THE EFFECTS OF EXPATRIATE DEMOGRAPHIC CHARACTERISTICS ON ADJUSTMENT: A SOCIAL IDENTITY APPROACH JESSE E. OLSEN AND LUIS L. MARTINS

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1 THE EFFECTS OF EXPATRIATE DEMOGRAPHIC CHARACTERISTICS ON ADJUSTMENT: A SOCIAL IDENTITY APPROACH JESSE E. OLSEN AND LUIS L. MARTINS As demand increases for expatriates to manage far-flung operations in a global economy, scholars and practitioners are focusing their attention on the factors that contribute to expatriate success. One such factor is the support that expatriates receive from host country nationals (HCNs) with whom they work. Researchers interested in understanding expatriate success have not closely examined the phenomenon from an HCN perspective, however. At the same time, although we have gained a significant understanding of the roles of psychological, organizational, and contextual variables in the international assignment, there is still much to be understood about how expatriates demographic characteristics affect their experiences in international assignments. Current findings regarding the effects of demographic characteristics often are inconsistent, highlighting the need for more complex theorizing. This article reviews recent research on the effects of expatriate demographic characteristics and proposes a social identity approach to understanding how these characteristics affect HCN support for the expatriate. It also seeks to develop a theory that addresses discrepancies in extant empirical findings, provides propositions to guide future research in the study of expatriates, and discusses implications for both researchers and practitioners Wiley Periodicals, Inc. Keywords: expatriates, host country nationals, demographics, diversity, Social Identity Theory, international HRM, global careers Organizations that wish to succeed in this era of globalization are realizing that they must turn to international markets to remain competitive. An integral part of setting up a subsidiary overseas, acquiring a foreign organization, or participating in an international joint venture is a successful expatriate or international assignment program. Many such assignments, however, end in the premature return of the expatriate or in expatriate attrition (GMAC, 2007), and some expatriates experience psychological withdrawal even as they remain in their international assignment (Black & Gregersen, 1991; Shaffer & Harrison, 1998; Tung, 1981). A recent study reveals that the inability to adjust to the new environment is a key factor in unsuccessful expatriate assignments, with 57% of human resource Correspondence to: Jesse E. Olsen, Doctoral Candidate, Georgia Institute of Technology, College of Management, 800 West Peachtree Street NW, Atlanta, GA 30308, Phone: , Fax: , jesse. olsen@mgt.gatech.edu Human Resource Management, March April 2009, Vol. 48, No. 2, Pp Wiley Periodicals, Inc. Published online in Wiley InterScience ( DOI: /hrm.20281

2 312 HUMAN RESOURCE MANAGEMENT, MARCH APRIL 2009 managers surveyed citing this as a problem (GMAC, 2007). Research to date has made considerable advances in defining and describing expatriate adjustment (e.g., Black, 1988; Black & Stephens, 1989), as well as in understanding many of the antecedents and consequences of the phenomenon (see Harrison, Shaffer, & Bhaskar-Shrinivas, 2004, for a recent review). The current dominant model of expatriate adjustment suggests, among other things, that those who surround an expatriate while on assignment the host country nationals (HCNs) may play a role in expatriate adjustment through the support that they provide (Black, Mendenhall, & Oddou, 1991). Few researchers (Toh & DeNisi, 2003, 2005; Varma, Toh, & Budhwar, 2006), however, have exam- Few researchers ined how HCNs might contribute have examined to adjustment or the factors that how HCNs might determine HCN support for an expatriate. contribute to A review of the literature reveals that research on expatriates adjustment or has tended to focus primarily the factors that on psychological, organizational, and contextual variables as determine HCN predictors of an expatriate s experience on an international assignment. One set of variables support for an that has not been explored in expatriate. much detail is expatriate demographics. Furthermore, the little empirical research that does exist on the effects of expatriate demographics has been inconclusive. Understanding the effects these characteristics have on the expatriate experience is important as the pool of expatriate managers grows increasingly diverse, reflecting the changing nature of the workforce and increased global mobility of employees (Inkson, Arthur, Pringle, & Barry, 1997). Such an understanding is likely to contribute to organizations abilities to develop their diverse pool of employees. There is evidence that a lack of understanding of the effects of expatriate demographic characteristics could lead to poor decision making based on weak assumptions and, in the process, deprive certain individuals of the opportunity to pursue global careers. For example, erroneous assumptions in the past about how women adjust to international assignments have caused some organizations to maintain low percentages of female expatriates (Adler, 1984, 1987, 1993, 1994, 2002). Researchers have noted the importance of the international assignment in contributing to an expatriate s career development (e.g., Feldman & Thomas, 1992; Selmer, Ebrahimi, & Mingtao, 2002; Stahl, Miller, & Tung, 2002). At the same time, successful multinational corporations are noting the importance of training employees to function across cultures (Metcalfe & Rees, 2005). A better understanding of the effects of expatriate demographic characteristics could contribute not only to the personal and professional development of the expatriate, but also to organizations abilities to develop effective training and international human resource development programs. This article explores how expatriates demographic characteristics may play a role in their experience in international assignments. Specifically, we use social identity theory as the basis of a theoretical framework of the relationship between expatriate demographic characteristics and HCN support. In the process, we also seek to explain inconsistent results in the literature on the effects of expatriates demographic characteristics and address the need to explore the role of HCNs. We first discuss expatriate adjustment and existing research on HCN support and provide a brief overview of the relevant research on social identity that forms the basis of the framework proposed. Next, we use social identity theory to examine prior research and form new propositions on the effects of demographic characteristics on HCN support. Finally, we discuss the implications of our framework for research and practice. Key Definitions and Concepts Expatriates are employees of business organizations, who are sent [to another country] on a temporary basis to complete a time-based task

