Question

What is the role of expatriates in international business? How has this role changed recently, due to, among others, reduced communication and travel costs, and the increased empowerment of international subsidiaries?

Answer 1

The role of expatriates in international business is the overseas work assigned by the company to the employee. Most of the companies involved in international procurement are multinational corporations (MNCs). MNCs send employees from home to another country for business operations in an office or branch abroad. These employees are called foreigners. International affairs can perform a number of important organizational functions and is seen as an opportunity for organizational development in building a global and mature workforce. As a result of globalization and saturation of the internal market, international affairs is a strategic tool for organizations to successfully compete on the world stage and achieve their specific goals. These organizing missions are an important way to develop a worldview. They can encourage different contributions and develop common values ​​at headquarters, homes and branches. International affairs is part of the training and development activities of international human resource management. Other key activities include human resource management in the global environment, recruitment, management, implementation of compensation and repatriation.

Employees are referred to international jobs for a variety of reasons, either specific organizations or specific employees. There are three main reasons for arranging to send an employee to an international job. The reasons for holding the position related to the transfer of technical knowledge and management. Foreigners can be sent internationally to transfer management knowledge and personal technical skills to workers in the host country. These tasks are performed if the host country lacks the available skills. The 2016 report states that 30 percent of international affairs is to fill gaps in management and 24 percent to technical work. Patriots are also sent to work internationally for reasons of developing management to gain international experience and career growth. This form of international appointment is increasingly known as the formation of a key force in leadership capacity. International affairs has had a significant impact on global capacity building and management and has been identified as "the most influential force for managerial development." The third reason for international commitment is organizational development. MNCs can send foreigners on international missions to take advantage of global market opportunities and embed a culture of cross-border mobility. Immigrants who accept international employment for institutional development reasons can gain a broader perspective and become more familiar with operations.