The "Psychic Distance Paradox" Causes Performance Failures Because

question 28

Multiple Choice

The "psychic distance paradox" causes performance failures because:

• A) Negotiators who are working in a similar culture to their own perceive the two cultures as being significantly different.
• B) When doing business in cultures that are perceived to be similar, managers prepare less and do not realize the cultures are actually quite different.
• C) Expatriate managers are unable to connect with the local culture after moving from a similar culture.
• D) Managers do not understand the culture's behavior despite language proficiency.

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Definitions:

Labor

This refers to the human effort, both physical and mental, used in the production process.

Overhead

The indirect costs associated with manufacturing or delivering a product or service, such as utilities, rent, and administrative expenses.

Beginning Inventory

The value of all the inventory held by a company at the start of its accounting period.

Work In Process

Inventory that includes items currently being manufactured but not yet completed.