The Day-To-Day Decisions About Labor Relations Are Usually Handled by Foreign

question 39

Multiple Choice

The day-to-day decisions about labor relations are usually handled by foreign subsidiaries because:

• A) labor costs in industrialized countries are far lower than in newly industrialized countries.
• B) the control over labor relations is centralized in most countries.
• C) labor relations on an international scale involve differences in laws and economic systems.
• D) this reduces the power distance across countries.
• E) the host governments require them to do so.

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Definitions:

Rationality

The characteristic of adhering to or being aligned with logic or reasoning.

Logical Thinking

The process of using reasoning consistently to come to a conclusion, problem solving and decision making based on a set of given rules.

Reasoning

The process of thinking about something in a logical way in order to form a conclusion or judgment.

Ego

In psychoanalytic theory, the part of the psyche that mediates between the instinctual desires of the id, the moral and social demands of the superego, and reality.