Adjustment of self-initiated and organizational expatriates: The moderating role of cross-cultural training (2024)

2.1. Defining the term “SIEs” and “OEs”

When individuals leave their national borders to live and work temporarily in another nation, this process is known as expatriation (Richardson and McKenna, 2006; Rose et al., 2010). According to Suutari et al. (2018), the word “ex-pat” originates from the Latin term “ex-Patria,” which means “away from one’s nation.” It describes someone leaving their country searching for better employment and living opportunities. So, an expatriate is a person who plans to live and work for a specific amount of time in a foreign nation or culture (Holopainen and Björkman, 2005).

There are two types of expatriates looking for work abroad: organizational expatriates (OEs) and self-initiated expatriates (SIEs; Howe-Walsh and Schyns, 2010). When a parent company sends a highly qualified employee to work in a foreign subsidiary for a set length of time (often three to 5 years), these workers are known as “OEs” (McKenna and Richardson, 2007). Additionally, SIEs migrate and seek employment in a foreign nation without assistance from native firms (Selmer and Lauring, 2010; Tharenou and Caulfield, 2010). OEs are offered training and skills before moving overseas, whereas SIEs make their own expatriation determinations (Howe-Walsh and Schyns, 2010).

Literature reveals that SIEs are more prevalent and well-liked than OEs and that the quantity of SIEs is significantly greater than that of OEs (Biemann and Andresen, 2010; Swim et al., 2011). That is, since SIEs are free to commence their journey overseas and are not obligated to serve in specific companies, unlike OEs. The latter return to their firm when the foreign mission is done. Results revealed that SIEs comprise 65% of the professional workforce (Doherty, 2013). Additionally, the research found that 50 to 70% of expatriates fall within the category of SIEs (Jokinen et al., 2008; Peltokorpi and Jintae Froese, 2009; Swim et al., 2011).

2.2. Cross-cultural adjustment of SIEs and OEs

The term “CCA” describes how well an expatriate has adjusted psychologically and socially to live in a new culture (Black, 1988; Black et al., 1991). Expatriates tend to become more at ease and start integrating with the foreign culture through a procedure that entails uncertainties, minimization and transformation (Black, 1988). Through copying and practicing culturally acceptable behaviors, expatriates might lessen fear and confusion. Expatriates who have successfully adjusted to their foreign culture are often receptive to the host society’s customs. They can build on the foundation established by their own cultures in terms of new habits, values, and laws (Church, 1982). On the other hand, maladjusted expatriates are incapable or unwilling to adapt and change their behavior to the foreign nation’s habits, customs, and standards. Expatriates may consider foreign cultures lower than their own and their own culture overly favorable if they had unpleasant experiences there.

Addressing the CCA of expatriates, there is a substantial corpus of literature (Bhaskar-Shrinivas et al., 2005; Takeuchi, 2010). Black and Stephens (1989) recognized the three significant aspects of CCA in the research on expatriate adjustment: general adjustment, interaction adjustment, and work adjustment. The way expatriates adapt to living abroad is referred to as general adjustment. The process of adjusting to new social contacts is known as interaction adjustment. Expatriates’ integration into the workplace is a crucial component of work adjustment. Previous research on expatriate adjustment has frequently used these three elements, which have already been proven valid (Bhaskar-Shrinivas et al., 2005).

While an extensive study was undertaken on the CCA of OEs, fewer are revealed about the CCA of SIEs. Generally, the emphasis of cross-cultural studies on expatriates has been on OEs delegated by the MNEs’ corporate headquarters to the overseas subsidiary. The General Agreement on Trade in Services (GATS), signed by countries, establishes the guidelines for the mobility of specialists across national borders and the reciprocal validation of credentials (WTO, 2019; Guo et al., 2021). According to research by Peltokorpi and Jintae Froese (2009), SIEs are more likely to exhibit higher general and interaction adjustment levels than OEs. Regarding work adjustment, Froese and Peltokorpi (2011) discovered that SIEs are less satisfied with their professions than OEs. They suggested that SIEs’ pre-existing social networks with locals and stronger desire would favorably impact interaction and general adjustment. This is problematic because they did not experimentally evaluate the antecedents of SIEs’ adjustment. They predicted that SIEs get less assistance at the workplace, which would contribute to lower work satisfaction.

