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Drawing on experiential learning theory, this study seeks to understand how the perceived cultural difference in a foreign country and learning flexibility, which enables more integrated experiential learning from international experience, influence expatriates’ cultural intelligence (CQ) and consequently their adjustment and job performance.

Survey data were collected from 169 expatriates in China. Polynomial regression analyses were employed to test curvilinear relationships between cultural difference and CQ and between learning flexibility and CQ. Mediation hypotheses were tested either by the MEDCURVE procedure if a curvilinear relationship was confirmed or by the Haye’s Process procedure if a curvilinear relationship was not confirmed and instead a linear relationship was confirmed.

The results demonstrated a positive relationship between cultural difference and CQ and an inverted U-shape relationship between learning flexibility and CQ. CQ mediated the relationship between cultural difference and expatriate adjustment and partially mediated the relationship between learning flexibility and expatriate adjustment. CQ positively influenced expatriates’ job performance via expatriate adjustment.

Our findings suggest that companies should not hesitate to send expatriates on assignments to culturally very different countries and focus more attention on the selection of expatriates. The findings of this study suggest firms should choose candidates who are moderate or high in learning flexibility and could engage in integrated learning and specialized learning in a more balanced manner.

This research is the first study that examines the influence of learning flexibility on CQ and expatriate effectiveness. It examines cultural difference through the lens of experiential learning theory and argues that cultural difference constitutes “stimuli” in the experiential learning environment for individual learning in an international context. The results advance our knowledge of the role of experiential learning in developing capable global managers.

As cross-cultural mergers and acquisitions (M&A) have learning effects on organisations, assessing their impacts on corporate performance is crucial. This study aims to explore the impact of inter-firm cultural differences on long-term post-M&A stock market performance.

The authors select domestic M&A transactions of Chinese listed companies during 2010–2021 as the sample. Then, the authors use the partial least squares structural equation model (PLS-SEM) to construct the latent variable of cultural differences in four dimensions to explore long-term stock market performance.

Cultural differences first positively and then negatively impact post-M&A performance. Three transmissions mechanisms are identified: investor sentiment, takeover premiums and information disclosure quality. Further analysis reveals that acquirer stock performance improves with higher analyst coverage and non-local shareholders but worsens if there are business affiliations between the acquirer and target firms.

This study can help optimise information disclosure systems in M&A transactions for regulatory authorities and aid investors’ understanding of post-M&A performance changes. Furthermore, it can improve acquirers’ understanding of the risks and opportunities in cross-cultural M&A, thereby facilitating the adaptation of management practices to the im-pacts of cultural differences.

By integrating the theories of resource dependence and transaction costs, this study examines the reversal effect of cultural differences between merging companies on post-M&A performance. The authors use a PLS-SEM to empirically analyse the main effects and reveal three transmission mechanisms.

Transference-based trust (TBT) via referral sources is a cognitive process where trust in third-party information about an individual transfers to trust in the individual. TBT via referral sources can have significant effects on early trust development in a virtual team (VT). This study aims to examine the potential influence of Hofstede’s (1980) cultural variables and two proposed combinations of these cultural variables on early trust development in VT, including the effects of referral source.

This study adopted multigroup analysis partial least squares structural modeling to examine potential cultural differences in the responses of 357 university students from 51 different countries to understand early trust development in VT.

TBT via referral sources as in interpersonal construct has a positive, direct impact on early trust development. TBT mediated the individual and organizational model constructs. There were significant differences in the high/low values of 3 of the 56 tested cultural dimensions.

Reaffirmed the validity of cognitive-based trust models in understanding early trust development in VTs TBT as an interpersonal construct and has a significant influence on early trust development in VTs. TBT via referral sources mediated the individual and organizational constructs of the model. There were significant differences in the high/low measures of three cultural dimensions (i.e. IV, M and the combination of IV-M-LT) in the relationship of early trusting beliefs to early trusting intensions.

