Increased use of expatriates in global markets has meant that multinational enterprises (MNEs) must recruit talented expatriates (Bader et al., 2015; Takeuchi et al., 2002). A most common reason for international assignees to fail is cultural inadaptability to the host environment. This lack of ability to adapt to the diverse aspects of host locations can cause premature termination of foreign assignments, leading to considerable damage to both individuals and MNEs (Malek & Budhwar, 2013; Takeuchi et al., 2002).

A crucial factor that can help expatriates adjust to a new cultural environment is their cultural intelligence (referred to as CQ as it is conceptualized as a facet of intelligence quotient), which refers to an individual’s capability to adapt to unfamiliar situations that arise from cultural differences (Earley & Ang, 2003). Previous empirical researchers have shown that CQ is particularly important in facilitating expatriates’ adjustment and performance during international assignments (Akhal & Liu, 2019; Malek & Budhwar, 2013). However, the focus in most CQ studies has been mainly on the effect on cultural adaptation or adjustment issues after, instead of before, expatriate selection. It is vital to know how expatriate applicants’ CQ will affect their international assignment choice, because initial selection of suitable candidates can reduce the cost of inappropriate selection. Therefore, we examined expatriate applicants’ CQ as a predictor of international assignment attractiveness.

Recent researchers have called for examination of the CQ boundary conditions that can amplify or constrain its effect on organizational outcome variables, for example, cultural adjustment, adaptation, and performance (Ott & Michailova, 2018; Stoermer et al., 2021). Thus, we investigated the development of a country as a potential situational condition for the effect of CQ on the attractiveness of a foreign assignment. Many previous researchers have shown that the host location can critically affect the intention of foreign mobility (Bader et al., 2015; de Eccher & Duarte, 2018; Hong & Kim, 2019). Therefore, we proposed that the effect of CQ on the attractiveness of a foreign assignment may differ substantially depending on if the host location is an emerging country, to provide a country boundary condition for CQ. Our identification of the host location’s development as a situational condition can enhance knowledge about CQ in foreign assignment choice. By broadening the scope of expatriates, we aimed to provide enhanced implications for success in foreign assignments. We also proposed that CQ would be a critical prerequisite for potential expatriates, especially in emerging countries.

Cultural Intelligence and Organizational Attractiveness

Organizational attractiveness (OA) refers to affection toward an organization as a desirable place to initiate relationships (Thomas, 2006). In the recruitment process, OA shows potential applicants’ willingness to accept and pursue a job (Lievens et al., 2005), which, in turn, affects their choice. Thus, management of positive OA can minimize loss of potential applicants in the initial recruitment process (Van Hoye & Saks, 2011). Peltokorpi and Froese (2014) showed that employees with high OA are highly likely to accept global assignments. Thus, we brought this concept into the expatriate recruitment process, and modified OA as host location attractiveness.

CQ, which has gained considerable attention in the expatriate literature (Stoermer et al., 2021), comprises four dimensions: metacognitive, cognitive, motivational, and behavioral (Ang et al., 2007). Metacognitive ability is individuals’ mental capability to deal with cultural knowledge. Cognitive ability is individuals’ knowledge of cultures’ norms, values, and practices, gained from experience and education. Behavior is individuals’ ability to act in a culturally responsible manner. Motivation is individuals’ willingness to know how to behave in cross-cultural situations. Over the last two decades, the multifaceted nature of CQ has been related to various expatriate outcomes, such as cultural adaptation and adjustment in cross-cultural contexts (Ang et al., 2007; Ott & Michailova, 2018; Stoermer et al., 2021; Thomas, 2006). Malek and Budhwar (2013), who examined 134 expatriates, for example, found that international assignees with high CQ were highly likely to increase their adjustment and job performance during an assignment in Malaysia.

