1. The use of expatriates is increasing due to increased globalization, and they are essential to global
international business. But what are the functions of expatriates? In your explanation include a
description and example. Which of these functions extend the control of the headquarters of the
subsidiaries?
- Expatriates: employees who is working and temporarily residing in a foreign country within an
international firm’s foreign operation ( refer as international assignees)
- Functions of expatriates: they help companies establish operations in other countries, enter overseas
markets or transfer skills and knowledge to their companies business partners.
o Improving local market knowledge: they gain deeper understanding of local market conditions,
business practices and cultural factors to help organizations reduce risks and avoid mistakes
that could limit market success when they want to operate in foreign country.
o Instill company culture: by working closely with overseas subsidiaries, distributors, agents and
joint venture partners to help them understand the parent’s companies cultures, standards and
values. They use the understanding of cultural differences to modify those practices to be in
line with local business practices. By instilling parent company culture and practices, expatriates
ensure customers receive a consistent standards of service in all export territories.
o Transfer knowledge: they transfer knowledge and skills to overseas partners, help with the
implementation of corporate working practices and quality standards or use technique and
technologies developed in the parent company. Providing partners with product and market
knowledge and develop joint programs to improve market penetration.
o Increase local control: help the company increase control in business and financial factors.
Establishing financial and operational targets to work with business partners in order to achieve
targets and monitor performance. Providing reports to PCN companies accurately and in the
position to take remedial actions if they cant meet the target. Ensuring local companies with
policies and procedures and quality and customer service standards. The role of expatriate is to
help ensuring the proper behavior of people in the organization to enable headquarters to
make sure that subsidiaries behave in a way that is in concordance with headquarters policies
and practices. There are three main ways for expatriates to help controlling: firstly: the can
serve to complement HQ Centralization of decision making and direct surveillance of
subsidiaries by headquarter managers. Secondly, they also be used to realize control based on
socialization and the creation of informal communication networks. Thirdly they can weave an
informal communication networks for the organization
o Develop Management Talent: develop their own management skills and competencies as they
learn to recognize and understand the diversity of local market conditions in different locations,
give them a broader perspective on marketing. They also can develop their leadership and
interpersonal skills to manage with multi-cultural teams.
Changing role: as organization nowadays recognize the value of developing local talent in export markets as a
way to meet the needs of individual markets. Encouraging the expatriates to develop local successors who can
take over responsibilities
2. A Human Resource manager working for a multinational company would be expected to have a much
broader knowledge of employment related matters compared with a counterpart in a domestic
company. What types of knowledge would you expect an international HR manager to have? List and
explain five items that you think most important in this regard?
o More HR activities: international taxation, international relocation and orientation ( arranging
for pre-departure training, providing immigration and travel details, providing housing,
shopping, medical care, recreation and schooling information as well as determination of
various overseas allowances and taxation treatment), administrative services for expatriates,
host-government relations and language translation services. These services can be complex
and time-consuming due to the conflict with local conditions. Ethical questions can arise
because some practices might be legal and ethical in host country but not home country.
international business. But what are the functions of expatriates? In your explanation include a
description and example. Which of these functions extend the control of the headquarters of the
subsidiaries?
- Expatriates: employees who is working and temporarily residing in a foreign country within an
international firm’s foreign operation ( refer as international assignees)
- Functions of expatriates: they help companies establish operations in other countries, enter overseas
markets or transfer skills and knowledge to their companies business partners.
o Improving local market knowledge: they gain deeper understanding of local market conditions,
business practices and cultural factors to help organizations reduce risks and avoid mistakes
that could limit market success when they want to operate in foreign country.
o Instill company culture: by working closely with overseas subsidiaries, distributors, agents and
joint venture partners to help them understand the parent’s companies cultures, standards and
values. They use the understanding of cultural differences to modify those practices to be in
line with local business practices. By instilling parent company culture and practices, expatriates
ensure customers receive a consistent standards of service in all export territories.
o Transfer knowledge: they transfer knowledge and skills to overseas partners, help with the
implementation of corporate working practices and quality standards or use technique and
technologies developed in the parent company. Providing partners with product and market
knowledge and develop joint programs to improve market penetration.
o Increase local control: help the company increase control in business and financial factors.
Establishing financial and operational targets to work with business partners in order to achieve
targets and monitor performance. Providing reports to PCN companies accurately and in the
position to take remedial actions if they cant meet the target. Ensuring local companies with
policies and procedures and quality and customer service standards. The role of expatriate is to
help ensuring the proper behavior of people in the organization to enable headquarters to
make sure that subsidiaries behave in a way that is in concordance with headquarters policies
and practices. There are three main ways for expatriates to help controlling: firstly: the can
serve to complement HQ Centralization of decision making and direct surveillance of
subsidiaries by headquarter managers. Secondly, they also be used to realize control based on
socialization and the creation of informal communication networks. Thirdly they can weave an
informal communication networks for the organization
o Develop Management Talent: develop their own management skills and competencies as they
learn to recognize and understand the diversity of local market conditions in different locations,
give them a broader perspective on marketing. They also can develop their leadership and
interpersonal skills to manage with multi-cultural teams.
Changing role: as organization nowadays recognize the value of developing local talent in export markets as a
way to meet the needs of individual markets. Encouraging the expatriates to develop local successors who can
take over responsibilities
2. A Human Resource manager working for a multinational company would be expected to have a much
broader knowledge of employment related matters compared with a counterpart in a domestic
company. What types of knowledge would you expect an international HR manager to have? List and
explain five items that you think most important in this regard?
o More HR activities: international taxation, international relocation and orientation ( arranging
for pre-departure training, providing immigration and travel details, providing housing,
shopping, medical care, recreation and schooling information as well as determination of
various overseas allowances and taxation treatment), administrative services for expatriates,
host-government relations and language translation services. These services can be complex
and time-consuming due to the conflict with local conditions. Ethical questions can arise
because some practices might be legal and ethical in host country but not home country.