To positively influence interpersonal and organizational aspects of trust development, managers should ensure that the early phases of VTs, before actual implementation begins, are well organized. Managers could make VT members fully aware of how referral sources can influence early trust development. Managers could encourage individuals to have open access to relevant social media accounts for other VT members and encourage individuals to research referral sources on other VTs members. The implication for managers of culturally diverse VT is that the development of early trust is largely by individual choice, rather than differences in national culture.

People need to maintain and actively manage their online presence, ensuring that online information about them is accurate and updated. Referral sources could help VT members learn about one another, which might in turn help foster early trust in their online teams.

Although some studies have found significant cultural differences in early trust development, other studies, including a meta-analysis of 43 studies, found no significant cultural differences in early trust development. This study confirmed the results of the meta-analysis.

This chapter explores a relatively underresearched assumption in the diversity literature, namely, that more variety in demographic characteristics, educational or functional backgrounds, or hierarchical status in the workforce represents a wider repertoire of perspectives, approaches, and ways of thinking. Using data from members of innovation teams across 27 organizations in 11 industries (for which variation in thinking should be highly valued), we explore at the individual level whether people with different demographic and informational backgrounds evidence differences in ways of thinking which we define in terms of cognitive styles, learning styles, cultural orientations, and communication preferences. We find large differences in ways of thinking due to culture and communication preferences but modest and limited differences in ways of thinking by level and type of education, occupational function, and hierarchical status. We find few differences by gender. The findings raise questions about the frequently repeated claims that categorical and informational diversity among organizational members reflects differences in ways of thinking.

This study aims to examine the impact of national culture on classification shifting in Eastern European Member States of EU Eastern European countries (EEU) vis-à-vis the Western Member States of EU (WEU). The EEU provides a unique sample to study the quality of financial reporting that the authors measure with classification shifting given that for more than five decades they were following the model of a centrally planned economy, where market-based financial reporting was absent. Yet, the EEU transitioned to a market-based economy and completed its accession to the EU.

This study uses a panel data set of firm year observations from 1996 and 2020 that covers the full transition of EEU. This empirical analysis is based on fixed effects panel regression analysis where the authors report a plethora of identifications.

This study finds classification shifting in the EEU countries since their transition to the market-based economy, though they have no long record of market-based financial reporting. This study also notices that cultural factors are associated with classification shifting across all Member States of the EU. This study further examines the impact of interactions between cultural characteristics and special items and reveal variability between WEU and EEU. As part of the robustness analysis, this study also tests the impact of culture on real earnings management measures for both WEU vs EEU, confirming the variability of the impact of culture on earnings management.

Future research could explore the role of religion differences in WEU vis-à-vis EEU states, as they are also subject to cultural differences.

The findings are important for regulators, external monitors and investors, as they show that cultural factors affect earnings management with some variability across countries in the EU, and they should be acknowledged in policymaking.

The findings show that cultural differences between EEU and the “old” Member States of the EU could explain classification shifting.

To the best of the authors’ knowledge, this is the first study that sheds light on the impact of national culture on classification shifting in EEU of EU vis-à-vis the “old” WEU of EU.

Poor mental health in men and women is attributable to disparities in physical traits, social roles, power and health-seeking behaviours. This study aims to examine the gender differences in mental health among Pakistan and German university students and focuses on their right to seek mental health care.

Data on depression, anxiety and stress symptoms, as well as positive mental health (PMH), resilience, social support and life satisfaction, were gathered from Pakistani and German students.

In contrast to the Pakistani group, where no such gender differences were seen, women in Germany reported higher degrees of stress, anxiety and depression, as well as a lower level of overall good mental health. In comparison to German men and women, Pakistani women scored equally high on resilience. While gender had no bearing on life happiness in either Pakistan or Germany, women in both countries perceived more social support than men did.

