What Is a Disadvantage of Using Host Country Nationals to Manage

question 25

Multiple Choice

What is a disadvantage of using host country nationals to manage foreign operations?

• A) high relocation costs to firm
• B) unfamiliarity with firm's practices
• C) loss of key talent from headquarters
• D) inability to understand local customs

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Definitions:

Containment

A strategic policy aimed at preventing the expansion of an adversary's influence or ideology, often used in the context of the Cold War.

Cold War

A period of geopolitical tension between the Soviet Union and the United States and their respective allies, which lasted from the end of World War II until the dissolution of the Soviet Union in 1991.

Monroe Doctrine

A principle of US foreign policy that opposed European colonialism in the Americas and stated that any intervention by external powers in the politics of the Americas is a potentially hostile act against the US.

Western Hemisphere

The Western Hemisphere encompasses all territories located west of the Prime Meridian to the International Date Line, including both the Americas and surrounding waters.