The Impact of Cross-Cultural Adaptation on the Job Performance of Chinese Expatriates in Japan

The Impact of Cross-Cultural Adaptation on the Job Performance of Chinese Expatriates

in Japan

The beautiful Longwood Gardens and Central Park in Manhattan provide the most

spectacular views that I have ever set my sights on since starting my doctoral studies. More

important than their spectacular scenic attractions, however, are the fact that those are the

places I have found the most knowledgeable professors and most talented colleagues. At the

end of the three long COVID-19 years, I have managed to produce a dissertation. At this

moment, various strands of thoughts and emotions are swirling in me, converging in a profound

sense of gratitude and gratification.

First and foremost, I wish to express my deepest gratitude to my primary advisor and

mentor, Professor Zhaohui Hong, who has guided me every step of the way in my research and

writing, from the initial topic selection and theoretical conceptualization to the thematic

coverage and eventual revision of my dissertation. In addition to his rigorous intellectual

presence and guidance, Professor Hong has also amazed me with his insistence on the highest

academic standard, his vast knowledge, as well as his kindness, all of which are instrumental in

helping me overcome one academic predicament and psychological hurdle after another.

Without his advice and supervision, this dissertation would have never come to fruition. I am

also very grateful to Dr. Jinjie Wang, an extremely valuable teacher on my supervisors’ team

who has since become a friend. From topic selection to questionnaire design and distribution,

from data processing to the refinement of ideas and thesis revision, Dr. Wang has guided me

throughout the process. I feel very fortunate to have received the combined guidance from the

golden team of Professor Hong and Dr. Wang, which enabled me to make steady progress in

improving and enhancing the overall quality of this dissertation, including its breadth, depth,

and level of sophistication, thus propelling me into the field of academic research with growing

confidence.

Meanwhile, I would like to thank my classmates and industry elites who have given me

a great deal of support and assistance. In particular, my gratitude goes to my classmates

Linjiang Ma, Kaiyu Ji, Yan Han, Meilin Lin, Hong Shen, Xinyu Li, and Xinyu Yang, as well as

to Zhenyu Shi, head of the Haier subsidiary in Japan, Jun Yong, President of Peking

University Japan Alumni Association, and Ms. Juan Xu, general manager of the Journey of

Beauty. It is their indispensable support, individually and collectively, that made it possible for

me to distribute the questionnaires and conduct the essential interviews in an efficient and

productive manner.

During the writing process, I received tremendous help from many leaders, colleagues

and friends whose generous encouragement support enabled me to complete this dissertation

successfully. Dean Zhuang Yang, Dean An Yan, and Professors Jinhui Wu, Ying Hong, Zhenyu

Gong, and Yi Sun gave me constructive suggestions on the dissertation framework and data

analysis, all of which were hugely beneficial. Mr. Yuwei Zhang and Ms. Chi Zhang of the DPS

project team allowed me to communicate with them on many occasions regarding the

dissertation organization and development, offering much-needed inspiration in the process. I

am indebted to the professors and teachers at the National School of Development at Peking

University and Fordham University who accorded me endless advice and reassurance. My

heartfelt “thank you” also goes to my classmates in the DPS18 class, and to my senior fellow

students in DPS, especially Xiangguo Zhang, Yuanqu Xu, Changzheng Liu, and Xi Li, all of

whom offered me ample assistance that was essential for me to circumvent pitfalls in the

dissertating process.

Last but not least, I want to express my special gratitude to my family for giving me the

strength to move forward with their selfless devotion and earnest hope during the three

epidemic years, making it possible for me to focus on writing and revising my dissertation

without anxiety or apprehension. In this warm and refreshing fall season, a new phase of life is

unfolding in front of me. Inherent difficulties on the journey notwithstanding, I cheerfully and

confidently press ahead.

September 2023 in Qingdao

Chapter I Introduction

This chapter introduces the research background of my dissertation by situating it in the

international, Chinese, and corporate contexts. With the expansion of multinational enterprises

during China’s rapid economic development, it has become necessary to address the issue

concerning cultural adaptation of Chinese expatriates and the consequential challenges to their

overseas performance. This chapter addresses the inadequacy of existing theories in the face of

the high failure rate of overseas mergers and expatriates, as well as the urgency of improving

international management practice. It also explains the research objectives and questions while

elaborating on the significance of this study from three areas -- business practice, theoretical

value, and social utility.