Consideration of the CQ of expatriate applicants may reduce the cost of failure of foreign assignments by the attraction and selection of appropriate candidates. Thus, we propose that expatriate applicants with high CQ will be more positive toward foreign assignments because they have the ability to act according to the values and norms of different cultures (Thomas, 2006). Although it is helpful for their career development, acceptance of an international assignment offer is not an easy decision for expatriate applicants, as they face cultural uncertainties owing to heterogeneous living and working conditions (Dupuis et al., 2008). However, as individuals with high CQ are more able to deal with cross-cultural situations, they are more confident about handling these uncertainties. Expatriate applicants with high CQ may thus view the attractiveness of foreign assignments positively. Therefore, we proposed the following hypothesis:
Hypothesis 1: Cultural intelligence will be positively related to the organizational attractiveness of assignment destinations.

Host Country Context: Emerging Countries Versus Developed Countries

The host location is critical to the choice of international assignees (de Eccher & Duarte, 2018). Expatriates’ perception of the general working and living conditions of the host location may differ substantially depending on its economic development (de Eccher & Duarte, 2018). A general evaluation is that developed (vs. emerging) countries offer better working and living conditions for expatriation. For example, potential expatriates may believe that expatriate assignments in developed countries will be safer and more reliable to work and live in, as the quality of living standards, social infrastructures, public security, and education systems will be higher, thereby increasing their attractiveness. For example, Hong and Kim (2019) analyzed 434 Korean employees and found that potential Korean expatriates were more attracted to the U.S.-based (vs. Vietnamese-based) subsidiary as the assignment destination.

Therefore, we proposed that as the host location can be a situational constraint, potential expatriates’ CQ will be a critical factor, depending on the development of the host location (i.e., developed or emerging countries). In particular, host locations in emerging countries will have more suitable situational conditions to amplify the CQ effect on their attractiveness. As potential expatriates with high CQ are more able to handle uncertain and unfavorable conditions, the positive effect of CQ on OA will be strengthened. However, CQ will not be amplified in host locations in developed countries, as their living and working conditions will be perceived to be of a high standard. Therefore, we proposed the following hypothesis:
Hypothesis 2: The higher their cultural intelligence, the more will potential expatriates be attracted to assignment destinations in emerging (vs. developed) countries.

Method

Participants

We approached full-time workers in Korea to participate in the study. We informed the Ethics Committee of Pusan National University of our academic objective, and confirmed that the results would be used for academic purposes only. There were 407 respondents, who comprised 189 women and 218 men. Participants’ responses were confidential and they received a small gift. Their ages ranged from 24–64 years (M_age = 41.09 years, SD = 8.00). Regarding work experience, 27 participants had worked for less than 1 year, 58 for 1–4 years, 115 for 5–10 years, and 207 for over 10 years.

Procedure

Each participant was randomly shown on a Qualtrics online survey the condition of one of two assignment locations (Vietnam or US). After reading the scenario showing one assignment destination, participants answered a series of questions on the CQ and OA of a foreign subsidiary.

We used a translation/back-translation procedure for the questionnaire, which was written in English and then translated into Korean by two academics who were experienced in research in Korea, and were specialists in both languages. Next, the questionnaire was back-translated into English by two different translators. As each English questionnaire was consistent, we confirmed the instrument as appropriate.

Measures

Cultural Intelligence
To measure cultural intelligence as an individual’s ability to accept different cultures, we adapted Ang et al.’s (2007) Cultural Intelligence Scale. Participants assessed the items on a 7-point Likert scale ranging from 1 = strongly disagree to 7 = strongly agree.

Organizational Attractiveness
To measure organizational attractiveness as the willingness to be assigned to an expatriate position in a given location, we adapted Turban’s (2001) scale. Participants assessed the items on a 7-point Likert scale ranging from 1 = not at all willing to 7 = very much willing. Items and measure reliability are shown in Table 1.

Control Variables
We included three control variables: age (years), gender (0 = male, 1 = female), and organizational tenure. Descriptive statistics and correlation coefficients are summarized in Table 2.

