The host-country effect:
A) Implies that multinationals are shaped by institutions existing in their country origins
B) Refers to the extent to which HRM practice in subsidiaries are impacted by the host country context
C) Refers to the transfer of practices from foreign locations to the headquarters
D) Relies heavily on knowledge from the parent or peer subsidiaries

Question

Quizplus · Accepted Answer

The host-country effect refers to the extent to which HRM practices in subsidiaries are impacted by the host country context. It is about adapting to the local context rather than being shaped by the country of origin of the multinational.

The Host-Country Effect