Adjustment of business expatriates in Greater China: a strategic perspective

Abstract

Research has found that due to similarities, firms that have gained business experience elsewhere in Greater China may exhibit relatively better performance in mainland China. Hence, the experience of business expatriates could be of strategic importance for the expansion path of their firms. Based on data collected by a survey, this study compares how business expatriates adjust to life and work in different locations in Greater China. Results show that expatriates assigned to Singapore had a higher degree of general adjustment and interaction adjustment than their counterparts elsewhere in Greater China, while expatriates both in Hong Kong and Singapore were better adjusted to work than those in mainland China. Regarding time to proficiency, defined as the period it takes the expatriates to reach an acceptable performance level at their new foreign assignment, findings indicate that it takes longer both in Hong Kong and mainland China than in Singapore. Implications of these results for business firms contemplating to enter Greater China and specifically mainland China are discussed in detail.

Keywords:

• Greater China
• expatriate adjustment
• mainland China

Acknowledgements

This study was partly supported by a grant from the Research Grants Council, Hong Kong. The author is grateful for the constructive comments of anonymous reviewers on an earlier version of this paper.