3 The Effects of Expatriate Demographic Characteristics on Adjustment 313 or accomplish an organizational goal (Harrison et al., 2004). Human resource practitioners note the high turnover rate among expatriates, as well as the prominence of premature returns (GMAC, 2007). In addition, researchers in this field have pointed out that some expatriates may experience psychological withdrawal (Black & Gregersen, 1991; Shaffer & Harrison, 1998; Tung, 1981), which may be even more costly to the organization than physical withdrawal (Harzing, 1995). In any event, assignment failure may take various forms. Low performance, attrition, and psychological withdrawal are all undesirable outcomes, potentially leading to high costs to the organization. According to human resource practitioners, expatriates inability to adjust is one of the biggest reasons for failure (GMAC, 2007). Expatriate adjustment has been commonly defined as the degree of comfort or absence of stress associated with being an expatriate (Bhaskar-Shrinivas, Harrison, Shaffer, & Luk, 2005, p. x). Prior research has found that expatriate adjustment is related to critical organizational variables (Harrison et al., 2004). For example, it is negatively related to withdrawal cognitions that is, an expatriate s intention to leave an assignment (e.g., Black & Stephens, 1989; Gregersen & Black, 1990; Takeuchi, Tesluk, Yun, & Lepak, 2005; Takeuchi, Yun, & Russell, 2002) and positively related to both work- and nonwork-related satisfaction (e.g., Nicholson & Imaizumi, 1993; Shaffer & Harrison, 1998). Expatriate adjustment also has been found to be positively related to performance (e.g., Kraimer, Wayne, & Jaworski, 2001; Parker & McEvoy, 1993), though recently some have challenged the extent to which researchers have claimed these constructs to be related (Thomas & Lazarova, 2006). Relatively little expatriate research focuses on HCNs, or the natives of the host country, with whom the expatriate may have contact on assignment. The little research that does exist on this subject finds that expatriates with large and diverse networks experience greater adjustment (Johnson, Kristof-Brown, van Vianen, & de Pater, 2003; Wang & Kanungo, 2004) and that HCN coworker support is positively related to expatriate adjustment (Aryee & Stone, 1996; Shaffer, Harrison, & Gilley, 1999; Toh, 2003). Scholars taking HCNs into consideration primarily refer to HCN coworkers of the expatriate (e.g., Toh & DeNisi, 2003; Varma et al., 2006) rather than to HCNs in general both within and outside the organizational setting (see Johnson et al., 2003, for an exception). Because of the work-oriented goals of the expatriate s assignment abroad, this article also focuses on HCN coworkers, though much of the discussion also may be applicable, with modification, to the expatriate s HCN acquaintances outside the organization. Expatriates may have different modes of adjustment, one of which may be to regress into an environmental bubble of the home country that is, an enclave that shelter[s] them off from the environment of the host society (Cohen, 1977, p. 16). This essentially isolates the expatriate from the host country and allows Prior research has an existence somewhat similar to found that expatriate that at home. We posit, however, that the primary objectives of adjustment is many organizations (e.g., transferring technology, knowledge, and related to critical organizational culture to the host organizational country or building local business relationships; see GMAC, 2007) variables. require expatriates to interact with HCN coworkers. Although environmental bubbles undoubtedly exist, most business expatriates in this era must be able to adjust to the host country and interact with its natives. Our article applies to these expatriates. Social Identity Theory Social identity theory (SIT; Tajfel & Turner, 1979; Turner, 1985) provides a sound theoretical basis for understanding HCN support, in particular, how it is affected by the expatriate s demographic characteristics. SIT proposes that individuals derive their sense of self through membership in social groups (Tajfel & Turner, 1979; Turner, 1985). At a basic level, the theory addresses individual

4 314 HUMAN RESOURCE MANAGEMENT, MARCH APRIL 2009 behavior within the context of groups and both actual and perceived group membership. In its original formulation, SIT seeks to explain intergroup behavior and is based on the assumptions that individuals seek a positive self-concept, group memberships tend to carry with them socially defined positive or negative evaluations, and individuals evaluate their own groups by way of comparisons with other groups (Tajfel & Turner, 1979). Tajfel and Turner (1979) note that through the process of differentiation between in-groups and out-groups, individuals show favoritism toward their own group and act discriminatorily against the relevant out-groups. Such biases have important implications in organizations, as they can facilitate or inhibit cooperative and supportive behavior (Ashforth & Mael, 1989). A major advance in the SIT literature is Turner s (1985) introduction of self-categorization Another study, by theory (SCT), which seeks to further explain the cognitive pro- Carr et al. (2001), suggested that cesses behind social identification as the basis of intergroup dynamics. Turner (1985) posits that prestige plays a role an individual s overall self-concept is composed of a number of in expatriate-hcn relations. situation-specific identities, both personal and social, that are activated as appropriate. At the social level, individuals categorize themselves and others into groups. Through this process, individuals are depersonalized, or viewed in terms of their group prototypicality, rather than as unique individuals (Hogg & Terry, 2000; Turner, 1985). This line of research has also pointed out that the salience of a social category is important in determining whether that aspect of one s identity or that of others is activated in interpersonal interactions (e.g., Brewer & Brown, 1998; Fiske & Taylor, 1991; Oakes, 1987). Social Identity Theory and Expatriate Research Despite the potential for SIT to inform the fundamental bases of HCN support for expatriates, only very recently have researchers begun using it as the theoretical underpinning for understanding the expatriate experience (e.g., Carr, Rugimbana, Walkom, & Bolitho, 2001; Toh & DeNisi, 2003, 2005; Varma et al., 2006). A review of the literature revealed a dissertation (Toh, 2003) and subsequent theoretical publication (Toh & DeNisi, 2003) largely using Turner s SCT (1985) as the framework for a model that seeks to explain HCNs organizational citizenship behaviors (OCBs) toward facilitating expatriates adjustment. This research suggests that HCNs classification of the expatriate as a member of their in-group is positively related to their adjustment-facilitating OCBs (Toh, 2003). This suggestion is in agreement with Ashforth and Mael s (1989) discussion of cooperation with coworkers and support for the organization as outcomes of organizational identification. Another study, by Carr et al. (2001), suggested that prestige plays a role in expatriate- HCN relations. The researchers asked Tanzanian business undergraduate students how they thought human resource managers would select job candidates from different countries. All else being equal, the respondents indicated that fellow Tanzanians would be preferred for the job, followed by Western expatriates and East Africans. The authors suggest that the in-group is preferred over both out-groups, as would be predicted by the notion put forth in SIT that individuals show favoritism toward their own groups (Tajfel & Turner, 1979). Furthermore, the study supported the SIT proposition that given two out-groups, the one that is more subject to comparison would be more subject to social competition (Tajfel & Turner, 1979). Carr et al. (2001) explained that Tanzanians would view Westerners, who generally come from countries that differ considerably from Tanzania, as less comparable to themselves than nationals from nearby countries, which they may see as more similar to Tanzania. This application of SIT, though related to expatriate selection rather than to HCN support, lends empirical support to the idea that HCNs tend to categorize expatriates based on the processes identified by SIT. Whereas SIT has the potential to inform understanding of the mechanisms underlying expatriates experiences in international

