Scenario 3.1 Mini-PC Is a Houston-Based Maker of Handheld Computers. in Response

question 41

Multiple Choice

Scenario 3.1
Mini-PC is a Houston-based maker of handheld computers. In response to high European demand, Mini-PC purchased Marstrand Electronics, a handheld manufacturer in Stockholm, Sweden. Mini-PC allowed the management of Marstrand to continue in their jobs rather than sending U.S. managers to oversee Swedish operations. Mini-PC decided to purchase Marstrand because virtually all Swedes speak English, value women's rights, and are predominantly Christian in religious beliefs. Sweden has an extremely stable political system, a sound economy, a highly educated workforce, and it is a member of the European Union. However, Swedes do take a different view of work time, in that they expect at least two months of vacation per year. Also, the Swedish workforce is about 80% unionized, in comparison to Mini-PC's nonunionized workforce. Sweden has a socialist approach to health benefits, which means higher personal taxes for workers but lower health benefits costs for employers. When comparing average national scores on Hofstede's dimensions of culture, the United States and Sweden are about the same in power distance and long-term orientation, but the United States is higher than Sweden in individualism and uncertainty avoidance and much higher in masculinity.
-Refer to Scenario 3.1. On the basis of scores on Hofstede's dimensions of culture, which organization cultural values will create the most discomfort and resistance among Swedish workers?

• A) Swedes will resist Mini-PC's policy of calling everyone, from the CEO to the lowest worker, by his or her first name.
• B) Swedes will place a much greater value on patience and persistence than do Mini-PC's American workers.
• C) Swedes will prefer to emphasize individual contributions, as opposed to Mini-PC workers in the United States, who value team or group contributions.
• D) Swedes will be much less competitive, ambitious, and driven than Mini-PC's American workers.
• E) Swedes will not be comfortable when given tasks that are too structured, as opposed to American workers, who prefer lots of structure.

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Definitions:

Personal Disposable Income

The amount of money that individuals have available for spending and saving after income taxes have been accounted for.

Manufacturing Output

The total value or volume of goods and products produced within a manufacturing sector in a specific period.

Operating Leverage

The degree to which a firm or project can increase operating income by increasing revenue, reflecting fixed versus variable costs.

Profits

The financial gain realized when the revenues generated from business operations exceed the expenses, taxes, and costs incurred.