Additionally, Richardson (2006) and Vance (2005) suggested that families and spouses could favor expatriates’ adjustment. In conclusion, there are significant differences among SIEs and OEs in terms of CCA, and these differences in precursors may also exist across SIEs and OEs. Therefore, this study explores the differences between the SIEs and OEs and their CCA process in Pakistan’s work and non-work environments.

2.3. Cross-cultural training

The CCT has a considerable effect on their work performance. Since the advent of globalization, there has been a rising demand for CCT. According to research by Hunt et al. (2015), multicultural employees and fiscal gains are directly correlated, demonstrating the significance of CCT and its productivity. In other words, a more diversified workforce leads to better financial results. With the help of CCT, expatriates may better locate and adapt to their host settings to perform at a higher standard. The goal of CCT is to train individuals of one culture how to interact successfully and work with individuals of another culture and to assist them in efficiently adjusting to their new place (Tahir, 2022). This training includes cultural orientation, language learning, social skill building, interactions, etc. (Krishnaveni and Arthi, 2015).

The study of expatriates’ adjustment has dominated the field of cross-cultural literature (Bruning et al., 2012; Abdul Malek et al., 2015; Kawai and Mohr, 2015; Selmer and Lauring, 2015; Zhang and Oczkowski, 2016). When performing their duties, expatriates encounter difficulties living and working in a foreign country (Black et al., 1991). The challenges in transitioning to these circ*mstances sparked a heated discussion about ways to increase efficiency in the host nation and reduce the failure rate of an expatriate mission. According to Black and Stephens (1989), expatriates are deemed acclimated to the host culture if they feel at ease, psychologically satisfied, and unbothered by any of the three adjustment components: general, interaction, and work adjustment.

The contribution of CCT professionals working abroad has been substantial. The researchers recognized that CCT plays a crucial role in expatriates’ successful international adaptation (Waxin and Panaccio, 2005). Additionally, CCT is frequently referred to as a strategy for enhancing expatriates’ ability to perform well overseas (Forster, 2000). According to Black and Mendenhall (1990), CCT has been implemented to improve interactions between people of different cultural backgrounds. Expatriates’ ability to adapt to their new surroundings and increase their understanding of local culture are both aided by training (Porter and Tansky, 1999). Caligiuri et al. (2005) stated that CCT was designed to assist individuals in feeling secure while living and working overseas, boost their acculturation, and improve their capacity to detect and comprehend diverse cultural contexts. Appropriate planning, like providing these expatriates with CCT before they depart, can help mitigate or eliminate many potential problems during their time abroad. The CCT strives to accomplish three primary goals. The first is that CCT ought to assist expatriates in anticipating (in ahead) appropriate methods of carrying out work and appropriate cultural behavior in the host nation. The second goal is to increase expatriates’ cognitive ability to deal with unexpected occurrences and disputes caused by unanticipated circ*mstances and acts. The third objective of CCT is for expatriates to have realistic assumptions concerning their living and working conditions in the host nation (Caligiuri et al., 2001). In addition, Mondy and Noe (2005) proposed that various types of pre-departure and CCTs focusing on the host nation’s language, culture, living conditions, and social norms will aid expatriates in adjusting to the host culture with ease. Therefore, this training aims to increase expatriates’ understanding of the host culture and familiarize them with cultural diversity.

