Understanding the Integration of Psychological and Socio-cultural Factors in Adjustment of Expatriates: An AUM Process Model:

Sana Mumtaz; Sadia Nadeem

doi:10.1177/21582440221079638

Understanding the Integration of Psychological and Socio-cultural Factors in Adjustment of Expatriates: An AUM Process Model:

Mumtaz, Sana; Nadeem, Sadia 2022-02-16 00:00:00 While the literature develops an adequate understanding of various socio-cultural and psychological factors that contribute to expatriates’ adjustment, limited work exists regarding interdependencies between these two dimensions of adjustment, particularly in the Asian context. Using the theoretical lens of the anxiety uncertainty management (AUM) model, this research examined the various socio-cultural and psychological factors that affect expatriates’ adjustment, and the integration of these factors during adjustment. Data were collected through semi-structured interviews of 55 Chinese top management expatriates working in Pakistan, and were analyzed using thematic analysis in NVivo. Based on the findings, an AUM model of expatriates’ adjustment is proposed, which illustrates how top management expatriates may go through a four-stage process of adjustment. The various socio-cultural and psychological factors, some identified from the literature and others through fieldwork, that play a role in expatriates’ adjustment at each stage, and the integration of these factors, is discussed. Keywords anxiety uncertainty management model, Chinese top management expatriates, psychological adjustment, socio-cultural adjustment, qualitative research include: personality models (e.g., He et al., 2019; Valenzuela Introduction & Rogers, 2021); person-environment fit perspective (e.g., The complex nature of expatriates’ adjustment, particularly Lauring & Selmer, 2018; Valenzuela & Rogers, 2021); cop- the socio-cultural adjustment of expatriates, has gained ing resources such as cultural intelligence (e.g., Akhal & Liu, wide-ranging attention in the international business literature 2019; Setti et al., 2020); and assignments’ outcomes such as (Chen, 2019; Guang & Charoensukmongkol, 2022; Huang expatriates’ learning, biculturalism and identity management et al., 2020; Tahir, 2018). This literature has focused particu- (e.g., Nadeem & Mumtaz, 2018; Peltokorpi & Zhang, 2020). larly on the behavioral aspects and develops sufficient Overall, despite a reasonable understanding about the understanding of the role of various cultural and social fac- essential socio-cultural and some psychological factors that tors, and how these factors act as antecedents in the cross- contribute to adjustment, there is limited research that cultural adaptation of expatriates (Arokiasamy & Kim, simultaneously studies both dimensions (e.g., Bierwiaczonek 2020; Bierwiaczonek & Waldzus, 2016). In this regard, & Waldzus, 2016; Taušová et al., 2019). Furthermore, the Black et al. (1991) three-dimensional socio-cultural adjust- interdependencies between socio-cultural and psychological ment model has been extensively used to examine general, factors have also been inadequately identified. work and interaction dimensions of adjustment (e.g., Abdul For a comprehensive understanding of expatriates’ adjust- Malek et al., 2015; Chew et al., 2021). ment, it is crucial to understand that expatriates go through In parallel to the above, the comprehensive conceptual- ization of adjustment by Ward and Kennedy (1993) has resulted in some studies which address the psychological FAST School of Management, NUCES, Islamabad, Pakistan adjustment of expatriates (e.g., Fu & Charoensukmongkol, Corresponding Author: 2021; He et al., 2019; Peltokorpi & Zhang, 2020; Valenzuela Sana Mumtaz, FAST School of Management, NUCES-FAST, A.K Brohi & Rogers, 2021). Various additional angles through which Road, H-11/4, Islamabad, Federal Capital 44000, Pakistan. psychological adjustment of expatriates has been examined Email: sana_mumtaz91@hotmail.com Creative Commons CC BY: This article is distributed under the terms of the Creative Commons Attribution 4.0 License (https://creativecommons.org/licenses/by/4.0/) which permits any use, reproduction and distribution of the work without further permission provided the original work is attributed as specified on the SAGE and Open Access pages (https://us.sagepub.com/en-us/nam/open-access-at-sage). 2 SAGE Open multiple emotional, mental and physical barriers when they management positions, as these individuals play a critical move to a new foreign country (Firth et al., 2014; Maertz role in shaping organizational strategic decisions and are et al., 2016). While the commonly used U-curve model of responsible for managing individual as well as organiza- adjustment, which focuses on the four stages of honeymoon, tional outcomes (Bebenroth & Froese, 2020; Viitala et al., cultural shock, adjustment, and mastery (Lysgaard, 1955), 2017). Also, in contrast to other expatriates, top manage- provides a basis for understanding the mechanism through ment expatriates are likely to face unique socio-cultural and which expatriates socio-culturally adjust in a host country psychological challenges owing to the complexity of their (Bayraktar, 2019; Maertz et al., 2016), the complex and positions (Caligiuri & Bonache, 2016; Viitala et al., 2017). unobservable barriers which relate to the psychological Thus, based on the existing literature on expatriates’ adjustment process may not necessarily follow the U-curve adjustment and the AUM model, this study explored the fol- model (Selmer, 1999). Therefore, little is known about how lowing questions: (a) What are the distinct psychological and the various socio-cultural and psychological factors hinder socio-cultural adjustment challenges faced by the top man- or support expatriates at various stages of adjustment and agement expatriates in their adjustment process? (b) How do lead to their complete adjustment in a host country. socio-cultural and psychological factors complement and In this study, the anxiety uncertainty management (AUM) relate to each other in the overall adjustment process? (c) model (Gudykunst, 1993) is identified as a lens to simultane- How do top management expatriates move through multiple ously investigate the socio-cultural and psychological factors stages of psychological and socio-cultural adjustment, and of expatriates’ adjustment. According to this model, people adjust in a host country? feel unadjusted in a new cultural setting due to the differ- Overall, this article contributes to the literature in four ences between them and the residents of the new setting. distinct ways. First, this research uses the AUM model to However, individuals who are willing to interact with those simultaneously examine the socio-cultural and psychologi- from a different culture are more likely to cope-up with such cal factors of expatriates’ adjustment and develops an inte- challenges. Frequent interactions with new people and deep grated framework by combining the already identified, as involvement further facilitate intercultural adaptation well as some new factors, of expatriates’ adjustment. Second, (Gudykunst & Hammer, 1987). The AUM model integrates it presents a new model, namely “the AUM model of expatri- dynamic perspectives such as intergroup anxiety (Stephan & ates” adjustment’, which illustrates how top management Stephan, 1985), mindfulness (Langer, 1989), uncertainty expatriates go through a four-stage process of socio-cultural reduction (Berger & Calabrese, 1975), and social identity and psychological adjustment before they completely adjust (Tajfel, 1978) in a single model. Thus, it has the potential to in a host unit. Third, while most of the existing literature on provide a comprehensive framework to combine socio-cul- expatriates’ adjustment has focused on all expatriates, this tural and psychological challenges of expatriates’ adjust- study focuses exclusively on the adjustment challenges faced ment, and also aid in understanding the movement of by top management expatriates. Finally, the sample of the expatriates through various stages of adjustment. study is Chinese expatriates working in Pakistan. This sam- Additionally, there are significant differences between ple adds value to the international business literature by Western and Asian environments (Chuang et al., 2015; examining adjustment challenges faced by Asian expatriates Tahir, 2018), which uniquely shape the adjustment mecha- in an Asian context. The adjustment challenges faced by nism of expatriates. However, the existing literature on Chinese expatriates also add value as Chinese expatriates expatriates’ adjustment has predominantly focused on the have an increasing global presence. Western expatriates (e.g., Harrison & Michailova, 2012; Makkonen, 2016; Olsen & Martins, 2009); the adjustment Literature Review challenges of Asian expatriates have been insufficiently explored (e.g., Ang & Tan, 2016; Nadeem & Mumtaz, Psychological and Socio-Cultural Adjustment 2018). The movement of over 30 million Chinese expatri- The concept of adjustment has been historically studied on ates across the globe over recent years (Textor, 2021) two major dimensions in the expatriation literature, that is, has led to an increased interest in Chinese expatriates socio-cultural and psychological adjustment (Ward & (Charoensukmongkol, 2021; Guang & Charoensukmongkol, Kennedy, 1993). The concept of socio-cultural adjustment is 2022). Some studies have examined the challenges of closely related to behavioral adjustment (Tahir, 2018) and Chinese expatriates in the Western context (e.g., Abugre, highlights the role of various factors that lead to individuals’ 2018; Bader & Schuster, 2015). The recent initiation of the cultural and social adaptation. Psychological adjustment, on China Pakistan Economic Corridor (CPEC), which is a part the other hand, refers to individuals’ personal welfare and of the Belt and Road Initiative (BRI) (Bari et al., 2019; reflects the emotional and mental well-being of individuals Syed, 2018), provides a unique opportunity to explore (Ward & Kennedy, 1993) that may not be visible to others Chinese expatriates’ adjustment in a less-examined context, (Hippler et al., 2014; Kedzior et al., 2015). Overall, the con- that is, Pakistan. Hence, the focus of this study is on Chinese cepts of psychological and socio-cultural adjustment are expatriates in Pakistan, particularly the ones working at top Mumtaz and Nadeem 3 inter-related, yet distinct from each other (Selmer, 2004), as provision of general support by host country nationals psychological adjustment is considered as a deeper and a (HCNs)—individuals belonging to the country in which the broader phenomenon (Abugre, 2018). Despite being at expatriates move for their foreign assignments (Fu & two different levels, the various psychological and socio- Charoensukmongkol, 2021; Jain et al., 1998; van der Laken cultural adjustment factors are derived from each other et al., 2019), facilitates expatriates in developing an under- (Bierwiaczonek & Waldzus, 2016; Selmer, 1999). They also standing regarding the new procedures and work styles complement each other in the complex adjustment process (Rhein, 2018). Moreover, expatriates are likely to develop (Selmer, 1999). Their interdependencies are however insuf- cognition-based trust and get more certain about the positive ficiently investigated in the literature. To bridge these gaps, impact of assignments on their future prospects (Selmer & and for developing associations among socio-cultural and Lauring, 2013) if they successfully overcome initial ambigu- psychological adjustment factors, the forth-coming sub-sec- ous thoughts (Bader & Schuster, 2015). tions review the existing adjustment literature using the The adjustment literature also presents several socio-cul- AUM model to develop the initial framework of this study. tural and psychological factors that are critical in expatriates’ anxiety management. Emotional assistance by HCNs is a major facilitator for expatriates in overcoming anxiety (Firth The AUM Model et al., 2014; Nishida, 2015; van der Laken et al., 2019) and The AUM model was developed with the idea that individu- also helps them in developing affect-based trust (Toh & als face uncertainty and anxiety when they are exposed to a DeNisi, 2007). However, language barriers may hinder expa- new environment. As they initiate intercultural communica- triates from managing their emotions (Abugre, 2018; tion, their anxiety and uncertainty level drops, and they Peltokorpi, 2008; Selmer et al., 2015), as expatriates with develop social bonds (Gudykunst, 1993). The AUM model language differences are likely to stay in their in-groups incorporates various theoretical constructs (Nishida, 2015). (Peltokorpi, 2008). Further, expatriates face physical and In particular, social identity theory was added to the AUM mental health challenges (Kraeh et al., 2016) and may expe- model to enhance understanding of the processes of inter- rience an identity crisis and a weak emotional state group communication and its impact on individualized (Presbitero, 2016; Shafaei & Razak, 2018) if they are unable change experiences (Gudykunst & Hammer, 1987; Nishida, to manage their anxiety in a host country. However, willing- 2015). The model addresses elements of socio-cultural and ness and use of effective coping skills (Selmer, 1999), such psychological concerns for understanding the overall adjust- as cultural intelligence (Beaven & Spencer-Oatey, 2016; ment mechanisms (Gudykunst, 1993; Hammer et al., 1998; Charoensukmongkol, 2021; Ratasuk & Charoensukmongkol, Liu & Gallois, 2014). Thus, this section relates the three 2020), facilitate expatriates in overcoming their internal anx- commonly used components of the AUM model, that is, iety and helps them in initiating relationships with HCNs uncertainty/anxiety management, mindfulness and effective (Firth et al., 2014). communication as lenses to analyze the existing literature on Mindfulness: Mindfulness refers to the motivation and expatiates’ adjustment to develop a comprehensive under- ability to understand others’ perspectives through an open standing of the socio-cultural and psychological factors that and flexible approach (Charoensukmongkol & Puyod, 2022; influence expatriates’ adjustment. Langer, 1989). The AUM model suggests that along with Uncertainty/anxiety management: Uncertainty/anxiety uncertainty/anxiety management, mindfulness also facili- management is suggested to be one of the most critical com- tates or hinders individuals in their socio-cultural and psy- ponents in intercultural adjustment in the AUM model chological adjustment in a new culture. Mindfulness refers to (Gudykunst, 1993). Although the concepts of uncertainty the positive drive of individuals to enhance their learning and anxiety have been discussed together in most of the lit- about cultural and social aspects of a foreign country erature, yet uncertainty has been discussed in the context of (Charoensukmongkol & Pandey, 2021; Gudykunst, 1993). individuals’ thoughts, while anxiety has been mainly related To achieve this, individuals put conscious efforts to proac- to feelings or emotions (Hammer et al., 1998; Nishida, 2015). tively understand the expectations of local people, adopt a The AUM literature suggests that exposure to a new environ- flexible approach and shape their behavior accordingly to ment leads to ambiguity and doubtfulness in individuals develop new social relationships (Nishida, 2015). In relation because of the lack of awareness about the new environment to mindfulness, the expatriation literature identifies some (Berger & Calabrese, 1975). In line with the above guidance, socio-cultural factors and recommends that high level of the adjustment literature also recommends that expatriates optimism facilitates expatriates in developing positive social face socio-cultural challenges such as cultural shocks (Kaye bonds (Brissette et al., 2002; Liu, Adair et al., 2018) and in & Taylor, 1997; Rosenbusch et al., 2015; Sussman, 2000) integrating well in a new culture (Sussman, 2000). Further, and home sickness in a host unit (Kraimer et al., 2016; the development of conscious competence (Firth et al., 2014) Rosenbusch et al., 2015; Stroebe et al., 2015) because of dif- psychologically helps expatriates in deepening the under- ferences in the cultural and societal practices (Kaye & Taylor, standing about a host country (Tahir, 2018) and facilitates 1997), which leads to uncertainty in their minds. The them to openly communicate with HCNs (Abdul Malek 4 SAGE Open Uncertainty/Anxiety Effective Mindfulness Management Communication Socio-cultural factors Socio-cultural factors Socio-cultural factors -Cultural shock -Perceived differences -Cultural distance -Level of optimism -Social bonding/avoidance -Home sickness -General support -Drive for communication Psychological factors Psychological factors -Physical and mental health -Social identity changes -Conscious competence -Self-esteem -Intercultural communication Psychological factors -Emotional support -Cognition and affect-based trust -Future prospects -Identity crisis -Coping skills Figure 1. Initial framework of the research. et al., 2015; Crocker et al., 1994). As a result of becoming develop strong social bonding between expatriates and mindful, expatriates may experience an improvement in HCNs (Mao & Shen, 2015; Wang & Varma, 2018). Also, their self-esteem as well (Brissette et al., 2002). However, effective communication facilitates expatriates in embrac- perceived differences are identified as a potential barrier in ing new behaviors and attitudes (Adams & van de Vijver, the way of mindfulness, as high perceived differences pro- 2015; Toh & DeNisi, 2007) through social identity changes hibit expatriates from openly interacting with HCNs and (Crocker et al., 1994; Sussman, 2000). In this regard, it is weaken their socio-cultural learning in a host country crucial to recognize the challenging role of cultural distance, (Bader & Schuster, 2015; Brissette et al., 2002; Guang & as perceptions