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Proceedings of the 13th Asia Pacific Management Conference, Melbourne, Australia, 2007, 922-931

The Effects of Expatriate Personality and Cultural Intelligence on the Expatri-


ate Adjustment: The Moderating Role of Expatriate
a*
Li-Yueh Lee and Badri Munir Sukocob
a
Department of International Trade, Kun Shan University, No. 949, Da Wan Rd., Yung Kang City, Tainan Hsien, Taiwan
b
Department of Management, Faculty of Economics, Airlangga University, Jl. Airlangga 4, Surabaya, Indonesia

Abstract
The globalization of business activities has forced firms to develop more qualified expatriates. Prior research has indicated
that expatriate adjustments played very significant roles to perform as expected by headquarter. This study purposely determines
the expatriate adjustment in the individual level by emphasizing the influences of personality traits as well as the cultural intelli-
gence of the expatriates. Moreover, this study examines whether expatriates training help individuals to adjust in the new environ-
ment. More than 200 global Taiwanese expatriates participating in this study. The results revealed that the personality traits have
significant effects on the cultural intelligence and adjustment. However, the three types of cultural intelligence have no significant
effects on the level of expatriate adjustment. The expatriates who have pre-departure training for communication, cognitive as well
as experiential training have moderating effects on the relationship between personality and cultural intelligence, but the relation-
ship between personality and cultural intelligence on adjustment has no significant results. The practical implications as well as
academic contributions are presented.

Keywords: Expatriate personality; Cultural intelligence; Expatriate training; Expatriate adjustment

1. Introduction 1997). Approximately 30 to 50 percent of US expatri-


ates are considered marginally effective by their firms
The globalization of market has led to significant which the average compensation package is $250,000
increase of cross-cultural interactions between business annually (Copeland & Griggs, 1985). One of the major
people, and sending expatriates around the “global reasons of expatriates failures was that expatriates did
village” is highly required. Recently, the abroad as- not adjust themselves into host country’s environment
signment is necessary for many executives of multina- (Caligiuri, 2000; Shaffer & Harrison, 1998). As a re-
tional enterprises (MNEs) to develop their careers, sult, considerable attention has been devoted to identi-
since it constitute an important set of work experiences fying the factors that influence expatriates’ cross-
(Takeuchi, Tesluk., Yun, & Lepak, 2005). These ex- cultural adjustment and the successful completion of
periences are considered as ultimate resources their assignments (Black, Mendenhall, & Oddou, 1991;
(Carpenter, Sanders, & Gregersen, 2001; Sambharya, Shaffer & Harrison, 1998).
1996), and also prospective assets of competitive ad-
Despite abundant interest, a large gap remains in
vantage (Spreitzer & McCall, 1997) for multinational
our understanding of how expatriates adapt to new and
companies. Some advantages that companies can gain
culturally diverse work assignments. There are two
from expatriates are maintaining relationships with
major approaches that have been extensively used in
host country stakeholders, penetrating host local mar-
cross-cultural adjustment, an aggregate approach to
kets as well as increasing the productivity of foreign
culture versus an individual view of culture (Earley &
subsidiaries (Dowling, Welch, & Schuler, 1999).
Mosakowski, 2004b). The first approach proposed that
Therefore, it is not surprising that almost 80 percent of
expatriates should be prepared on what typical cultural
midsize and large enterprises send their professionals
values might be observed in a particular country (e.g.
abroad; whereas 45 percent tend to increase the num-
Hofstede, 1980; Triandis, 1995). Expatriates are often
ber (Black & Gregersen, 1999).
taught what constellation of cultural values might be
Despite of promising results, there are some encountered in a given country and what actions and
drawbacks that companies need to reconsider before behaviors are appropriate for these values. However,
sending their people abroad. The cost of early return this approach committed to the error that Hofstede
for a single expatriate has been estimated to range from (1991) characterized as the ecological fallacy. It de-
$250,000 to $1,250,000 (Mervosh & McClenahen, scribed that some individuals might not have certain

