization and localization of HRM practices according to the text?

    <p>Global standardization and localization are equally important, and companies must find a balance between the two</p> Signup and view all the answers

    Which of the following factors is LEAST likely to influence the localization of HRM practices in multinational enterprises?

    <p>Mode of operation of the local affiliate</p> Signup and view all the answers

    What is the MAIN difference between the factors that influence global standardization versus localization of HRM practices according to the text?

    <p>Global standardization is influenced by the MNE's global requirements, while localization is influenced by the host country context</p> Signup and view all the answers

    Which of the following is the MOST accurate statement about the role of the 'Firm size and maturity' factor in the localization of HRM practices according to the text?

    <p>Firm size and maturity influence localization according to the host country context, but not global standardization</p> Signup and view all the answers

    What is the primary focus of the KOF Globalisation Index?

    <p>Quantifying the extent of globalization across various dimensions</p> Signup and view all the answers

    Which of the following is NOT a component of the economic globalization dimension measured by the KOF Index?

    <p>Embeddedness in international political structures</p> Signup and view all the answers

    What does the KOF Index measure under the social globalization dimension?

    <p>All of the above</p> Signup and view all the answers

    According to the information provided, for how many countries and over what time period are data available in the KOF Globalisation Index?

    <p>207 countries, from 1970 to 2018</p> Signup and view all the answers

    What is the significance of the weights mentioned in the image for the economic globalization dimension?

    <p>They represent the relative importance of each variable in calculating the overall index</p> Signup and view all the answers

    How are the overall indices for each aggregation level in the KOF Globalisation Index calculated?

    <p>By taking the average of the respective de facto and de jure indices</p> Signup and view all the answers

    Which of the following statements regarding the KOF Globalisation Index is NOT true?

    <p>It measures globalization across three main dimensions: economic, political, and social</p> Signup and view all the answers

    According to the information provided, what is the time period for which the weights shown in the image are applicable?

    <p>The weights are time-variant and change over different time periods</p> Signup and view all the answers

    What organizational structure is characterized by an interdependence of resources and responsibilities across all business units, regardless of national boundaries?

    <p>The transnational structure</p> Signup and view all the answers

    What is a key characteristic of the transnational structure?

    <p>It has a strong corporate identity and worldwide management perspective</p> Signup and view all the answers

    What is the key difference between the traditional multinational enterprise (MNE) and the heterarchical MNE described in the text?

    <p>The heterarchical MNE has multiple centers of competitive advantage, while the traditional MNE has only one</p> Signup and view all the answers

    What is the primary role of the international group introduced at Motorola, according to the text?

    <p>To enhance coordination across product lines in Japan</p> Signup and view all the answers

    Which statement best describes the relationship between product groups and the international group at Motorola?

    <p>The international group coordinates activities across product lines to enhance integration</p> Signup and view all the answers

    Which of the following statements is true about the transnational structure, according to the text?

    <p>It involves large flows of components, products, resources, people, and information among its subsidiaries</p> Signup and view all the answers

    What is a key feature of the heterarchical MNE?

    <p>It has multiple centers that may simultaneously act as centers and global coordinators of activities</p> Signup and view all the answers

    What is the primary advantage of the transnational structure, as described in the text?

    <p>It facilitates the flow of resources and information across units while leveraging distributed capabilities</p> Signup and view all the answers

    Which world region has experienced the most rapid increase in globalization from 1970 to 2018 according to the KOF Index of Globalisation?

    <p>East Asia</p> Signup and view all the answers

    What was the KOF Index of Globalisation score for Sub-Saharan Africa in 2018?

    <p>Approximately 50</p> Signup and view all the answers

    Which world region had the highest KOF Index of Globalisation score in 2018?

    <p>Western Europe</p> Signup and view all the answers

    In which year did East Asia's KOF Index of Globalisation score surpass that of North America?

    <p>1990</p> Signup and view all the answers

    What was the approximate KOF Index of Globalisation score for Western Europe in 1970?

    <p>40</p> Signup and view all the answers

    Which world region had the lowest KOF Index of Globalisation score throughout the time period shown (1970-2018)?

    <p>Sub-Saharan Africa</p> Signup and view all the answers

    In which year did North America's KOF Index of Globalisation score peak?

    <p>2000</p> Signup and view all the answers

    Which world region experienced the most consistent level of globalization according to the KOF Index from 1970 to 2018?

    <p>Western Europe</p> Signup and view all the answers

    According to the diagram, which of the following statements accurately describes the manager's position in the global matrix structure?

    <p>The manager belongs to product division B and is responsible for area 2.</p> Signup and view all the answers

    Which of the following is NOT a management issue arising from the global matrix structure, according to Bartlett and Ghoshal?

    <p>Seamless communication across divisions</p> Signup and view all the answers

    What is the primary reason many companies have opted for mixed structures?

    <p>To react to the growth in global competitors, customers, products, technology investments, and world-scale factories.</p> Signup and view all the answers

    Which of the following statements accurately describes Colgate-Palmolive's approach to a mixed structure?

    <p>Colgate-Palmolive kept geographic profit centers but added worldwide product managers at the corporate office.</p> Signup and view all the answers

    Based on the information provided, which of the following statements is true regarding the global matrix structure?

    <p>It creates potential conflicts and confusion due to the dual reporting structure.</p> Signup and view all the answers

    Which of the following statements is NOT true about the mixed structures adopted by some companies?

    <p>They were designed to eliminate the need for geographic profit centers within the organization.</p> Signup and view all the answers

    According to the information provided, what was the primary role of the worldwide product managers added at Colgate-Palmolive's corporate office?

    <p>To direct R&amp;D funding and coordinate marketing programs worldwide.</p> Signup and view all the answers

    Based on the information provided, which of the following statements accurately describes the global matrix structure?

    <p>It is a structure that involves dual reporting relationships for managers, leading to potential conflicts and confusion.</p> Signup and view all the answers

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