5 The Effects of Expatriate Demographic Characteristics on Adjustment 315 assignments, we have barely scratched the surface in terms of applying the theory, especially when it comes to understanding HCN support. In the remainder of this section, we propose some core propositions about the social identity dynamics underlying international assignments and then use those as the foundation for the framework connecting expatriate demographics to HCN support in the following section. By definition, expatriates are foreigners in the host country, so their membership in a foreigner out-group will likely be initially salient to the HCNs (Toh, 2003; Toh & DeNisi, 2003, 2005). SIT research has found that salient demographic characteristics are likely to be used as bases for social categorization, as they are cognitively readily available (Brewer & Brown, 1998; Tsui, Egan, & O Reilly, 1992). Proposition 1: HCNs will initially categorize an expatriate as a member of a foreigner out-group. In addition, the expatriate is likely to be viewed by the HCNs as a member of another department or organizational unit within the same superordinate organization. According to Ashforth and Mael (1989), unless members of separate organizational units share a strong organizational identity, the identities of their respective units are likely to be salient, possibly leading each party to view the other negatively. Proposition 2: The stronger the superordinate organizational identity, the more likely it is that the expatriates and HCNs will share a common identity in the organizational group. The weaker the superordinate organizational identity, the more likely it is that the expatriates and HCNs will view one another as members of an out-group in terms of their subordinate organizational unit membership. Consistent with an approach using SIT and related research (like that of Toh & DeNisi, 2003; Varma et al., 2006), it may be posited that if HCNs and expatriates identify with the same social group, HCNs will be more willing to support the group through cooperation with expatriate members at work and possibly even outside work. In addition, interactions should occur more easily between expatriates and HCNs if they identify with the same social group. These arguments are consistent with the propositions of SIT that individuals are more likely to have positive attitudes and behavior toward those whom they classify as belonging to one of their in-groups (Ashforth & Mael, 1989). Proposition 3: As the salience (from the perspective of the HCNs) of a social identity common to the expatriate and HCNs increases, HCN support of the expatriate also increases. A common social identity may take any of a number of forms, such as that of a cultural, racial, or organizational group. However, SIT posits that It may be posited the categorization processes described above will be based on that if HCNs and the most salient characteristics at a given time. Thus, it is likely expatriates identify that demographic characteristics will be used, at least initially, with the same social as expatriates and HCNs interact with each other, since such group, HCNs will characteristics are observable be more willing to or readily detectable attributes (Milliken & Martins, 1996, p. support the group 403). It is important to note that through cooperation membership in a foreigner outgroup is normally based on such with expatriate salient and fixed characteristics that a foreign individual has members at work little to no social mobility (Tajfel and possibly even & Turner, 1979) on this dimension. In other words, expatriates outside work. who have been categorized by HCNs as foreigners because of national origin, race, or ethnicity will often be hard-pressed to remove themselves from the foreigner out-group in the eyes of the HCNs (Toh & DeNisi, 2003; Varma et al., 2006). This may work to the expatriates advantage or disadvantage, and expatriates will have varying rates of success in moving into HCN in-groups, depending on their demographic