1.1 Research background and Objectives

1.1.1 Research Background

When expanding abroad, multinational enterprises (MNEs) usually use overseas

subsidiaries and transnational partnerships as the two main channels. Confronted with the

"outsider disadvantage" (Kumar. et.al, 2020, p. 172) when setting up overseas subsidiaries,

MNEs have in recent years used expatriates in management and other essential positions when

conducting joint ventures, mergers and acquisitions, in addition to hiring local employees, in

order to fend off the operational risks due to insufficient understanding of foreign government

policies and overseas markets, and to safeguard their interest and maintain control.

First and foremost, it is necessary to take a careful look at the international context. The

popularity of multinational cooperation contrasts with its high failure rate. Currently, there is

inadequate understanding of the key factors responsible for the success or failure of corporate

overseas operations. The existing literature mainly explains expatriate behaviors and

motivations with the resource dependence theory, agency theory, institutional theory and

transaction cost theory, and emphasizes the importance of expatriation management in the

process of MNEs' overseas operation (Gao et al., 2021, pp. 60-61). The research has been

dominated by American models and the theories concerning industrial organization economics,

which focuses on the financial and operational aspects of mergers but neglects culture and

personnel issues (Malekzadeh, 1998, p. 111). The cultural impact on the economy should not

be overlooked, as pointed out by Lawrence E. Harrison in his edited volume Culture Matters

(2000). In most Latin American countries, culture becomes a major hindrance to development

(Harrison, 2000, p. 2). Manguelle argues that institutional changes may have an impact on

culture in the short term though, in the long run, culture is the generator of institutions

(Harrison, 2000, p. xxviii). Cross-cultural integration has a significant impact on economic and

social development, broadly speaking. Transnational cooperation is a complex process in which

an organization must adapt to both the foreign national culture and the new organizational

culture. Barkema (Barkema) and Bell (Bell, Pennings), having conducted a study on cultural

barriers and learning curves faced by companies entering foreign markets, conclude that while

wholly owned subsidiaries only tackles “single adaption” to the host country’s national culture,

“dual adaptation” applies to companies that enter as joint ventures, regardless of the percentage

of their stock shares (Barkema, 1996, p. 154).

Expatriates are usually senior managers or technical professionals who are selected by

MNE headquarters from their home countries or third countries and sent to work in overseas

subsidiaries for a specific period of time, ranging from a few months to a few years (Brewster,

Sparrow & Harris, 2005, pp. 949-970). Statistics show that, as of 2013, the total number of

overseas employees of Chinese enterprises (non-financial) outside China had reached

1,967,000, among whom the proportion of Chinese expatriates was as high as 50.8% (data from

the Chinese Ministry of Commerce website). Due to the distinctiveness in organizational

cultures in different countries and their inadequate adaptation in the transnational cultural

environment, most expatriates felt heavy pressure, which in turned led to failure to complete

their assigned tasks, ill-adjustments to overseas life in general and poor work performance.

Some returned earlier to their home country as result (Zhou, 2016, p. 31). Therefore, the

management of expatriates has become a problem that plagues corporative operation overseas.

In the climate of globalization, in order for corporations to improve their performance and

market share within a targeted time frame, the impact of expatriates’ cross-cultural adaptation

in the host country on corporate performance is attracting increasing academic attention (Black,

1988, pp. 277-294).

Second, the China context is of importance. In recent years, with China’s economic

growth, its role in the international community has gained increasing prominence. Scholars

such as Hofstede believe that collectivism is one of the cultural hallmarks of Asian countries.

As neighbors who share a cultural heritage, China and Japan have many commonalities.

Although Japan underwent two periods of Westernization during the Meiji Transformation and

after World War II, respectively, there remains a high degree of collectivist tendencies within its

society. On the other hand, China, though home of Confucianism, is nonetheless considerably

different from Japan in terms of its national culture, especially with regard to its ability to

spontaneously form a community (Fukuyama, 2016, p. 15), yet getting people in a group or

community to work toward a common goal is particularly important for transnational

cooperation. According to the Chinese Ministry of Commerce, as of 2019, the number of

overseas branches invested by Chinese companies had reached 3.744 million with employment

of 2.266 million Chinese personnel, accounting for 60% of the total number of overseas

employees by Chinese enterprises. The data released by the Japanese Ministry of Health, Labor

and Welfare in 2019 showed that 373,000 of the 1.278 million foreigners (29.1%) working in

Japan were from China, constituting the highest number of employees in that country.

