Presentation for IHRM International recuitment

  • Case study question 1-3
  • Activity 1
  • Activity 2

Case study : Question 1

  • Local responsiveness requires MNCs to make strategic decisions based on local context (Roth and Morrison, 1990).
  • Differences in customer needs.
  • Market structure,
  • Local regulations

Case study : Question 2

In early years: Ethnocentric

In ethnocentric firms, key points in domestics and foreign operations are held by managers from heasquarters. Subsidiaries are managed by staff from the home country (Dowling, Festing and SR).

Now: Geocentric

With a geocentric approach, the MNE is taking a global approach to its operations, recognizing that each part (subsidiaries and headquarters) makes a unique contribution Dowling, Festing and SR).

Case study: Question 3


1. reduce the possibility of corruption due to the person recruited has been scrutinised by the headquarter and thus is more trustworthy


1. Employees from headquarters know little about local markets.

2. Avoid being affected by the limitations of local employees' talents.

3. Insufficiency of the recruitment process.

I would recommend to recruit locally for a better adaptation to local markets. To recruit from the headquarter may use up the talent in the headquarter.

Activity 1

  1. PCN:


Familiarity with the home office's goals, objectives, policies, and practices

Skilled technical and managerial competence

Quickly control the business of subsidiaries


Difficulties in adapting to the foreign language and the socioeconomic, political, cultural and legal environment

Excessive cost of selecting, training and maintaining expatriate managers and their families abroad

2. HCN


Familiarity with the socioeconomic, political and legal environment and with business practices in the host country

Provides opportunities for advancement and promotion to local nationals

Low cost of employment


Difficulties in exercising effective control over the subsidiary's operation

Lack of opportunities for the home country's nationals to gain international and cross-cultural Experience

3. TCN


It will be the best compromise between securing needed technical and managerial expertise and adapting to a foreign socioeconomic and cultural environment.


Not easy to promotion in other multinational companies.

4. SIEs


Better cultural adjustment.

Highly motivated individuals eager to get international exposure


Young people are lack of work experience

May bring some adverse effects to the market

5. SMs


Highly educated and skilled individuals


Strict immigration legislation may prevent immigration of skilled individuals

Activity 2

1. marketing manager, and IT associate PEST analyses

2. accountants

3. shopping mall head

4. 6 line managers and 75 sales staff

5. secretary

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