6 316 HUMAN RESOURCE MANAGEMENT, MARCH APRIL 2009 characteristics and the characteristics of the host country. Foreign out-group membership may be so salient to HCNs that expatriates are unable to benefit from their membership in a prestigious group (such as the dominant sex in that particular culture or as an elder to be respected in a culture emphasizing Confucian values). However, expatriates may be able to benefit from their foreignness if there is a risk of being categorized on some less favorable dimension (e.g., if they are members of the nondominant sex in that country). Demographic Characteristics and HCN Support Whereas SIT is one of the most commonly used theories on the effects of demographic characteristics in the literature on Expatriates workforce diversity (for reviews, see Milliken & Martins, 1996; who have been categorized by HCNs as foreigners van Knippenberg & Schippers, 2007; and Williams & O Reilly, 1998), it has not been applied similarly in research on expatriates. In this section, we use SIT because of national origin, race, or to propose relationships between demographic characteristics and HCNs adjustment-facilitating ethnicity will often support for expatriates. In the process, we also suggest potential be hard-pressed to explanations for prior incon- sistencies in findings regarding remove themselves from the foreigner out-group in the the effects of demographic characteristics on expatriate adjustment. Our arguments and propositions focus on the following demographic characteristics that eyes of the HCNs. have been central in research on expatriates and on diversity in organizations: national origin, race/ ethnicity, sex, and age. National Origin A review of the literature reveals that research on expatriate national origin has approached the topic from the standpoint of the expatriate without much regard for how it may affect the behaviors and attitudes of HCNs. In the 1980s, research on expatriate national origin largely explored American expatriates in comparison to expatriates from other countries. Researchers suggested that partly because of insufficient training programs, Americans had more difficulty adjusting in the host country than did expatriates of other nationalities (Kobrin, 1988; Tung, 1981, 1982, 1987). This effect, however, was not seen in later research (Parker & McEvoy, 1993; Tung, 1998). Tung, who in the 1980s had noted Americans difficulties with adjustment, later observed that the Americans in her 1998 sample seemed to be more cosmopolitan, with more previous experience abroad and a greater knowledge of other languages and cultures (Tung, 1998). This research mainly reflects differences in the preparation and training of expatriates across countries rather than how national origin is perceived and evaluated by individuals in the host country. More recent work that investigates the effect of an expatriate s national origin on international assignment outcomes has essentially focused on the expatriate s cultural distance from the country of assignment. There has been little recent research, however, that investigates the effect of national origin itself (for exceptions, see Selmer, Ebrahimi, & Mingtao, 2000a, 2000b; Selmer, Ling, Shiu, & de Leon, 2003). Whereas an expatriate s national origin is a determinant of the cultural distance between the home country and the host country, SIT suggests that national origin itself may have effects that are separate from cultural distance. Individuals are as likely to have positive or negative social evaluations of other nations as they are of any other social group, creating an effect that is triggered by national origin rather than cultural distance. The self-enhancement motive proposed by SIT (Tajfel & Turner, 1979) suggests that if expatriates come from a country that the HCNs see as prestigious, the HCNs may be more likely to adopt them as members of some common group or strive to belong to a common group with the prestigious expatriates. As a result, the expatriates may experience increased HCN support. Expatriates from a country that is seen as less prestigious than the host country will be less likely to be

7 The Effects of Expatriate Demographic Characteristics on Adjustment 317 included in a common social group categorization by the HCNs. The HCNs may exhibit less interest in including such expatriates in informal groups, demonstrate competitive behavior, or simply avoid the expatriates, thus providing less adjustment-facilitating support than they would to expatriates whom they perceive as being from a higher-prestige country. Indeed, although Carr et al. s (2001) study deals with selection as an outcome, it suggests that a country s prestige plays a role in HCNs attitudes and behaviors toward an expatriate. Proposition 4: The more prestigious an expatriate s country of origin as viewed by the HCNs, the more support the expatriate will receive. Much of the research in this area has examined cultural distance instead of nationality. Researchers have referred to cultural distance as cultural toughness (e.g., Mendenhall & Oddou, 1985) and culture novelty (e.g., Black et al., 1991) and have measured it in various ways (Selmer et al., 2003). Most researchers, however, have generally defined cultural distance as the distance between native and host cultures (Harrison et al., 2004) or the degree of difference between the expatriate s home culture and the culture of the host country. Much of this research has focused on how cultural distance directly affects the experience of the individual expatriate. For instance, researchers have suggested that high cultural distance, or large differences between the host and home countries, negatively affects expatriate adjustment (Harrison et al., 2004; Parker & McEvoy, 1993). This proposition has received support in a recent meta-analysis (Bhaskar-Shrinivas et al., 2005). Such research often concludes with recommendations as to what the individual or the organization can do to overcome any negative effects of cultural distance. This expatriate-focused approach has produced fairly inconsistent findings across and within studies, however. For example, although Parker and McEvoy (1993) found a negative relationship between cultural distance and interaction adjustment (the degree to which the expatriate is able to adjust to interactions with the HCNs), they found a surprisingly positive relationship between cultural distance and general adjustment (the degree to which the expatriate is able to adjust to the general culture and environment). Some research has found that the direction of the differences may be an important consideration. For example, if an expatriate is assigned to a culturally distant country in which conditions are perceived as superior in some way to the expatriate s native country (e.g., better economic or political conditions, higher standards of living), expatriate outcomes such as adjustment could be facilitated (Harrison et al., 2004). Results from a recent qualitative study of Chinese expatriates in Hong Kong and Hong Kong expatriates in China support this argument. Expatriates from a Although cultural distance is the country that is seen same for each group, Chinese expatriates seemed to adjust more as less prestigious easily in Hong Kong than did Hong Kong expatriates in China than the host (Selmer et al., 2003). country will be less One potential explanation for the inconsistent findings as well as likely to be included the directional findings noted above is that the perceptions of HCNs in a common social and their effects on their support group categorization for the expatriate need to be taken into account. Differences between by the HCNs. cultures essentially equate to differences between cultural group prototypes. Greater cultural difference, or cultural distance, therefore, produces a greater sense of differentiation for members in each group. Although research to date has used objective measures of cultural distance or differences from the point of view of the expatriate, we posit that the perceptions of the HCNs are an important consideration. Because HCNs choose whether to accept the expatriate into their in-group, their categorization of the expatriate is likely to have a big impact on their interactions with the expatriate. SIT suggests that the more salient a demographic characteristic is, the more likely it is to be used as the basis for social categorization (e.g., Brewer & Brown, 1998; Fiske & Taylor, 1991; Oakes, 1987).