of high cultural distance between two cultures Charoensukmongkol, 2022). generally hinder expatriates from adapting to new social and Effective communication: Effective communication refers psychological changes (Bader & Schuster, 2015; Guang & to the ability to successfully recognize, comprehend and Charoensukmongkol, 2022). respond to others’ communication (Gudykunst, 1993; Based on the above discussion, it is clear that the AUM Nishida, 2015). When individuals who have moved to a new model provides a useful framework for exploring, identify- cultural context gather sufficient information about various ing and linking various adjustment factors. Its components aspects of the culture, they successfully develop social con- allow in-depth discussions on the physical, cognitive, and nections with local people and engage in effective communi- emotional experiences faced by expatriates to handle adjust- cation (Oguri & Gudykunst, 2002; van der Laken et al., ment challenges at multiple stages. The existing factors of 2019). This is characterized by thoroughly understanding not adjustment, organized under three components of uncer- just words but feelings and emotions of other people. Overall, tainty/anxiety management, mindfulness and effective com- effective communication facilitates expatriates in successful munication are presented in Figure 1. This framework socio-cultural and psychological adjustment, as expatriates provides the foundation for reexamining the existing socio- get more respectful and less judgmental toward the new cul- cultural and psychological adjustment challenges faced by ture (Abugre, 2018). The literature on adjustment suggests expatriates, identifying new challenges, developing relation- that continuous interactions help expatriates to psychologi- ship between these factors and examining multiple stages of cally engage in intercultural communication with HCNs and adjustment, to develop an integrated model of adjustment. Mumtaz and Nadeem 5 These expatriates were working in 37 different companies in Methods nine sectors; 28 companies were in Islamabad and nine were Qualitative Research Approach in Lahore. No more than three interviews were conducted in any single company to collect a variety of experiences. Qualitative research methods are useful for building theory Interview process: Before conducting each interview, the in complex and deep areas (Yin, 2015). Hence, generalized interviewee was briefed about the research agenda and qualitative approach, along with critical incident and narra- ensured anonymity and confidentiality. All the participants tive inquiry methods (Silverman, 2011; Yin, 2015) were used read and signed a “consent form”; each interview was for understanding and developing theory regarding the psy- audio-taped after getting permission. Other than the audio- chological and socio-cultural adjustment of top management recording, informal memos were noted with each interview expatriates. regarding the gestures and body language of interviewees, Research settings: In-depth interviews were carried out which were later compared with the interview transcriptions with top management Chinese expatriates working in to ensure that the correct sentiments of the respondents Pakistan. Based on the data collected from the Security and were recorded. The job titles of the interviewees included Exchange Commission of Pakistan (SECP), Pakistan China CEO, Managing Director, Director, Deputy Director, Acting Joint Chamber of Commerce and Industry (PCJCCI), CPEC Director, General Manager, Head of Department and Senior website and high government officials, an initial list com- Manager; all of them were assigned at top management posi- prising of 139 Chinese companies in Pakistan was devel- tions by their headquarters (HQs) in China. Most of the inter- oped. Most of these companies were working in the power views were conducted in restaurants, while some were and service sectors. A majority of the companies, that is, 56% conducted within organizations, as per the convenience of the were located in Islamabad, which is the federal capital of interviewees. The interview duration was between 15 and 55 Pakistan, while others were located in Lahore, Karachi, and minutes. The total duration of all the interviews was 1502 other cities. minutes, with an average interview time of approximately 27 Research informants: On the request of the researchers, minutes. Forth-six interviews were conducted in English the Ministry of Foreign Affairs, Pakistan, issued a formal while translators were used for nine interviews. The sample permission letter for conducting interviews with Chinese comprised of 51 males and 4 females; the average work expe- expatriates in Pakistan. Based on the presence of highest per- rience was 12.94 years. The work experience in Pakistan centage of Chinese companies in Islamabad, we initiated ranged from 1 to 11 years with an average of 3.56 years; 13 data collection process by approaching all the companies in interviewees had approximately 1 year of work experience Islamabad (N = 78) via their HR departments using a cover in Pakistan, 23 had 1–3 years of work experience in Pakistan, letter from the researchers and the letter from the ministry, while the remaining 19 had more than 3 years of work expe- requesting them for access to top management Chinese expa- rience in Pakistan. The complete list of participants is triates for interviews. Thus purposive sampling was used to presented in Table 1, where each participant has been given select information-rich interviewees (Palinkas et al., 2015). a code of Participant Number-Designation-Department- The criteria for inclusion in the study was specified as a min- imum 1 year of work experience in Pakistan as a part of the Gender-Experience in Pakistan. Further details have been top management of the unit in Pakistan based on the guid- removed to maintain anonymity. ance from the literature that expatriates require to spend at Interview guide: An initial interview guide was designed least a few months in a host country to develop an adequate using the literature on socio-cultural and psychological understanding of the socio-cultural and psychological envi- adjustment, organized under the components of the AUM ronment (e.g., Firth et al., 2014). Chinese expatriates with model (Hammer et al., 1998; Yoshitake, 2002), as discussed this criterion were few in number and were not easily acces- in the preceding section. The guide included some attribute sible because of their work commitments. Also, more than questions and some questions about overall past experiences. half of the companies in the developed list were not opera- The main section had open ended questions to understand the tional or had shifted to other places. Thus, after conducting socio-cultural and psychological adjustment challenges fol- the initial 15 interviews, snowball sampling technique lowed by probing questions. The following are some sample (Naderifar et al., 2017) was used to identify and approach questions: “What difficulties did you initially face adjusting Chinese expatriates who held relevant information (Yingling in Pakistan? (uncertainty/anxiety management),” “Do you & McClain, 2015). After conducting interviews with 43 think you can understand the mindset and approach of Chinese expatriates in Islamabad, we approached HR depart- Pakistani people in a better way now? (mindfulness),” and ment of all the companies in Lahore (N = 30) for accessing “Do you feel you have made positive and healthy relation- additional expatriates. After getting approval from nine com- ships in Pakistan? (effective communication).” panies, interviews were conducted with 12 Chinese expatri- Simultaneous data collection and (informal) analysis was ates in Lahore. The final sample size was selected based on conducted throughout the interviews; however, after reach- theoretical saturation. Overall, the final sample comprised of ing a theoretical saturation point on selected nodes, some 55 Chinese expatriates, 43 in Islamabad, and 12 in Lahore. refinements were made in the interview guide for exploring 6 Table 1. Detail of Interviewees. c d Family in Exp (Pak) Exp (Tot) Duration of the Number of a b Sr. no. Participants’ identity SIE Exposure Pakistan (years) (years) interview (Minutes) transcribed words 1 P1-Deputy Director-Operations-M-3 Yes No No 3 23 36 2,622 2 P2-Deputy Director-Procurement-M-3 Yes No No 3 9 25 1,904 3 P3-Director-Sales & Services-M-3 Yes No No 3 18 34 2,006 4 P4-Deputy CEO-M-10 No No No 10 16 31 1456 5 P5-Head of Department-Business No Yes No 1 9 48 2,163 Development-M-1 6 P6-Senior Director-Sales-M-2 No Yes Yes 2 8 31 2,188 7 P7-Director-Transmission-M-1 Yes No No 1 6 27 1,872 8 P8-Senior Director-Operations-M-8 No No No 8 10 37 2,354 9 P9-Director-Solutions-M-3 Yes No No 3 8 48 2,743 10 P10-Head of Department-Marketing-M-4 Yes No No 4 8 33 2,027 11 P11-Senior Director-Engineering-M-3 No Yes No 3 10 40 1,972 12 P12-Senior Director-Project Management-M-2 No Yes No 2 11 29 1,884 13 P13-Director-Engineering-M-1 Yes No No 1 4 24 1,683 14 P14-Director-Operations-M-8 Yes Yes No 8 13 21 2,179 15 P15-Director-Business Development-M-6 Yes No No 6 7 20 1,835 16 P16-Director-Admin-M-1 Yes No No 1 9 28 2,062 17 P17-Director-Business Development-M-4 No No No 4 8 24 1,657 18 P18-Director-Technical-M-1 No No No 1 6 30 1,969 19 P19-Director-Business Development-M-2 Yes Yes No 2 11 32 1,929 20 P20-Deputy Director-Engineering-F-1 Yes No No 1 9 27 2,401 21 P21-Director-Project-M-3 Yes No No 3 8 24 1,895 22 P22-Senior Manager-Marketing-M-1 No No No 1 7 38 1,906 23 P23-Senior Manager-Admin-F-1 No No No 1 9 31 1,200 24 P24-Director-Safety-M-2 Yes No No 2 12 29 3,285 25 P25-Managing-Director-Business-M-11 No No No 11 12 38 2,743 26 P26-General Manager-Business-M-3 No Yes No 3 14 25 3,145 27 P27-Director-Project Development-M-1 No No No 1 14 36 3,095 28 P28-Deputy Head-Business-M-3 Yes No No 3 11 22 1,394 29 P29-Deputy Director-Sales-M-2 No No No 2 14 21 2,240 30 P30-Managing Director-Business-M-3 Yes No No 3 15 27 2,759 31 P31-Deputy Director-Business-F-2 Yes Yes No 2 12 18 2,032 32 P32-Managing Director-Business-M-3 No Yes No 3 14 19 2,365 (continued) 7 Table 1. (continued) c d Family in Exp (Pak) Exp (Tot) Duration of the Number of a b Sr. no. Participants’ identity SIE Exposure Pakistan (years) (years) interview (Minutes) transcribed words 33 P33-CEO-M-6 Yes Yes Yes 6 20 30 2,966 34 P34-CEO-M-2 Yes Yes No 2 12 21 2,328 35 P35-Managing Director-Business-M-2 Yes No No 2 10 27 2,956 36 P36-Director-Admin-F-6 Yes No No 6 8 28 3,141 37 P37-Head of Deparmtent-Finance-M-4 No yes No 4 12 27 3,387 38 P38-Acting Director-Business-M-1 No No No 1 17 28 2,248 39 P39-Vice President-M-1 Yes Yes No 1 13 23 3,167 40 P40-Director-Engineering-M-5 Yes No No 5 15 33 2,865 41 P41-Director-Marketing-M-7 Yes Yes No 7 12 19 1,900 42 P42-Director-Finance-M-3 Yes Yes No 3 12 26 2,473 43 P43-CEO-M-3 Yes Yes No 3 17 30 2,922 44 P44-General Manager-Business-M-3 No Yes No 3 11 38 3,593 45 P45-General Manager-Business-M-3 Yes No No 3 17 16 1,899 46 P46-General Manager-Business-M-2 Yes No No 2 10 19 1,956 47 P47-Chief Manager-Engineering-M-1 Yes No No 1 11 24 1,319 48 P48-CEO-M-4 Yes Yes No 4 29 37 2,976 49 P49-Director-Services-M-10 No Yes No 10 28 15 1,696 50 P50-Vice President-M-8 Yes Yes No 8 19 26 1,810 51 P51-General Manager-Business-M-8 Yes Yes No 8 15 24 2,522 52 P52-Director-Business Development-M-1 Yes No No 1 12 13 1,688 53 P53-CEO-M-1 Yes No No 7 28 21 1,296 54 P54-Managing Director-Business-M-10 Yes No No 10 25 12 1,216 55 P55-Director-Contracts-M-4 No Yes No 4 16 12 1,197 Summary Yes = 35 Yes = 21 Yes = 2 Total = 196 Total = 712 Total = 1502 Total = 122486 No = 20 No = 34 No = 53 Avg = 3.56 Avg = 12.94 Avg = 27.3 Avg = 2227 SIE refers to Self-Initiated Expatriates, that is, those who volunteer for the assignment. Exposure refers to prior work experience in any foreign country. Exp (Pak) refers to work experience in Pakistan in years. Exp (Tot) refers to the total work experience, that is, experience in China, any other country or countries, including Pakistan. 8 SAGE Open new dimensions. An example of additional questions development; this was reduced by positive future prospects. includes: “What new things have you learned in Pakistan that Quotations regarding expatriates’ uncertainty management facilitated you in adjustment?.” are summarized in Table 2. Data analysis procedures: All audio recordings were tran- Three major cultural shocks faced by most of the inter- scribed verbatim and data were analyzed in NVivo software, viewees were adjusting with the hot weather, spicy food, and version 10. Based on the literature, an initial coding template limited entertainment opportunities. Most of the interview- (King et al., 2004) was developed, which was refined when ees were unsure about how to spend their leisure time in several new themes emerged from the data. To maintain Pakistan, as they couldn’t find any clubs or bars in Pakistan, objectivity and avoid misrepresentation, the complete data- as opposed to China. As the Chinese expatriates moved to set was double coded (Hill et al., 1997). Initially, definitions Pakistan without families, most of married Chinese expatri- of all the codes were developed for bringing clarity. Two ates experienced high uncertainty in their socio-cultural researchers simultaneously coded the first five interviews; adjustment, because of homesickness; this was compara- the kappa coefficient after five interviews was 0.60. Based tively less in the unmarried expatriates. Regarding the impact on the comparison of the node and reference summary of general support of HCNs on socio-cultural adjustment, reports, the less frequently used nodes and nodes with a weak interviewees expressed mixed responses. An interesting dis- level of agreement were identified. Both researchers dis- tinction was that Pakistani, who worked with Chinese were cussed perceptual differences and refined the definitions of more helpful, while expatriates received limited support nodes to reach a common consensus. Then, the initial five from Pakistanis outside their organizations. Overall, this fac- transcriptions were coded again by both researchers and the tor led to a negative psychological impact on the develop- kappa value improved to around 0.76. Following this, all the ment of cognition-based trust in most of the Chinese transcriptions were separately coded by both researchers in expatriates, as expatriates had different rational expectations their NVivo files and inter-coder reliability (ICR) results from HCNs. Cognition-based trust was also negatively were computed after every five interviews. The ICR score affected by poor time management of Pakistanis. Findings for subsequent transcriptions improved over time. The final additionally identified security concerns as an important fac- average kappa coefficient for 55 sources was 0.806. After tor for most of the Chinese expatriates. Despite these nega- coding all the 55 sources, a merged file was created for ana- tive factors, positive future prospects psychologically lyzing results. The final version of the coding structure com- facilitated almost all the Chinese in overcoming their initial prised of 42 nodes, and is presented as Figure 2. uncertain thoughts, as all the interviewees expressed positive perceptions regarding the impact of this assignment on their professional lives. Findings Uncertainty and anxiety management were found to be two Anxiety Management distinct stages of adjustment for Chinese expatriates; hence they were segregated in the findings section. All the findings There was a fine and permeable boundary between uncer- were associated with the existing and newly emerged nodes tainty management and anxiety management. While going categorized into four components of the AUM model, that is, through initial doubts and uncertainty challenges, the expa- uncertainty management, anxiety management, mindfulness triates also struggled with managing their emotions and and effective communication (Figure 2). Based on the analy- anxiety as illustrated by one of the Chinese: “Sometimes sis, the results are summarized in this section. when we talk with Pakistani people we don’t understand each other, so we need more communication” (P31-Deputy Director-Business-F-2). Various factors, including limited Uncertainty Management drive for communication, issues related to physical and Results suggested that most of the expatriates were quite mental health, and identity crisis were major challenges uncertain about working in Pakistan, as they had limited for interviewees; this was balanced by coping skills, emo- knowledge about Pakistan while working in China as illus- tional support, and the development of affect-based trust. trated by one of the Chinese: “I was initially kind of worried Summarized quotations regarding anxiety management of as from the news, TV and internet, Pakistan is not as safe for expatriates are presented in Table 3. Chinese, and the religion is also very different” (P16- Most of the expatriates wanted to understand the mindset Director-Admin-M-1). A few Chinese commented that they of Pakistani HCNs for managing their anxiety, yet results were appointed at the top management positions for the first suggested an overall negative drive for communication, as time; hence, they were delighted, yet quite dubious about language differences emerged as one of the major socializa- moving to Pakistan and initially found adjustment chal- tion barriers. Although most of the Chinese expatriates lenging. Thoughts of uncertainty originated from multiple were proficient in speaking English, however there were sources such as cultural shock, home sickness, lack of significant differences in the pronunciation and speaking general support and difficulty in cognition-based trust style of Pakistani people, which made it challenging for them Mumtaz and Nadeem 9 Weather challenges Cultural shock Food challenges Entertainment challenges Home sickness Uncertainty Management General support Security concerns Cognition based trust Previous information