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Ethnocentric attitude: It is a major reason for divisions amongst members of different ethnicities, races, and religious groups in society. Ethnocentrism is the belief of superiority is one's personal ethnic group, but it can also develop from religious differences. These individuals believe that they are better than other individuals for reasons based solely on the basis of their religion, heritage and this practice lead societies to the problems of both racism and prejudice.

Ethnocentrism is found in every organization throughout the world. The ethnocentric attitude is found in many companies that have many nationalities and culture groups working together. It is a natural tendency for people to act ethnocentrically because it is what they feel comfortable with. It is based on past experiences and learned behaviors and norms.


Polycentric Attitude: Polycentric is the attitude toward business where, the policy is made in a ways that encourages the involving, hiring and promoting of employees who are citizens of the host countries where the business is being operated. Or in more simple way we can say that the company does prefer the local workers of host country where they are performing their business to gain the maximum confidence of the local community and culture as a subsidiary being operated from the principle country. This policy is best used when companies want to keep hiring cost low. Moreover, employees who are hired at subsidiary level would not have any problem adapting to the culture. Communication is smooth within the operation. This approach is used when regional employees are needed for important positions. However, both employees from host countries and a third country are employed. The disadvantage of using this type of policy is that sometimes employees from home or host countries are not unselected. Instead, employees from a third country are selected to subsidiary in which they may face cultural differences.

Geocentric Behavior: Geocentric is the best approach toward global business organizations, where staffing and hiring is been done upon merit and company adopt a transnational orientation. It is best used when companies need the best personnel to work at subsidiary location. Employees are selected regardless where they come from. This staffing strategy is reliable for all subsidiaries because best employees are selected and sent from the company's worldwide network. By following this more experienced and more world oriented employees can be hired by organization having vast experiences over different subsidiaries in different countries, resultantly providing company with the global growth and benefits.

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Q: What are the differences between ethnocentric and geocentric and polycentric attitudes?
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