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Sustainable expatriate compensation in an uncertain environment
Open accessAbstract
This study examines an important area of strategic global human resource management - expatriate managers' compensation in times of global business uncertainty. While expatriation has numerous well-documented benefits for multinational corporations (MNCs), it is incredibly costly. In consequence, when global business conditions become uncertain, the expatriate program in MNCs is typically one of the first budget centres to be targeted for cost savings. The MNC typically radically restructures expatriate remuneration. The resultant effect of these actions is a negative impact on the relationship between the expatriate and the MNC, ultimately reducing expatriate performance and thereby abating the many advantages that the expatriate program brings to MNCs. Social Exchange Theory and Real Options theory help to provide a theoretical framework to understand how expatriate compensation decisions can help to create a desirable sustainable expatriate program in MNCs.
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“The mutual-benefits perspective is essential to managing sustainable international operations, because a sustainable business should satisfy multiple stakeholders (e.g., firms and their employees), rather than merely maximize shareholders' interests per se (Maley et al., 2020).”
From Advancing the sustainability agenda through strategic human resource management: Insights and suggestions for future research (2023) · cites this paper as Maley et al., 2020
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Metadata
- Authors
- Maley, J. F., Moeller, M., & Ting, A. F.
- Affiliations
- Sabancı Üniversitesi (TR)
- The University of Queensland (AU)
- Corresponding author
- Maley, Jane F.
- Venue
- Journal of International Management
- Publisher
- Elsevier BV
- Published
- 2020-09
- Volume
- 26
- Issue
- 3
- Pages
- 100776
- ISSN
- 1075-4253 (ISSN-L)
- PMC
- PMC7364166
- OpenAlex
- W3043159559
- Cited by
- 30
- References
- 80
- Citations by year
- 2026: 3 · 2025: 5 · 2024: 2 · 2023: 7 · 2022: 8 · 2021: 5
- FWCI
- 5.99
- Type
- journal article
- Language
- en
- Open access
- green
- www.ncbi.nlm.nih.gov
- Licence
- www.elsevier.com/tdm/userlicense/1.0/ (tdm)
- www.elsevier.com/legal/tdmrep-license (tdm)
- Locations
- Journal of International Management (publishedVersion)
- PubMed Central (publishedVersion)
- Sabanci University (submittedVersion)
- RePEc: Research Papers in Economics (submittedVersion)
- Topics
- Social Sciences › Communication › International Student and Expatriate Challenges
- Social Sciences › Business, Management and Accounting › Strategy and Management › International Business and FDI
- Social Sciences › Business, Management and Accounting › Organizational Behavior and Human Resource Management › Human Resource and Talent Management
- Keywords
- expatriate compensation, expatriate managers, multinational corporations, expatriate performance, social exchange theory, real options theory
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