scholarly journals From Host Country Nationals to Entrepreneurs: Insights from Professional Service Ventures in Vietnam – Corrigendum

2021 ◽  
pp. 1-1
Author(s):  
Yen Tran ◽  
Snejina Michailova ◽  
Huong Nguyen
2021 ◽  
pp. 1-32
Author(s):  
Yen Tran ◽  
Snejina Michailova ◽  
Huong Nguyen

ABSTRACT Working for multinational companies (MNCs) is often viewed as a privilege for host country nationals (HCNs) in emerging economies. This raises the question: Why do HCNs leave their jobs to pursue the hardship of establishing their own business? This article addresses this question by adopting a phenomenon-based approach to study 12 professional service firms in Vietnam. We explore why HCNs initially become entrepreneurs and identify how they make this transition. We reveal several idiosyncratic motivations and identify four types of migration pathways: MNC returnee, committed hybrid, transitional hybrid, and direct spin-off. Our findings address the shortcomings of the existing HCNs literature that centers on MNCs’ view and employee entrepreneurship literature that overlooks the context of emerging markets. We find evidence that institutional voids often promote, rather than suppress, entrepreneurship in emerging markets. Importantly, by taking a local perspective, our findings help MNCs increase their awareness that in the fast-growing market of Vietnam, a brain drain might occur as a result of HCNs becoming entrepreneurs.


Author(s):  
Shirley C. Sonesh ◽  
Angelo S. DeNisi

Purpose – Although several authors have suggested that host country nationals (HCNs) play an important role in the management of expatriates (e.g. Toh and DeNisi, 2003; Farh et al., 2010), research has also suggested that this relationship is not always good, and the flow of critical information to expatriates can be limited. This is especially true when HCNs categorize the expatriates as “out-group” members. The purpose of this paper is to examine potential determinants of categorization decisions as well as potential outcomes related to expatriate socialization. Design/methodology/approach – The paper employs a dyadic survey approach to determine the antecedents to expatriate categorization and HCN socialization behaviors from the perspective of both the expatriate and HCN. Findings – The results of survey data from 65 expatriate-HCN dyads indicated that expatriate ethnocentrism and the salience of the expatriates’ nationality were important predictors of categorization, but that categorization was related to only one dimension of socialization. However, affect was found to play a role in predicting socialization behaviors. Research limitations/implications – There is potential selection bias since expatriates chose HCNs as respondents, but results suggested this was not a serious problem. Other limitations include a relatively small sample size and the fact that a number of contextual issues such as national stereotypes and MNC strategy, are not controlled for. Practical implications – Implications of these findings for the successful management of expatriate assignments include sending over expatriates with the right relational skills, and those low in ethnocentrism, rather than just the right technical skills. Originality/value – The present study was one of the first to empirically test the potential role of categorization in the process of socialization.


2016 ◽  
Vol 8 (3) ◽  
pp. 378-384 ◽  
Author(s):  
Qianqian Chai ◽  
Cherry Wun Mei Cheung ◽  
Caleb Kwong

Purpose Questions have often been asked of the ethicality of multinational enterprises (MNEs) with the conducts of many being classified as exploitative. This is particularly so the internal context, where MNEs are often reluctant to employ host country nationals at important positions and treat their host and parent countries employees differently. This study aims to examine whether the locals are really getting the raw end of the deal. Design/methodology/approach Utilising a unique record book that is available about the employment details of civil servants in Hong Kong known as the blue book, this study intends to examine whether first-moving multinational organisations treated their local employees in an ethical and reasonable manner, for the employees entering the service between 1845-1850. Findings The data suggests that, overall, host country nationals earn much less than not only the British but also those from third countries. Moreover, parent country nationals were placed at important officer and supervisory roles, as oppose to host country nationals at the bottom, forming a typically ethnocentric governance structure (Perlmutter, 1969). Furthermore, even divided by grade, the starting salary difference between host and parent country nationals remain considerable. However, the reason for this is complex, and the authors do not have a quick and precise answer as to whether there has been discrimination. Research limitations/implications The findings perhaps explain the dilemma faced by the early-movers because they tend to feel the strong need of adopting an ethnocentric approach, which can be extremely costly as a result of the large wage differential. A balance needs to be struck between this and utilising host country nationals, which might not necessarily possess all the essential qualities but might be cheaper. Originality/value This is the first study examining the employment practices of fast-moving MNEs.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Prantika Ray ◽  
Sunil Kumar Maheshwari

PurposeThe paper tries to understand the needs of the international assignees across the different stages of expatriation and how different developers in the professional and non-professional sphere render support and advice through these stages.Design/methodology/approachIn this paper, the authors have interviewed 20 expatriates of various nationalities and tried to understand the various needs of the expatriates across the three initial stages of an assignment.FindingsThe paper finds that four important mentors in an expatriation assignment play multiple need-based mentoring functions at various assignment stages: host country nationals (HCNs), parent country nationals, fellow expatriates and family.Research limitations/implicationsThis paper contributes to the literature on the need-based support rendered to expatriates during an international assignment. The paper, however, does not incorporate the perceptions of other vital stakeholders in the network and their intentions to contribute to the developmental network.Practical implicationsThis paper lays down important practical implications for expatriates and the human resource management (HRM) professionals. This paper urges the practitioners to take a nuanced approach for developing expatriates than a generalized mentoring programme.Originality/valueThis study highlights the changing needs of the international assignees across the stages of an international assignment and demonstrates the important intra-organizational and extra-organizational developers such as family members in the fulfilment of these needs.


2002 ◽  
Vol 3 (1) ◽  
pp. 105-122
Author(s):  
Hoon Park ◽  
Youngsun Paik ◽  
Cristina Suarez Duffy

This paper suggests an integrative model in which MNCs combine staffing policy with training requirements given the level of control over foreign operations. The main premise of the paper is that different levels of control need determine the type of personnel and the extent of training required for managing foreign operations. At the highest level of control need, expatriate managers are provided with extensive cultural training. Conversely, at the lowest level of control need, host country nationals are given minimal functional training. When the control needs are moderate, firms can select either expatriates or host country nationals. Since the costs incurred in extensive functional training for host country nationals are usually greater than those for expatriates who require only a minimal level of cultural training, MNCs tend to prefer expatriates to host country nationals.


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