aboutPakistan Future prospects Language barriers Drive for communication Opportunities for interaction Physical & mental health Identity crisis Anxiety Cultural intelligence Management Coping skills Interpersonal skills Factors of Emotional support Adjustment Friendliness of Pakistanis Affect based trust Understanding about HCNs Pak China friendship Perceived differences Learning in Pakistan Conscious competence Mindfulness Career prospects Level of optimism Work performance Self-esteem Social bonds/ties formation Social bonding/avoidance Positive changes Social identity changes Negative changes Effective Cultural distance Communication Ideas for change Intercultural communication Figure 2. The final version of the coding structure. to engage in conversations with Pakistani people. Also, to meet HQs as well as host unit’s expectations, hence result- limited opportunities for interaction weakened their drive ing in increased pressure and stress for a few of them. Some for communication. Challenges in managing emotions faced identity crisis and commented that working and living further negatively impacted the physical and mental in Pakistan initially led to loneliness, and they felt lost, thus health of most of the interviewees. The above challenges facing psychological adjustment challenges. indicated a negative impact on the socio-cultural adjustment Despite the negative impact of some factors, socio-cul- of expatriates. Further, expatriates’ positions required them tural factors such as strong coping skills, cultural intelligence 10 SAGE Open Table 2. Supporting Quotations for Uncertainty Management. “Before coming, I just knew that China and Pakistan are friendly countries, and I didn’t know Pakistan very well at that time because I had never been here. I was expecting at that time to see this country, because it was little mysterious for me, just like a place that is covered and not having a lot of information.” (P26-General Manager-Business-M-3) Cultural shock—Initial Weather challenges confusion because of lack of “First few days, most important feeling was that it is too hot. Because when I came here, it familiarity was August 2013, when I got off the airplane, I felt a little, no not a little, very hot. Because in China, the highest temperature is 38 or 39, 37 degrees. But in August in Pakistan, even in evening, the temperature is more than 40. It was very hot. It is the most important experience in my mind.” (P40-Director-Engineering-M-5) Food challenges “Actually the first problem is food; I try different Chinese food in Chinese hotels. But food here is different from China. This is first problem. We cannot eat Pakistani food. In house we cook Chinese food ourselves.” (P42-Director-Finance-M-3) Entertainment challenges “Our life is limited here. We cannot go outside more frequently. It is just like we want to visit places, but we are not allowed. We only have to stay in house and no entertainment, so that makes me sad.” (P11-Senior Director-Engineering-M-3) Home sickness—Inability in “Sometimes, I feel homesickness. Whenever there is an event in China, like Chinese new adjustment caused by being away year, every Chinese feels homesickness.” (P1-Deputy Director-Operations-M-3) from home General support—General “I found 40% to 50% Pakistani don’t want to open themselves, they are not willing to show assistance provided by HCNs themselves.” (P5-Head of Department-Business Development-M-1) Cognition-based trust—Trust Security concerns developed on rational approach “You know some news from T.V or mobile or magazine, they are not good for introducing Pakistan because they talk about some terrorists in Pakistan, not safety. But actually inside, people are honest, have good relationship with Chinese.” (P46-General Manager- Business-M-2) Previous information about Pakistan “That time, you know some news from TV or mobile or magazine, they are not good for introducing Pakistan because they talk about some terrorists in Pakistan, not safety. But actually inside, people are honest and have good relationship with Chinese.” (P46-General Manager-Business-M-2) Future prospects—Perceptions “This is the first time; I became GM, who can manage office for the allies in countries, so I regarding future think this was also a challenge for me. After 2 or 3 years, I know how to do the work and do the administration and financials. So after that this will be a very helpful experience for me in the future to improve my career.” (P26-General Manager-Business-M-3) and interpersonal skills, facilitated most expatriates in anxi- getting engaged in developmental efforts, as illustrated by ety management. Also, the interpersonal skills of most of the one of the interviewee: “I think, I have learned how to com- expatriates were improved in a few months and helped them municate with Pakistani people because their mindset is dif- in expressing their emotions with HCNs. This further helped ferent from Chinese people and we can teach and learn from them psychologically in getting emotional support from each other” (P55-Director-Contracts-M-4). Key factors that HCNs in and outside their work environment, as most of the played an active role in expatriates’ engagement at this stage expatriates highlighted that Pakistanis are like brothers to included less perceived differences, conscious competence them. Such factors were helpful in psychological adjustment, and a high level of optimism; this active involvement was and led to the development of affect-based trust, that is, challenged by lowered self-esteem in many cases. Supporting development of emotional attachments among expatriates quotations concerning mindfulness of expatriates are pre- and HCNs in most expatriates through friendliness of sented in Table 4. Pakistanis. Overall, the development of trust with the pas- Several expatriates expressed that working and living in sage of time led to successful anxiety management in most of Pakistan has led to their socio-cultural adjustment through them. reduced perceived differences between Pakistanis and Chinese in their minds, partially because of Pak-China friendship. Making vigilant adjustment efforts to adjust in Mindfulness Pakistan (conscious competence) psychologically facilitated Mindfulness was identified as the key to the adjustment of most expatriates in learning about numerous new aspects, for expatriates. After successfully managing their uncertainty example, helped them in understanding that Pakistanis are and anxiety in Pakistan, several Chinese expatriates started happy and care-free people. Such efforts had a positive Mumtaz and Nadeem 11 Table 3. Supporting Quotations for Anxiety Management. “I was anxious in the start as I did not know this country. So I landed in the airport, I saw the surrounding green area, the streets were clean. I got the initial image of very nice country. So after landing here, I could see that this is a friendly country, easy going country.” (P49-Director-Services-M-10) Drive for Language barriers communication— “I think the first challenge is language part and English here is not same as in other parts of the world Willingness of interaction and pronunciation here is different and I think after three months everything was fine and I now with HCNs understand local English very well.” (P10-Head of department-Marketing-M-4) Opportunities for interaction “I think, I communicate only with Chinese friends, as we stay in house most of the time, because of the rules in the house we don’t go out and stay with Chinese colleagues.” (P16-Director-Admin-M-1) Physical and mental “I cannot travel anywhere freely, that’s why body or mechanism of body is not good. Every year health—Impact of we go to China for checkup and you know that result of that thing is not good for us. And other assignment on overall health thing I found is that it is easy to get angry here and maybe due to the weather and this is not only with me but with my other colleagues. It is really easy to get angry here.” (P10-Head of department- Marketing-M-4) Identity crisis—State of “I think you know loneliness, sometimes I feel loneliness, because far from my hometown, far from being lost in a host country my country. But I think when this work will finish, maybe I will go back to China and everything will be good.” (P30-Managing Director-Business-M-3) Coping skills—Availability Cultural intelligence of psychological resources for “I went to my friend’s place in Attock and had lunch at his home and it was very extraordinary coping with anxiety experience because he had Falcons in his home. Also, we experience how Pakistani local people treat the guest in the traditional way. He invited his relatives and his cousins and they were very welcoming people.” (P16-Director-Admin-M-1) Interpersonal skills “I still think that the people in the world in some way are common. People need to communicate; people need to understand each other very well. Maybe we are different kind of people; we have different ways, different visions. But the first is to show respect, the second is to communicate and try to understand each other. So it’s not a big problem for me, because I went to many countries already, so I know how to show my respect to people here, and to communicate with people here.” (P26-General Manager-Business-M-3) Emotional support— “I still remember the first time I go to Centaurus to watch the movie, and I was standing in the line, I Emotional assistance want to buy the tickets, and the people were very friendly, telling me that you just choose the seat provided by HCNs first. So it was very well.” (P39-Vice President-M-1) Affect-based trust—Trust Friendliness of Pakistanis developed on emotional “Pakistani people are very friendly. Just stay friends with Chinese. When you are in China, and have approach some problem on the road, your car is broken; maybe you have accident with others. They won’t even help you. Nobody will ask you oh, brother are you ok, like this. Because socially, we have problem like this. But here is Pakistan, they will help you. I like this about Pakistan and you have problem they will come automatically to help you.” (P43-CEO-M-3) Understanding about HCNs “I can understand mindset of some people. About 40% I cannot say, I understand. Actually, generally speaking, I think for all Pakistanis their thinking is similar. Not too complex. For the Chinese, maybe difference in culture, but Chinese is too much complicated. Very complex, even for me right now. For some time you talk with some Chinese, they say I want ‘A’ but maybe they want ‘B’. You should learn what their aim is; maybe they are thinking something else. But for Pakistani normally it is easy. I think.” (P44-General Manager-Business-M-3) impact on expatriates’ psychological adjustment as it reach, as this required extensive involvement and efforts increased the “level of optimism” in Chinese expatriates from expatriates. However, approximately two-thirds of the regarding their career prospects, and as most expatriates expatriates made comments which indicated that they suc- wanted to extend their assignment in Pakistan or wanted to cessfully reached this stage and others were still struggling work in other countries for enhancing their exposure after around this stage. this assignment. Regarding self-esteem, most expatriates were anxious about the change in their work performance; Effective Communication several experienced expatriates indicated that their work per- formance had decreased in Pakistan, as it was difficult for The final stage of adjustment was characterized by “effective Pakistanis to match the Chinese work standards. Overall, communication,” in which Chinese expatriates not only felt mindfulness was found to be the most challenging stage to adjusted but fully embraced Pakistan’s culture, as illustrated 12 SAGE Open Table 4. Supporting Quotations for Mindfulness. “I spend most of my free time with Pakistanis, because my friends at work almost every day we see and talk, so I spend with them. But in free time, I stay with Pakistani friends, because most of the time, I cannot go to eat out or anywhere with them because I am busy in meeting or work. So when they call me, I say ok I go out with you.” (P51-General Manager-Business-M-8) Perceived differences— Pak-China friendship Judgment regarding differences “I just believe all the Pakistanis are brothers, we can say, we are very, very close friendship, between home and host country we are really brothers. Pakistani loves Chinese people from the heart. Chinese people love Pakistanis also from the heart. We should join together; this is from my heart.” (P54-Managing Director-Business-M-10) Conscious competence— Learning in Pakistan Vigilant efforts of involvement in “First I will tell you working in a foreign country in this company; you should have many skills a host country and knowledge. You should speak English and have good understanding with local people and you should have technical knowledge and lastly you should have knowledge of marketing like how to spread your business and get customer. You should have knowledge of financing and you should have knowledge of management and every day we are improving.” (P17-Director- Business Development-M-4) Level of optimism— Degree Career prospects of hopefulness in a host country “In the coming years, China is going to bring a lot of investment to Pakistan. And I myself know that there will then be a lot of opportunities to earn money; so for any Chinese, it is clear that Pakistan is the best place to be in to earn money.” (P48-CEO-M-4) Self-esteem—Perceptions Work performance regarding individuals’ self-worth “I think, my work performance has decreased because of the working process and quality of work in Pakistan is much slow, one job in Pakistan need one week to complete but in China may be one day.” (P4-Deputy CEO-M-10) by one Chinese, “Most of the Pakistani told me I have become Achieving effective communication was an extremely half Pakistani. Even when I go to China; they say I am half challenging stage. Comments from approximately half of the Pakistani now” (P49-Director-Services-M-10). Key factors expatriates reflected reaching this stage. Individual differ- that facilitated expatriates in socio-cultural and psychologi- ences, such as prior international and top management expe- cal adjustment at this stage included cultural distance, inter- riences facilitated few expatriates who achieved this stage, cultural communication, social bonds formation, and social while others were struggling because of lack of such experi- identity changes. Quotations regarding Chinese expatriates’ ences. Hence some were taking longer to achieve this final effective communication are presented in Table 5. stage. Several Chinese expatriates expressed that they felt more comfortable in their socio-cultural interactions with Pakistanis Discussion overtime through social bonds formation. Development of strong social bonds further led to social identity changes in a The AUM Model of Expatriates’ Adjustment few Chinese expatriates, that is, there were changes in their ways of work, improvement in their listening skills, or devel- This section uses the findings of the study and proposes an opment of teamwork skills. In general, most of the expatriates AUM model of expatriates’ adjustment. The AUM model of who reached this stage expressed that they had accepted expatriates’ adjustment, as the name indicates, is directly minor changes in themselves and became more open and based on the AUM framework, and categorizes factors of accepting toward the attitude of Pakistanis over time. These adjustment at multiple levels to propose that top manage- changes indicated a positive impact on expatriates’ psycho- ment expatriates are likely to go through four stages, that is, logical adjustment. Interestingly, high “cultural distance” uncertainty management, anxiety management, mindfulness, also positively impacted socio-cultural adjustment of some and effective communication, before completely adjusting in expatriates in Pakistan—particularly the slow pace of life a host unit. This model is summarized in Figure 3. Factors facilitated a few expatriates in easily adapting to changes. along the X-axis represent the psychological adjustment fac- Such changes improved the overall intercultural communica- tors, and those along the Y-axis represent the socio-cultural tion and led to an increased psychological understanding in adjustment factors at each stage. Unlike the majority of the expatriates regarding the individual and cultural similarities literature where the concepts of uncertainty and anxiety man- and differences. It was also reflected through such expatri- agement have been discussed together in the AUM literature ates discussing constructive ideas for bringing changes in (Nishida, 2015; Stephan et al., 1999), uncertainty and anxi- Pakistan. A few Chinese expatriates mentioned that success- ety management have been identified as distinct, yet perme- ful intercultural adjustment had helped them in effectively able stages, that is, Stage-1 and Stage-2 of adjustment in this handling work conflicts as well. model. Mumtaz and Nadeem 13 Table 5. Supporting Quotations for Effective Communication. “It is more than seven years, and I am used to Pakistani people and staff. First, my English got improved by colleagues or friends, or sometimes they invite me for some dinner or hiking or fishing, and I think I know so much about Pakistani culture.” (P8-Senior Director- Operations-M-8) Social bonding/ Social bonds formation avoidance—Expatriates’ “I have both Chinese and Pakistani friends, I like sitting with my Pakistani friends and chatting with approach toward social bonds them, but we don’t have the same language. So I like to talk to those Pakistanis who are working development in my company who understand Chinese language; we sit together and discuss problems and find solutions and learn from each other.” (P48-CEO-M-4) Social identity changes— Positive changes Development of new “I think the most important change in my mind is about how to enjoy the life. Because in China behaviors and attitudes