* Correspondence authors. Email: wuleliyu@gmail.com

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Proceedings of the 13th Asia Pacific Management Conference, Melbourne, Australia, 2007, 922-931

cultural values within a given culture. The second ap- 2. Literature Review
proach tried to combine psychological approach with
2.1. Definition of Research Constructs
cultural values and management practices by proposing
that each expatriate has a psychological “fingerprint” 2.1.1. Expatriate Personality
that makes everyone different (Erez & Earley, 1993; In recent years, emphasis on the Big Five super-
Earley & Erez, 1997). It is the complex set of memo- ordinate factors of personality as the basic structure of
ries, thoughts, ways of thinking, and feelings that indi- personality (Carver & Scheier, 2000) has triggered
viduals have about the world around them. The cultur- increasing interest in personality in the organizations
ally intelligent individuals need to understand what (Barrick & Mount, 1991). The results of many studies
intelligent behaviors constitute in different cultures demonstrated that the Big Five strongly predicts work
(Berry & Ward, 2006; Sternberg & Grigorenko, 2006). behavior across time, contexts, and cultures—in do-
New concept proposed by Earley and Ang (2003) as mestic settings (Barrick & Mount, 1991) and in over-
Cultural Intelligence (CQ) proclaimed to have deter- seas assignments (Ones & Viswesvaran, 1997). The
minant role on the adjustment process of expatriates. Big Five taxonomy therefore allows personality re-
searchers to map various personality scales and there-
Although it is important to understand outcomes fore accumulate research findings in a meaningful and
of CQ, it is also important to examine antecedents of systematic manner (Costa & McCrae, 1995). Although
CQ. A diverse set of individual difference constructs there is a general consensus on the Big Five model of
could be related to CQ (Ang, Dyne, and Koh, 2006). personality, different authors use different labels for
This study purposely advances the study by Ang et al. each of the five factors. For example, Ang, Dyne, and
(2006) which examined the effects of personality traits Koh (2006) and Caligiuri (2000) used emotional stabil-
on cultural intelligence. Moreover, many scholars have ity, extraversion, agreeableness, conscientiousness, and
proposed that personality characteristics are significant openness to experience. However, some researchers
predictors of expatriates adjustment (Caligiuri, 2000; (Yoon, Schmidt, & Ilies, 2002) preferred to use neu-
Huang, Chi, & Lawler, 2005 ). However, empirical roticism in order to replace emotional stability which
validation is limited. This study intends to explore has stable factor loadings in the comparison study con-
whether expatriates’ cultural intelligence can deter- ducted by Costa and McCrae (1995).
mines their cross-cultural adjustment. The study conducted by Caligiuri (2000) which
In addition, this study also emphasizes the moder- examined the Big Five as predictors of expatriate suc-
ating role of expatriate training. Training provides ex- cess present a theoretically based perspective on per-
patriate information related on the host country and sonality and success in international assignments. Ac-
helps the expatriate to form realistic expectations from cording to Caligiuri (2000), the Big Five personality
their abroad assignment (Black et al., 1991). This characteristics should predict expatriate success based
knowledge tends to reduces uncertainty and facilitates on the tenets of evolutionary personality psychology
adjustment (Caligiuri et al., 2001). Cross-cultural train- (Buss, 1991). First, according to the theory of evolu-
ing has been found to be positively related to measures tionary personality psychology, the Big Five personal-
of expatriate success (Black & Mendenhall, 1990; Ca- ity characteristics represent universal adaptive mecha-
ligiuri, 2000). This study tries to extend these results nisms that allow humans to adapt with and meet the
by examining the role of training as a moderator for the demands of physical, social, and cultural environments
influence of expatriates’ personality and CQ on expa- (Buss, 1991; MacDonald, 1998). Second, while all
triate adjustment. individuals have some degree of these universal Big
Five adaptive mechanisms, individuals vary in the ex-
tent to which they possess these personality character-
Expatriate istics necessary for success in goal attainment. Thus,
Training
those who possess key personality traits suited for a
Expatriate given role in a given physical or social environment
Personality will adapt more effectively than those who do not pos-
sess the appropriate traits or personality characteristics
for that same role. Based on that, this study asserted
Expatriate
Adjustment the theory of evolutionary personality psychology as
based to predict relationships between specific facets
Cultural of Big Five personality and specific facets of CQ. The
Intelligence similar theoretical foundation also used by Ang et al.
(CQ)
(2006), and the results indicated that openness to new
experiences has strong predictive power of CQ. How-
Figure 1. The Research Framework ever, their study only used MBA students in Singapore