The study’s strengths include its large sample size and battery of mental health measures. The results of partial weak measurement Invariance (MI) on the stress subscale underlined the importance of using MI in cross-cultural studies. The validity of a direct comparisons on sum score between different language versions or country samples shall be cautious. Still, there are limitations. Firstly, the authors did not differentiate gender and biological sex, and there was no group of non-binary gender. Pakistani (N = 1,840) and German (N = 7,890) students were in unequal numbers. Again, only university students were sampled, so the results cannot be generalised to older (probably less educated) populations. Self-reported data that mainly obtained via online survey were the third limitation. This design is cost-effective and easy to administer for cross-cultural survey research. However, social desirability and memory bias are common in self-report inventories. Fourthly, although English is an official language in Pakistan and the medium of instruction in education, the authors recommend future study to use questionnaires that have been translated and validated into Urdu (Pakistan’s national language) and investigate gender differences in a general population. Fifthly, this is a cross-sectional survey; the authors were not able to explore the causality or risk factors that contribute to the poor mental well-being in Pakistan students in general or the relatively worse mental health in German women. Future studies may investigate the mechanism behind the phenomena observed in this study with longitudinal or experimental design. Last but not least, Germany and Pakistan differ in so many different aspects from culture, religions and history to social structure and economic status, which make it hard to claim whether the observed differences were due to national differences, cultural differences, economic differences, gender inequality differences or other effects. It would be helpful for future studies to include more country samples with clear definitions of different “culture” aspects for a better understanding of gender differences in other countries and in different mental well-being constructs.

The current study is the first attempt to compare the gender difference patterns in positive and negative mental health between European and South Asian counties and focuses on gender-specific approaches. Although Pakistani university students reported in general worse mental well-being, the differences between the two genders in mental health (e.g. depression, anxiety, general PMH) were not as pronounced as in the German student sample. Gender comparisons in these mental health constructs would help to improve protective factors against mental illness and to develop appropriate management programmes based on cultural differences. The results suggest that the gender differences found in western countries cannot always be directly translated into the South Asian cultural framework. Our results also highlight the importance of improving the general situation of Pakistan (students) instead of focusing on one gender. At the same time, in Germany, prevention and intervention plans are more warranted for women. It could be that once the general situation in Pakistan is improved, the gender-related differences in mental health will be clearly observed.

These findings imply the significance of cultural context when inferring gender variations in mental health. Moreover, it supports the advancement of comprehensive policies to reduce gender-related mental health inequalities and focuses on the equal rights of men and women to get mental health care.

This study aimed to illustrate the conditions under which cultural diversity enhances workgroup creativity. It does so by investigating the impact of ethnic diversity on workgroup creativity through the mediating mechanisms of cognitive diversity and information elaboration, while also exploring the role of inclusive leadership in this process.

Multi-source data was collected from a sample of 338 employees nested within 56 workgroups across three distinct organizations. Conditional process analysis was used to empirically test the proposed hypotheses.

The results show that ethnic diversity, a surface-level cultural attribute, contributed to diversity in deep-level cognitive resources, and that workgroups were able to capitalize on these variations in deep-level cognitive resources to enhance their creativity when they engaged in the elaboration of task-relevant information. Results also demonstrated that the effective management of workgroup processes through inclusive leadership helped materialize the performance-promoting effects of cultural diversity. Overall, the findings support the notion that cultural diversity is indeed beneficial to workgroups.

Prior research has typically examined cultural diversity in workgroups from the perspective of either surface-level or deep-level cultural attributes, leading to conflicting findings. Our study takes a multifaceted approach to cultural diversity and its influence on workgroup creativity, offering a more nuanced understanding. Additionally, by integrating the concept of inclusive leadership, a relatively new conceptualization of leadership specifically relevant to diverse workgroups, we clarified strategies for fostering positive workgroup performance.

This study aims to address a significant gap in the literature by exploring the individual nature and microfoundation perspective of cultural friction during the integration phase following cross-border mergers and acquisitions (CBMAs). It focuses on the role of face, a pivotal facet of interactions within Asian organizations, elucidating its importance in post-M&A integration outcomes.

Using a conceptual approach, this study draws on three bodies of literature, namely, cultural friction, microfoundations and face concerns. It reconsiders cultural friction as a microfounded construct and introduces face concerns as a pivotal element to understanding the challenges faced by managers at the forefront of CBMAs involving Asian companies. The conceptual approach is illustrated with examples for the world of practice.

