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The International Education and Graduate Programs Office of the U.S. Department of Education (IEGPS) is pleased to bring you this publication produced from the Roundtable on Study Abroad Programs in Business Schools that took place in East Lansing, Michigan, September 2001. This publication reports on the results of a three-day, invitational conference of national and international experts on study abroad. The conference was hosted by the Center for International Business Education and Research in The Eli Broad Graduate School of Management at Michigan State University (MSU-CIBER), which is funded under Title VI of the Higher Education Act.

With the advent of the global economy and marketplace, cultural sensitivity and language proficiency have assumed new, higher levels of importance in business education. Consequently, business schools need to acclimate both faculty and students to the global environment. Study abroad is an effective way to accomplish internationalization of faculty and students; however, there are many challenges relating to study abroad that need to be resolved. The underlying rationale for study abroad is evolving, as are the anticipated outcomes for students studying abroad. Moreover, there is no single source of information about study abroad and best practices relating to study abroad. Formal assessment of study abroad programs is rarely undertaken in the belief that the value of study abroad is self-evident; therefore, assessment is not critical. Consequently, study abroad is a topic on which much more research is needed. There are great opportunities for scholars and practitioners in the field of study abroad to do research in the different aspects of study abroad and disseminate and publish the results. The educational opportunities are virtually unlimited, as the importance of study abroad as a response to training business and other students to be able to function effectively in the global economy increases.

This special volume of Advances in International Marketingis guest-edited by Professors G. Tomas M. Hult and Elvin C. Lashbrooke, Jr. of Michigan State University. The entire volume addresses a variety of topics relating to study abroad programs in business schools. This volume grew out of the Third Roundtable on Internationalizing Business Education hosted by the Center for International Business Education and Research at Michigan State University (MSU-CIBER). Serving as co-sponsors for this event were CIBERs at Duke University, Purdue University, San Diego State University, Texas A&M University, University of Memphis, University of Connecticut, University of Kansas, University of Illinois, University of Pittsburgh, University of South Carolina, University of Texas at Austin, and the University of Wisconsin. The contributions selected for this volume represent some of the best thinking and empirical findings on business-focused study abroad concepts.

Certain administrative structures and processes need to be in place on the home campus to provide high quality study abroad experiences for students. They provide the support needed to make study abroad programs successful and effective. To this end, they need to be based on criteria that ensure the best possible quality in these arrangements as they relate to stated program outcomes.

The continuing globalization of business and recent world events underscore the importance of educating students to develop a broad world view. Internationalizing the undergraduate curriculum has moved to the forefront of higher education in business. And international travel and study has become a core part in the curriculum. However, creating and coordinating a meaningful study abroad experience is perhaps the most challenging issue faced by academics and administrators involved in international business education. While the concept of incorporating a practical or “real world” component into a university degree program is not unique, particularly in business education, the structural obstacles and other difficulties associated with bringing about truly international learning experiences tend to be very different. On the one hand, the student(s) involved generally are highly motivated for such an experience. The challenge on the student side is one of channeling this excitement through the proper process in order to ensure they receive maximum transfer credit. This means, from the institutional side, it is necessary to fit the experience, whose characteristics sometimes fall outside the conventional institutional structure, into an individual’s degree program and still meet administrative criteria as they relate to content, rigor, accreditation requirements, etc.

The object of this brief paper is to discuss the balance between business content and language proficiency in study abroad programs related to business. When blending these three activities, the challenge is to balance each appropriately. If the study abroad experience contains little or no business content, students lose out on the opportunity to learn elements of international business. If the study abroad experience contains little or no language content, students miss out on the cultural integration that is essential for international interactions. And if “study abroad” becomes too loose (i.e. party on the beach) or too rigid (i.e. no different than taking classes back home), students miss the essence of studying in a foreign location. Of course, there are excellent business study abroad programs that are conducted in English (e.g. see Keillor & Emore for the roundtable discussion regarding English language programs). The focus of this paper is the role of foreign language instruction and student proficiency in foreign language, as it relates to business study abroad programs.

During the past decade there has been a growing consensus that study abroad experiences are valuable not only for students majoring in the language of the country in which they intend to study, but that they also provide vital experiences for students enrolled in business programs. This is a change from the early 1980s when it was rare to find a business program offering study abroad experiences for its students. The increasingly global nature of commerce and the need for business professionals to effectively interact with people in a work force growing more diverse are strong arguments for students to study abroad. In addition to exposing students to different cultures and peoples, the study abroad experience challenges students to function in unknown environments and situations, teaches students about themselves, and forces them to look critically at their own resources and values. It is the ultimate “Problem-Based Learning” experience (PBL).

The U.S. faces unprecedented challenges to its economic, political, and military pre-eminence as it proceeds into the initial years of the 21st century. During the Cold War era, the superpowers viewed countries as either enemies or friends. The era of globalization, however, has transformed friends and enemies alike into competitors (Friedman, 2000). The U.S., the chess master of the Cold War era, has encountered great difficulty in adapting to the new geo-political and socio-economic realities brought about by the era of globalization. As this new era celebrated its coming out party in 1989 with the fall of the Berlin Wall, the U.S. has witnessed its own economic decline. In 1945, the U.S. accounted for over 70% of the World’s GDP. Today, that figure has shrunk to 19% (cited in Kedia, 2001).

Offering study abroad and exchange programs in partnership with Schools of Business around the world is a cost-effective way of providing a meaningful international academic opportunity for students. They also help lay the foundation for wider collaborations on other dimensions, such as faculty exchanges, with partner institutions. However, structuring and administering these programs requires a clear guiding vision of the overall objectives of the program as well as a firm grasp of the administrative details involved. In this paper, we describe some of the key ingredients involved in choosing partners and structuring successful international education partnerships.

Why is there a need for initiatives such as the one which will be described in the following pages, designed to increase the participation of minority and low income students in study abroad?