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Proceedings of the 13th Asia Pacific Management Conference, Melbourne, Australia, 2007, 922-931

to examine whether personality traits determine the Adjustment to (1) the general environment (degree of
level of cultural intelligence. comfort with general living conditions, such as climate,
health facilities and food); (2) interaction with host
2.1.2. Cultural Intelligence
country nationals; and (3) work (performance standards,
Currently, many studies attempted to improve cul- job and supervisory responsibilities). When an expatri-
tural understanding at an individual level (e.g., Ang et ate is adjusted on each of these dimensions, he or she
al., 2006; Early and Ang, 2003). By understanding the experiences “satisfaction, perceived acceptance from
reasons of people from different backgrounds act as hosts, and ability to function during everyday activities
they do, it can relates to a primary part of human think- without severe stress” (Brislin, 1981).
ing (intelligence) as capability to solve problems and
adapt to changing situations. One of the approaches is To date, Black and colleagues’ (1991) three di-
emotional intelligence-EQ (Goleman, 1997) which mensional model (general, work, and interaction) has
captures a variety of attributes related to a person’s received much empirical support (e.g., Parker &
ability to read and respond to the affective states of McEvoy, 1993; Shaffer et al., 1999). In order to extend
culturally similar others and to self regulate emotion. the explanatory power of Black et al.’s (1991) model,
However, this concept does not provide an adequate this study empirically tests the effects of personality
discussion of cross-cultural context. The second ap- traits which also done by previous studies (e.g., Caligi-
proach which gained much attention is social intelli- uri, 2000). Moreover, this study tests the proposition of
gence (SQ) which developed by Salovey and Mayer Early and Ang (2003) that cultural intelligence can
(1990) that purposely enhances the understanding level determine the level of cross-cultural adjustment.
toward people ability to know and manage people.
However, this concept tends to void of multicultural 2.1.4. Expatriate Training
richness (Earley & Mosakowski, 2004a). Expatriate training has been regarded as one of
In 2003, Earley and Ang proposed cultural intelli- the most important issues for business globalization
gence (CQ) approach to capture the capability to adapt (Harvey & Novicevic, 2001). According to Tung
across cultures and it reflects a person’s capability to (1998) and Harvey (1998), many companies failed to
gather, interpret, and act upon these radically different pay sufficient attention to the training of potential ex-
patriates. Expatriate training provides expatriates with
cues to function effectively across cultural settings or
information and knowledge on the host country and
in a multicultural situation. According to Earley and
help them to form realistic expectations. This increased
Ang (2003), there are three core elements of CQ, such
knowledge on the host country reduces uncertainty and
as metacognition and cognition, motivation, and be- facilitates adjustment (Caligiuri, Philips, Lazarova,
havior (Ng & Earley, 2006). The cognitive facet Tarique, and Burgi, 2001). Cross-cultural training
(thinking, learning, and strategizing) refers to informa- (CCT) has long been regarded as an efficient tool for
tion-processing aspects of intelligence and it is concep- cross-cultural communication and expatriate success
tualized using self-concept theory (Earley, 2003). The (Kim & Ofori-Dankwa, 1995; Black and Mendenhall,
second facet of CQ refers to its motivational aspect 1990; Caligiuri, 2000). However, cross-cultural train-
(efficacy and confidence, persistence, value congru- ing was not very popular in American firms, which are
ence and affect for the new culture). Cultural intelli- only 31 percent of U.S. expatriates received cross-
gence reflects self-concept and directs and motivates cultural training before their departure, compared to 38
adaptation to new cultural surroundings (Earley and percent of European expatriates and 67 percent of
Peterson, 2004). The behavioral aspect of CQ (social Japanese expatriates (Black & Mendenhall, 1990).
mimicry, and behavioral repertoire) suggests that adap- Moreover, it is reported that about 85 percent of British
tation is not only knowing what and how to do (cogni- multinationals, 91 percent of German multinationals,
tively) and having the motivation, but also the response and 70 percent of Scandinavian multinationals pro-
needed for a given situation in one’s behavioral reper- vided language training to their expatriates (Suutari &
toire. Thus, CQ reflects a person’s ability to acquire or Burch, 2001). Activities of cross-cultural training have
adapt behaviors appropriate for a new culture (Earley been evaluated extensively; however, the results con-
and Peterson, 2004). cerning the effects of cross-cultural training are not
entirely consistent.
2.1.3. Expatriate Adjustment
Tung in 1982 identified six major types of cross-
Cross-cultural adjustment is conceptualized as the cultural training activities: (a) environmental briefings,
degree of psychological comfort an expatriate has with (b) cultural orientation, (c) cultural assimilators, (d)
the various aspects of a host culture (Vianen, De Pater, language training, (e) sensitivity training, and (f) field
Kristof-Brown, and Johnson, 2004). Three specific experience training after surveying expatriates in
areas of cross-cultural adjustment have been distin- Europe, Japan, and the United States. Furthermore, the
guished in the literature (Black & Stephens, 1989): importance of on-site training has been regarded as an