in every day, I know that in China everyday everybody no matter doing work no matter doing expatriates anything else, do worry fast, quickly. We always think the emotion of nervous, and hurry up. In Pakistani everybody looks very slow, everybody go to work just to enjoy the life. No need of too much hurry, they just look very happiness.” (P40-Director-Engineering-M-5) Negative changes “Yes, too much change. Before, I was quick in finishing my work. But now, I delay work. Here if someone says 4pm, maybe that means 5pm or 6pm, so I have changed.” (P33-CEO-M-6) Cultural distance— “At the beginning when China was just opening up for the world, that’s around 40 years ago, so Differences between culture at the very beginning, the development of China was far behind Pakistan. But after this time, it of home and host country has already overtaken some of the developed countries. So under this one, we think the Chinese work very hard and are punctual as well, so this is different with Pakistani people.” (P50-Vice President-M-8) Intercultural Ideas for change communication— “Because you know I am a lady, I want most of the girls, women to go out and work. Be Improved understanding and independent. In China 95% almost all the women go out. We earn the money by ourselves, and communication between then we can make the decision. I hope all the Pakistani ladies and women can earn the money by people of different cultures themselves. I think all the people I think are equal. What men can do, we can also do.” (P36- Director-Admin-F-6) Stage 1 illustrates initial adjustment challenges and sug- simultaneously struggle with mental and emotional chal- gests that top management expatriates face several uncer- lenges, and leads to the extended struggles in the second tainties and mental challenges during the first few months of stage. At Stage 2, top management expatriates are likely to their stay at a host unit, particularly if they are unaware about experience anxiety, arising from psychological challenges the culture and practices of the host country. Overall, the such as identity crisis (Presbitero, 2016; Shafaei & Razak, challenges identified at the first stage of adjustment in this 2018), and socio-cultural factors such as physical and mental study overlap with findings of other studies. Challenges such health issues (Kraeh et al., 2016). It is suggested that socio- as cultural shock, home sickness and general support, have cultural factors such as drive for communication and strong been identified as socio-cultural adjustment factors in the coping skills (Beaven & Spencer-Oatey, 2016; Selmer et al., past literature (Selmer, 1999; Shafaei & Razak, 2018; Sterle 2015), along with psychological factors such as emotional et al., 2018), while cognition-based trust and future prospects support and development of affect-based trust (Bonache (Maertz et al., 2016; Mahajan & Toh, 2014) relate exclu- et al., 2016; Mahajan & Toh, 2014) facilitate most expatriates sively to the psychological adjustment of expatriates in the in getting support from HCNs. Overall, socio-cultural factors initial stage. Overall, boundaries between the two dimen- slowly influence some aspects of the mental adjustment sions of socio-cultural and psychological adjustment are and thinking process of expatriates at Stage 2, which illus- likely to remain firm at Stage 1. Further, results indicated trates the beginning of the interaction between socio-cultural that that instead of taking facilitation from HCNs or local and psychological dimensions. The initiation of the above units, top management expatriates interact more with the interaction facilitates expatriates in realizing the importance HQs and their families from home countries for dealing with of getting along well with HCNs, and encourages positive initial adjustment challenges. Thus, expatriates remain under communication between expatriates and HCNs, thus reduces the dominant influence of their home country at Stage 1. their reliance upon the HQs and weakening the impact of their Lack of adjustment with the initial uncertainties is likely to home country on them. Thus, top management expatriates negatively impact the emotions of top management expatri- who overcome anxiety are likely to move toward Stage 3 in a ates and leads to anxiety at Stage 2. Although Stage 1 and shorter span of time. Stage 2 are distinct from each other, yet complexity of two- Stage 3, mindfulness, is suggested as a major turning fold responsibilities (i.e., top management responsibilities point in this model. A transition from Stage 2 to Stage 3 is and adjustment) may permit top management expatriates to likely to be difficult, as represented by a solid line between 14 SAGE Open Dominant influence Balanced influence Dominant influence of of home and of home country host country host country Adjustment of Drive for expatriates communication (-) Cultural distance Perceived (+) differences (+) Cultural shock Social bond/ (-) avoidance Physical (+) and mental health Social identity (-) Level of changes STAGE 4 optimism (+) (+) Home sickness (-) Intercultural Effective communication Communication (+) Coping skills (+) STAGE 3 General support (-) Mindfulness Conscious Self-esteem competence (-) (+) STAGE 2 Anxiety Management Identity crisis Emotional Affect-based (-) support trust (+) (+) STAGE 1 Uncertainty Cognition-based Future Management trust prospects (-) (+) Factors of Psychological Adjustment Figure 3. The AUM model of expatriates’ adjustment. Note 1. ---------------- indicates a boundary which is permeable and easy to cross. indicates a boundary which is difficult and challenging to cross. Note 2. “+” sign indicates the factors that facilitate expatriates in their adjustment. “-” sign indicates the factors that create challenges in the expatriates’ adjustment process. the two stages in Figure 3. This stage is likely to be time tak- Nadeem & Mumtaz, 2018) are expected to integrate closely ing for expatriates, and several may not reach this stage as with psychological factors such as conscious competence socio-cultural factors such as perceived differences and level and self-esteem (Firth et al., 2014; Jannesari et al., 2017). of optimism (Arman & Aycan, 2013; Brissette et al., 2002; Thus, it would require expatriates to engage in vigilant Factors of Socio-cultural Adjustment Mumtaz and Nadeem 15 efforts for improving their proactive involvement in a host to goals achievement in host countries. Finally, the flexible country and reaching the stage of mindfulness where they approach and success at host countries is also likely to can understand the perspective of HCNs with an open and facilitate top management expatriates in quick re-integra- flexible approach (Ang & Tan, 2016; Wang & Varma, 2018). tion as repatriates and in achieving organizational goals In many organizations, this level of expatriates’ adjustment is in HQs. likely to be optimum, as expatriates feel considerably adjusted in a host country and maintain a professional rela- Practical Implications tionship with HCNs; however, they are likely to perform their work activities according to the core cultural values of This study has several practical implications. The findings their parent company. They can thus successfully manage of this study suggest that the adjustment process may be HQs as well as subsidiaries’ expectations. particularly challenging for expatriates in the first few The final stage of expatriates’ adjustment, that is, Stage months of their stay in a host country, as expatriates go 4 reflects the highest level of adjustment. At this stage, through cultural shocks and experience home sickness in socio-cultural factors such as cultural distance and social initial stages of adjustment. Thus, the role of subsidiary and bonds formation (Bhaskar-Shrinivas et al., 2004; Peltokorpi HCNs, as HCNs can engage in proactive communication to & Froese, 2014) are likely to closely interact with psycho- reduce the language barriers. Further, the provision of cog- logical factors such as social identity changes and intercul- nitive and emotional support by HCNs can facilitate expa- tural communication (Bonache et al., 2016; Tahir, 2018). triates in developing an understanding of the socio-cultural Thus, the boundaries between socio-cultural and psycho- and psychological environment of a host country. In addi- logical dimensions are likely to be blurred. This level of tion to this, family support, or lack thereof, was another key adjustment may only be experienced after spending consid- challenge, as expatriates initially faced challenges in get- erable time with HCNs within and outside the work envi- ting social support because their family members were not ronment, which results in expatriates being a psychological allowed to accompany them in these assignments. Chinese part of the host country’s culture. Increased compatibility companies may benefit from such a policy by incorporating with HCNs and the dominant influence of the host country some flexibility in their international work procedures to would encourage top management expatriates to act more facilitate expatriates in their adjustment. They may other- in accordance with the expectations and culture of the host wise deploy unmarried expatriates for working at top posi- country than the HQs. tions of international assignments, as suggested by the There are two perspectives in evaluating the ideal level of findings. adjustment in the proposed model. Keeping in view organi- Further, in line with the findings and adjustment chal- zational as well as expatriates’ perspective (DeNisi & lenges, HQs are recommended to integrate psychological fac- Sonesh, 2016; Harzing, 1995; Harzing & Christensen, 2004), tors such as self-esteem, emotional support and affect-based it is suggested that the highest level of expatriates’ adjust- trust, along with socio-cultural factors, in their pre-departure ment (i.e., effective communication) may not represent the cross-cultural training programs. Provision of such trainings ideal level of adjustment as the development of informal would facilitate expatriates in understanding how they can get relationships with HCNs and social identity changes may psychological support from HCNs in a host country. Also, deteriorate the focus and impact the performance of top man- these trainings are likely to prepare expatriates on how they agement expatriates. To elaborate, weakened ties with the can effectively use their coping skills, and overcome the HQs and the home country might lead to contradictions impact of negative factors such as identity crisis and health between expatriates and HQs, and hinder them from achiev- challenges in a host country. The findings of the current study ing the goals of the HQs in host countries. These expatriates also highlighted an essential role of positional experience and are also likely to face challenges in “re-adjustment” after prior international exposure in the adjustment process. Hence, returning to their home countries as repatriates. Thus, despite HR departments of HQs are recommended to take into greater adjustment than the mindfulness stage, effective account prior experiences of employees, before assigning communication is likely to lead to negative impacts on expa- them for top management international assignments, as less triates as well as organizational performance. experienced individuals are likely to experience greater pres- In comparison, “mindfulness” may represent the optimal sures. Finally, the proposed model of this study suggests that level of adjustment. At this stage, it is expected that top organizations need to link their efforts for expatriates’ adjust- management expatriates will develop unique psychological ment with the mindfulness stage of adjustment. In this regard, competencies, flexible approach and leadership abilities organizations are encouraged to create an enabling environ- through the new exposure. Such individual level competen- ment where expatriates and HCNs can develop high quality cies are likely to facilitate expatriates in creating a condu- professional relationships. Moreover, HQs are recommended cive culture, where they integrate some feature of local to provide continuous support and guidance to top manage- culture with HQs values and maintain adequate level of ment expatriates throughout their assignments, so that top control. Thus, optimal level of adjustment is likely to lead management expatriates can maintain adequate level of 16 SAGE Open connectivity at both ends and maintain a balance between important, given the fact that China has expanded its global HQs and subsidiary’s expectations. presence and has gained the fastest economic growth over the past few decades (Textor, 2021). However, future researchers may expand their understanding and identify Limitations and Future Research Directions additional factors of adjustment by examining, testing or This section elaborates on the limitations of this study, along generalizing the model in different country settings. with future research directions. First, only those participants were included in this study who had been working in Pakistan Conclusion for more than a year; results suggested that several among them achieved mindfulness and a few had successfully This study uses the AUM model to develop an understanding engaged in effective communication. There may be several of the socio-cultural and psychological factors of expatriates’ expatriates who would have left their assignment in Pakistan adjustment, interdependencies between the two dimensions early because of adjustment issues; however, they were not of adjustment and stage-wise process of expatriates’ adjust- part of this study. Future studies may adopt a longitudinal ment. Based on the analysis of the qualitative data collected research design, and also focus on those expatriates who from 55 Chinese top management expatriates in Pakistan, leave their assignments early because of adjustment issues existing and new factors of adjustment were combined to for a clearer understanding of the socio-cultural and psycho- develop a comprehensive understanding of expatriates’ logical adjustment challenges for expatriates. adjustment by presenting the AUM model of expatriates’ Second, the research design of the study focused on adjustment. This model illustrates a step-wise mechanism of Chinese expatriates who were hired at top management posi- expatriates’ adjustment in four stages, that is, uncertainty tions in Pakistan where respondents were asked to report management, anxiety management, mindfulness and effec- emotions and feelings themselves. However, some of the tive communication. In view of the findings, mindfulness is interviewees did not provide extensive details about their suggested as the optimum stage of adjustment from organi- experiences because of busy schedules, time pressures, and zational as well as expatriates’ perspective. Furthermore, this security concerns. This was somehow compensated by model also helps in bridging the gap between socio-cultural increasing the number of interviews and by analyzing infor- and psychological dimensions of adjustment, and suggests mal memos along with interview data. However, future that boundaries between these two dimensions of adjustment researchers are recommended to include expatriates as well as are likely to remain firm at initial stages, while psychological their colleagues in a research design to confirm findings with factors are likely to be deeply entangled with socio-cultural another individual that the respondent interacted with on a factors at higher stages. regular basis. Moreover, the integration of multiple qualita- tive techniques, such as interviews and observations, may Declaration of Conflicting Interests facilitate researchers in getting deeper insights about the fac- The author(s) declared no potential conflicts of interest with tors and the process of adjustment, if access can be obtained. respect to the research, authorship, and/or publication of this Third, despite carefully finalizing the research design, domain article. experts were not a part of the interview process. Future researchers may involve psychologists in the interview pro- Funding cess for ensuring that all the verbal and non-verbal aspects of The author(s) disclosed receipt of the following financial support socio-cultural and psychological adjustment are covered. for the research, authorship, and/or publication of this article: This Fourth, the Chinese expatriates which were a part of this work was supported by the Higher Education Commission (HEC), study belonged to different locations in China. Many of them Pakistan [grant number: 10188/Punjab/NRPU/R&D/HEC/2017]. were from large cities while some belonged to smaller cities. Also, some lived closer to the Pakistani-China border. Such Ethics Statement differences might have uniquely impacted the exposure and The authors declare that they have conducted research in accor- knowledge-level of interviewees. Despite the inclusion of dance with the ethical guidelines of the Sage Open Journal. several attributes in this research, data were not collected about the town or city to which each expatiate belonged and ORCID iD hence location-based effects were not examined. Future Sana Mumtaz https://orcid.org/0000-0002-3593-5784 researchers are recommended to deepen an understanding of the adjustment of top management expatriates by taking into References account such location-based differences. Finally, the data used for developing the AUM model of Abdul Malek, M., Budhwar, P., & Reiche, B. S. (2015). Sources adjustment were extracted from two Asian countries; thus of support and expatriation: A multiple stakeholder perspec- this research is context-specific. The Chinese sample is tive of expatriate adjustment and performance in Malaysia. Mumtaz and Nadeem 17 The International Journal of Human Resource Management, stereotyping of corporate expatriates. A social identity analy- sis. 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DOI: 10.1177/21582440221079638
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Abstract