Expatriates not only undertake the mission of transferring knowledge between their parent

company and its overseas subsidiaries to improve economic performance but also shoulder the

important task of helping the latter gain social legitimacy, integrate into the host society, and

improve social performance (Gao et al., 2021, p. 59). In the midst of the COVID-19 pandemic

and ongoing global tensions, China-Japan relations face unprecedented challenges. Through the

analysis, understanding, and discussion of the cross-cultural adaptation of Chinese expatriates

in Japan, it is possible to strengthen cooperation in the business domain, reduce tensions in

diplomatic relations between the two countries, and achieve mutually beneficial outcomes.

Third, the corporate context should be addressed. The China National Offshore Oil Corporation

(CNOOC)'s unsuccessful acquisition of American Unico Oil Company, the huge loss of TCL's

joint venture with Alcatel in France, and the management difficulties faced by Chinese

enterprises in Africa all signal that Chinese corporations encounter formidable challenges in

their cross-cultural management, especially in the area of international human resource

administration, in the process of their overseas expansion. The lack of international

management experience and the shortage of expatriates with a global perspective have

seriously hindered the sustainable operation of their overseas subsidiaries. The cross-cultural

adaptation of expatriates, as well as their intentions and development after returning to their

home country are crucial in the accomplishment of their overseas assignment (Gao et al., 2021,

p. 59). Expatriates’ loyalty and their emotional, normative, and ongoing commitments have a

direct impact on their willingness to stay with the parent company, one that is also influenced

by the latter’s commitment to its expatriate employees (Nguyen et al., 2015, pp. 181-204). This

research project is intended to provide theoretical support for the cross-cultural international

human resource management of Chinese enterprises, and its significance lies in the fact that its

findings can help to reduce the operational risks of the Chinese enterprises by improving the

efficacy of their global resource allocation.

1.1.2 Research Objectives

As establishing overseas cooperative companies or engaging in cross-border mergers and

acquisitions has become an important avenue for multinational corporations to expand

internationally, management of expatriate employees is crucial for the overseas operation of

multinational corporations. The cross-cultural adaptation of their expatriate employees, which

impacts their performance to varying degrees, has a direct effect on the overseas operation of

these corporations. However, the specific connections in this context are diverse, as shown in

existing research. The ultimate goal of this study is to uncover the impactful correlations

between cross-cultural adaptation, loyalty, work commitment, and expatriate performance of

Chinese expatriate employees in Japan. The research objectives are as follows:

First and foremost, this study aims to address theoretical gaps and biases in research

perspectives by delving into the previous research on expatriate performance and its influencing

factors. From a theoretical perspective, existing literature predominantly relies on the resource

dependency theory, with a dominant focus on American economic models and industrial

organization theory, emphasizing finance and operations while neglecting cultural and

personnel execution issues. In terms of research methods, psychological or social factors

causing expatriate imbalances may result from personality differences and social support.

However, there is relatively limited research on the impact of expatriates’ loyalty on their

adaptability and performance. This study helps to fill these theoretical gaps.

As most existing studies are not country-specific, they lack specific national contexts,

potentially leading to data distortion and bias in their conclusions. For instance, the

performance and influencing factors of expatriates sent from China to Japan would differ

significantly from those sent from Japan to China. By focusing on cross-cultural adaptation

research in the context of China as the home country and Japan as the host country, this study

addresses these perspective biases and identify highly specific influencing factors to detect the

differences in research outcomes between regional and global expatriation.

Second, this study intends to provide a basis for multinational enterprise decision-making.

Through empirical research methods such as interviews and questionnaires, it investigates the

relationships between cross-cultural adaptation, loyalty, and work engagement with the

performance of Chinese expatriates. It supplements the existing multinational business models

that primarily emphasize financial metrics but overlook aspects of cultural and human resource

management. The study can augment the selection criteria for expatriate personnel in

international human resource management. Additionally, it can assist decision-makers who

desire to improve the performance of their expatriate personnel, enhance their expatriate

management, and ultimately helping companies achieve effective international business

objectives.