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Proceedings of the 13th Asia Pacific Management Conference, Melbourne, Australia, 2007, 922-931

important issue for expatriates (Finney & Von Glinow, gree of expatriate adjustment.
1988; Welch, 1994). Vance and Paik (2002) contended
The study conducted by Templer, Tay and
that the contributions of the host country workforce
Chandrasekar (2006) indicated that motivational CQ
associated with expatriate development are very impor-
has significant influence on cross-cultural adjustment.
tant. In the framework developed by Harris and Kurma
This study extends the results of Ang et al. (2004)
(2000), one of the objectives of expatriate training
which indicated that motivational dimension has sig-
should provide process guidelines for cross-cultural
nificant influence on general adjustment. Since these
communication, negotiation, and teams.
studies only used one factor of CQ, it is mandatory to
2.2. Hypotheses Development test the influence of other two dimensions of CQ on
work adjustment, as originally proposed by Earley and
2.2.1. The Influences of Expatriate Personality on Cul-
Ang (2003). The degree of adjustment could be lead by
tural Intelligence
the efforts of expatriates to conceptualize their assign-
In general, research on individual differences has ment through their self-concept (cognitive CQ), which
distinguished between trait-like constructs (e.g. Chen, directed by the motivation to adapt on new cultural
Gully, Whiteman, & Kilcullen, 2000; Kanfer, 1990) surroundings (motivational CQ). Apparently, the de-
and state-like constructs (e.g., Bandura, 1997). Trait- gree of adjustment could be higher when expatriate has
like individual differences refer to unspecified task or ability to acquire or adapt behaviors appropriately for a
situations which are stable over time (Chen et al., new culture (Earley & Peterson, 2004).
2000), which in this study represent by personality
traits. On the other hand, state-like individual differ- H2: Expatriate personality has significant influence on
ences represent specific situations or tasks and tend to expatriate adjustment
be malleable over time (e.g., Bandura, 1997). Refer to
H3: Expatriate’s cultural intelligence has significant
Kanfer (1990), trait-like individual differences are
influence on expatriate adjustment
more indirect and serve as predictors of proximal state-
like individual differences (see Chen et al., 2000), 2.2.4 The Moderating Effects Expatriate Training
which in this study serve as CQ (Ang et al., 2004).
The study conducted by Ang et al. (2004) found The relationship between pre-departure training
that personality traits have significant relationship with and cross culture adjustment has been studied by many
CQ, whereas the degree of openness to new experience scholars (e.g., Black & Mendenhall, 1990; Black et al.,
has higher influence on students’ CQ. Caligiuri’s 1991; Downes, et al., 2002; Wu-Lee, 2005). The study
(2000) adopted the theory of evolutionary personality results of Wu Lee (2005) indicated that expatriates
psychology also found that personality traits are asso- who received higher level of expatriate training would
ciated with certain CQ capabilities. Ones and Viswes- result in higher levels of expatriate adjustment. Thus, it
varan (1997) showed that the Big Five conceptualiza- is suggested that the contingency fit between expatriate
tion of personality offers a theoretically based and par- training and antecedents of expatriate adjustment will
simonious framework for predicting outcomes with enhance expatriate adjustment. In the same manners,
relevance to cross-cultural interactions, overseas as- the training provided to expatriate prior assignment
signments, and expatriate management. Based on the could enhance the influence of cultural intelligence on
above discussion, the following hypothesis is devel- expatriate adjustment, as proposed by Earley and Mo-
oped: sakowski (2004b). This proposition will be empirically
tested in this study. Based on the above discussion, the
H1: Expatriate personality has significant influence on following hypothesis is developed:
expatriate cultural intelligence
H4: The level of training for expatriate will moderate
2.2.2. The Influences of Expatriate Personality and the influence of expatriates (a) personality and (b) cul-
Cultural Intelligence on Expatriate Adjustment tural intelligence on expatriate adjustment
Prior research on cross-cultural adjustment has 3. Method
demonstrated that individual-level factors, such as per-
sonality, self-monitoring, and self efficacy, are impor- The first purpose of this study is to develop a
tant predictors of cross-cultural adjustment (Caligiuri,
comprehensive model that encompasses the interrela-
2000; Hechanova, Beehr, & Christiansen, 2003; Ones
tionships among expatriate personality, cultural intelli-
& Viswesvaran, 1999; Parker & McEvoy, 1993). The
gence, expatriate training, and expatriate adjustment.
effects of each dimension in the personality traits has
somewhat different. Caligiuri (2000) contended that The second purpose of this study is to empirically test
extroversion, agreeableness, and emotional stability the model. The research model is shown in Figure 1.
lead to willingness to stay (better adjustment). Ones The study used variables developed by Mount and
and Viswesvaran (1999) indicated that conscientious- Barick (1995) to determine the expatriates’ personality,
ness level of prospective expatriates lead to higher de- while those for the cultural intelligence are adopted