While the literature develops an adequate understanding of various socio-cultural and psychological factors that contribute to expatriates’ adjustment, limited work exists regarding interdependencies between these two dimensions of adjustment, particularly in the Asian context. Using the theoretical lens of the anxiety uncertainty management (AUM) model, this research examined the various socio-cultural and psychological factors that affect expatriates’ adjustment, and the integration of these factors during adjustment. Data were collected through semi-structured interviews of 55 Chinese top management expatriates working in Pakistan, and were analyzed using thematic analysis in NVivo. Based on the findings, an AUM model of expatriates’ adjustment is proposed, which illustrates how top management expatriates may go through a four-stage process of adjustment. The various socio-cultural and psychological factors, some identified from the literature and others through fieldwork, that play a role in expatriates’ adjustment at each stage, and the integration of these factors, is discussed. Keywords anxiety uncertainty management model, Chinese top management expatriates, psychological adjustment, socio-cultural adjustment, qualitative research include: personality models (e.g., He et al., 2019; Valenzuela Introduction & Rogers, 2021); person-environment fit perspective (e.g., The complex nature of expatriates’ adjustment, particularly Lauring & Selmer, 2018; Valenzuela & Rogers, 2021); cop- the socio-cultural adjustment of expatriates, has gained ing resources such as cultural intelligence (e.g., Akhal & Liu, wide-ranging attention in the international business literature 2019; Setti et al., 2020); and assignments’ outcomes such as (Chen, 2019; Guang & Charoensukmongkol, 2022; Huang expatriates’ learning, biculturalism and identity management et al., 2020; Tahir, 2018). This literature has focused particu- (e.g., Nadeem & Mumtaz, 2018; Peltokorpi & Zhang, 2020). larly on the behavioral aspects and develops sufficient Overall, despite a reasonable understanding about the understanding of the role of various cultural and social fac- essential socio-cultural and some psychological factors that tors, and how these factors act as antecedents in the cross- contribute to adjustment, there is limited research that cultural adaptation of expatriates (Arokiasamy & Kim, simultaneously studies both dimensions (e.g., Bierwiaczonek 2020; Bierwiaczonek & Waldzus, 2016). In this regard, & Waldzus, 2016; Taušová et al., 2019). Furthermore, the Black et al. (1991) three-dimensional socio-cultural adjust- interdependencies between socio-cultural and psychological ment model has been extensively used to examine general, factors have also been inadequately identified. work and interaction dimensions of adjustment (e.g., Abdul For a comprehensive understanding of expatriates’ adjust- Malek et al., 2015; Chew et al., 2021). ment, it is crucial to understand that expatriates go through In parallel to the above, the comprehensive conceptual- ization of adjustment by Ward and Kennedy (1993) has resulted in some studies which address the psychological FAST School of Management, NUCES, Islamabad, Pakistan adjustment of expatriates (e.g., Fu & Charoensukmongkol, Corresponding Author: 2021; He et al., 2019; Peltokorpi & Zhang, 2020; Valenzuela Sana Mumtaz, FAST School of Management, NUCES-FAST, A.K Brohi & Rogers, 2021). Various additional angles through which Road, H-11/4, Islamabad, Federal Capital 44000, Pakistan. psychological adjustment of expatriates has been examined Email: sana_mumtaz91@hotmail.com Creative Commons CC BY: This article is distributed under the terms of the Creative Commons Attribution 4.0 License (https://creativecommons.org/licenses/by/4.0/) which permits any use, reproduction and distribution of the work without further permission provided the original work is attributed as specified on the SAGE and Open Access pages (https://us.sagepub.com/en-us/nam/open-access-at-sage). 2 SAGE Open multiple emotional, mental and physical barriers when they management positions, as these individuals play a critical move to a new foreign country (Firth et al., 2014; Maertz role in shaping organizational strategic decisions and are et al., 2016). While the commonly used U-curve model of responsible for managing individual as well as organiza- adjustment, which focuses on the four stages of honeymoon, tional outcomes (Bebenroth & Froese, 2020; Viitala et al., cultural shock, adjustment, and mastery (Lysgaard, 1955), 2017). Also, in contrast to other expatriates, top manage- provides a basis for understanding the mechanism through ment expatriates are likely to face unique socio-cultural and which expatriates socio-culturally adjust in a host country psychological challenges owing to the complexity of their (Bayraktar, 2019; Maertz et al., 2016), the complex and positions (Caligiuri & Bonache, 2016; Viitala et al., 2017). unobservable barriers which relate to the psychological Thus, based on the existing literature on expatriates’ adjustment process may not necessarily follow the U-curve adjustment and the AUM model, this study explored the fol- model (Selmer, 1999). Therefore, little is known about how lowing questions: (a) What are the distinct psychological and the various socio-cultural and psychological factors hinder socio-cultural adjustment challenges faced by the top man- or support expatriates at various stages of adjustment and agement expatriates in their adjustment process? (b) How do lead to their complete adjustment in a host country. socio-cultural and psychological factors complement and In this study, the anxiety uncertainty management (AUM) relate to each other in the overall adjustment process? (c) model (Gudykunst, 1993) is identified as a lens to simultane- How do top management expatriates move through multiple ously investigate the socio-cultural and psychological factors stages of psychological and socio-cultural adjustment, and of expatriates’ adjustment. According to this model, people adjust in a host country? feel unadjusted in a new cultural setting due to the differ- Overall, this article contributes to the literature in four ences between them and the residents of the new setting. distinct ways. First, this research uses the AUM model to However, individuals who are willing to interact with those simultaneously examine the socio-cultural and psychologi- from a different culture are more likely to cope-up with such cal factors of expatriates’ adjustment and develops an inte- challenges. Frequent interactions with new people and deep grated framework by combining the already identified, as involvement further facilitate intercultural adaptation well as some new factors, of expatriates’ adjustment. Second, (Gudykunst & Hammer, 1987). The AUM model integrates it presents a new model, namely “the AUM model of expatri- dynamic perspectives such as intergroup anxiety (Stephan & ates” adjustment’, which illustrates how top management Stephan, 1985), mindfulness (Langer, 1989), uncertainty expatriates go through a four-stage process of socio-cultural reduction (Berger & Calabrese, 1975), and social identity and psychological adjustment before they completely adjust (Tajfel, 1978) in a single model. Thus, it has the potential to in a host unit. Third, while most of the existing literature on provide a comprehensive framework to combine socio-cul- expatriates’ adjustment has focused on all expatriates, this tural and psychological challenges of expatriates’ adjust- study focuses exclusively on the adjustment challenges faced ment, and also aid in understanding the movement of by top management expatriates. Finally, the sample of the expatriates through various stages of adjustment. study is Chinese expatriates working in Pakistan. This sam- Additionally, there are significant differences between ple adds value to the international business literature by Western and Asian environments (Chuang et al., 2015; examining adjustment challenges faced by Asian expatriates Tahir, 2018), which uniquely shape the adjustment mecha- in an Asian context. The adjustment challenges faced by nism of expatriates. However, the existing literature on Chinese expatriates also add value as Chinese expatriates expatriates’ adjustment has predominantly focused on the have an increasing global presence. Western expatriates (e.g., Harrison & Michailova, 2012; Makkonen, 2016; Olsen & Martins, 2009); the adjustment Literature Review challenges of Asian expatriates have been insufficiently explored (e.g., Ang & Tan, 2016; Nadeem & Mumtaz, Psychological and Socio-Cultural Adjustment 2018). The movement of over 30 million Chinese expatri- The concept of adjustment has been historically studied on ates across the globe over recent years (Textor, 2021) two major dimensions in the expatriation literature, that is, has led to an increased interest in Chinese expatriates socio-cultural and psychological adjustment (Ward & (Charoensukmongkol, 2021; Guang & Charoensukmongkol, Kennedy, 1993). The concept of socio-cultural adjustment is 2022). Some studies have examined the challenges of closely related to behavioral adjustment (Tahir, 2018) and Chinese expatriates in the Western context (e.g., Abugre, highlights the role of various factors that lead to individuals’ 2018; Bader & Schuster, 2015). The recent initiation of the cultural and social adaptation. Psychological adjustment, on China Pakistan Economic Corridor (CPEC), which is a part the other hand, refers to individuals’ personal welfare and of the Belt and Road Initiative (BRI) (Bari et al., 2019; reflects the emotional and mental well-being of individuals Syed, 2018), provides a unique opportunity to explore (Ward & Kennedy, 1993) that may not be visible to others Chinese expatriates’ adjustment in a less-examined context, (Hippler et al., 2014; Kedzior et al., 2015). Overall, the con- that is, Pakistan. Hence, the focus of this study is on Chinese cepts of psychological and socio-cultural adjustment are expatriates in Pakistan, particularly the ones working at top Mumtaz and Nadeem 3 inter-related, yet distinct from each other (Selmer, 2004), as provision of general support by host country nationals psychological adjustment is considered as a deeper and a (HCNs)—individuals belonging to the country in which the broader phenomenon (Abugre, 2018). Despite being at expatriates move for their foreign assignments (Fu & two different levels, the various psychological and socio- Charoensukmongkol, 2021; Jain et al., 1998; van der Laken cultural adjustment factors are derived from each other et al., 2019), facilitates expatriates in developing an under- (Bierwiaczonek & Waldzus, 2016; Selmer, 1999). They also standing regarding the new procedures and work styles complement each other in the complex adjustment process (Rhein, 2018). Moreover, expatriates are likely to develop (Selmer, 1999). Their interdependencies are however insuf- cognition-based trust and get more certain about the positive ficiently investigated in the literature. To bridge these gaps, impact of assignments on their future prospects (Selmer & and for developing associations among socio-cultural and Lauring, 2013) if they successfully overcome initial ambigu- psychological adjustment factors, the forth-coming sub-sec- ous thoughts (Bader & Schuster, 2015). tions review the existing adjustment literature using the The adjustment literature also presents several socio-cul- AUM model to develop the initial framework of this study. tural and psychological factors that are critical in expatriates’ anxiety management. Emotional assistance by HCNs is a major facilitator for expatriates in overcoming anxiety (Firth The AUM Model et al., 2014; Nishida, 2015; van der Laken et al., 2019) and The AUM model was developed with the idea that individu- also helps them in developing affect-based trust (Toh & als face uncertainty and anxiety when they are exposed to a DeNisi, 2007). However, language barriers may hinder expa- new environment. As they initiate intercultural communica- triates from managing their emotions (Abugre, 2018; tion, their anxiety and uncertainty level drops, and they Peltokorpi, 2008; Selmer et al., 2015), as expatriates with develop social bonds (Gudykunst, 1993). The AUM model language differences are likely to stay in their in-groups incorporates various theoretical constructs (Nishida, 2015). (Peltokorpi, 2008). Further, expatriates face physical and In particular, social identity theory was added to the AUM mental health challenges (Kraeh et al., 2016) and may expe- model to enhance understanding of the processes of inter- rience an identity crisis and a weak emotional state group communication and its impact on individualized (Presbitero, 2016; Shafaei & Razak, 2018) if they are unable change experiences (Gudykunst & Hammer, 1987; Nishida, to manage their anxiety in a host country. However, willing- 2015). The model addresses elements of socio-cultural and ness and use of effective coping skills (Selmer, 1999), such psychological concerns for understanding the overall adjust- as cultural intelligence (Beaven & Spencer-Oatey, 2016; ment mechanisms (Gudykunst, 1993; Hammer et al., 1998; Charoensukmongkol, 2021; Ratasuk & Charoensukmongkol, Liu & Gallois, 2014). Thus, this section relates the three 2020), facilitate expatriates in overcoming their internal anx- commonly used components of the AUM model, that is, iety and helps them in initiating relationships with HCNs uncertainty/anxiety management, mindfulness and effective (Firth et al., 2014). communication as lenses to analyze the existing literature on Mindfulness: Mindfulness refers to the motivation and expatiates’ adjustment to develop a comprehensive under- ability to understand others’ perspectives through an open standing of the socio-cultural and psychological factors that and flexible approach (Charoensukmongkol & Puyod, 2022; influence expatriates’ adjustment. Langer, 1989). The AUM model suggests that along with Uncertainty/anxiety management: Uncertainty/anxiety uncertainty/anxiety management, mindfulness also facili- management is suggested to be one of the most critical com- tates or hinders individuals in their socio-cultural and psy- ponents in intercultural adjustment in the AUM model chological adjustment in a new culture. Mindfulness refers to (Gudykunst, 1993). Although the concepts of uncertainty the positive drive of individuals to enhance their learning and anxiety have been discussed together in most of the lit- about cultural and social aspects of a foreign country erature, yet uncertainty has been discussed in the context of (Charoensukmongkol & Pandey, 2021; Gudykunst, 1993). individuals’ thoughts, while anxiety has been mainly related To achieve this, individuals put conscious efforts to proac- to feelings or emotions (Hammer et al., 1998; Nishida, 2015). tively understand the expectations of local people, adopt a The AUM literature suggests that exposure to a new environ- flexible approach and shape their behavior accordingly to ment leads to ambiguity and doubtfulness in individuals develop new social relationships (Nishida, 2015). In relation because of the lack of awareness about the new environment to mindfulness, the expatriation literature identifies some (Berger & Calabrese, 1975). In line with the above guidance, socio-cultural factors and recommends that high level of the adjustment literature also recommends that expatriates optimism facilitates expatriates in developing positive social face socio-cultural challenges such as cultural shocks (Kaye bonds (Brissette et al., 2002; Liu, Adair et al., 2018) and in & Taylor, 1997; Rosenbusch et al., 2015; Sussman, 2000) integrating well in a new culture (Sussman, 2000). Further, and home sickness in a host unit (Kraimer et al., 2016; the development of conscious competence (Firth et al., 2014) Rosenbusch et al., 2015; Stroebe et al., 2015) because of dif- psychologically helps expatriates in deepening the under- ferences in the cultural and societal practices (Kaye & Taylor, standing about a host country (Tahir, 2018) and facilitates 1997), which leads to uncertainty in their minds. The them to openly communicate with HCNs (Abdul Malek 4 SAGE Open Uncertainty/Anxiety Effective Mindfulness Management Communication Socio-cultural factors Socio-cultural factors Socio-cultural factors -Cultural shock -Perceived differences -Cultural distance -Level of optimism -Social bonding/avoidance -Home sickness -General support -Drive for communication Psychological factors Psychological factors -Physical and mental health -Social identity changes -Conscious competence -Self-esteem -Intercultural communication Psychological factors -Emotional support -Cognition and affect-based trust -Future prospects -Identity crisis -Coping skills Figure 1. Initial framework of the research. et al., 2015; Crocker et al., 1994). As a result of becoming develop strong social bonding between expatriates and mindful, expatriates may experience an improvement in HCNs (Mao & Shen, 2015; Wang & Varma, 2018). Also, their self-esteem as well (Brissette et al., 2002). However, effective communication facilitates expatriates in embrac- perceived differences are identified as a potential barrier in ing new behaviors and attitudes (Adams & van de Vijver, the way of mindfulness, as high perceived differences pro- 2015; Toh & DeNisi, 2007) through social identity changes hibit expatriates from openly interacting with HCNs and (Crocker et al., 1994; Sussman, 2000). In this regard, it is weaken their socio-cultural learning in a host country crucial to recognize the challenging role of cultural distance, (Bader & Schuster, 2015; Brissette et al., 2002; Guang & as perceptions of high cultural distance between two cultures Charoensukmongkol, 2022). generally hinder expatriates from adapting to new social and Effective communication: Effective communication refers psychological changes (Bader & Schuster, 2015; Guang & to the ability to successfully recognize, comprehend and Charoensukmongkol, 2022). respond to