1.2 Research Content and Framework

1.2.1 Research Content

1.2.1.1 Urgency

Cross-cultural adaptation issues create communication barriers, directly affecting the

cooperation of employees from different countries, reducing organizational efficiency, and

making the implementation of corporate strategies difficult (Kang, 2010, p. 142). The failure

rate of overseas expansion has become a significant constraint on the development of

multinational enterprises. According to data from the 2019 Cross-Border Investment

Observations, the number of overseas mergers and acquisitions by Chinese companies has been

decreasing year by year since 2016. Finding the factors that influence expatriate performance

during the cross-cultural adaptation process has become an urgent task.

Overseas Mergers of Chinese Enterprises from 2014 to the First Half of 2019

(US $billion)

Q1 Q2

Figure 1: Overseas Mergers of Chinese Enterprises from 2014 to the first half of 2019

Source: Brilliant Profit (卓盈) Overseas company in Hong Kong (14 February 2020). Cross-border

Investment Observer: An overview of China's overseas investment throughout 2019,

https://www.sohu.com/a/373057965_100020532

1.2.1.2 Current Research Status

In recent years, academic research on international assignments and the sustainability of

international human resource management has been on the rise, both internationally and in

China (Zhong, 2015, pp. 289-302). Searching in ScienceDirect with a time limit set from 2001

to 2019 with the use of keywords such as "human resource management" or "expatriate

management" in titles/abstracts/keywords, it is evident that scholars such as Colakoglu &

Caligiuri (2008), Xu (2004), Tan & Mahoney (2006), Fan (2013), and others have highlighted

the significant role of expatriate management in the overseas performance of multinational

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corporations by examining various aspects such as the social environmental factors of

expatriate personnel as compared to domestic employees and factors related to the company

itself. Black argues that the loyalty of expatriates committed to adapting to the local work

environment and developing local businesses during their overseas assignments can affect their

performance (Black, 1992, p. 61). When combining search terms like "employee loyalty" and

"organizational commitment" in titles/abstracts/keywords on ScienceDirect, many studies focus on

elements that influence employee loyalty, reasons for decreased loyalty, and measures to gain more

loyalty (Dong, 2006, p. 154). However, there is relatively limited comprehensive literature on cross-

cultural adaptation and expatriate performance.

Cross-border cooperation is a process that is confronted with the dual challenges of

national culture and corporate culture. Mischel and Shoda (1995) propose the comprehensive

Cognitive-Affective System Theory of Personality (CASTP), which suggests that individual

differences manifest in their diverse responses in various situations when different

cognitiveaffective units are activated (Mischel, W., Shoda, Y., 1995, pp. 246–268). According to

this theory, each person has a unique cognitive-emotional system that interacts with the social

environment, resulting in individualized behavioral patterns.

In management practice, expatriate employees face dynamic changes in social and

organizational environments during their cross-cultural adaptation. Due to the differences in

their abilities and degrees of self-regulation, their level of work commitment varies, leading to

distinctive impacts on expatriate performance. Such studies are currently relatively scarce.

High competition pressure, geographical distance, cross-cultural adaptation in overseas

operations, and imbalances in loyalty can lead to various failures during and after expatriates’

international assignments. Studies dealing with expatriates-related issues do examine elements

such as employee satisfaction and task accomplishment rates in connection with their

crosscultural adaptation (Takeuchi, 2010, pp. 87-90). Both the academia and business world

have shown increasing interest in employee loyalty (Dong, 2006, p. 154).

1.2.1.3 Research Questions

In an era of VUCA (Volatility, Uncertainty, Complexity, Ambiguity) (Hong, 2021, p. 1),

challenges are abundant, owing to the rapid advancements in new information technologies

such as cloud computing, big data, and artificial intelligence, as well as intensified global

competition, thus making the external environment for businesses more complex. Companies

therefore need to build strong resilience to better respond to crises (Zhou, 2023, p. 9).

Employee loyalty and work engagement are often used to gauge the professionalism of human

resource management in companies and serve as sources of continuous growth and

development for organizations. Loyalty, work commitment, and cross-cultural adaptation are

likely to directly impact overseas partner companies in the short term. In the long run,

competition between companies evolves into one between people and business models. The

loyalty and adaptability of expatriates are important human resources that multinational

corporations need to further their development.