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Proceedings of the 13th Asia Pacific Management Conference, Melbourne, Australia, 2007, 922-931

from Earley, Ang, and Tan (2006). The measurement consistency for each dimension measured by item-to-
items of expatriate adjustment are developed from total correlation; and the reliability of measurement
Black (1988) and Black and Stephens (1989), whereas items confirmed by Cronbach’s α which generally ac-
those of the expatriate training are from Wu-Lee cepted guideline is 0.70 (Hair, et al., 2006). Using the
(2005). cut-off criteria of 0.7 for factor loading, 0.5 for item to
total correlation, and 0.7 for Cronbach’s alpha, the
A preliminary version of the questionnaire was results of factor analysis show that there are five fac-
verified by two panel discussions. The first discussions tors for expatriate personality, three factors for cultural
were conducted with three professors and continued intelligence, three factors for expatriate adjustment,
with 6 Ph.D. students in management in the second and three factors for expatriate training.
round. Data collection involves two phases. In the ini-
4.2. Hypotheses Testing
tial phase, data was collected through a structured
mailing. The sample was drawn from the expatriates of In order to test the hypotheses, a series of multiple
Taiwanese MNC firms, which are operated at least regressions were conducted. Table 2 exhibited that
three countries in the world. Emails were sent to the conscientiousness (b = 0.467, p < 0.001), openness to
human resources manager of MNC firms to ask for experience (b = 0.294, p < 0.001) and extraversion (b =
identifying appropriate expatriates to participate in this 0.124, p < 0.05) have significant influence on cognitive
study. Three hundred expatriates were mailed and CQ, while emotional stability and agreeableness has
asked for their opinions. Three weeks after the initial shown insignificant effects. In terms of motivational
mailing, 73 of the 300 expatriates responded. The CQ, three factors of personality exhibited as significant
study continued to the second phase by sending an determinants: conscientiousness (b = 0.455, p < 0.001),
email invitation letter to other 600 expatriates who agreeableness (b = 0.194, p < 0.01), and openness to
obtained from the human resources department of the experience (b = 0.151, p < 0.05). The emotional stabil-
targeted MNC firms. In the second phase, expatriates ity and extraversion indicated insignificant influence
were asked to respond through online surveys, another on motivational CQ. Finally, the results revealed that
149 questionnaires had been completed for an overall conscientiousness (b = 0.306, p < 0.001) and extraver-
total of 222 (response rate 24.67 percent). Four ques- sion (b = 0.413, p < 0.001) influence significantly on
tionnaires were unusable because of some missing re- behavioral CQ, while other three personality dimen-
sponses, eventually, the effective questionnaires were sions (emotional stability, agreeableness, and openness
218. to experience) indicated insignificant influence. There-
fore, Hypotheses 1 is only partially supported in this
The following are the basic attributes of the re-
study.
spondents and the sample firms. Male respondents
were 89.7 percent, and majority has single status (56.9 Table 3 reported the effects of personality on the
percent). More than sixty percent has an age above 26 levels of adjustment. For general adjustment, three
years old, and 98 percent has earned degree at least factors of personality indicated significant influence
bachelor degree. A quarter of them have engineering (emotional stability (b = 0.213, p < 0.001), extraver-
position, and the rests have managerial position. The sion (b = 0.332, p < 0.001), and openness to experience
sample firms has operated in conventional manufactur- (b = 0.247, p < 0.001)). The conscientiousness revealed
ing industry (35.8 percent), high tech manufacturing significant effects on general adjustment at 10% level,
industry (36.7 percent), and service industry (27.5 per- while agreeableness has no significant effects. More-
cent). All subsidiaries have operated in the overseas over, the agreeableness (b = 0.272, p < 0.001), open-
marketplaces for more than 3 years, which one third ness to experience (b = 0.313, p < 0.001) and extraver-
operated more than 6 countries. Moreover, more than sion (b = 0.176, p < 0.05) exhibited significant influ-
fifty percent of MNC subsidiaries have an annual sales ence on working adjustment. Even though emotional
volume above US$10 million, and more than sixty stability has positive effects on working adjustment,
percent of MNC subsidiaries running with more than but it is insignificant; whereas conscientiousness has
100 employees. effects at 10% significant level. In addition, interaction
adjustment exhibited to be influenced by emotional stabil-
4. Analysis and Discussion
ity (b = 0.243, p < 0.001), agreeableness (b = 0.157, p <
4.1. Factor Analysis and Reliability Tests 0.05), extraversion (b = 0.203, p < 0.01), and openness to
In order to verify the dimensionality and reliabil- experience (b = 0.191, p < 0.01). The conscientiousness
ity of constructs of this study, purification processes, revealed as significant predictors of interaction adjustment
including factor analysis, correlation analysis, and co- at 10% level. Thus, it can be concluded that Hypothesis 2
efficient alpha analysis were conducted. Factor analy- only partially confirmed in this study.
sis examined the basic structure of the data; internal