3.1. Qualitative research approach

Qualitative research approaches are essential for constructing theories in complex and extensive fields (Yin, 2016). Therefore, a combination of critical incident and narrative inquiry approaches (Silverman, 2011; Yin, 2015) was employed to gain insight into, and construct theories around, the cross-cultural adjustment of Chinese SIEs and OEs. We used semi-structured interviews to collect data for this research from high-management Chinese SIEs, and OEs employed in distinct Chinese companies in Pakistan. According to Selmer (2006), employing qualitative strategies may aid the researcher in overcoming “linguistic difficulties” when gathering information and assist Chinese expatriates in understanding the study issue by easing their worries. The research employs two distinct methodologies comprising “narrative analysis” that was included in the research framework (Murray, 2009; Silverman, 2011), and this strategy was utilized to encourage respondents to convey their views throughout the discussion boldly (Yin, 2015).

3.2. The study configurations

As stated earlier, this investigation emphasizes Chinese SIEs and OEs who have worked for various Chinese companies in Pakistan. Due to strict security standards, most of these enterprises are based in the capital of Pakistan, i.e., Islamabad, although some are located in Lahore, Karachi, and other significant areas (Sial, 2014; Arduino, 2017). The enterprises’ largest and most significant areas are involved in the infrastructure and power sectors.

Due to its efficacy in qualitative studies, the “snowballing sampling approach” was utilized to get accessibility to more responders (Glassock and Fee, 2015). To do this, the researcher interviewed all the respondents and asked whether they knew any individual who might benefit the study (Green et al., 2010). Also, research in this area (Inkson and Myers, 2003; Myers and Pringle, 2005) has demonstrated that this sampling method is efficient.

3.3. The participants

The following key selection parameters have been used to enrich, organize, and inform the data acquired, resulting in a thorough evaluation and explanation of the topic under investigation in this study. To begin, the first parameters for participation in the research were set as at least 1 year of employment in Pakistan as a member of the high-level management department. They relied on literature indicating that expatriates should spend at least several months in a host nation to grasp the cross-cultural atmosphere sufficiently (Firth et al., 2014). Secondly, the respondents must be able to communicate in English because all the discussions are undertaken in that language.

3.4. Interview process

Before conducting interviews, every participant was assured of their privacy and confidentiality and given a thorough explanation of the study’s goals. After obtaining approval from each respondent, they were given a “consent letter” to read and sign before their interviews were recorded. In addition to recording the interviews verbally, we also took notes on the respondents’ nonverbal cues, such as their posture and facial expressions, which we matched to the transcripts to ensure we captured the participants’ true feelings.

Most of the interviews took place in restaurants where the participants were most comfortable; however, some also took place inside firms. The length of the interviews ranged around 17 to 39 min. The overall length of all interviews was 964 min, with an average interview duration of approximately 27.5 min. There were 28 men and 7 women in the sample, and their average years of employment experience in Pakistan was 4.07 years. Of those interviewed, 4 had less than 2 years, 12 had between 2 and 3 years, and the remaining 19 had more than 3 years of employment experience in Pakistan. To protect the anonymity of the respondents, they were classified as either “CMx-type” (for Chinese male respondents) or “CFx-type” (for Chinese female respondents) and “type of expatriates,” while x indicates the number of respondents, respectively. Table 1 represents the participants’ demographics and provides information about the interviewees and the length of the interviews.

3.5. Interview guide

To get the best answers to the study questions on the experiences of Chinese SIEs and OEs, finding the factors that would affect Chinese expatriates’ adaptability was the main goal of the interviews. The difficulties they have as they acclimate to life in Pakistan in general and their difficulties adjusting to interactions with others and their work were highlighted, along with how CCT for SIEs and OEs might assist in lessening these difficulties.

According to the results of Stage 1 of the interviews, Chinese SIEs and OEs living in Pakistan encounter various problems related to their professional and personal lives. These issues are unique to SIEs and OEs. Thus, the interview’s criteria were enhanced. Chinese expatriates were interviewed in Stage 2 to comprehend better CCT’s function in SIEs and OEs cross-cultural adjustment. The interviews aimed to gather knowledge about Chinese expatriate interactions. To encourage participants to offer “substantial insights” rather than only surface observations, questions were designed to create a comfortable environment for replying (Flick, 2009).