This study concentrates on the impact of cross-cultural adaptation of Chinese corporate

expatriates in Japan on their expatriate performance, with a specific focus on examining the

mediating effects of employee loyalty and work engagement. The research questions

encompass several aspects:

1. How does the cross-cultural adaptation of Chinese expatriates affect their performance?

2. Does employee loyalty play a mediating role in the relationship between cross-cultural

adaptation and expatriate performance?

3. Does work engagement mediate the relationship between cross-cultural adaptation and

expatriate performance?

4. How do different dimensions of employee loyalty and work engagement influence the

relationship between cross-cultural adaptation and expatriate performance?

5. What are the combined effects of employee loyalty and work engagement on the

relationship between cross-cultural adaptation and expatriate performance?

1.2.2 Research Structure

This thesis consists of five chapters, structured as follows:

Chapter I - Introduction: This section provides an outline of the research from three

perspectives: international, Chinese, and corporate. It explains the research objectives, outlines

the research content, framework structure, primary research methods, and briefly presents the

research conclusions and significance.

Chapter II - Literature Review: This chapter conducts a comprehensive literature review

in four main areas: cross-cultural adaptation, employee loyalty, work engagement, and

expatriate performance. It also focuses on topics related to the impact of employee loyalty and

work engagement on expatriate adaptation and performance. It assesses the current research

status in this field, reviews relevant measurement methods, and identifies the research entry

points. The chapter begins by defining key terms, explores cultural theories, discusses essential

elements of Japanese culture as the host country, analyzes the concept of cross-cultural

adaptation, and reviews mainstream models and measurements of cross-cultural adaptation. It

then reviews the concept of employee loyalty, its assessment, and measurement, followed by a

similar synopsis of work engagement. The chapter also introduces the concept of expatriate

performance, its influencing factors, applicable measurement scales, and relevant research on

the relationship between cross-cultural adaptation and expatriate performance. Finally, it creates

a conceptual relationship diagram of the relevant concepts to present the literature review

clearly and defines the research questions.

Chapter III - Research Design and Methods: In this chapter, the research objectives are

enuncinated through interviews with the target research subjects. Based on the literature review,

variables and their correlations are established, and hypotheses for this study are proposed.

Both qualitative and quantitative research methods used in this study are introduced, including

the description of pilot interviews, the questionnaire design process, sample selection and

grouping, and variable measurement methods.

Chapter IV - Data Analysis and Discussion: This chapter focuses on testing the

hypotheses proposed in Chapter 3 with the use of collected data. It begins by describing the

sample characteristics and questionnaire data using statistical methods, excluding invalid

samples. The chapter presents the results of reliability and validity analyses of the questionnaire

and performs correlation analysis, regression analysis, and mediation analysis on the variables

as well as ways of verifying their logical connections. The findings of the study are elaborated

in detail.

Chapter V - Conclusion and Outlook: This chapter includes three main parts: first, it

presents the main conclusions drawn from the theoretical and empirical analyses conducted in

the study; second, it summarizes the main contributions and significance of this research; and

third, it discusses the limitations of this study and provides motivation and prospects for future

research.

Based on the above research content and chapter arrangement, the research framework is

depicted in the following diagram:

Figure 2: Framework and Structure of this Study

1.3 Research Methods

Berry's classic cultural view, articulated in 1980, conceptualizes culture as an

experiential category and seeks to identify the basic values and assumptions of a culture by

analyzing, investigating, and systematizing the behavior and stated attitudes of individual

members. He defines cultural adaptation as "the changes in systems (of two cultures) resulting

from the diffusion of cultural elements in two directions" (Berry, 1980, p. 215). By presenting

culture as an objectively identifiable and well-defined entity, it becomes comparable. Starting

from the classic cultural perspective, research methods such as interviews and questionnaires

are the primary means to study employee behavior and attitudes in cross-cultural adaptation. In

2014, scholars conducted a specialized study of 89 relevant theses and 109 core journal articles,

and discovered that the use of empirical and non-empirical research methods was roughly

balanced, including both single and mixed research methods. However, the primary methods

consisted of three single research methods: case studies, questionnaire surveys, and speculative

research, accounting for approximately 17%, 21%, and 46%, respectively. Mixed research

methods were relatively less common. It was also found that the regional coverage of

crosscultural research in Chinese and foreign enterprises rather confined, with the United States

ranking the first and accounting for about 30% of the research, while the number of

crosscultural studies on Chinese enterprises was quite limited. In terms of theory and research

methods, more than 20% of the studies used Hofstede's five-dimensional cultural theory from

1991, while research based on cross-cultural adaptation was less common (Wang, 2014, p. 6).

