Multinationals Construct Allowances by Comparing the Cost of a "Market

question 21

Essay

Multinationals construct allowances by comparing the cost of a "market basket" of goods and services in the home country with the cost of a similar basket in the assignment country. What are some of the typical items that would be included in such a market basket?

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Cultural Differences

The various beliefs, values, behaviors, and social structures unique to each society or community.

Organizational Cultures

Shared values, beliefs, and practices that influence the behavior and actions of members within an organization.

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