Therefore, the semi-structured interview questions revolved around two primary factors. The first section enquires participants’ experiences of difficulties with “general adjustment, interaction adjustment, and work adjustment elements” (e.g., what kinds of difficulties/problems were encountered). The assistance given to address these difficulties is contained in the second section, i.e., cross-cultural training (CCT). Concerning CCA, the questions focused on what the Chinese expatriates perceived as the most challenging cross-cultural practices to engage in and how successfully they transitioned, intellectually and psychosocially, to working and living abroad (Black et al., 1991). The investigators further inquired whether the company provided CCT to them or whether they self-directed their cross-cultural adjustment.

3.6. Data analysis procedures

This study used “MAXQDA 20” to analyze the data in this investigation, using a five-stage process (Yin, 2015). Qualitative data interpretations included 5 steps: compiling, deconstructing, reassembling, interpreting, and concluding (Rademaker, 2011). In the first step, seeking tangible outcomes for the study requires compiling the data in a usable format. Transcription was required during compiling, during which an investigator has access to the information, when information was gathered via interviews or focus groups (Sutton and Austin, 2015). The second phase involves deconstructing data, classifying and generating proper classifications.

Additionally, a coding procedure was used to turn the raw data into relevant information by identifying interconnected themes and concepts (Sutton and Austin, 2015). Information was reassembled in the third stage, whereby codes and categories were given significance, and the development of themes is prioritized (Braun and Clarke, 2006). Using data classified as codes and themes, the researcher must do the fourth phase, generating analytical findings (Rademaker, 2011). Finally, every study will start with a reasonable research issue in the last stage and answer it; it may only have changed significantly over the data analysis procedure (Braun and Clarke, 2012).

Extensive literature research was conducted before the interviews to modify the “Thematic analysis” coding scheme (King, 2004). The final form of the hierarchical coding procedure is shown in Figure 1. This portion examines the structure of multilevel coding. The analysis in each subheading summarizes the findings in each key area, and Flick (2009) “narrative arrays” display the recipient’s statements from the interviews (1).

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Figure 1

Final coding structure.

4.1. Cross-cultural adjustment of SIEs and OEs in Pakistan

The CCA of SIEs and OEs varies according to their expatriation, as evidenced by their responses to queries about general adjustment, interaction adjustment, and work adjustment in Pakistan. Chinese expatriates have emphasized the following essential components are shown in Figure 1. The developed components created by the Chinese SIEs and OEs are presented in Table 2.

4.2. Cross-cultural training elements

CCT is a set of formally determining actions to educate workers for more genuine social interactions and employment success when they often interact with colleagues from other cultures who work in diverse environments. The world is becoming more globalized; people live and work in different cultural surroundings from their native countries. Thus, CCT seeks to instill confidence in expatriates in their international tasks. Furthermore, this training will enhance their adaptability, understanding, and awareness from many perspectives. The observations are reported in two sections (i.e., pre-departure training and informal learning of SIEs and OEs).

6.1. Conclusion

The current study centered on the qualitative data analysis of 35 Chinese expatriates in Pakistan, with the sample consisting of 17 SIEs and 18 OEs. To build a thorough knowledge of the CCA process of expatriates, the variations between SIEs and OEs’ CCA, and the moderating impact of CCT in helping expatriates in CCA. This research adds to our knowledge and comprehension of the variations in CCA between SIEs and OEs. Despite the demographics and cultural backgrounds of SIEs and OEs being quite similar, SIEs have more excellent local knowledge, and OEs operate in a more organizational atmosphere. We contributed to the literature by explaining why expatriate results vary between SIEs and OEs. The results imply that SIEs have better general and interaction adjustment than OEs. In addition, OEs are more successful in work adaptation. However, Chinese companies are increasingly expanding their operations outside of Asia and Africa. Therefore, we recommend that companies create various CCT programs depending on the various sorts of expatriates before and after arriving in the host country. We anticipate that CCT will benefit expatriation as well as the overall organization. The CCT will ease the adjustment process of expatriates and give them a basic grasp of the culture of their new home. Language proficiency is also necessary for expatriates to understand the culture of their new home. To ensure the performance of their foreign mission, companies may provide language training and engage both SIEs and OEs, regardless of the location of the training.

