SHRM-CP Exam Dumps | The Archibald Corporation has offices in thirteen countries besides the United States. In these foreign

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Question 36

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Question 36/153

The Archibald Corporation has offices in thirteen countries besides the United States. In these foreign offices, the management positions are held by locals and the corporate positions are held by Americans. What is one possible drawback of this arrangement?

A. Organizational culture is too homogenous

B. Resentment by the foreign community

C. Lack of communication among the foreign offices

D. Exaggerated hiring costs

Correct Answer: C

Explanation: One possible drawback of this arrangement is a lack of communication among the foreign offices. The Archibald Corporation is using what is known as the polycentric approach to international staffing. The advantages to this system are that it is cheaper to employ foreign nationals than to use expatriates and that it gives the foreign community a sense of investment in the business. However, if a corporation has multiple overseas offices, linguistic and cultural barriers may impede communication among them.

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