Question : 31. NAFTA has increased U.S. investment in Mexico because of Mexico’s A. lower : 1250951

31. NAFTA has increased U.S. investment in Mexico because of Mexico’s 
A. lower labor costs for high-skilled employees.
B. lower labor costs for low-skilled employees.
C. high power distance.
D. high collectivism.

NAFTA has increased U.S. investment in Mexico because of Mexico’s substantially lower labor costs for low-skilled employees.

32. _____, with its population of over 1 billion and a trend toward opening its markets to foreign investors, presents a tremendous potential market for goods. 
A. Russia
B. Malaysia
C. Japan
D. China

China, with its population of more than 1 billion and trend toward opening its markets to foreign investors, presents a tremendous potential market for goods.

33. Which international organization currently consists of over 100 member nations? 
A. European Economic Community
B. NAFTA
C. GATT
D. ASEAN

The General Agreement on Tariffs and Trade (GATT) currently consists of more than 100 member-nations.

34. The most recent round of GATT negotiations resulted in an agreement of all of the following except, 
A. establishing rules for investing and trading in services.
B. cutting tariffs by 40 percent.
C. expand protection of intellectual property.
D. increasing government subsidies to businesses.

The most recent round of GATT negotiations resulted in an agreement to cut tariffs by 40 percent, reduce government subsidies to businesses, expand protection of intellectual property such as copyrights and patents, and establish rules for investing and trading in services.

35. Which one of the following factors affecting HRM in global markets represents the set of important assumptions (often unstated) that members of a community share in common about the world, how it works, and what things are important? 
A. Human capital
B. Culture
C. Foreign competition
D. Codetermination

Culture is defined as “the set of important assumptions (often unstated) that members of a community share.” These assumptions consist of beliefs about the world and how it works and the ideals that are worth striving for.

36. Which of the following is least likely to be a factor affecting HRM in global markets? 
A. Culture
B. Technical capital
C. Political-legal system
D. Economic system

Researchers in international management have identified a number of factors that can affect HRM in global markets: culture, education-human capital, the political-legal system, and the economic system.

37. Which of the following county has the highest masculinity? 
A. Netherlands
B. Russia
C. Japan
D. France

According to the Table 15.2, Japan has the highest masculinity.

38. Which of the following countries is not very high in individualism? 
A. United States
B. Great Britain
C. The Netherlands
D. Taiwan

In collectivist cultures, such as Colombia, Pakistan, and Taiwan, people are expected to look after the interest of the larger community, which is expected to protect people when they are in trouble.

39. According to Hofstede’s cultural dimensions, a culture where people are expected to look after their own interests and the interests of their immediate families is one high in 
A. power distance.
B. masculinity.
C. individualism.
D. uncertainty avoidance.

In individualist cultures, such as the United States, Great Britain, and the Netherlands, people are expected to look after their own interests and the interests of their immediate families.

40. Which of the following HR practices would least likely be found in collective cultures? 
A. Employee assistance programs
B. Participative management practices
C. Job-based evaluations and incentives
D. Project-based organizational structures

Job-based evaluations and incentives are focused more on individualistic performance rather than group or team performance.