6.2. Practical implications

There are several practical implications in this study. First, the ability to think and act in ways that are appropriate in other cultures is essential for thriving in a new environment. Expatriate employees would benefit more from their overseas missions if they received language and cultural training prior to leaving for the host country. This is because such training helps participant’s better grasp the customs and norms of the host culture and its inhabitants (Caligiuri et al., 2001; Selmer, 2009; Selmer and Lauring, 2015; Liu et al., 2018). Second, interpersonal interactions involving expatriates and host peoples enable expatriates to strengthen their bonds with them; as a result, hosting firms must propose numerous efforts to boost interaction between expatriates and HCNs. The effort might include teaching local workers some basic Chinese and the Chinese workers some basic Urdu. This will assist in reducing the interaction gap between local and Chinese workers. Third, firms should engage host peoples to facilitate the expatriates’ social transition via promotinging social ties. For instance, by bringing close family members to organizational activities, Chinese expatriates and local employees might establish a feeling of a friendly atmosphere. Finally, this will aid in developing cultural awareness and reducing adjustment issues in the host environment.

6.3. Limitations and future research directions

This section elaborates on this study’s limitations and future research directions. First, our study employs qualitative methodologies, with data gathered through semi-structured interviews with top-level Chinese SIEs and OEs operating in Pakistan. We concentrated on Chinese workers who speak English, making it easier to understand that their difficulties and adaptation differed depending on their encounters. Future researchers may investigate non-English speaking Chinese expatriates, e.g., by analyzing their adaptation process and identifying their obstacles with those of English-speaking Chinese expatriates. Our focus on top-level expatriates aided in the development of an extensive understanding of their adjustment; however, the adjustment of expatriates working at various levels and in different roles varies. As a result, future research will perform an investigation that takes into account many levels, such as defining the process of adaptation and acknowledging that the problems of adaptation vary depending on the management levels.

Second, the research methodology centered on Chinese expatriates working in Pakistan in managerial positions and encouraged participants to express their own experiences and thoughts. Due to their heavy workload, time constraints, and security issues, some respondents could not share important information regarding their encounters. This shortcoming was addressed by conducting more interviews and analyzing unstructured memoranda in the mix of collected data. Therefore, it is suggested that future studies incorporate expatriates and their coworkers in a research design to verify results with another person the respondents dealt with daily. Additionally, if access can be gained, combining several qualitative methodologies, such as observations and interviews, may help investigators better understand the causes and the adaptation mechanism.

Third, the Chinese expatriates who participated in this study came from various regions of China. Most came from big cities, while others were from small areas. In addition, some resided nearer to the Pakistan-China border. These distinctions may have had a distinct effect on respondents’ exposure and information level. Although this study did include several features, location-based impacts were not analyzed since no information was gathered regarding the city in which each expatriate resides. It is advised that future studies consider those location-based variances to further their comprehension of how expatriates adapt to their new environment. Fourth, almost all other studies of expatriates, including this one, only gathered data once. In order to offer more convincing evidence of correlation and to effectively comprehend the temporally dependent procedure of CCA, longitudinal data would be beneficial. Finally, research has shown a strong correlation between CCT and expatriates’ adjustment, even though there are limited Chinese SIEs and OEs. Therefore, quantitative approaches may use in future studies to examine the findings of this research.

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