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This chapter will discuss the extent to which existing models on expatriate functions within the international business literature, still effectively capture the roles currently performed by expatriate managers. It analyse the Edstrom and Galbraith (1977) typology and present a conceptual framework on the roles currently performed by expatriate managers within MNCs. To do this, it will draw inspiration from the resource-based view (Barney, 1991; Peng, M. W. (2001). The resource-based view and international business. Journal of Management, 27, 803–829. Wernerfelt, 1984), and the organisation capability view (Grant, 1996). Following several propositions about managers’ key functions within MNCs, challenges of creating an all-encompassing framework on expatriate functions, and suggestions for future research and theoretical development will be identified.

This chapter will present a conceptual framework on expatriate functions.

Four decades since Edstrom and Galbraith’s seminal work, international developments have continued to impress upon the way MNCs organise and manage their worldwide activities. Yet, as the business environment progresses, theoretical models examining how international development impact the functions undertaken by expatriate managers within MNCs individuals are still relatively scarce. Hence, this chapter aims to contribute to the theoretical advancement in the area of expatriate functions by highlighting possible changes and expansion of expatriate managers within the current global business context.

Purpose – Multinational corporations (MNCs) are often presented as harbingers of global practices, thus promoting a process of convergence between different national business systems. However, this view disregards the fact that MNCs, too, are rooted in countries of origin, and that this may have an enduring influence on the practices employed within these organizations. This chapter aims to throw new light upon this issue.

Methodology – Using a survey methodology we compare company practices for around 150 MNC subsidiaries from four different countries (the USA, the UK, Germany, and Japan) at two points of time (1995 and 2002).

Findings – Our findings show that even the most internationalized companies in the world continue to show unique country patterns. In particular, strong differences between US and Japanese MNCs endure. However, MNCs from the US and from the UK, already very similar in 1995, have become even more alike in 2002. German MNCs show an interesting picture. While remaining similar to Japanese MNCs (and very different from their US and UK counterparts), in some limited respects German MNCs seem to have adapted to the US/UK practices.

Originality – Previous studies, focusing at different groups of countries and different practices, and conducted at various points in time, have been insufficiently cumulative to form a basis for firm conclusions. This study provides a systematic comparison of MNC company practices at two points in time.

Drawing on empirical data from two studies of 119 Japanese affiliates located in the United States and Europe, this chapter focuses on three fundamental questions: (1) What organizational factors influence performance of the overseas affiliates of Japanese MNCs? (2) What impact does expatriate staffing have on the affiliate’s performance? (3) What factors influence expatriate staffing patterns in Japanese MNCs? The empirical results lend support to the hypothesis that MNCs characterized by global integration and local responsiveness will outperform less transnational competitors, although there are significant differences between the American and European subsamples on the impact of expatriate presence on affiliate performance. In addition, there is no support for the life-cycle prediction that age or parent company experience influences expatriate staffing levels or for the resource dependence prediction that integration with the parent influences expatriate presence. These results and their implications are discussed.

This chapter seeks to highlight the important role that the Iranian diaspora will have in a post-sanctions Iranian economy by mapping its political economy. In a 10-year period of analysis, I show that Iran remained a mostly patrimonial state that also became slightly less statist over, yet showed the potential for liberal economic reform. Thus, even though Iran may seek to incorporate liberal economic policies, patrimonial and statist elements will remain quite strong within Iran’s economy for years to come. The key asset of the Iranian diaspora then will be its integration with Western societies. This depth will allow expatriates to bridge the information gaps that will undoubtedly develop as foreign direct investment increases. Most foreign firms will find this expert guidance quite valuable when attempting to navigate the Iranian political economy.

The schematic diagram shown in Fig. 1 suggests that a global mindset evolves in the cultural context of industry-specific, organization-specific, and person-specific antecedents that are salient in the context of the global manager and the environment in which he or she functions. Taken clockwise, we discuss the relevance of various factors that comprise these three important domains and how these domains interact with the overarching cultural contexts salient in the domestic as well as in the international business environment. In Table 1, we present the various factors in industry-specific, organization-specific, and person-specific domains that either facilitate (provide opportunities) or hinder (act as constraints) the development of global mindset and global managers.

In recent years, international management research has focused on the cognitive development of managers as increasingly important in a complex and dynamic business environment. As part of what might be called a cognitive revolution in international management research, several individual difference constructs have been introduced that promise to improve upon our ability to link culture to action beyond the study of dimensions of cultural variability and inventories of cultural competence. In this paper, I review three of these ideas: multicultural personality, global mindset, and cultural intelligence. I examine their conceptual similarities and level of development, and identify five criteria that need to be satisfied for these new ideas to have utility in international management research.

Purpose — Most managers seem dissatisfied with their careers after they return from expatriate assignments. The study aimed to identify the reasons for their dissatisfaction and distill implications for MNCs interested in improving the return on the investment they make on expatriation and harnessing the valuable knowledge with which many managers return after successful completion of expatriate assignments.

Methodology/approach — The data were collected via depth interviews with recently returned expatriates.

Findings — The level of dissatisfaction among returning expatriates is high and is attributable to a poorly managed HR function. While considerable sums are invested in transferring knowledge from home to host offices, MNCs seem curiously inattentive to the process by which their returning expatriates are reintegrated into the firm.

Practical implications — Managers' voices call for a strategically oriented HR function of MNCs and a new organisation for developing intellectual capital and a cadre of globally trained managers. Changes in structure, systems and processes are discussed.

Social implications — If MNCs continue neglecting the repatriation needs of their expatriates, and paying little or no attention to transferring their knowledge about international operations, U.S. companies are likely to lag in terms of utilising that knowledge to become more effective global organisations.

Originality/value of the chapter — Sources of dissatisfaction among returning expatriates are identified. Much of the dissatisfaction relates to the disconnect between expectations and reality, the failure of the mentor role and a lagging HR function. The chapter identifies steps to correct these problems.