Expatriate adjustment and subsidiary performance: a motivation-hygiene perspective

Purpose: Drawing on Herzberg's motivation-hygiene perspective, this study examines the factors affecting expatriate adjustment and the relationship between expatriate adjustment and subsidiary performance of emerging market multinational enterprises (EMNEs). Design/methodology/approach: Using structural equation modeling, this study tests a proposed conceptual model based on a matched dataset collected from 38 EMNEs. Findings: The findings reveal that perceived organizational support (POS) and family adjustment are positively associated with expatriate adjustment, while remuneration and job burnout have no significant relationships with expatriate adjustment. In addition, expatriate adjustment is positively associated with the foreign subsidiary performance of EMNEs. Originality/value: This study contributes to expatriate adjustment research in the EMNE context by distinguishing motivators and hygiene factors in affecting the expatriates' attitudes toward international assignments. Empirical evidence of expatriate adjustment-subsidiary performance relationship also enriches the authors’ knowledge of EMNEs' expatriation practices.