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Foreign executives in local organisations: An exploration of differences to other types of expatriates

Author

Listed:
  • Frithjof Arp

    (Monash University [Australia])

  • Kate Hutchings
  • Wendy A. Smith

Abstract

Purpose – The purpose of this paper is to investigate foreign executives appointed into cultural contexts distant from their country of origin and headquarters of organisations to which host-country nationals (HCNs) they supervise and HCN superiors they report to attribute a "local" national identity. Significant differences of these foreign executives in local organisations (FELOs) from other forms of expatriation, including assigned and self-initiated expatriates, are identified and discussed. Design/methodology/approach – The research utilises a qualitative exploratory approach based on triangulated multiple data sources. Data are sourced from in-depth semi-structured interviews with foreign executives (n=46) from 13 countries and their host-country peers (n=25) in organisations founded and headquartered in Malaysia. Dyadic data from the two sample groups are used to triangulate findings, while non-dyadic and socio-biographical data add further insight. Findings – The data analysis identifies issues surrounding allegiance, trust, and control, assumptions about income levels, and exposure to heightened local scrutiny as components of the distinct nature of the FELO experience. Research limitations/implications – Implications for future research on new types of international cross-cultural workplaces are discussed. While construct definitions for self-initiated expatriation (SIE) in the wider mobility and migration literature are still in flux, international management research may be at risk of neglecting local workplaces and perspectives. Practical implications – The FELO phenomenon differs significantly from expatriate assignments between headquarters and foreign subsidiaries of multinational corporations, and can be viewed as a rare and specific form of SIE. Its occurrence indicates an increasingly global market for individuals with career capital and global mobility. Originality/value – The findings elucidate the situation of FELOs and provide comparisons to other types of expatriates. The research contributes to extant literature on global mobility as it explores a specific cross-cultural phenomenon that has not been systematically investigated in the academic literature, but is described in the media and executive search firm publications as "fairly new, highly visible, and sometimes controversial" with demand for FELOs "likely to continue".

Suggested Citation

  • Frithjof Arp & Kate Hutchings & Wendy A. Smith, 2013. "Foreign executives in local organisations: An exploration of differences to other types of expatriates," Post-Print hal-02096122, HAL.
  • Handle: RePEc:hal:journl:hal-02096122
    DOI: 10.1108/JGM-01-2013-0006
    as

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    Citations

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    Cited by:

    1. Lauring, Jakob & Selmer, Jan, 2018. "Person-environment fit and emotional control: Assigned expatriates vs. self-initiated expatriates," International Business Review, Elsevier, vol. 27(5), pages 982-992.
    2. Arp, Frithjof, 2013. "Typologies: What types of foreign executives are appointed by local organisations and what types of organisations appoint them?," Zeitschrift fuer Personalforschung. German Journal of Research in Human Resource Management, Rainer Hampp Verlag, vol. 27(3), pages 167-194.
    3. Yasmin Nur Nahar & Ralf Bebenroth, 2022. "Emerging Market Expatriates in Japan during Covid-19 Pandemic," Discussion Paper Series DP2022-04, Research Institute for Economics & Business Administration, Kobe University.
    4. Olivier Bertrand & Marie-Ann Betschinger & Caterina Moschieri, 2021. "Are firms with foreign CEOs better citizens? A study of the impact of CEO foreignness on corporate social performance," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(3), pages 525-543, April.

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