Responses should be a minimum of 150 words and include direct questions.
Some of the major issues that are brought to light when deciding to develop expatriates are maintaining relationships with families in their home countries and the expensive hiring process. One very important issue when hiring an expatriate is the understanding that this individual will most likely be away from their home country and family. Having separation from their family may create a sense of longing for home and negatively impact work performance. Another instance for family difficulties of an expatriate would be if their family joins them in a foreign environment. As Hung-Wen points out in his journal article, "an inability on the part of the expatriate family to adjust to the foreign environment was the main determinant of expatriate failure" (Hung-Wen, 2013, p.403) For this reason, companies may find it difficult to hire expatriates for manager positions with the complications that could be attached.
Another example of the struggle that an expatriate may experience when acquiring work is displayed by the ethnocentric hiring practices. If an expatriate is attempting to work for a company that has a centralized structure with internal motives, it may be quite difficult to gain employment. (Deresky, 2013) When a company has the desire to establish permanent routes in a single location, the issues of retention arise. If a company elects to employ an expatriate, especially in a managerial position, they run the risk of having this worker returning to their homeland if a better opportunity arises. Companies who cannot afford to be this risky with employment may have to deny expatriates jobs in order to focus on a more conservative hiring process.
A final thought in the employment of expatriate managers is the total expense that companies will have to pay in order to secure these workers. Found in a 2003 journal article by Geng, he provides that an "estimate of the direct costs of expatriate managers is three times the domestic salary plus relocation expense, which runs as high as $150,000 per person" (Geng, 2003, p.63) This astronomical figure is a direct answer to why the risk must equal the reward for expatriate employment. In conclusion, while expatriate workers may provide companies with a business advantage, they are expensive to acquire with potential personal complications.
References
Deresky, H. (2013). International management: Management across borders. 8th
ed. Upper Saddle River, NJ: Pearson/Prentice Hall
Geng, L. (2003). Expatriate managers in international joint ventures. Journal of
International and Area Studies, 10(2), 63-77. Retrieved from https://search.proquest.com/docview/223819635?accountid=8289
Hung-Wen, L. (2007). Factors that influence expatriate failure: An interview study.
International Journal of Management, 24(3), 403-413,619. Retrieved from https://search.proquest.com/docview/233230269?accountid=8289