This research makes two significant contributions to the fields of CBMAs and cultural friction. First, it demonstrates the relevance of the concept of cultural friction at the individual level, shedding light on the complex post-CBMA integration process. Second, this study demonstrates the critical role of face concerns in the sociocultural integration following CBMAs. This is underexplored in extant literature.

The crucial role of face is well known to those working in Asia. Yet academic inquiry remains underdeveloped on this issue for CBMAs. The friction derived from face concerns provides additional insights into the nature of the cultural challenges confronting managers during sociocultural integration and elucidates the micro-mechanisms influencing individuals’ responses to cultural friction. This research responds to calls to examine the human side of M&As uncovering previously neglected issues within intercultural managerial encounters.

Global adoption of the internet and mobile usage results in a huge variation in the cultural backgrounds of consumers who generate and consume electronic word-of-mouth (eWOM). Unsurprisingly, a research trend on cross-cultural eWOM has emerged. However, there has not been an attempt to synthesize this research topic. This paper aims to bridge this gap.

This research paper conducts a systematic literature review of the current research findings on cross-cultural eWOM. Journal articles published from 2006 to 2021 are included. This study then presents the key issues in the extant literature and suggests potential future research.

The findings show that there has been an upward trend in the number of publications on cross-cultural eWOM since the early 2010s, with a relatively steeper increase toward 2020. The findings also synthesize cross-cultural eWOM research into four elements and suggest potential future research avenues.

To the best of the authors’ knowledge, there is currently no exhaustive/integrated review of cross-cultural eWOM research. This research fills the need to summarize the current state of cross-cultural eWOM literature and identifies research questions to be addressed in the future.

El boca a boca electrónico cross-cultural: una revisión sistemática de la literatura

La adopción global de Internet y los móviles da lugar a una enorme diferencia en el origen cultural de los consumidores que generan y consumen el boca a boca electrónico (eWOM). No es de extrañar que haya surgido una tendencia de investigación sobre el eWOM transcultural. Sin embargo, no se ha intentado sintetizar este tema de investigación. El objetivo de este artículo es subsanar esta carencia.

Este trabajo de investigación realiza una revisión bibliográfica sistemática de las investigaciones realizadas sobre eWOM transcultural. Se incluyen artículos de revistas publicados desde 2006 hasta 2021. A continuación, el estudio presenta las cuestiones clave de la literatura existente y sugiere posibles investigaciones futuras.

Los resultados muestran que ha habido una tendencia al alza en el número de publicaciones sobre eWOM intercultural desde principios de la década de 2010, con un aumento relativamente creciente hacia 2020. Los resultados también sintetizan la investigación sobre eWOM intercultural en cuatro elementos y sugieren posibles vías de investigación futuras.

Actualmente no existe una revisión exhaustiva/integrada de la investigación sobre el eWOM cross-cultural. Esta investigación satisface la necesidad de resumir el estado actual de la literatura sobre eWOM cross-cultural e identifica las cuestiones de investigación que deben abordarse en el futuro.

跨文化电子口碑研究：系统性文献回顾

摘要

在互联网全球化以及移动手机的广泛使用的背景下, 不同文化背景的消费者都在贡献电子口碑（eWOM）。这使得电子口碑存在文化差异。然而, 还没有人试图对这个研究课题进行综合分析。本文的目的就是要弥补这一空白。

本研究论文对目前关于跨文化eWOM的研究成果进行了系统的文献回顾。包括2006年至2021年发表的期刊文章。然后, 本研究提出了现有文献中的关键问题, 并提出了潜在的未来研究。

研究结果显示, 自2010年初以来, 关于跨文化eWOM的出版物数量呈上升趋势, 到2020年时增幅相对较大。研究结果还总结了跨文化eWOM研究的四个要素, 并提出了潜在的未来研究途径。

目前还没有关于跨文化eWOM研究的详尽/综合的回顾。这项研究填补了总结跨文化电子WOM文献现状的需要, 并确定了未来要解决的研究问题。