others’ communication (Gudykunst, 1993; Based on the above discussion, it is clear that the AUM Nishida, 2015). When individuals who have moved to a new model provides a useful framework for exploring, identify- cultural context gather sufficient information about various ing and linking various adjustment factors. Its components aspects of the culture, they successfully develop social con- allow in-depth discussions on the physical, cognitive, and nections with local people and engage in effective communi- emotional experiences faced by expatriates to handle adjust- cation (Oguri & Gudykunst, 2002; van der Laken et al., ment challenges at multiple stages. The existing factors of 2019). This is characterized by thoroughly understanding not adjustment, organized under three components of uncer- just words but feelings and emotions of other people. Overall, tainty/anxiety management, mindfulness and effective com- effective communication facilitates expatriates in successful munication are presented in Figure 1. This framework socio-cultural and psychological adjustment, as expatriates provides the foundation for reexamining the existing socio- get more respectful and less judgmental toward the new cul- cultural and psychological adjustment challenges faced by ture (Abugre, 2018). The literature on adjustment suggests expatriates, identifying new challenges, developing relation- that continuous interactions help expatriates to psychologi- ship between these factors and examining multiple stages of cally engage in intercultural communication with HCNs and adjustment, to develop an integrated model of adjustment. Mumtaz and Nadeem 5 These expatriates were working in 37 different companies in Methods nine sectors; 28 companies were in Islamabad and nine were Qualitative Research Approach in Lahore. No more than three interviews were conducted in any single company to collect a variety of experiences. Qualitative research methods are useful for building theory Interview process: Before conducting each interview, the in complex and deep areas (Yin, 2015). Hence, generalized interviewee was briefed about the research agenda and qualitative approach, along with critical incident and narra- ensured anonymity and confidentiality. All the participants tive inquiry methods (Silverman, 2011; Yin, 2015) were used read and signed a “consent form”; each interview was for understanding and developing theory regarding the psy- audio-taped after getting permission. Other than the audio- chological and socio-cultural adjustment of top management recording, informal memos were noted with each interview expatriates. regarding the gestures and body language of interviewees, Research settings: In-depth interviews were carried out which were later compared with the interview transcriptions with top management Chinese expatriates working in to ensure that the correct sentiments of the respondents Pakistan. Based on the data collected from the Security and were recorded. The job titles of the interviewees included Exchange Commission of Pakistan (SECP), Pakistan China CEO, Managing Director, Director, Deputy Director, Acting Joint Chamber of Commerce and Industry (PCJCCI), CPEC Director, General Manager, Head of Department and Senior website and high government officials, an initial list com- Manager; all of them were assigned at top management posi- prising of 139 Chinese companies in Pakistan was devel- tions by their headquarters (HQs) in China. Most of the inter- oped. Most of these companies were working in the power views were conducted in restaurants, while some were and service sectors. A majority of the companies, that is, 56% conducted within organizations, as per the convenience of the were located in Islamabad, which is the federal capital of interviewees. The interview duration was between 15 and 55 Pakistan, while others were located in Lahore, Karachi, and minutes. The total duration of all the interviews was 1502 other cities. minutes, with an average interview time of approximately 27 Research informants: On the request of the researchers, minutes. Forth-six interviews were conducted in English the Ministry of Foreign Affairs, Pakistan, issued a formal while translators were used for nine interviews. The sample permission letter for conducting interviews with Chinese comprised of 51 males and 4 females; the average work expe- expatriates in Pakistan. Based on the presence of highest per- rience was 12.94 years. The work experience in Pakistan centage of Chinese companies in Islamabad, we initiated ranged from 1 to 11 years with an average of 3.56 years; 13 data collection process by approaching all the companies in interviewees had approximately 1 year of work experience Islamabad (N = 78) via their HR departments using a cover in Pakistan, 23 had 1–3 years of work experience in Pakistan, letter from the researchers and the letter from the ministry, while the remaining 19 had more than 3 years of work expe- requesting them for access to top management Chinese expa- rience in Pakistan. The complete list of participants is triates for interviews. Thus purposive sampling was used to presented in Table 1, where each participant has been given select information-rich interviewees (Palinkas et al., 2015). a code of Participant Number-Designation-Department- The criteria for inclusion in the study was specified as a min- imum 1 year of work experience in Pakistan as a part of the Gender-Experience in Pakistan. Further details have been top management of the unit in Pakistan based on the guid- removed to maintain anonymity. ance from the literature that expatriates require to spend at Interview guide: An initial interview guide was designed least a few months in a host country to develop an adequate using the literature on socio-cultural and psychological understanding of the socio-cultural and psychological envi- adjustment, organized under the components of the AUM ronment (e.g., Firth et al., 2014). Chinese expatriates with model (Hammer et al., 1998; Yoshitake, 2002), as discussed this criterion were few in number and were not easily acces- in the preceding section. The guide included some attribute sible because of their work commitments. Also, more than questions and some questions about overall past experiences. half of the companies in the developed list were not opera- The main section had open ended questions to understand the tional or had shifted to other places. Thus, after conducting socio-cultural and psychological adjustment challenges fol- the initial 15 interviews, snowball sampling technique lowed by probing questions. The following are some sample (Naderifar et al., 2017) was used to identify and approach questions: “What difficulties did you initially face adjusting Chinese expatriates who held relevant information (Yingling in Pakistan? (uncertainty/anxiety management),” “Do you & McClain, 2015). After conducting interviews with 43 think you can understand the mindset and approach of Chinese expatriates in Islamabad, we approached HR depart- Pakistani people in a better way now? (mindfulness),” and ment of all the companies in Lahore (N = 30) for accessing “Do you feel you have made positive and healthy relation- additional expatriates. After getting approval from nine com- ships in Pakistan? (effective communication).” panies, interviews were conducted with 12 Chinese expatri- Simultaneous data collection and (informal) analysis was ates in Lahore. The final sample size was selected based on conducted throughout the interviews; however, after reach- theoretical saturation. Overall, the final sample comprised of ing a theoretical saturation point on selected nodes, some 55 Chinese expatriates, 43 in Islamabad, and 12 in Lahore. refinements were made in the interview guide for exploring 6 Table 1. Detail of Interviewees. c d Family in Exp (Pak) Exp (Tot) Duration of the Number of a b Sr. no. Participants’ identity SIE Exposure Pakistan (years) (years) interview (Minutes) transcribed words 1 P1-Deputy Director-Operations-M-3 Yes No No 3 23 36 2,622 2 P2-Deputy Director-Procurement-M-3 Yes No No 3 9 25 1,904 3 P3-Director-Sales & Services-M-3 Yes No No 3 18 34 2,006 4 P4-Deputy CEO-M-10 No No No 10 16 31 1456 5 P5-Head of Department-Business No Yes No 1 9 48 2,163 Development-M-1 6 P6-Senior Director-Sales-M-2 No Yes Yes 2 8 31 2,188 7 P7-Director-Transmission-M-1 Yes No No 1 6 27 1,872 8 P8-Senior Director-Operations-M-8 No No No 8 10 37 2,354 9 P9-Director-Solutions-M-3 Yes No No 3 8 48 2,743 10 P10-Head of Department-Marketing-M-4 Yes No No 4 8 33 2,027 11 P11-Senior Director-Engineering-M-3 No Yes No 3 10 40 1,972 12 P12-Senior Director-Project Management-M-2 No Yes No 2 11 29 1,884 13 P13-Director-Engineering-M-1 Yes No No 1 4 24 1,683 14 P14-Director-Operations-M-8 Yes Yes No 8 13 21 2,179 15 P15-Director-Business Development-M-6 Yes No No 6 7 20 1,835 16 P16-Director-Admin-M-1 Yes No No 1 9 28 2,062 17 P17-Director-Business Development-M-4 No No No 4 8 24 1,657 18 P18-Director-Technical-M-1 No No No 1 6 30 1,969 19 P19-Director-Business Development-M-2 Yes Yes No 2 11 32 1,929 20 P20-Deputy Director-Engineering-F-1 Yes No No 1 9 27 2,401 21 P21-Director-Project-M-3 Yes No No 3 8 24 1,895 22 P22-Senior Manager-Marketing-M-1 No No No 1 7 38 1,906 23 P23-Senior Manager-Admin-F-1 No No No 1 9 31 1,200 24 P24-Director-Safety-M-2 Yes No No 2 12 29 3,285 25 P25-Managing-Director-Business-M-11 No No No 11 12 38 2,743 26 P26-General Manager-Business-M-3 No Yes No 3 14 25 3,145 27 P27-Director-Project Development-M-1 No No No 1 14 36 3,095 28 P28-Deputy Head-Business-M-3 Yes No No 3 11 22 1,394 29 P29-Deputy Director-Sales-M-2 No No No 2 14 21 2,240 30 P30-Managing Director-Business-M-3 Yes No No 3 15 27 2,759 31 P31-Deputy Director-Business-F-2 Yes Yes No 2 12 18 2,032 32 P32-Managing Director-Business-M-3 No Yes No 3 14 19 2,365 (continued) 7 Table 1. (continued) c d Family in Exp (Pak) Exp (Tot) Duration of the Number of a b Sr. no. Participants’ identity SIE Exposure Pakistan (years) (years) interview (Minutes) transcribed words 33 P33-CEO-M-6 Yes Yes Yes 6 20 30 2,966 34 P34-CEO-M-2 Yes Yes No 2 12 21 2,328 35 P35-Managing Director-Business-M-2 Yes No No 2 10 27 2,956 36 P36-Director-Admin-F-6 Yes No No 6 8 28 3,141 37 P37-Head of Deparmtent-Finance-M-4 No yes No 4 12 27 3,387 38 P38-Acting Director-Business-M-1 No No No 1 17 28 2,248 39 P39-Vice President-M-1 Yes Yes No 1 13 23 3,167 40 P40-Director-Engineering-M-5 Yes No No 5 15 33 2,865 41 P41-Director-Marketing-M-7 Yes Yes No 7 12 19 1,900 42 P42-Director-Finance-M-3 Yes Yes No 3 12 26 2,473 43 P43-CEO-M-3 Yes Yes No 3 17 30 2,922 44 P44-General Manager-Business-M-3 No Yes No 3 11 38 3,593 45 P45-General Manager-Business-M-3 Yes No No 3 17 16 1,899 46 P46-General Manager-Business-M-2 Yes No No 2 10 19 1,956 47 P47-Chief Manager-Engineering-M-1 Yes No No 1 11 24 1,319 48 P48-CEO-M-4 Yes Yes No 4 29 37 2,976 49 P49-Director-Services-M-10 No Yes No 10 28 15 1,696 50 P50-Vice President-M-8 Yes Yes No 8 19 26 1,810 51 P51-General Manager-Business-M-8 Yes Yes No 8 15 24 2,522 52 P52-Director-Business Development-M-1 Yes No No 1 12 13 1,688 53 P53-CEO-M-1 Yes No No 7 28 21 1,296 54 P54-Managing Director-Business-M-10 Yes No No 10 25 12 1,216 55 P55-Director-Contracts-M-4 No Yes No 4 16 12 1,197 Summary Yes = 35 Yes = 21 Yes = 2 Total = 196 Total = 712 Total = 1502 Total = 122486 No = 20 No = 34 No = 53 Avg = 3.56 Avg = 12.94 Avg = 27.3 Avg = 2227 SIE refers to Self-Initiated Expatriates, that is, those who volunteer for the assignment. Exposure refers to prior work experience in any foreign country. Exp (Pak) refers to work experience in Pakistan in years. Exp (Tot) refers to the total work experience, that is, experience in China, any other country or countries, including Pakistan. 8 SAGE Open new dimensions. An example of additional questions development; this was reduced by positive future prospects. includes: “What new things have you learned in Pakistan that Quotations regarding expatriates’ uncertainty management facilitated you in adjustment?.” are summarized in Table 2. Data analysis procedures: All audio recordings were tran- Three major cultural shocks faced by most of the inter- scribed verbatim and data were analyzed in NVivo software, viewees were adjusting with the hot weather, spicy food, and version 10. Based on the literature, an initial coding template limited entertainment opportunities. Most of the interview- (King et al., 2004) was developed, which was refined when ees were unsure about how to spend their leisure time in several new themes emerged from the data. To maintain Pakistan, as they couldn’t find any clubs or bars in Pakistan, objectivity and avoid misrepresentation, the complete data- as opposed to China. As the Chinese expatriates moved to set was double coded (Hill et al., 1997). Initially, definitions Pakistan without families, most of married Chinese expatri- of all the codes were developed for bringing clarity. Two ates experienced high uncertainty in their socio-cultural researchers simultaneously coded the first five interviews; adjustment, because of homesickness; this was compara- the kappa coefficient after five interviews was 0.60. Based tively less in the unmarried expatriates. Regarding the impact on the comparison of the node and reference summary of general support of HCNs on socio-cultural adjustment, reports, the less frequently used nodes and nodes with a weak interviewees expressed mixed responses. An interesting dis- level of agreement were identified. Both researchers dis- tinction was that Pakistani, who worked with Chinese were cussed perceptual differences and refined the definitions of more helpful, while expatriates received limited support nodes to reach a common consensus. Then, the initial five from Pakistanis outside their organizations. Overall, this fac- transcriptions were coded again by both researchers and the tor led to a negative psychological impact on the develop- kappa value improved to around 0.76. Following this, all the ment of cognition-based trust in most of the Chinese transcriptions were separately coded by both researchers in expatriates, as expatriates had different rational expectations their NVivo files and inter-coder reliability (ICR) results from HCNs. Cognition-based trust was also negatively were computed after every five interviews. The ICR score affected by poor time management of Pakistanis. Findings for subsequent transcriptions improved over time. The final additionally identified security concerns as an important fac- average kappa coefficient for 55 sources was 0.806. After tor for most of the Chinese expatriates. Despite these nega- coding all the 55 sources, a merged file was created for ana- tive factors, positive future prospects psychologically lyzing results. The final version of the coding structure com- facilitated almost all the Chinese in overcoming their initial prised of 42 nodes, and is presented as Figure 2. uncertain thoughts, as all the interviewees expressed positive perceptions regarding the impact of this assignment on their professional lives. Findings Uncertainty and anxiety management were found to be two Anxiety Management distinct stages of adjustment for Chinese expatriates; hence they were segregated in the findings section. All the findings There was a fine and permeable boundary between uncer- were associated with the existing and newly emerged nodes tainty management and anxiety management. While going categorized into four components of the AUM model, that is, through initial doubts and uncertainty challenges, the expa- uncertainty management, anxiety management, mindfulness triates also struggled with managing their emotions and and effective communication (Figure 2). Based on the analy- anxiety as illustrated by one of the Chinese: “Sometimes sis, the results are summarized in this section. when we talk with Pakistani people we don’t understand each other, so we need more communication” (P31-Deputy Director-Business-F-2). Various factors, including limited Uncertainty Management drive for communication, issues related to physical and Results suggested that most of the expatriates were quite mental health, and identity crisis were major challenges uncertain about working in Pakistan, as they had limited for interviewees; this was balanced by coping skills, emo- knowledge about Pakistan while working in China as illus- tional support, and the development of affect-based trust. trated by one of the Chinese: “I was initially kind of worried Summarized quotations regarding anxiety management of as from the news, TV and internet, Pakistan is not as safe for expatriates are presented in Table 3. Chinese, and the religion is also very different” (P16- Most of the expatriates wanted to understand the mindset Director-Admin-M-1). A few Chinese commented that they of Pakistani HCNs for managing their anxiety, yet results were appointed at the top management positions for the first suggested an overall negative drive for communication, as time; hence, they were delighted, yet quite dubious about language differences emerged as one of the major socializa- moving to Pakistan and initially found adjustment chal- tion barriers. Although most of the Chinese expatriates lenging. Thoughts of uncertainty originated from multiple were proficient in speaking English, however there were sources such as cultural shock, home sickness, lack of significant differences in the pronunciation and speaking general support and difficulty in cognition-based trust style of Pakistani people, which made it challenging for them Mumtaz and Nadeem 9 Weather challenges Cultural shock Food challenges Entertainment challenges Home sickness Uncertainty Management General support Security concerns Cognition based trust Previous information aboutPakistan Future prospects Language barriers Drive for communication Opportunities for interaction Physical & mental health Identity crisis Anxiety Cultural intelligence Management Coping skills Interpersonal skills Factors of Emotional support Adjustment Friendliness of Pakistanis Affect based trust Understanding about HCNs Pak China