The Influence of Cultural Distance on Expatriates’ Adjustment, Social Connection and Job Satisfaction

Abstract

As multinational companies expand, the importance of expatriates grows. Global expatriates face the challenges of successfully carrying out overseas missions under different culture, value, language and living environment. Thus, the expatriates’ perception of cultural difference between parent country and host country may significantly impact their personal interaction with the locals and their adaptability in the foreign society, and these factors may subsequently influence their satisfaction on the job. This study is based on the measurement of horizontal and vertical individualism and collectivism (Triandis, 1996) and investigates the relationship among cultural distance, expatriate adjustment, connection and job satisfaction of expatriates. Samples for this study were purposefully selected from expatriate managers of foreign companies located in Taiwan. A total of 675 mail surveys were sent out, with 101 in return, yielding a 15% response rate. Multiple regression analysis was carried out to test study hypotheses. Major findings of this study include: 1. Perception of cultural distance in horizontal collectivism values has a negative effect on expatriates’ overseas adjustment and social connection. 2. Perception of cultural distance in horizontal individualism values has a positive effect on expatriates’ social connection and job satisfaction. 3. Social connection has a strong positive effect on expatriates’ job satisfaction. 4. Social connection has a partial mediating effect between culture distance in horizontal individualism values and job satisfaction.