To avoid the shortcomings of single research methods in previous studies, this study

adopts a comprehensive research method that combines qualitative and quantitative approaches.

First, it employs qualitative analysis through literature review and analysis. In Chapter

2, a systematic literature review if presented, including the organization, and summary of

relevant publications. It analyzes the achievements and missing links in existing research on

cross-cultural adaptation, thus highlighting the necessity of this study. Second, qualitative

analysis through interviews is conducted, with in-depth pilot interviews of the research

subjects. The results of the interviews are combined with the literature analysis to construct the

research hypotheses and model, providing sufficient theoretical and practical foundations for

the research hypotheses.

Subsequently, a quantitative analysis method through a questionnaire survey is

employed. For the research topic and the variables and structure involved, a preliminary design

of the survey questionnaire is developed based on an appraisal of previous relevant research.

The preliminary questionnaire is evaluated through a small-scale test to assess and revise the

questionnaire, resulting in the final questionnaire. Using a snowball sampling method among

acquaintances, the questionnaire is distributed among the target population through a WeChat

mini-program using Questionnaire Star, aiming to obtain the necessary data for further research.

Finally, after completing data collection, statistical analysis methods are used to present the data

in Chapter 4. In the descriptive statistics of the data and the reliability and validity testing

scales, statistical software such as SPSS and Questionnaire Star are used to describe the sample

characteristics, demonstrate the scientific validity and effectiveness of the questionnaire design,

conduct correlation tests on the collected data, make preliminary conclusions concerning the

relationships between research variables, and perform hierarchical multiple regression analysis

to validate the hypotheses about the relationships between the variables proposed in this study.

1.4 Research Conclusions and Significance

This study reveals several key findings. First of all, cross-cultural adaptation has a

significant positive impact on expatriate performance. Second, employee loyalty plays a fully

mediating role between cross-cultural adaptation and expatriate performance. Among the

subdimensions of employee loyalty, normative commitment, emotional commitment, and ideal

commitment have partial mediating effects, while economic commitment does not. Third, work

engagement partially mediates the relationship between cross-cultural adaptation and expatriate

performance. Among the sub-dimensions of work engagement, the dimensions of vigor, focus,

and dedication play a partial mediating role. Fourth, when employee loyalty and work

engagement variables simultaneously interact, they exhibit parallel fully mediating effects

between cross-cultural adaptation and expatriate performance.

This research holds multifaceted implications, the first of which applies to business

practices. According to statistics from the "Statistical Bulletin of China's Outward Direct

Investment 2013," the total number of employees in Chinese overseas enterprises had reached

1.967 million, with more than half of them being expatriates from Chinese companies. Data

from the Ministry of Commerce's Department of Overseas Investment and Economic

Cooperation indicate that by the end of 2016, there were 24,400 Chinese domestic investors

and 37,200 foreign-invested enterprises encompassing 190 countries/regions, with a total of

494,000 Chinese employees. Chinese multinational corporations heavily rely on expatriate

personnel, with the proportion of expatriate personnel exceeding 50%, far higher than that of

Western expatriates (Oki, 2013, pp. 139-150). The globalization of multinational companies

increasingly depends on expatriates to identify global market opportunities and explore new

overseas markets. Therefore, expatriate performance has a significant impact on the strategic

policy implementations of multinational corporations. This study's specific examination of the

mediating effects of employee loyalty and work engagement among Chinese expatriates

provides valuable insights for decision-makers in multinational enterprises when selecting

Chinese expatriates, ultimately positively impacting the performance of multinational

management companies. This is of great significance to international human resource

management and practice.