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Proceedings of the 13th Asia Pacific Management Conference, Melbourne, Australia, 2007, 922-931

Table 1. Factor Analysis Results


Eigen- Accumulative Item to total Cronbach's
Variables Factor Loading
value Explanation (%) correlation Alpha
Emotional Stability
Var1 0.841 2.207 73.559 0.647 0.819
Var2 0.879 0.709
Var3 0.853 0.665
Conscientiousness
Var4 0.898 2.428 80.948 0.768 0.882
Var5 0.905 0.780
Var6 0.897 0.766
Agreeableness
Expatriate Personal- Var7 0.884 0.727
Var8 2.303 76.778 0.848
ity 0.908 0.774
Var9 0.835 0.651
Extraversion
Var10 0.926 0.812
Var11 2.353 78.425 0.859
0.882 0.725
Var12 0.847 0.675
Openness to Experience
Var13 0.901 0.778
Var14 2.483 82.782 0.896
0.894 0.766
Var15 0.934 0.842
Cognitive CQ
Var1 0.867 2.338 77.930 0.705 0.858
Var2 0.892 0.749
Var3 0.889 0.744
Motivational CQ
Cultural Intelligence Var4 0.870 2.263 75.428 0.701 0.835
Var5 0.884 0.724
Var6 0.851 0.672
Behavioral CQ
Var7 0.857 2.340 78.007 0.689 0.858
Var8 0.881 0.727
Var9 0.910 0.783
Communication related training
Var1 0.954 2.739 91.295 0.896 0.952
Var2 0.966 0.922
Var3 0.946 0.880
Cognitive training
Expatriate Training Var4 0.952 2.753 91.733 0.893 0.955
Var5 0.960 0.910
Var6 0.962 0.913
Experiential training
Var7 0.953 2.776 92.529 0.895 0.950
Var8 0.972 0.934
Var9 0.961 0.911
Expatriate Adjust- General adjustment
ment Var1 0.872 0.799
Var2 0.914 4.008 80.161 0.859 0.937
Var3 0.872 0.800
Var4 0.934 0.890
Var5 0.883 0.816
Work adjustment
Var6 0.964 1.858 92.896 0.858 0.923
Var7 0.964 0.858
Interaction adjustment
Var8 0.968 0.875
1.875 93.763 0.933