8 318 HUMAN RESOURCE MANAGEMENT, MARCH APRIL 2009 Proposition 5: From the point of view of the HCN, cultural distance between the expatriate s culture and the host culture will be positively related to the salience of the expatriate as an outgroup member. According to Tajfel and Turner (1979), the salience of an out-group can lead an individual to attempt to positively differentiate his or her in-group from the out-group, leading to social competition. Proposition 5 suggests that high cultural distance between an expatriate and HCNs leads to greater salience of their respective group memberships. The increased group salience may lead to social competition, inhibiting support and cooperation between the Although research expatriate and HCNs. This is likely to date has used an underlying mechanism for the objective measures negative relationship between cultural distance and outcomes such of cultural distance as expatriate adjustment generally found in research to date. or differences from the point of view Proposition 6: The greater the cultural distance between the expatriate s culture and the host culture of the expatriate, from the point of view of the HCNs, we posit that the less supportive will be the HCNs the perceptions attitudes and behaviors toward the expatriate. of the HCNs are Race and Ethnicity an important Consistent with research on cultural anthropology, we use the consideration. term race to refer to a classification of people on the basis of selected biological traits such as skin color and facial features and the term ethnicity to refer to group affiliation based on features such as a distinct history, language or religion (Miller, 2002, pp. 389, 393). In the diversity literature, researchers have combined the two into racioethnicity (e.g., Cox, 1993; Elsass & Graves, 1997; Martins, Milliken, Wiesenfeld, & Salgado, 2003). Although most expatriate researchers report the nationalities of their research participants, we were unable to find studies that noted expatriates racial or ethnic backgrounds. This dimension is important, however, as the pool of expatriates is likely to become increasingly more diverse in race and ethnicity with the continuing globalization of business and the use of third-country nationals (Adler, 2002). Race and ethnicity capture important elements of demographic difference beyond national origin and are likely to be subject to the prestige effects noted in the arguments above. Researchers have found that individuals have an implicit perception of the hierarchical ordering of certain races and may have positive or negative stereotypes of particular races and ethnicities (Song, 2004). Thus, it may be expected that two expatriates from the same country of origin may be perceived and categorized differently in the same host country. Expatriates whose racioethnicities are categorized as prestigious may enjoy more support from HCNs if the HCNs want to categorize themselves in the same in-group as the expatriates. Conversely, expatriates whose racioethnicities are negatively categorized by HCNs may be considered to be part of the out-group and may not receive adjustment-facilitating support from the HCN. Proposition 7: The more prestigious an expatriate s racial or ethnic group as viewed by the HCNs, the more support the expatriate will receive from the HCNs. This proposition may be modified in the case of expatriates whose racioethnicity is similar to that of the HCNs. Expatriates who are of the same or similar race as the HCNs will share physical similarities, which the diversity literature (e.g., Tsui et al., 1992; van Knippenberg & Schippers, 2007) suggests will lead to categorization of one another into a common social group. HCNs, however, are likely to initially expect a racially similar expatriate to be skilled in their language and cultural practices, and may categorize the expatriate as a foreigner if the expatriate is not knowledgeable in these areas. A social identity approach suggests that racial or ethnic similarities between expatriates and HCNs will subject the expatriates to more relevant comparison and, thus, possibly greater social

9 The Effects of Expatriate Demographic Characteristics on Adjustment 319 competition (Tajfel & Turner, 1979; Turner, 1985). This argument is supported by the findings of Carr et al. (2001) in their study of Tanzanians preferences regarding fellow Tanzanians and other Africans. In this situation, it is likely that out-group categorization is a result of differences in language and ethnicity rather than race. Thus, we expect that cultural and linguistic knowledge will moderate the relationship between an expatriate s racioethnic similarity to HCNs and the support provided by HCNs. Expatriates who are racioethnically similar to HCNs and also adept at the host country culture and language will be more likely to be categorized by HCNs into their in-groups. Consequently, they are more likely to receive adjustment-facilitating support from them than will expatriates who are racioethnically similar to HCNs but not adept at the host country culture and language. Proposition 8: An expatriate s knowledge of the culture and language of the host country will moderate the relationship between the expatriate s racioethnic similarity to HCNs and HCN support, such that when knowledge of the culture and language is higher, the relationship between racioethnic similarity and HCN support will be stronger than when knowledge of the culture and language is lower. Selmer et al. s (2000a) study of Western and Chinese expatriates in Hong Kong seems to support this proposition, though the results of the study were contrary to the authors hypotheses. The researchers expected the Chinese expatriates to adjust more easily than the Western expatriates, but they found the opposite in their study. The authors note that the Western expatriates were generally fluent in English, the language of business in Hong Kong, while the primarily Mandarin-speaking Chinese generally were not very skilled in either English or the Hong Kong Cantonese dialect. Further support for our proposition is seen in Selmer et al. s (2000b) investigation of Chinese expatriates in Hong Kong. This study revealed that Cantonese-speaking Chinese from the neighboring Guangdong province were better adjusted than other Chinese, though cultural distance may also be playing a role here. Clearly, proposition 8 above would be difficult to apply to an expatriate in a racially or ethnically diverse host country. For example, a Chinese or a French A social identity expatriate in a major city in the United States is similar in race and approach suggests ethnicity to many Americans. The HCNs expectations of each expatriate s abilities should not differ, that racial or ethnic since one looks or acts no more similarities between or less foreign than the other. The expatriates and race or ethnicity of an expatriate therefore would be a poor predictor of HCN support in a major city HCNs will subject in the United States or in many racially and ethnically diverse coun- the expatriates to more relevant tries. This argument is consistent with a finding in the diversity comparison and, literature: the racioethnic diversity of teams within an organization thus, possibly did not affect group functioning greater social in an organizational context that was racioethnically diverse, but competition. had strong effects on group functioning in the less racioethnically diverse organizational context (Martins et al., 2003). Proposition 9: As the racial and ethnic diversity of the host country increases, the salience of expatriates race and ethnicity to HCNs will decrease, weakening the effect of their race or ethnicity on HCN support. Sex In the samples used in empirical research on international assignments, males far outnumber females. In fact, it has been estimated that only 20% of expatriate assignments are filled by females (GMAC, 2007), though this is quite an increase from the 12% to 15% in the late 1990s (Selmer & Leung, 2003a, 2003b; Windham, 1997, 1998). Notably, research shows that women are not any less willing than men to go on overseas assignments (Adler, 1984, 1987, 1993, 1994; Hill & Tillery, 1992; Tung,

