INT MGT - FINAL EXAM WITH 100%
CORRECT ANSWERS { GRADED A+}
Parent Company National (PCN) -✔✔ A person from the
company's home country. (ex: a U.S. national working for an
American company)
Host Company National (HCN) -✔✔ a person working for a
foreign company in their own country. (ex: a Mexican national
working for an American company in Mexico.)
Third Country National (TCN) -✔✔ A person working outside of
their own country for a company that is headquartered outside the
country of employment. (ex: a Chilean national working for an
American company in Mexico)
-Superior level of control
-superior education
,-familiarity w/ parent company
-easy comm channel
-foreign image -✔✔ Pros of PCNs?
-Expensive
-may fail
-difficulty comm w/ locals
-foreign image -✔✔ Cons of PCNs?
-understanding of local environment
-local communication
-knowledge of local customs
-local image -✔✔ Pros of HCNs?
-lack of qualifications/expertise
-substantial training needed
-difficulty communicating w/ parent company -✔✔ Cons of
HCNs?
-skills
-expertise -✔✔ Pros of TCNs?
, -unfamiliar w/ parent/host culture
-expensive -✔✔ Cons of TCNs?
Ad Hoc Approach -✔✔ Individually negotiated compensation
packages.
Localization -✔✔ Paying the same as the Host Country nationals
Balance Sheet Approach -✔✔ keeps the expat whole and leaves
them with same standard of living. designed to provide equivalent
purchasing power abroad to maintain home lifestyle.
-Allows for maintenance of home-country salaries and better
compensation comparisons with home country peers.
-Provides a base for pension and other home-country benefits.
-easier repatriation & reintegration into home-country salary
structures at end of assignment -✔✔ Benefits of Balance Sheet
Approach?
PCN Compensation -✔✔ expect to maintain the same standard
of living including benefits and pensions. live as their local
counterparts do in the foreign location even if its a higher
CORRECT ANSWERS { GRADED A+}
Parent Company National (PCN) -✔✔ A person from the
company's home country. (ex: a U.S. national working for an
American company)
Host Company National (HCN) -✔✔ a person working for a
foreign company in their own country. (ex: a Mexican national
working for an American company in Mexico.)
Third Country National (TCN) -✔✔ A person working outside of
their own country for a company that is headquartered outside the
country of employment. (ex: a Chilean national working for an
American company in Mexico)
-Superior level of control
-superior education
,-familiarity w/ parent company
-easy comm channel
-foreign image -✔✔ Pros of PCNs?
-Expensive
-may fail
-difficulty comm w/ locals
-foreign image -✔✔ Cons of PCNs?
-understanding of local environment
-local communication
-knowledge of local customs
-local image -✔✔ Pros of HCNs?
-lack of qualifications/expertise
-substantial training needed
-difficulty communicating w/ parent company -✔✔ Cons of
HCNs?
-skills
-expertise -✔✔ Pros of TCNs?
, -unfamiliar w/ parent/host culture
-expensive -✔✔ Cons of TCNs?
Ad Hoc Approach -✔✔ Individually negotiated compensation
packages.
Localization -✔✔ Paying the same as the Host Country nationals
Balance Sheet Approach -✔✔ keeps the expat whole and leaves
them with same standard of living. designed to provide equivalent
purchasing power abroad to maintain home lifestyle.
-Allows for maintenance of home-country salaries and better
compensation comparisons with home country peers.
-Provides a base for pension and other home-country benefits.
-easier repatriation & reintegration into home-country salary
structures at end of assignment -✔✔ Benefits of Balance Sheet
Approach?
PCN Compensation -✔✔ expect to maintain the same standard
of living including benefits and pensions. live as their local
counterparts do in the foreign location even if its a higher