friendship Perceived differences Learning in Pakistan Conscious competence Mindfulness Career prospects Level of optimism Work performance Self-esteem Social bonds/ties formation Social bonding/avoidance Positive changes Social identity changes Negative changes Effective Cultural distance Communication Ideas for change Intercultural communication Figure 2. The final version of the coding structure. to engage in conversations with Pakistani people. Also, to meet HQs as well as host unit’s expectations, hence result- limited opportunities for interaction weakened their drive ing in increased pressure and stress for a few of them. Some for communication. Challenges in managing emotions faced identity crisis and commented that working and living further negatively impacted the physical and mental in Pakistan initially led to loneliness, and they felt lost, thus health of most of the interviewees. The above challenges facing psychological adjustment challenges. indicated a negative impact on the socio-cultural adjustment Despite the negative impact of some factors, socio-cul- of expatriates. Further, expatriates’ positions required them tural factors such as strong coping skills, cultural intelligence 10 SAGE Open Table 2. Supporting Quotations for Uncertainty Management. “Before coming, I just knew that China and Pakistan are friendly countries, and I didn’t know Pakistan very well at that time because I had never been here. I was expecting at that time to see this country, because it was little mysterious for me, just like a place that is covered and not having a lot of information.” (P26-General Manager-Business-M-3) Cultural shock—Initial Weather challenges confusion because of lack of “First few days, most important feeling was that it is too hot. Because when I came here, it familiarity was August 2013, when I got off the airplane, I felt a little, no not a little, very hot. Because in China, the highest temperature is 38 or 39, 37 degrees. But in August in Pakistan, even in evening, the temperature is more than 40. It was very hot. It is the most important experience in my mind.” (P40-Director-Engineering-M-5) Food challenges “Actually the first problem is food; I try different Chinese food in Chinese hotels. But food here is different from China. This is first problem. We cannot eat Pakistani food. In house we cook Chinese food ourselves.” (P42-Director-Finance-M-3) Entertainment challenges “Our life is limited here. We cannot go outside more frequently. It is just like we want to visit places, but we are not allowed. We only have to stay in house and no entertainment, so that makes me sad.” (P11-Senior Director-Engineering-M-3) Home sickness—Inability in “Sometimes, I feel homesickness. Whenever there is an event in China, like Chinese new adjustment caused by being away year, every Chinese feels homesickness.” (P1-Deputy Director-Operations-M-3) from home General support—General “I found 40% to 50% Pakistani don’t want to open themselves, they are not willing to show assistance provided by HCNs themselves.” (P5-Head of Department-Business Development-M-1) Cognition-based trust—Trust Security concerns developed on rational approach “You know some news from T.V or mobile or magazine, they are not good for introducing Pakistan because they talk about some terrorists in Pakistan, not safety. But actually inside, people are honest, have good relationship with Chinese.” (P46-General Manager- Business-M-2) Previous information about Pakistan “That time, you know some news from TV or mobile or magazine, they are not good for introducing Pakistan because they talk about some terrorists in Pakistan, not safety. But actually inside, people are honest and have good relationship with Chinese.” (P46-General Manager-Business-M-2) Future prospects—Perceptions “This is the first time; I became GM, who can manage office for the allies in countries, so I regarding future think this was also a challenge for me. After 2 or 3 years, I know how to do the work and do the administration and financials. So after that this will be a very helpful experience for me in the future to improve my career.” (P26-General Manager-Business-M-3) and interpersonal skills, facilitated most expatriates in anxi- getting engaged in developmental efforts, as illustrated by ety management. Also, the interpersonal skills of most of the one of the interviewee: “I think, I have learned how to com- expatriates were improved in a few months and helped them municate with Pakistani people because their mindset is dif- in expressing their emotions with HCNs. This further helped ferent from Chinese people and we can teach and learn from them psychologically in getting emotional support from each other” (P55-Director-Contracts-M-4). Key factors that HCNs in and outside their work environment, as most of the played an active role in expatriates’ engagement at this stage expatriates highlighted that Pakistanis are like brothers to included less perceived differences, conscious competence them. Such factors were helpful in psychological adjustment, and a high level of optimism; this active involvement was and led to the development of affect-based trust, that is, challenged by lowered self-esteem in many cases. Supporting development of emotional attachments among expatriates quotations concerning mindfulness of expatriates are pre- and HCNs in most expatriates through friendliness of sented in Table 4. Pakistanis. Overall, the development of trust with the pas- Several expatriates expressed that working and living in sage of time led to successful anxiety management in most of Pakistan has led to their socio-cultural adjustment through them. reduced perceived differences between Pakistanis and Chinese in their minds, partially because of Pak-China friendship. Making vigilant adjustment efforts to adjust in Mindfulness Pakistan (conscious competence) psychologically facilitated Mindfulness was identified as the key to the adjustment of most expatriates in learning about numerous new aspects, for expatriates. After successfully managing their uncertainty example, helped them in understanding that Pakistanis are and anxiety in Pakistan, several Chinese expatriates started happy and care-free people. Such efforts had a positive Mumtaz and Nadeem 11 Table 3. Supporting Quotations for Anxiety Management. “I was anxious in the start as I did not know this country. So I landed in the airport, I saw the surrounding green area, the streets were clean. I got the initial image of very nice country. So after landing here, I could see that this is a friendly country, easy going country.” (P49-Director-Services-M-10) Drive for Language barriers communication— “I think the first challenge is language part and English here is not same as in other parts of the world Willingness of interaction and pronunciation here is different and I think after three months everything was fine and I now with HCNs understand local English very well.” (P10-Head of department-Marketing-M-4) Opportunities for interaction “I think, I communicate only with Chinese friends, as we stay in house most of the time, because of the rules in the house we don’t go out and stay with Chinese colleagues.” (P16-Director-Admin-M-1) Physical and mental “I cannot travel anywhere freely, that’s why body or mechanism of body is not good. Every year health—Impact of we go to China for checkup and you know that result of that thing is not good for us. And other assignment on overall health thing I found is that it is easy to get angry here and maybe due to the weather and this is not only with me but with my other colleagues. It is really easy to get angry here.” (P10-Head of department- Marketing-M-4) Identity crisis—State of “I think you know loneliness, sometimes I feel loneliness, because far from my hometown, far from being lost in a host country my country. But I think when this work will finish, maybe I will go back to China and everything will be good.” (P30-Managing Director-Business-M-3) Coping skills—Availability Cultural intelligence of psychological resources for “I went to my friend’s place in Attock and had lunch at his home and it was very extraordinary coping with anxiety experience because he had Falcons in his home. Also, we experience how Pakistani local people treat the guest in the traditional way. He invited his relatives and his cousins and they were very welcoming people.” (P16-Director-Admin-M-1) Interpersonal skills “I still think that the people in the world in some way are common. People need to communicate; people need to understand each other very well. Maybe we are different kind of people; we have different ways, different visions. But the first is to show respect, the second is to communicate and try to understand each other. So it’s not a big problem for me, because I went to many countries already, so I know how to show my respect to people here, and to communicate with people here.” (P26-General Manager-Business-M-3) Emotional support— “I still remember the first time I go to Centaurus to watch the movie, and I was standing in the line, I Emotional assistance want to buy the tickets, and the people were very friendly, telling me that you just choose the seat provided by HCNs first. So it was very well.” (P39-Vice President-M-1) Affect-based trust—Trust Friendliness of Pakistanis developed on emotional “Pakistani people are very friendly. Just stay friends with Chinese. When you are in China, and have approach some problem on the road, your car is broken; maybe you have accident with others. They won’t even help you. Nobody will ask you oh, brother are you ok, like this. Because socially, we have problem like this. But here is Pakistan, they will help you. I like this about Pakistan and you have problem they will come automatically to help you.” (P43-CEO-M-3) Understanding about HCNs “I can understand mindset of some people. About 40% I cannot say, I understand. Actually, generally speaking, I think for all Pakistanis their thinking is similar. Not too complex. For the Chinese, maybe difference in culture, but Chinese is too much complicated. Very complex, even for me right now. For some time you talk with some Chinese, they say I want ‘A’ but maybe they want ‘B’. You should learn what their aim is; maybe they are thinking something else. But for Pakistani normally it is easy. I think.” (P44-General Manager-Business-M-3) impact on expatriates’ psychological adjustment as it reach, as this required extensive involvement and efforts increased the “level of optimism” in Chinese expatriates from expatriates. However, approximately two-thirds of the regarding their career prospects, and as most expatriates expatriates made comments which indicated that they suc- wanted to extend their assignment in Pakistan or wanted to cessfully reached this stage and others were still struggling work in other countries for enhancing their exposure after around this stage. this assignment. Regarding self-esteem, most expatriates were anxious about the change in their work performance; Effective Communication several experienced expatriates indicated that their work per- formance had decreased in Pakistan, as it was difficult for The final stage of adjustment was characterized by “effective Pakistanis to match the Chinese work standards. Overall, communication,” in which Chinese expatriates not only felt mindfulness was found to be the most challenging stage to adjusted but fully embraced Pakistan’s culture, as illustrated 12 SAGE Open Table 4. Supporting Quotations for Mindfulness. “I spend most of my free time with Pakistanis, because my friends at work almost every day we see and talk, so I spend with them. But in free time, I stay with Pakistani friends, because most of the time, I cannot go to eat out or anywhere with them because I am busy in meeting or work. So when they call me, I say ok I go out with you.” (P51-General Manager-Business-M-8) Perceived differences— Pak-China friendship Judgment regarding differences “I just believe all the Pakistanis are brothers, we can say, we are very, very close friendship, between home and host country we are really brothers. Pakistani loves Chinese people from the heart. Chinese people love Pakistanis also from the heart. We should join together; this is from my heart.” (P54-Managing Director-Business-M-10) Conscious competence— Learning in Pakistan Vigilant efforts of involvement in “First I will tell you working in a foreign country in this company; you should have many skills a host country and knowledge. You should speak English and have good understanding with local people and you should have technical knowledge and lastly you should have knowledge of marketing like how to spread your business and get customer. You should have knowledge of financing and you should have knowledge of management and every day we are improving.” (P17-Director- Business Development-M-4) Level of optimism— Degree Career prospects of hopefulness in a host country “In the coming years, China is going to bring a lot of investment to Pakistan. And I myself know that there will then be a lot of opportunities to earn money; so for any Chinese, it is clear that Pakistan is the best place to be in to earn money.” (P48-CEO-M-4) Self-esteem—Perceptions Work performance regarding individuals’ self-worth “I think, my work performance has decreased because of the working process and quality of work in Pakistan is much slow, one job in Pakistan need one week to complete but in China may be one day.” (P4-Deputy CEO-M-10) by one Chinese, “Most of the Pakistani told me I have become Achieving effective communication was an extremely half Pakistani. Even when I go to China; they say I am half challenging stage. Comments from approximately half of the Pakistani now” (P49-Director-Services-M-10). Key factors expatriates reflected reaching this stage. Individual differ- that facilitated expatriates in socio-cultural and psychologi- ences, such as prior international and top management expe- cal adjustment at this stage included cultural distance, inter- riences facilitated few expatriates who achieved this stage, cultural communication, social bonds formation, and social while others were struggling because of lack of such experi- identity changes. Quotations regarding Chinese expatriates’ ences. Hence some were taking longer to achieve this final effective communication are presented in Table 5. stage. Several Chinese expatriates expressed that they felt more comfortable in their socio-cultural interactions with Pakistanis Discussion overtime through social bonds formation. Development of strong social bonds further led to social identity changes in a The AUM Model of Expatriates’ Adjustment few Chinese expatriates, that is, there were changes in their ways of work, improvement in their listening skills, or devel- This section uses the findings of the study and proposes an opment of teamwork skills. In general, most of the expatriates AUM model of expatriates’ adjustment. The AUM model of who reached this stage expressed that they had accepted expatriates’ adjustment, as the name indicates, is directly minor changes in themselves and became more open and based on the AUM framework, and categorizes factors of accepting toward the attitude of Pakistanis over time. These adjustment at multiple levels to propose that top manage- changes indicated a positive impact on expatriates’ psycho- ment expatriates are likely to go through four stages, that is, logical adjustment. Interestingly, high “cultural distance” uncertainty management, anxiety management, mindfulness, also positively impacted socio-cultural adjustment of some and effective communication, before completely adjusting in expatriates in Pakistan—particularly the slow pace of life a host unit. This model is summarized in Figure 3. Factors facilitated a few expatriates in easily adapting to changes. along the X-axis represent the psychological adjustment fac- Such changes improved the overall intercultural communica- tors, and those along the Y-axis represent the socio-cultural tion and led to an increased psychological understanding in adjustment factors at each stage. Unlike the majority of the expatriates regarding the individual and cultural similarities literature where the concepts of uncertainty and anxiety man- and differences. It was also reflected through such expatri- agement have been discussed together in the AUM literature ates discussing constructive ideas for bringing changes in (Nishida, 2015; Stephan et al., 1999), uncertainty and anxi- Pakistan. A few Chinese expatriates mentioned that success- ety management have been identified as distinct, yet perme- ful intercultural adjustment had helped them in effectively able stages, that is, Stage-1 and Stage-2 of adjustment in this handling work conflicts as well. model. Mumtaz and Nadeem 13 Table 5. Supporting Quotations for Effective Communication. “It is more than seven years, and I am used to Pakistani people and staff. First, my English got improved by colleagues or friends, or sometimes they invite me for some dinner or hiking or fishing, and I think I know so much about Pakistani culture.” (P8-Senior Director- Operations-M-8) Social bonding/ Social bonds formation avoidance—Expatriates’ “I have both Chinese and Pakistani friends, I like sitting with my Pakistani friends and chatting with approach toward social bonds them, but we don’t have the same language. So I like to talk to those Pakistanis who are working development in my company who understand Chinese language; we sit together and discuss problems and find solutions and learn from each other.” (P48-CEO-M-4) Social identity changes— Positive changes Development of new “I think the most important change in my mind is about how to enjoy the life. Because in China behaviors and attitudes in every day, I know that in China everyday everybody no matter doing work no matter doing expatriates anything else, do worry fast, quickly. We always think the emotion of nervous, and hurry up. In Pakistani everybody looks very slow, everybody go to work just to enjoy the life. No need of too much hurry, they just look very