10 320 HUMAN RESOURCE MANAGEMENT, MARCH APRIL ). Perhaps more important, there is empirical support for the notion that female expatriates do not experience significantly lower levels of adjustment (Morley & Flynn, 2003; Selmer, 2001; Selmer & Leung, 2003b, for sociocultural adjustment but not psychological adjustment), lower levels of performance (Caligiuri & Tung, 1999), or higher levels of prejudice (Varma et al., 2006; Westwood & Leung, 1994) than their male counterparts. Adler (1993, 1994, 2002) attempts to dispel certain misconceptions that managers may have about sending female employees overseas. In particular, The salience of a she suggests that even in maledominated cultures, female expa- female expatriate s triates are typically viewed in the membership in the host country as foreigners who happen to be women rather than foreigner out-group as women who happen to be foreigners (Adler, 1993, 1994, 2002). is generally greater Adler s suggestion has important than the salience implications for social identity processes related to the sex of an of her membership expatriate. The findings described in the female sex above imply that to HCNs, the salience of a female expatriate s group, thus negating membership in the foreigner outgroup is generally greater than the or minimizing any salience of her membership in the female sex group, thus negating negative impacts or minimizing any negative impacts on HCN support that may on HCN support stem from a country s level of that may stem from male domination. In other words, identification as a member of a a country s level of socially inferior group (that is, male domination. as a female in a male-dominated society) could lead to less adjustment-facilitating support from HCNs. But Adler (1993, 1994, 2002) suggests that female expatriates are first identified as members of cultural or national groups that may not necessarily be evaluated as socially inferior. For example, in a relatively male-dominated country like Japan, a Western female expatriate would be identified by Japanese nationals primarily as a Westerner rather than as a female. The Japanese would likely treat her in the same manner that they would treat a Western male, and her likelihood of receiving HCN support should be no different from that of her male counterpart. Drawing on the discussion above for race and ethnicity, a social identity approach would suggest that in the same environment, a nonnative Japanese female expatriate of Japanese ethnicity (a Japanese American, for example) would not have a foreigner identity that was salient to Japanese HCNs and would likely be identified first as a female. This expatriate thus would be expected by the HCNs to behave like a female HCN and also would be treated as such by the HCNs, reducing the amount of adjustment-facilitating support she would otherwise receive. Although the HCNs are likely to recognize that the expatriate is a foreigner when she speaks (or does not speak) their language, we posit that ethnic similarities will prevent HCNs from categorizing her in the same way that they are likely to categorize ethnically dissimilar expatriates. In line with proposition 8, we posit that she will not easily be categorized as an in-group member because of the salience of cultural and linguistic differences, but it will also be difficult for HCNs to see beyond her ethnic similarity to exclude her from categorization into the (nondominant) female group. Proposition 10: In a country in which males dominate, a female expatriate will receive more HCN support as salience (as perceived by HCNs) of the expatriate s foreigner out-group membership increases, because the relative salience of her nondominant sex will decrease. The same phenomenon is expected to occur among male expatriates in a female-dominated society. Age Although age is commonly measured as a means to detect differences or similarities between samples, it is not often explored as a predictor of international assignment outcomes. Selmer (2001) and Morley and Flynn (2003), however, have investigated

