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A presentation on E

xpatriate
By Niyati Mavadia
MBA sem 3
Subject International Business
Expatriate
• Meaning
• An expatriate is an employee sent by his or her emp
loyer to work in a foreign country.
• Many corporations are sending expatriates to their
overseas operations.
• In business terms, expatriates are employees send t
o work abroad for long periods of time. This may in
clude employees sent to populate a new office or s
enior managers sent abroad to manage or set up a
new location.
Benefits and services
• Expatriates often congregate in expat communities, w
hich are self-contained groups that meet, socialise and
live in either a formal or informal environment.
• Expatriate employees often receive additional benefits
, such as cost of living and hardship allowances as well
as housing or education.
• In some cases the company will pay for the education
of the expat's children. Most companies do not pay for
loss of earnings for the employee's spouse but may hel
p them access jobs and benefits in the new local area.
Importance of Expatriates
• Improve Local Market Knowledge
• Instill Company Culture
• Transfer Knowledge
• Develop Management Talent
• Changing Role
Expats on Assignment

• Assignments are either short-term, long-term, or a


combination of both. Long-term assignments usuall
y last 1-5 years in the host country. They are classifi
ed as traditional assignments. Short-term assignme
nts range from 3-12 months. There are also expatri
ates who are given assignments from local compani
es in foreign countries rather than being brought in
by a foreign company. It is called  appointees.
Perspective of Expatriates
• The relationship between foreign assignment and career dev
elopment has been stated to be unclear, and further researc
h has been called for with regard to career challenges and car
eer management programmes of expatriates.
•  Career arrangements after repatriation was a very prominen
t concern among expatriates.
• On the other hand, the results also indicate that career-relat
ed support practices were not very common in this sample, b
ut there was clear inconsistency between perceived necessit
y and actual use of these programmes.
• Dual-career couples’ career considerations played a central r
ole as in the case of expatriates
MANAGING EXPATRIATES
• When making international assignments, they foc
us on knowledge creation and global leadership de
velopment. 
• They assign overseas posts to people whose techni
cal skills are matched or exceeded by their cross-c
ultural abilities.
• They end expatriate assignments with a deliberate
repatriation process.
OBJECTIVES OF EXPATRIATES
• Cosmopolitan Orientation.
• A Collaborative Negotiation Style.
• Broad-Based Sociability.
• Cultural Flexibility.
CHALLENGES OF EXPATRIATES
1. Culture Shock 
• The primary challenge of managing expatriates is cu
lture shock. It’s impossible to expect expatriates to
acclimate quickly, if at all. Moving across the world
and needing to adjust to a new culture, work enviro
nment, and social structure with no immediate sup
port system is no small task.
2. Expatriation costs
 
• It is a costly investment to fly an employee across t
he world but the cost of a flight isn’t the main worr
y. If expatriates don’t become long term employees
, the cost of overhead now includes expenses to fill
the position.
• There expatriation costs to assess include accommo
dation for the expat and possible family, transporta
tion, living expenses, and taxation. These, among ot
her unanticipated expenses, can be costly.
3. Language barriers

• Depending on where your company is headquarter


ed, or how wide your hiring radius is, language barri
ers can be a major issue in managing expatriates on
international assignments.

• Hiring employees who do not have strong skills in s


peaking the local language can pose a huge challen
ge to your company. These employees may have a l
onger adjustment period and take more time to inc
rease their productivity.
THANK
YOU!

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