happiness.” (P40-Director-Engineering-M-5) Negative changes “Yes, too much change. Before, I was quick in finishing my work. But now, I delay work. Here if someone says 4pm, maybe that means 5pm or 6pm, so I have changed.” (P33-CEO-M-6) Cultural distance— “At the beginning when China was just opening up for the world, that’s around 40 years ago, so Differences between culture at the very beginning, the development of China was far behind Pakistan. But after this time, it of home and host country has already overtaken some of the developed countries. So under this one, we think the Chinese work very hard and are punctual as well, so this is different with Pakistani people.” (P50-Vice President-M-8) Intercultural Ideas for change communication— “Because you know I am a lady, I want most of the girls, women to go out and work. Be Improved understanding and independent. In China 95% almost all the women go out. We earn the money by ourselves, and communication between then we can make the decision. I hope all the Pakistani ladies and women can earn the money by people of different cultures themselves. I think all the people I think are equal. What men can do, we can also do.” (P36- Director-Admin-F-6) Stage 1 illustrates initial adjustment challenges and sug- simultaneously struggle with mental and emotional chal- gests that top management expatriates face several uncer- lenges, and leads to the extended struggles in the second tainties and mental challenges during the first few months of stage. At Stage 2, top management expatriates are likely to their stay at a host unit, particularly if they are unaware about experience anxiety, arising from psychological challenges the culture and practices of the host country. Overall, the such as identity crisis (Presbitero, 2016; Shafaei & Razak, challenges identified at the first stage of adjustment in this 2018), and socio-cultural factors such as physical and mental study overlap with findings of other studies. Challenges such health issues (Kraeh et al., 2016). It is suggested that socio- as cultural shock, home sickness and general support, have cultural factors such as drive for communication and strong been identified as socio-cultural adjustment factors in the coping skills (Beaven & Spencer-Oatey, 2016; Selmer et al., past literature (Selmer, 1999; Shafaei & Razak, 2018; Sterle 2015), along with psychological factors such as emotional et al., 2018), while cognition-based trust and future prospects support and development of affect-based trust (Bonache (Maertz et al., 2016; Mahajan & Toh, 2014) relate exclu- et al., 2016; Mahajan & Toh, 2014) facilitate most expatriates sively to the psychological adjustment of expatriates in the in getting support from HCNs. Overall, socio-cultural factors initial stage. Overall, boundaries between the two dimen- slowly influence some aspects of the mental adjustment sions of socio-cultural and psychological adjustment are and thinking process of expatriates at Stage 2, which illus- likely to remain firm at Stage 1. Further, results indicated trates the beginning of the interaction between socio-cultural that that instead of taking facilitation from HCNs or local and psychological dimensions. The initiation of the above units, top management expatriates interact more with the interaction facilitates expatriates in realizing the importance HQs and their families from home countries for dealing with of getting along well with HCNs, and encourages positive initial adjustment challenges. Thus, expatriates remain under communication between expatriates and HCNs, thus reduces the dominant influence of their home country at Stage 1. their reliance upon the HQs and weakening the impact of their Lack of adjustment with the initial uncertainties is likely to home country on them. Thus, top management expatriates negatively impact the emotions of top management expatri- who overcome anxiety are likely to move toward Stage 3 in a ates and leads to anxiety at Stage 2. Although Stage 1 and shorter span of time. Stage 2 are distinct from each other, yet complexity of two- Stage 3, mindfulness, is suggested as a major turning fold responsibilities (i.e., top management responsibilities point in this model. A transition from Stage 2 to Stage 3 is and adjustment) may permit top management expatriates to likely to be difficult, as represented by a solid line between 14 SAGE Open Dominant influence Balanced influence Dominant influence of of home and of home country host country host country Adjustment of Drive for expatriates communication (-) Cultural distance Perceived (+) differences (+) Cultural shock Social bond/ (-) avoidance Physical (+) and mental health Social identity (-) Level of changes STAGE 4 optimism (+) (+) Home sickness (-) Intercultural Effective communication Communication (+) Coping skills (+) STAGE 3 General support (-) Mindfulness Conscious Self-esteem competence (-) (+) STAGE 2 Anxiety Management Identity crisis Emotional Affect-based (-) support trust (+) (+) STAGE 1 Uncertainty Cognition-based Future Management trust prospects (-) (+) Factors of Psychological Adjustment Figure 3. The AUM model of expatriates’ adjustment. Note 1. ---------------- indicates a boundary which is permeable and easy to cross. indicates a boundary which is difficult and challenging to cross. Note 2. “+” sign indicates the factors that facilitate expatriates in their adjustment. “-” sign indicates the factors that create challenges in the expatriates’ adjustment process. the two stages in Figure 3. This stage is likely to be time tak- Nadeem & Mumtaz, 2018) are expected to integrate closely ing for expatriates, and several may not reach this stage as with psychological factors such as conscious competence socio-cultural factors such as perceived differences and level and self-esteem (Firth et al., 2014; Jannesari et al., 2017). of optimism (Arman & Aycan, 2013; Brissette et al., 2002; Thus, it would require expatriates to engage in vigilant Factors of Socio-cultural Adjustment Mumtaz and Nadeem 15 efforts for improving their proactive involvement in a host to goals achievement in host countries. Finally, the flexible country and reaching the stage of mindfulness where they approach and success at host countries is also likely to can understand the perspective of HCNs with an open and facilitate top management expatriates in quick re-integra- flexible approach (Ang & Tan, 2016; Wang & Varma, 2018). tion as repatriates and in achieving organizational goals In many organizations, this level of expatriates’ adjustment is in HQs. likely to be optimum, as expatriates feel considerably adjusted in a host country and maintain a professional rela- Practical Implications tionship with HCNs; however, they are likely to perform their work activities according to the core cultural values of This study has several practical implications. The findings their parent company. They can thus successfully manage of this study suggest that the adjustment process may be HQs as well as subsidiaries’ expectations. particularly challenging for expatriates in the first few The final stage of expatriates’ adjustment, that is, Stage months of their stay in a host country, as expatriates go 4 reflects the highest level of adjustment. At this stage, through cultural shocks and experience home sickness in socio-cultural factors such as cultural distance and social initial stages of adjustment. Thus, the role of subsidiary and bonds formation (Bhaskar-Shrinivas et al., 2004; Peltokorpi HCNs, as HCNs can engage in proactive communication to & Froese, 2014) are likely to closely interact with psycho- reduce the language barriers. Further, the provision of cog- logical factors such as social identity changes and intercul- nitive and emotional support by HCNs can facilitate expa- tural communication (Bonache et al., 2016; Tahir, 2018). triates in developing an understanding of the socio-cultural Thus, the boundaries between socio-cultural and psycho- and psychological environment of a host country. In addi- logical dimensions are likely to be blurred. This level of tion to this, family support, or lack thereof, was another key adjustment may only be experienced after spending consid- challenge, as expatriates initially faced challenges in get- erable time with HCNs within and outside the work envi- ting social support because their family members were not ronment, which results in expatriates being a psychological allowed to accompany them in these assignments. Chinese part of the host country’s culture. Increased compatibility companies may benefit from such a policy by incorporating with HCNs and the dominant influence of the host country some flexibility in their international work procedures to would encourage top management expatriates to act more facilitate expatriates in their adjustment. They may other- in accordance with the expectations and culture of the host wise deploy unmarried expatriates for working at top posi- country than the HQs. tions of international assignments, as suggested by the There are two perspectives in evaluating the ideal level of findings. adjustment in the proposed model. Keeping in view organi- Further, in line with the findings and adjustment chal- zational as well as expatriates’ perspective (DeNisi & lenges, HQs are recommended to integrate psychological fac- Sonesh, 2016; Harzing, 1995; Harzing & Christensen, 2004), tors such as self-esteem, emotional support and affect-based it is suggested that the highest level of expatriates’ adjust- trust, along with socio-cultural factors, in their pre-departure ment (i.e., effective communication) may not represent the cross-cultural training programs. Provision of such trainings ideal level of adjustment as the development of informal would facilitate expatriates in understanding how they can get relationships with HCNs and social identity changes may psychological support from HCNs in a host country. Also, deteriorate the focus and impact the performance of top man- these trainings are likely to prepare expatriates on how they agement expatriates. To elaborate, weakened ties with the can effectively use their coping skills, and overcome the HQs and the home country might lead to contradictions impact of negative factors such as identity crisis and health between expatriates and HQs, and hinder them from achiev- challenges in a host country. The findings of the current study ing the goals of the HQs in host countries. These expatriates also highlighted an essential role of positional experience and are also likely to face challenges in “re-adjustment” after prior international exposure in the adjustment process. Hence, returning to their home countries as repatriates. Thus, despite HR departments of HQs are recommended to take into greater adjustment than the mindfulness stage, effective account prior experiences of employees, before assigning communication is likely to lead to negative impacts on expa- them for top management international assignments, as less triates as well as organizational performance. experienced individuals are likely to experience greater pres- In comparison, “mindfulness” may represent the optimal sures. Finally, the proposed model of this study suggests that level of adjustment. At this stage, it is expected that top organizations need to link their efforts for expatriates’ adjust- management expatriates will develop unique psychological ment with the mindfulness stage of adjustment. In this regard, competencies, flexible approach and leadership abilities organizations are encouraged to create an enabling environ- through the new exposure. Such individual level competen- ment where expatriates and HCNs can develop high quality cies are likely to facilitate expatriates in creating a condu- professional relationships. Moreover, HQs are recommended cive culture, where they integrate some feature of local to provide continuous support and guidance to top manage- culture with HQs values and maintain adequate level of ment expatriates throughout their assignments, so that top control. Thus, optimal level of adjustment is likely to lead management expatriates can maintain adequate level of 16 SAGE Open connectivity at both ends and maintain a balance between important, given the fact that China has expanded its global HQs and subsidiary’s expectations. presence and has gained the fastest economic growth over the past few decades (Textor, 2021). However, future researchers may expand their understanding and identify Limitations and Future Research Directions additional factors of adjustment by examining, testing or This section elaborates on the limitations of this study, along generalizing the model in different country settings. with future research directions. First, only those participants were included in this study who had been working in Pakistan Conclusion for more than a year; results suggested that several among them achieved mindfulness and a few had successfully This study uses the AUM model to develop an understanding engaged in effective communication. There may be several of the socio-cultural and psychological factors of expatriates’ expatriates who would have left their assignment in Pakistan adjustment, interdependencies between the two dimensions early because of adjustment issues; however, they were not of adjustment and stage-wise process of expatriates’ adjust- part of this study. Future studies may adopt a longitudinal ment. Based on the analysis of the qualitative data collected research design, and also focus on those expatriates who from 55 Chinese top management expatriates in Pakistan, leave their assignments early because of adjustment issues existing and new factors of adjustment were combined to for a clearer understanding of the socio-cultural and psycho- develop a comprehensive understanding of expatriates’ logical adjustment challenges for expatriates. adjustment by presenting the AUM model of expatriates’ Second, the research design of the study focused on adjustment. This model illustrates a step-wise mechanism of Chinese expatriates who were hired at top management posi- expatriates’ adjustment in four stages, that is, uncertainty tions in Pakistan where respondents were asked to report management, anxiety management, mindfulness and effec- emotions and feelings themselves. However, some of the tive communication. In view of the findings, mindfulness is interviewees did not provide extensive details about their suggested as the optimum stage of adjustment from organi- experiences because of busy schedules, time pressures, and zational as well as expatriates’ perspective. Furthermore, this security concerns. This was somehow compensated by model also helps in bridging the gap between socio-cultural increasing the number of interviews and by analyzing infor- and psychological dimensions of adjustment, and suggests mal memos along with interview data. However, future that boundaries between these two dimensions of adjustment researchers are recommended to include expatriates as well as are likely to remain firm at initial stages, while psychological their colleagues in a research design to confirm findings with factors are likely to be deeply entangled with socio-cultural another individual that the respondent interacted with on a factors at higher stages. regular basis. Moreover, the integration of multiple qualita- tive techniques, such as interviews and observations, may Declaration of Conflicting Interests facilitate researchers in getting deeper insights about the fac- The author(s) declared no potential conflicts of interest with tors and the process of adjustment, if access can be obtained. respect to the research, authorship, and/or publication of this Third, despite carefully finalizing the research design, domain article. experts were not a part of the interview process. Future researchers may involve psychologists in the interview pro- Funding cess for ensuring that all the verbal and non-verbal aspects of The author(s) disclosed receipt of the following financial support socio-cultural and psychological adjustment are covered. for the research, authorship, and/or publication of this article: This Fourth, the Chinese expatriates which were a part of this work was supported by the Higher Education Commission (HEC), study belonged to different locations in China. Many of them Pakistan [grant number: 10188/Punjab/NRPU/R&D/HEC/2017]. were from large cities while some belonged to smaller cities. Also, some lived closer to the Pakistani-China border. Such Ethics Statement differences might have uniquely impacted the exposure and The authors declare that they have conducted research in accor- knowledge-level of interviewees. Despite the inclusion of dance with the ethical guidelines of the Sage Open Journal. several attributes in this research, data were not collected about the town or city to which each expatiate belonged and ORCID iD hence location-based effects were not examined. Future Sana Mumtaz https://orcid.org/0000-0002-3593-5784 researchers are recommended to deepen an understanding of the adjustment of top management expatriates by taking into References account such location-based differences. Finally, the data used for developing the AUM model of Abdul Malek, M., Budhwar, P., & Reiche, B. S. (2015). Sources adjustment were extracted from two Asian countries; thus of support and expatriation: A multiple stakeholder perspec- this research is context-specific. The Chinese sample is tive of expatriate adjustment and performance in Malaysia. Mumtaz and Nadeem 17 The International Journal of Human Resource Management, stereotyping of corporate expatriates. A social identity analy- sis. 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Published: Feb 16, 2022

Keywords: anxiety uncertainty management model; Chinese top management expatriates; psychological adjustment; socio-cultural adjustment; qualitative research

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Understanding the Integration of Psychological and Socio-cultural Factors in Adjustment of Expatriates: An AUM Process Model:

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