11 The Effects of Expatriate Demographic Characteristics on Adjustment 321 expatriate age in such a way. In Selmer s (2001) study, the adjustment of expatriates in Hong Kong was found to correlate positively with age because of Asian/Confucian values, which place importance on respecting elders. Morley and Flynn s (2003) study in Ireland shows no such relationship, but this inconsistency with Selmer s (2001) findings may be because of differences between Celtic and Confucian values. SIT suggests a potential explanation for their results. The relatively large number of foreigners in Hong Kong today has likely caused the distinction of the foreigner outgroup to fade in such a manner that foreignness is not as salient as age. If age is valued by HCNs and is salient even in foreigners, older expatriates essentially belong to a prestigious group in the HCNs eyes, calling for greater respect and support. However, if age is not valued by HCNs in such a way, older expatriates and younger expatriates are likely to be viewed as equals, and only their foreignness will be salient. Proposition 11: In a country with a culture emphasizing respect for age, the positive relationship between an expatriate s age and HCN support is moderated by the salience (as perceived by HCNs) of the expatriate s foreigner out-group membership. Specifically, as salience increases, the relationship between age and HCN support will weaken. In a country without such emphasis on respecting elders, there will be no relationship between an expatriate s age and HCN support. Thus, we propose that although the disadvantages of belonging to a lower status social group can be overridden by the salience of one s foreign out-group membership (as in the discussion about sex), so too can the advantages of belonging to a prestigious group be overridden by that foreign out-group membership (as in this discussion about age). We should note that although some studies present correlation tables in which the correlation between age (as a control variable) and adjustment is presented, studies that specifically investigate age as a main effect are uncommon. In addition, because many studies use heterogeneous (with respect to national origin) expatriate samples, correlational data are difficult to interpret in terms of this proposition. Future Research Directions In this article, we have used SIT to develop an HCN-centric model of the effects of expatriates demographic characteristics on the support they receive from HCNs at work during an international assignment. Prior research has argued that HCN support leads to greater expatriate adjustment (Aryee & Stone, 1996; Shaffer et al., 1999; Toh, 2003), and our approach helps to address some inconsistent findings in research on expatriate demographic characteristics and their effects on outcomes, such as adjustment. This approach has several implications for research. Going beyond simple similarity effects, the SIT approach suggests that how an expatriate s If age is not valued demographic characteristics are by HCNs, older perceived by HCNs matters greatly in determining their effects. For expatriates and example, in understanding the mixed effects of an expatriate s younger expatriates age on HCN support, SIT suggests are likely to be that the meaning ascribed to age by HCNs may influence the extent of adjustment-facilitating viewed as equals, support provided by the HCNs. and only their Future research may measure HCNs perceptions of expatriate foreignness will be age and their actual adjustmentfacilitating supportive behaviors. salient. These may then be compared across cultures with and without underlying Confucian values that emphasize respect for elders. The discussion suggests that research on international assignments needs to go further than it has thus far in integrating HCN characteristics and perceptions into models of expatriate adjustment. It suggests that some results might make sense only when put into the context of HCN characteristics or perceptions. For example, it might be useful for researchers to take into account the demographic distance (e.g., Tsui et al., 1992) between expatriates and the work groups into which they are assigned. In

12 322 HUMAN RESOURCE MANAGEMENT, MARCH APRIL 2009 addition, using survey or observational methods to examine whether expatriates with specific characteristics are included in the in-groups of key HCNs would help in improving our understanding of the link between expatriates demographics and HCN support. In this area, researchers also could draw on Whereas much social network theory, as has attention on the been done in similar research on the effects of demographic experience of characteristics in organizational groups (e.g., Mehra, Kilduff, & expatriates in Brass, 1998). international In reviewing the literature on the effects of demographic assignments has characteristics on expatriates experiences, we are struck by focused on the the relative lack of research in the area. Interestingly, there is a characteristics of relatively large literature on the the expatriate, our effects of demographic differences in work groups (for reviews, approach suggests see Milliken & Martins, 1996; van Knippenberg & Schippers, that how these 2007; Williams & O Reilly, 1998) characteristics and demographic differences (see Riordan, 2000, for a review) in relate to those domestic settings, which has developed an extensive theoretical of the HCNs is foundation linking demographic very important characteristics to individual and group outcomes. In particular, in understanding this literature has drawn heavily on SIT and related theories their effects on to develop propositions that the expatriate s could potentially be applied to understanding the effects of experience in expatriates demographic characteristics. Thus, expatriate an international researchers may benefit from the use of a diversity lens when assignment. examining expatriates within the context of a workplace consisting primarily of HCNs. In addition, longitudinal studies that examine the effect of the workplace s demography on HCN attitudes and behaviors throughout an expatriate s assignment could provide unique insights into the expatriate adjustment process and the HCNs roles in it. A SIT lens could provide good insight into the effects of expatriate race and ethnicity on HCN support. Because racioethnicity is a visible or readily accessible characteristic (Milliken & Martins, 1996), it has been found to be a strong basis for social identification and categorization and consequent interpersonal interactions and outcomes (van Knippenberg & Schippers, 2007). Interestingly, although researchers often make note of expatriate nationality in their studies, they rarely assess racioethnicity. In an increasingly diverse world, with a racially and ethnically diverse pool of expatriates emanating from the same country, however, it is important to also consider race and ethnicity in this area of research. Whereas much attention on the experience of expatriates in international assignments has focused on the characteristics of the expatriate (Bhaskar-Shrinivas et al., 2005; Black et al., 1991; Harrison et al., 2004), our approach suggests that how these characteristics relate to those of the HCNs is very important in understanding their effects on the expatriate s experience in an international assignment. Thus, for example, SIT helps us realize that the comparison of an expatriate s racioethnic background with the racioethnic makeup of the host country may help to set expectations in terms of the degree of HCN supportiveness. Specifically, if the expatriate is racioethnically similar to the HCNs or if the host country is very diverse, the HCNs expectations of the expatriate will be greater, making knowledge of the host country s culture and language more critical to gaining HCN acceptance and support. Otherwise, while such knowledge will undoubtedly aid a dissimilar expatriate in a homogeneous host country, social comparisons may be less relevant and HCN expectations will not be as high. On the one hand, such expatriates will have a difficult time overcoming categorization into a foreigner out-group. On the other hand, they may be better able to rely on a prestigious status to win the support of the HCNs. Alternatively, if such a prestigious group membership is unavailable,

