Every company finds it challenging to recruit and select top executives for an international location. The nationals of the host country will be aware of the local laws and customs and may accept a lower wage as well, but may not be familiar with the company's culture and policies. The company's employees, on the other hand, will know about the company's business, culture, and policies, but might not be familiar with the culture and customs of the foreign country.
Your MNC is expanding its operations to South America (Brazil, Argentina, Chile, or Columbia). The subsidiary in South America will be manufacturing automobile parts. As a human resource executive, you have to decide how you will staff this new location for top- and middle-level management, and other employees.
Using the module readings and the Internet then respond to the following:
- Which model will be most appropriate for staffing each group: ethnocentric model, polycentric model, or global model? Explain your reasoning for each case.