Define the polycentric, ethnocentric, and geocentric approaches to staffing.
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Define the polycentric, ethnocentric, and geocentric approaches to staffing. Identify the advantages and disadvantages of each for international company staffing. If you were responsible for expanding a business overseas, which of the staffing approaches would you use? Why?
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Solution Summary
This solution defines the polycentric, ethnocentric, and geocentric approaches to staffing and discusses advantages and disadvantages of each. Considerations for determing a staffing approach when expanding a business overseas are also discussed. This solution is 500 words.
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RESPONSE:
1. Define the polycentric, ethnocentric, and geocentric approaches to staffing. Identify the advantages and disadvantages of each for international company staffing.
1. Ethnocentric approach
Ethnocentricity (ethnocentrism) is "a belief in the superiority of one's own ethnic group. The firm basically believes that parent-country nationals are better qualified and more trustworthy than host country nationals." (www.marcbowles.com/courses/adv.../amc11_ch11_two1.htm)
Advantages:
- Experience curve effects derive from standardisation of production.
- The firm produces in the home country initially and transfers its core competency to the host country under the guidance of expatriate managers.
- These managers have the knowledge to create value through core competencies.
- They also contribute to the maintenance of the corporate culture. (www.marcbowles.com/courses/adv.../amc11_ch11_two1.htm)
Disadvantages:
- Denies ...
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