From a theoretical perspective, the classical cultural view has formed the theoretical

foundation for most comparative management studies and has inspired numerous studies in

organizational culture. Since the 1950s, developed countries have witnessed a proliferation of

cross-cultural management research, bringing together various disciplines and different

viewpoints, and resulting in a diverse and vibrant field. By the 1980s, with Japan's economic

rise, comparative studies between Japanese and American companies entered the mainstream of

cross-cultural research. This was a crucial historical phase that broke away from the

longstanding Western-centric view in academia. American scholars, through comparative

studies of Japanese and American corporate cultures, discovered that the Japanese had a better

understanding of how to manage companies than their American counterparts (Wan, 2007, p.

93). While the Asia-Pacific economy has continued to grow, differences in cultural backgrounds

and global development imbalances have limited cross-cultural research on Chinese companies

in Western academia. Similarly, Chinese academia has not extensively explored comparative

studies on corporative cultures. Comparative studies of Chinese and Japanese corporate cultures

have yet to gain prominence on the global stage. This study places a strong emphasis on the

cross-cultural adaptation of Chinese corporate expatriates in Japan. It effectively addresses the

gaps in cross-cultural adaptation research and empirical studies in international human resource

management, thus promoting academic research on cross-cultural adaptation in developing

countries, particularly in the Asia-Pacific region.

From a societal perspective, Harrison's collection of works makes it clear that, despite

over a century of cultural research, there is still a lack of close professional alignment between

cultural research scholars and government policymakers. Additionally, there is a shortage of

comprehensive theories and practical guiding principles in this field. Encouraging the

connection between scholars and practitioners and complementing the link between culture and

development can contribute to human progress (Harrison, 2000, p. xvi). In 2021, Hong

Zhaohui introduced the concept of "Propriety Economics". With the use of a tripartite theory as

a framework, triangular thinking as a paradigm, third variables as the primary research focus, it

features a combination of mixed methods to design and implement propriety economic policies

(Hong, 2021, p. 215). This study, guided by the principles of Propriety Economics, through the

validation of research findings, confirms that adaptability is an important third variable between

culture and development. Similarly, employee loyalty is the most significant third variable

between cross-cultural adaptation and expatriate performance. In the everchanging landscape

between governments and markets, especially for multinational corporations, they also serve as

crucial third variables. This represents an effective attempt at applying Propriety Economics in

the field of expatriate management, where multinational companies' expatriate management is

not simply an internal corporate management practice; rather, it embodies the cultural

characteristics of each expatriate's cross-cultural adaptation behavior and has a profound impact

on mutual trust and social interactions between people from two different countries.

Chapter II Literature Review

This chapter begins with the introduction of the Japanese culture before discussing

issues faced by the Chinese expatriates in Japan in their process of cross-cultural adaption.

Specifically, it reviews and defines keywords such as cross-cultural adaptation, employee

loyalty, work engagement, and expatriate performance while deliberating in detail how these

concepts are measured. At the same time, it reveals the contradictions and missing links in the

current theoretical research and provides a theoretical foundation and support for the

subsequent delineation of the research questions, objects, and methods.

2.1 Definitions of Key Words

1) Expatriate

There are different definitions of “expatriate,” as commonly used in the literature on

crosscultural studies. Some scholars believe that expatriates are senior managers or

professional technicians selected by the headquarters of a multinational corporation from their

home country or a third country and sent to work in overseas subsidiaries for a specific period

of time

(usually ranging from months to several years) (Brewster, Sparrow & Harris, 2005, pp.

949970). More generally, people working outside their home country can be called expatriates.

The traditional definition of an expatriate is an individual who serves in an international

position, usually managing a small number of tasks for no more than five years (Harvey et al.,

2013, pp. 4-21). Expatriates are also often portrayed as a type of sojourners, who are voluntary

and temporary residents in a new place for a certain period of time from six months to five

years, usually performing assigned or contracted work. (Ward et al., 2001, p. 21). Sojourners

generally include businesspeople, diplomats, international students, volunteers, and laborers,

though scholars mainly focus on two types: international students and expatriate businesspeople

(Ward et al., 2001, p. 143). A more comprehensive definition is that expatriates are sojourners

who engage in business activities overseas, including managers, professional technicians, and

lower-skilled workers employed by multinational corporations to work in their overseas

subsidiaries (Ellis & Bochner, 2006, p. 429-449).

