Why Is Management Control Particularly Complex in Decentralized Multinational Organizations

question 57

Multiple Choice

Why is management control particularly complex in decentralized multinational organizations?

• A) Managers abroad are not as well-trained as managers of domestic operations.
• B) Decision-making authority is not delegated to the local managers of foreign operations.
• C) Managers of foreign operations may be motivated by local goals rather than parent's goals.
• D) Financial risks are always higher for the local managers of foreign operations than for managers of domestic operations.

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Definitions:

Minimization

A defense mechanism where the individual downplays the significance or impact of an event or emotion.

Contingency Contracting

A behavioral intervention technique involving a written agreement between a client and a counselor specifying a behavior to be changed and the consequences that follow as a result.

Token Economy

A behavioral modification system that uses tokens as a form of reinforcement for displaying desired behaviors, which can later be exchanged for various rewards.

Rewards

Positive outcomes or reinforcements that increase the likelihood of a behavior being repeated.