Var9 0.968 0.875

Similarly, when the expatriates have higher CQ and


Table 4 reported the effects of cultural intelligence at the same time they received enough training, the
on expatriates’ adjustment. The general adjustment levels of adjustment will be the highest. Interestingly,
indicated to be influenced by three types of cultural when they received enough training but originally their
intelligence significantly: cognitive CQ (b = 0.362, p < levels of cultural intelligence is lower, the working and
0.001), behavioral CQ (b = 0.260, P < 0.01), and moti- interaction adjustment tend to be higher ( X = 5.157
vational CQ (b = 0.216, p < 0.001). Moreover, the and X = 4.967) than when they have higher cultural
cognitive CQ (b = 0.361, p < 0.001) and behavioral CQ intelligence and less training ( X = 4.900 and X =
(b = 0.275, p < 0.01) exhibited as significant determi- 4.680). The lowest level revealed when the expatriates
nants for working adjustment, while motivational CQ only have lower cultural intelligence and less received
exhibited significant level at 10%. Finally, the interac-
training.
tion adjustment has been affected by cognitive CQ (b =
In order to test the moderating effects of social sup-
0.346, p < 0.001), behavioral CQ (b = 0.278, p < 0.01),
and motivational CQ (b = 0.200, p < 0.01) in signifi- port, this study tested by using ANOVA by averaging
cant manners. Thus, it can be concluded that Hypothe- the scores of the three dimensions of expatriates train-
sis 3 is supported in this study. ing (communication related training, cognitive training,

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Proceedings of the 13th Asia Pacific Management Conference, Melbourne, Australia, 2007, 922-931

and experiential training) into two groups (high and Table 3. The Regression Results of Personality on
low training) and used mean score as cut-point Adjustment
( X =4.857, SD = 1.240). The similar procedure used
Independent Dependent Variables - Cultural Intelligence
for personality ( X =4.984, SD = 1.042) and set-up the
General Working Interaction
mean score to divide the personality into two groups Variables – Adjustment Adjustment Adjustment
(high and low positive personality). Personality
β VIF β VIF β VIF
Moreover, this study used the averaged score for Emotional 0.213* 3.60 0.243* 3.60
3.606 0.059
Stability ** 6 ** 6
cultural intelligence ( X =4.714, SD = 1.064) and di-
Conscien- 0.104 0.106 2.77 0.125 2.77
vided into two groups (high and low cultural intelli- + 2.778 + +
tiousness 8 8
gence). The dependent variable to be measured is the
0.272* 3.75 3.75
three factors of expatriate adjustment. The results are Agreeableness
0.043 3.754
** 4
0.157*
4
reported in Table 5. The results indicated that expatri- 0.332* 3.54 0.203* 3.54
3.541 0.176*
ates training (communication, cognitive, and experien- Extraversion ** 1 * 1
tial training) moderate the influences of expatriates’ Openness to 0.247* 0.313* 2.86 0.191* 2.86
** 2.869 ** 9 * 9
Experience
personality on adjustment in very significant level (F =
49.939 to 56.966, p < 0.001). The results seem to sug-
R2 0.716 0.696 0.677
gest that cultural intelligence is the dominant factor for 2
Adjusted R
expatriate adjustment. The highest level of adjustment 0.710 0.689 0.669
happen when the expatriates originally have higher F-value 107.025 97.279 88.788
positive personality, while pre-assignment received P (sig.) 0.000 0.000 0.000
higher training. Positive personality could result higher
D-W
general and working adjustment even though they only 1.956 2.033 1.940
received lower training ( X = 4.800) than when they Note: + represents p<0.10; * represents p<0.05; ** represents
p<0.01; *** represents p<0.001
received higher training but they have lower positive
personality ( X = 4.656). The lowest position happens
Table 4. The Regression Results of Cultural Intelli-
when they have lower positive personality and re-
gence on Adjustment
ceived less training. It is exhibited that personality
Independ- Dependent Variables - Cultural Intelligence
should be considered as the first priority of expatriate
ent General Working Interaction
assignment, while expatriate training can enhance ad- Adjustment Adjustment Adjustment
Variables –
justment if the positive level of personality is low. β VIF β VIF β VIF
Personality
Table 2. The Regression Results of Personality on Cognitive 0.362* 4.17 0.361* 4.17 0.346* 4.17
Cultural Intelligence CQ ** 2 ** 2 ** 2
Behavioral 0.260* 4.24 0.275* 4.24 0.278* 4.24
CQ * 5 * 5 * 5
Dependent Variables - Cultural Intelligence
Independent Motiva- 0.216* 2.36 0.140 2.36 0.200* 2.36
Motivational tional CQ ** 8 + 8 * 8
Variables – Cognitive CQ Behavioral CQ
CQ
Personality
β VIF β VIF β VIF
R2 0.606 0.527 0.586
Emotional Sta- 3.60 3.60 3.60 Adjusted
bility 0.011 6 0.044 6 -0.016 6 0.600 0.520 0.580
R2
Conscientious- 0.467* 2.77 0.455* 2.77 0.306* 2.77 F-value 109.579 79.346 101.060
ness ** 8 ** 8 ** 8
3.75 0.194* 3.75 3.75 P (sig.) 0.000 0.000 0.000
Agreeableness 0.078 4 * 4 -0.029 4
D-W 1.970 1.746 1.909
3.54 3.54 0.413* 3.54
Extraversion 0.124* 1 0.073 1 ** 1 Note: + represents p<0.10; * represents p<0.05; ** represents
Openness to 0.294* 2.86 2.86 2.86 p<0.01; *** represents p<0.001
Experience ** 9 0.151* 9 0.128 9
5. Conclusions
2
R 0.771 0.686 0.543 This study examined the relationship between ex-
2
Adjusted R 0.766 0.679 0.533
patriate personality, cultural intelligence and adjust-
F-value
ment. The results indicated that the levels of positive
142.773 92.672 50.462 personality significantly influence the capability of
P (sig.) 0.000 0.000 0.000 expatriates’ to adapt in different cultures. The results
D-W confirmed the results of Ang et al. (2006) that person-
1.825 1.706 1.522
ality traits could determine the level of individuals’
Note: + represents p<0.10; * represents p<0.05; ** represents
p<0.01; *** represents p<0.001 cultural intelligence. Moreover, this study indicated
that individuals’ personality has effects on the level of