13 The Effects of Expatriate Demographic Characteristics on Adjustment 323 the superordinate organizational identity could be emphasized. In addition, organizational factors such as the provision of support staff (e.g., translators, interpreters, and bilingual assistants) in the country of assignment may be sufficient to facilitate the expatriate s adjustment without HCNs actually identifying with the expatriate. Although very large sample sizes are likely needed to explore these phenomena, future research using demographically diverse samples should explore the characteristics and perceptions of both HCNs and expatriates across multiple countries. With the increase of women in the ranks of expatriates, it is important to develop a more theoretically grounded understanding of the effects of sex on HCN support as well as expatriate adjustment. Although much research suggests that males do not generally have an advantage over females in international assignments, we suggest that there may be circumstances in which they do. Moreover, some research has suggested that females may actually have an advantage in certain circumstances. For example, Selmer and Leung (2003b) found that Western female expatriates in Hong Kong adjusted better to work and to interactions with HCNs than did their male counterparts. Varma et al. (2006) similarly found that female American expatriates were preferred over male American expatriates by Indian HCNs. Selmer and Leung (2003b) posit that the phenomenon may be due to the tendency of Western cultures to emphasize nurturing and relationship orientation in female gender roles. Empirical research that takes into account gender identification, role identities, and social categorizations may present a clearer picture of how an expatriate s sex affects the level of support that the expatriate receives from HCNs. An interesting extension of this research would be an examination of the interaction between sex and race/ethnicity on HCN support. We also recognize that more complex interactions may exist among the phenomena described in the propositions presented in this article. For example, HCN support may be influenced in a complicated manner when cultural distance between the countries, relative prestige, and racioethnic similarity between the expatriate and HCNs are all taken into consideration together. We have limited our discussion to less complicated relationships, but future theoretical and empirical work should explore these higher-order interactions. Placing the focus back on the expatriate, future research could use SIT to understand how expatriates identify with their organizations, professions, and demographic groups. Although much Researchers note that not only research suggests do individuals identify with groups that share their demographic characteristics (Tajfel, that males do not 1978; Tajfel & Turner, 1986) or generally have organizational membership (Ashforth & Mael, 1989), but that an advantage they may also form professional over females identities independent of their organizational identities (Ibarra, in international 1999). Circumstances in which assignments, two or more of these identities conflict can be problematic. we suggest that For example, research suggests that individuals may leave or there may be threaten to leave their organizations if they perceive incon- circumstances gruence with their professional in which they identities (Pratt & Rafaeli, 1997). Expatriate research already has do. Moreover, noted the low availability of career development programs for some research expatriates (Selmer, 1999), indicating that organizations are not has suggested taking expatriates professional that females may identities into consideration. An understanding of how an expatriate s various identities relate, actually have an advantage in certain as well as how these identities can be aligned to avoid conflict, circumstances. may have important implications for expatriate turnover and premature return and for developing ways to channel executive career development though international assignments. Practical Implications In addition to its implications for theory, a SIT approach to the effects of demographic charac-

14 324 HUMAN RESOURCE MANAGEMENT, MARCH APRIL 2009 teristics on HCN support also suggests several implications for practice. In preparing expatriates for international assignments, organizations should consider the expatriates personal characteristics as they relate to properties of the host country. Such a context-driven approach will, for example, suggest that a Japanese-American woman expatriate sent to Japan should receive somewhat different preparation for the assignment from an Irish-American woman expatriate sent to the same country. Such a differentiated approach will result in better prepara- A Japanese tion for the individual expatriates, American woman since a generic training approach expatriate sent might not prepare them equally well for the specific challenges that to Japan should they are likely to face, thus handicapping their success. Whereas a receive somewhat superficial application of such a different preparation differentiated approach might raise ethical and possibly legal issues, for the assignment a well-designed differentiated approach of the type discussed might, from an Irish in fact, empower each expatriate American woman more and enhance the chance of success in their assignments. This expatriate sent to is important in opening the door to boundaryless global careers the same country. (Arthur & Rousseau, 1996) for all individuals in an increasingly diverse global labor market. Such a differentiated approach will result Further moving the lens to HCNs, a SIT approach suggests implications for the selection and in better preparation training of HCNs who will be working with the expatriate. HCNs who for the individual expatriates. are sensitized to the social identity processes underlying many of the interactions at work probably will be less likely to use demographic characteristics as the basis for their cognitive categorizations of and interactions with expatriates. Such a sensitization may lead instead to more individuation of an expatriate by HCNs (they will see the expatriate for his or her individual characteristics as opposed to seeing the expatriate as being representative of the demographic group to which the expatriate belongs), which researchers have found to improve relationships and interactions at work (e.g., Brewer & Brown, 1998). Thus, HCNs who are sensitized to the social identity processes underlying interactions with expatriates may be more accepting and supportive of expatriates, which will facilitate the expatriate s adjustment and subsequent success. Organizations therefore should develop selection and training programs to equip HCNs with this sensitivity. Finally, a SIT approach suggests that organizations also can implement socialization programs to facilitate interactions between expatriates and HCNs. Such programs set the stage for positive intergroup contact, which should break down intergroup biases based on demographic characteristics and consequently lead to greater acceptance of an individual who is demographically different (e.g., Allport, 1954; Brewer & Brown, 1998). In addition, they may increase the salience of a common organizational identity, allowing HCNs and expatriates to better identify with one another, thus facilitating HCN support. Conclusion Expatriate research has come a long way in a short amount of time to describe in impressive detail the nature of the international assignment. HCN support is unquestionably critical in the success of many expatriate programs. This article has sought to advance understanding of the international assignment by integrating a rigorous theoretical foundation into the discussion of the effects of expatriates demographic characteristics on HCN support. We have provided a unique perspective that focuses on the HCNs and their perceptions. In addition, because the identification and explanation of discrepancies, anomalies, or exceptions in current theoretical arguments are important to theory building (Carlile & Christensen, 2005), this article makes a contribution to the literature by using SIT to address certain discrepancies that exist in empirical research on the link between demographic characteristics and expatriate adjustment. We believe that SIT provides a rich theoretical foundation for understanding the expatriate experience.

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