Results

We conducted a hierarchical regression analysis to test the hypotheses. To control for the potential effects of individual-level characteristics, we added the three control variables. As shown in Table 3, gender and organizational tenure had no significant effect on OA (β = –.108, ns; β = .072, ns), and age had a significant positive effect on host location attractiveness (β = .026, p < .001). Hence, older employees were more attracted to foreign assignments and to accepting uncertain conditions.

CQ had a significant effect on host location attractiveness (β = .343, p < .001). Therefore Hypothesis 1 was supported. Moreover, the positive effect of CQ on host location attractiveness was significantly stronger (β = .719, p < .001) when the assignment destination was an emerging country (Vietnam) compared with a developed country (US). Therefore, Hypothesis 2 was supported. These results show that employees who are confident in handling new and unfamiliar cultures were attracted to working abroad as expatriates.

Discussion

We have provided several theoretical and managerial implications in our contribution to the expatriate management literature. First, we investigated expatriate applicants’ CQ and its effect on host location attractiveness. Most previous researchers focused on expatriates’ CQ after (vs. before) expatriate selection (Lin et al., 2012; Malek & Budhwar, 2013). We found that CQ was a significant psychological construct that expatriate applicants may have when choosing foreign assignments. Thus, human resource management (HRM) practitioners in MNEs should pay more attention to expatriate applicants’ CQ in the selection process. They should also provide CQ training and development programs for potential expatriates to broaden expatriate recruitment pools.

Second, we responded to recent research calls by suggesting that host location development serves as a boundary condition for the effect of CQ on host location choice. Although researchers have investigated environments where the effectiveness of CQ is more or less significant (Ott & Michailova, 2018; Stoermer et al., 2021), we examined the situational constraints of CQ in the choice of foreign assignments. We found that potential expatriates with high CQ were most likely to choose a subsidiary in emerging countries. That is, they were more psychologically open-minded in their international assignment choice. The interplay of CQ with host location contexts may provide precise insight for HRM practitioners and researchers in understanding situational factors influencing the CQ effect in expatriate management.

Finally, we have contributed to the literature on HRM in emerging markets. Our results show that CQ was significant in determining the attractiveness of emerging (vs. developed) countries as host locations. As international assignments are increasingly expanding into emerging countries (Perera et al., 2017), strategies to attract expatriate applicants to emerging countries should be investigated. Previous empirical researchers have found that expatriate applicants are less likely to accept international assignments in emerging (vs. developed) markets, as their living and working standards are presumed to be lower (Froese & Garrett, 2010; Hong & Kim, 2019). Our finding that CQ was an important aspect in applicants accepting foreign assignments in emerging countries has contributed to the literature on HRM in emerging countries.

There are several limitations in this study. First, although we set two locations, one as an emerging country (Vietnam) and one as a developed country (US), there may be local biases based on the national context. Future researchers could conduct a cross-country comparative study for generalizability. Second, future researchers could explore CQ subdimensions and confirm the role of cultural intelligence in host location attractiveness. Wang et al. (2019) confirmed that expatriates’ understanding of cross-cultural differences in cognitive, motivational, and behavioral CQ helps them to find culturally appropriate opportunities, and these authors also discovered the different impact of each cultural intelligence dimension on expatriates’ entrepreneurship. Future researchers could examine the different cultural intelligence roles in host location attractiveness for expatriates. Finally, future researchers could consider how to achieve expatriate success. Expatriate failures incur substantial costs for MNEs when expatriates underperform or quit their assignment in an untimely manner (Perera et al., 2017). Mayer et al. (2008) found that emotional intelligence, as a set of abilities to perceive, understand, and manage emotions, significantly predicts an individual’s adjustment and social behavior. To examine how to reduce expatriates’ anxiety in unfamiliar conditions and achieve better performance in host locations, future researchers could explore the roles of emotional intelligence and CQ.

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This study was supported by a Korea University Grant.

Eunmi Kim, Graduate School of International Studies, Pusan National University, Busandaehak-ro 63, Geumjeong-gu, Busan 46241, Republic of Korea. Email: [email protected]