Asked by Danielle O'Brien on Apr 25, 2024

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Companies characterized by little communication flow to and from headquarters and between subsidiaries are called

A) isocentric.
B) geocentric.
C) polycentric.
D) ethnocentric.
E) regional.

Polycentric

An approach in international business where a company gives autonomy to each host country operation to tailor strategies and practices to local conditions.

Geocentric

An approach or viewpoint that considers the earth as the center, often used in the context of international business to describe a strategy that views the world as a potential market with no inherent borders.

Ethnocentric

The belief in the superiority of one's own ethnic group or culture, often at the expense of understanding or respecting other cultures.

  • Describe organizational structures based on the flow of communication and control in multinational companies.
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Victor Borrego8 days ago
Final Answer :
C
Explanation :
Polycentric companies adopt a decentralized approach, where decision-making is left to individual subsidiaries or regional offices. This leads to less communication flows between headquarters and subsidiaries, as well as between different subsidiaries. Isocentric and regional are not commonly used terms in the field of international business, while geocentric and ethnocentric refer to other organizational approaches that do not necessarily imply low communication flow.