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Brain drain: The cognitive neuroscience of foreign language processing in multinational corporations

Author

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  • Stefan Volk

    (Discipline of International Business, The University of Sydney Business School, Darlington, Australia)

  • Tine Köhler

    (Department of Management and Marketing, The University of Melbourne, Parkville, Australia)

  • Markus Pudelko

    (School of Business and Economics, The University of Tübingen, Tübingen, Germany)

Abstract

This article adopts a cognitive neuroscience perspective to develop theory about the consequences of foreign language use in organizational settings. In contrast to previous work that has focused on the interpersonal effects of foreign language use, we focus on intra-personal, cognitive processes that affect employee performance. Our model delineates how foreign language processing depletes cognitive resources, which can ultimately result in biased decision-making and reduced self-regulation. We discuss theoretical and practical implications of our model for international business research in the context of an increasing number of organizations that have adopted a common corporate language.

Suggested Citation

  • Stefan Volk & Tine Köhler & Markus Pudelko, 2014. "Brain drain: The cognitive neuroscience of foreign language processing in multinational corporations," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 45(7), pages 862-885, September.
    • Handle: RePEc:pal:jintbs:v:45:y:2014:i:7:p:862-885
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    Citations

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    Cited by:

    1. Helene Tenzer & Siri Terjesen & Anne-Wil Harzing, 2017. "Language in International Business: A Review and Agenda for Future Research," Management International Review, Springer, vol. 57(6), pages 815-854, December.
    2. Yang, Jing Yu & Wen, Liang & Volk, Stefan & Lu, Jane Wenzhen, 2022. "Temporal boundaries and expatriate staffing: Effects of parent–subsidiary work-time overlap," Journal of World Business, Elsevier, vol. 57(6).
    3. Klitmøller, Anders & Lauring, Jakob, 2016. "When distance is good: A construal level perspective on perceptions of inclusive international language use," International Business Review, Elsevier, vol. 25(1), pages 276-285.
    4. Guercini, Simone & Milanesi, Matilde, 2020. "Heuristics in international business: A systematic literature review and directions for future research," Journal of International Management, Elsevier, vol. 26(4).
    5. Stefano Elia & Marcus M. Larsen & Lucia Piscitello, 2019. "Entry mode deviation: A behavioral approach to internalization theory," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(8), pages 1359-1371, October.
    6. Diemo Urbig & Katrin Muehlfeld & Vivien Procher & Arjen Witteloostuijn, 2020. "Strategic Decision-Making in a Global Context: The Comprehension Effect of Foreign Language Use on Cooperation," Management International Review, Springer, vol. 60(3), pages 351-385, June.
    7. Ahmad, Farhan & Barner-Rasmussen, Wilhelm, 2019. "False foe? When and how code switching practices can support knowledge sharing in multinational corporations," Journal of International Management, Elsevier, vol. 25(3), pages 1-1.
    8. Vesa Peltokorpi & Markus Pudelko, 2021. "When more is not better: A curvilinear relationship between foreign language proficiency and social categorization," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(1), pages 78-104, February.
    9. Nurmi, Niina & Koroma, Johanna, 2020. "The emotional benefits and performance costs of building a psychologically safe language climate in MNCs," Journal of World Business, Elsevier, vol. 55(4).
    10. Ma, Danni & Fee, Anthony & Grabowski, Simone & Scerri, Moira, 2022. "Dual Organizational Identification in Multinational Enterprises and Interpersonal Horizontal Knowledge Sharing: A Conceptual Model," Journal of International Management, Elsevier, vol. 28(1).
    11. Wang, Qiu & Clegg, Jeremy & Gajewska-De Mattos, Hanna & Buckley, Peter, 2020. "The role of emotions in intercultural business communication: Language standardization in the context of international knowledge transfer," Journal of World Business, Elsevier, vol. 55(6).
    12. Presbitero, Alfred, 2020. "Foreign language skill, anxiety, cultural intelligence and individual task performance in global virtual teams: A cognitive perspective," Journal of International Management, Elsevier, vol. 26(2).
    13. Ting Liu, 2018. "The Review of Language Studies in International Business: Suggestions and Future Directions for Japan," Discussion Papers in Economics and Business 18-30, Osaka University, Graduate School of Economics.
    14. Suzuki, Manami & Ando, Naoki & Nishikawa, Hidehiko, 2023. "Discontinuity of required oral and literacy skills across job roles in achieving high work performance: An fsQCA approach," International Business Review, Elsevier, vol. 32(4).
    15. Ewgenij Besuglov & Nils Crasselt, 2021. "The effect of readability and language choice in management accounting reports on risk-taking: an experimental study," Journal of Business Economics, Springer, vol. 91(1), pages 5-33, February.
    16. Liu, Yipeng & Collinson, Simon & Cooper, Sir Cary & Baglieri, Daniela, 2022. "International business, innovation and ambidexterity: A micro-foundational perspective," International Business Review, Elsevier, vol. 31(3).
    17. Constantinos Hadjichristidis & Janet Geipel & Luca Surian, 2017. "How foreign language affects decisions: Rethinking the brain-drain model," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 48(5), pages 645-651, July.
    18. Kubovcikova, Annamaria & van Bakel, Marian, 2022. "Social support abroad: How do self-initiated expatriates gain support through their social networks?," International Business Review, Elsevier, vol. 31(1).
    19. Xing, Annabelle, 2021. "Foreign language effect on risk preference: The framing effect, loss aversion, and risk aversion," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 93(C).
    20. Alempaki, Despoina & Doğan, Gönül & Yang, Yang, 2021. "Lying in a foreign language?," Journal of Economic Behavior & Organization, Elsevier, vol. 185(C), pages 946-961.
    21. Tenzer, Helene & Pudelko, Markus, 2017. "The influence of language differences on power dynamics in multinational teams," Journal of World Business, Elsevier, vol. 52(1), pages 45-61.
    22. Eneko Antón & Natalia B. Soleto & Jon Andoni Duñabeitia, 2020. "Recycling in Babel: The Impact of Foreign Languages in Rule Learning," IJERPH, MDPI, vol. 17(11), pages 1-10, May.
    23. Zhang, Yuqian & De Zoysa, Anura & Cortese, Corinne, 2023. "Foreign language effect in accounting uncertainty expressions: Interpretation and probabilistic estimation," Journal of International Accounting, Auditing and Taxation, Elsevier, vol. 50(C).
    24. Jelena Cerar & Benoit Decreton & Phillip C. Nell, 2023. "What's in a Name? How Senior Managers use Name‐Based Heuristics to Allocate Financial Resources in Multinational Corporations," Journal of Management Studies, Wiley Blackwell, vol. 60(5), pages 1147-1177, July.

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