Which of the Following Is an Advantage of Adopting a Geocentric

question 99

Multiple Choice

Which of the following is an advantage of adopting a geocentric staffing approach?

• A)It tends to reduce cultural myopia and enhance local responsiveness.
• B)It is inexpensive to implement.
• C)It reduces the costs of value creation.
• D)It allows all key management positions of a firm and its subsidiaries to be filled by parent-country nationals.
• E)It requires minimal documentation for hiring foreign nationals.

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Definitions:

Impairment

The decrease in the recoverable value of an asset below its carrying amount, leading to a write-down value in the balance sheet.

Amortization Expense

Amortization expense is the cost associated with gradually writing off the initial cost of an intangible asset over its useful life.

Capital Asset

Long-term property or investment held by a business or individual, intended for use or investment purposes rather than for sale.

Fair Value Increments

Adjustments made to the book value of assets and liabilities to reflect their current market value during acquisition accounting.