The relationship between cultural intelligence and i-deals: Trust as a mediator and HR localization as a moderator

Abstract

Purpose

Cultural intelligence is the capacity to decode and harmonize with another culture for cultural synergy effects. This paper aims to examine whether cultural intelligence can activate idiosyncratic deals (i-deals) through trust as a mediator and HR localization as a moderator.

Design/methodology/approach

Cross-sectional data from respondents from joint ventures or 100 per cent foreign-invested firms in Vietnam business setting, which were tested through the structural equation modeling, provide the evidence for the research model.

Findings

Research results confirmed the positive effect of cultural intelligence on identity-based trust and knowledge-based trust, which in turn influence i-deals. HR localization was also found to play a moderating role on the relationship between identity-based trust or knowledge-based trust and i-deals.

Originality/value

Cultural intelligence literature, from this study, is further deepened through its role as a trigger for the path from cultural intelligence to i-deals.

Citation

Trong Luu, T. and Rowley, C. (2016), "The relationship between cultural intelligence and i-deals: Trust as a mediator and HR localization as a moderator", International Journal of Organizational Analysis, Vol. 24 No. 5, pp. 908-931. https://doi.org/10.1108/IJOA-03-2015-0848