What can be a significant impact of managing expatriates poorly?

Study for the Arizona State University MGT302 International Business Exam. Prepare with flashcards and multiple choice questions, featuring hints and explanations for each. Get exam-ready with ease!

Managing expatriates poorly can lead to higher turnover rates of expatriates, which can significantly disrupt business operations and diminish the value of international assignments. When expatriates face challenges such as inadequate support, cultural misunderstandings, or insufficient training, they may become disillusioned with their role abroad. This can result in them leaving their positions earlier than anticipated, increasing turnover rates.

High turnover can create a range of negative consequences for organizations, including increased recruitment and training costs, disruptions in project continuity, and potential impacts on team morale and productivity. Companies rely on expatriates to transfer knowledge, build relationships, and integrate business practices across different markets, so retaining these employees is crucial for maintaining competitive advantages and achieving successful international operations.

In contrast to the other options, which suggest positive organizational outcomes, higher turnover represents a challenge that can have detrimental effects on a firm's ability to successfully navigate international business environments.

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