Question 1

In a "global recognition program," which of the following should be a key consideration?

Options :

A : Standardizing all recognition awards regardless of region

B :

Aligning recognition practices with both local cultural norms and global organizational objectives to maximize effectiveness

C : Focusing only on monetary rewards to simplify the program

D : Limiting recognition programs to headquarters only

Answer: B

Question 2

In which scenario would a "split-pay" approach to compensation be most advantageous for anexpatriate on a long-term assignment?

Options :

A : When the expatriate’s home and host countries have significant currency stability

B : When the expatriate wants to save in their home currency but cover expenses in the host country

C : When the host country’s currency is devalued against the home currency

D : When there is a strong international currency regulation in the host country

Answer: B

Question 3

When an organization adopts a "headquarters-based" approach to global compensation, what is one major disadvantage it might encounter?

Options :

A : Difficulty in creating standardized pay levels

B : Increased administrative burden due to varying exchange rates

C : Reduced ability to attract talent in local markets due to lack of alignment with local standards

D : Limited access to expatriate talent due to high costs

Answer: C

Question 4

In the context of global rewards, what is an advantage of including "nonstatutory benefits" as part of an organization’s total rewards package?

Options :

A : They are universally accepted across countries

B :

They provide flexibility to offer regionally competitive benefits beyond statutory minimums, improving attraction and retention

C : They are mandated by local laws and require minimal customization

D : They decrease the overall cost of benefits

Answer: B

Question 5

Which of the following best describes a "dual pay" approach in expatriate compensation?

Options :

A : Paying in the host-country currency only

B :

Splitting compensation between home and host-country currencies to address local expenses and maintain savings in home currency

C : Standardizing pay across all expatriates

D : Avoiding local currency use for expatriates

Answer: B

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