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Table 3. Moderating Effects of Expatriate Training expatriates to promote their adjustment, and conse-
Independent X Dependent Variables quently their overall expatriate performance can be
Moderating expected.
Variable
Group General Working Interaction Although this research is not exhaustive in nature,
Adjustment Adjustment Adjustment
Expatriate PP X Training it does examine a subset of possible variables and
1. High PP 5.812 5.833 5.798 represents an incremental step toward better under-
High ET
(n=82) standing the complex phenomenon of what is the role
2. High PP 4.800 5.091 4.682 of expatriates personality and cultural intelligence on
Low ET
(n=24) the success of expatriation. Some recommendations are
3. Low PP 4.656 4.969 4.891 provided for future research. First, since this study
High ET
(n=22) adopts a cross-sectional research design and examines
4. Low PP 4.098 4.063 4.006 the opinions of expatriates at one point in time, direc-
Low ET
(n=90) tional relationships may be not clear. It is recom-
F-Value 56.966 50.576 49.939 mended for future research to conduct out longitudinal
P 0.000 0.000 0.000
Cultural Intelligence X Training
studies which test the findings of this study. Second,
1. High CQ 5.753 5.784 5.803 due to the constraint of time and resources, the samples
High ET of this study are limited to expatriates for Taiwanese
(n=82)
2. High CQ 4.872 4.900 4.680 firms in Asian region (China, Vietnam, and other
Low ET South East Asian countries). The generalization of the
(n=24)
3. Low CQ 4.891 5.157 4.957 study results should be interpreted with appropriate
High ET caution. It is recommended that the same questionnaire,
(n=22)
4. Low CQ 4.047 4.084 3.981 or an abbreviated form, could be used for Taiwanese
Low ET expatriates in other countries, particularly when the
(n=90)
F-Value 50.306 42.192 49.786 cross-cultural differences are different, such as North
P 0.000 0.000 0.000 American countries or European countries. The addi-
Note: PP = positive personality, ET = expatriates training tional efforts will further confirm the validity and gen-
comfort on general living condition, working environ- eralizability of the findings.
ment and interaction with local people (e.g., Caligiuri,
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