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    Question

    If a company operating in a different country works the manner exactly like the parent company, such orientation is called:

    A Ethnocentric Approach Correct Answer Incorrect Answer
    B Polycentric Approach Correct Answer Incorrect Answer
    C Regiocentric Approach Correct Answer Incorrect Answer
    D Geocentric Approach Correct Answer Incorrect Answer

    Solution

    In International business, a company may adopt various approach towards its recruitment and staffing. In an ethnocentric approach, the organization's key positions worldwide are filled with employees of the same nationality as its parent company.  The other approaches include: 

    • Polycentric – A Polycentric approach is when you hire locals to fill positions in a foreign country.
    • Regiocentric - A regiocentric approach to recruitment means that you either transfer or hire employees within the same geographic area to fill your open positions because their environment and culture closely match the host country. 
    • Geocentric - When a company adopts the strategy of recruiting the most suitable persons for the positions available in it, irrespective of their nationalities, it is called a geocentric approach.   

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