In this particular study, an “expatriate” is a generic term that refers to (a) an individual

employed by the headquarters of a multinational corporation, (b) an individual who has

multiple goals and tasks concerning the company’s overseas market; c) an employee who

spends an extended period of time, from six months to five years, in order to accomplish

multiple goals overseas (Belderbos & Heijltjes, 2005, p. 341-354). This definition contains

three points: first, the expatriates must stay overseas for a required length of time; second, they

do not include the redeployment of personnel between different regions within the same

country; third, because the main object of this study is multinational enterprises, “expatriates”

only comprise managers, professional and technical personnel, excluding self-dispatched

personnel or general laborers, in order to make the research objects relatively concentrated,

representative and referential.

2) Cross-cultural Adaptation

In cross-cultural psychology, adaptation mainly refers to “social” adaptation, that is, the

change in the behavioral system that occurs in the process of adapting an individual or group to

the ecological or social environment (Berry, 2020, p. 381). In academic literature, such a

change has multiple expressions, including "cultural adaptation," "acculturation" and

"enculturation," all of which are translated as "cultural adaptation" or "cross-cultural

adaptation" in Chinese. In actuality, there are significant differences in the use of these three

terms (Wang, 2011, p.44). “Cross-cultural adaptation” in this study refers to a conscious and

tendentious behavioral choice and adjustment made by an individual based on his/her cognitive

and emotional attachment to the two cultures after being transferred from one culture to

another.

At the research level, studies on cross-cultural adaptation consist of two categories – those

focusing on the group level and others on the individual level. In turn, Ward et al. dissect

crosscultural adaptation into two dimensions: psychological adaptation and socio-cultural

adaptation (Ward & Searle, 1991, p. 449-464). Black et al. further subdivide it into three

dimensions: work adaptation, interactive (interpersonal) adaptation, and general adaptation

(Black, 1991, pp. 497515). Scholars such as Bhaskar-Shrinivas (2005) and Takeuchi (2010)

have all used Black's three-dimension theory in their research.

In this study, cross-cultural adaptation is specially related to the collective experience of

the community of Chinese expatriates in Japan. With the use of Black’s three-dimensional lens,

it is particularly concerned with the psychological compatibility or comfort level of expatriates

in the face of cultural differences in the host country and their behavioral choices.

3) Employee Loyalty

Employee loyalty and corporate loyalty have an interactive relationship, the measurement

of which is affected by the customs and conventions of various countries, not to mention the

corporate culture. The concept of "organizational commitment" was first proposed by Becker,

who believed it to be a psychological state in which an employee felt the need to stay in an

organization due to his/her increased "unilateral investment" (Becker, 1960, pp. 32-40). Porter

sees organizational commitment as stemming from the relative strength of individual

identification with and involvement in a particular organization. Such commitment includes a)

a high degree of belief in and acceptance of the organizational goals and values; b) willingness

to make strenuous efforts to achieve these goals; and c) a strong desire to maintain one’s

organizational membership (Porter, 1974, pp. 603-609). Ibrahim, Falasi and others consider

employee loyalty and organizational commitment to be one and the same as they both reflect

employees’ emotional attachment to the organization and their strong desire to continue their

organizational membership (Ibrahim, & Falasi, 2014, p. 467). Studies by Middle Eastern

scholars such as Suliman (2000), Schuster (1998), and Awamleh (1996) do not distinguish

employee loyalty from organizational commitment. It is now generally accepted that

organizational commitment is a multidimensional structure that includes both attitudinal and

behavioral aspects. Some ambiguity and lack of consistency in the research results surrounding

the concept of commitment may have stemmed from attempts to study commitment as a

onedimensional phenomenon (Lydka, 1994, p. 59).

Based on the aforementioned research and situating in the Chinese language, “employee

loyalty” in this study is defined as the voluntary identification of employees with their

organization and their attitude and behavior indicating a willingness to devote to that

organization. It also involves a long-range emotional and behavioral interactions between

employees and organizations that form an organic unity between attitudes and actions.

Employee loyalty is the degree of willingness and behavior to actively contribute to an

organization and is thus measured as: employees’ willingness to stay in the organization

(bottom line) and their desire to voluntarily contribute to the organization. Consistent with the

existing literature, the concepts of “employee loyalty” and “organizational commitment” are

not distinguished in this study, and they are both referred to as “employee loyalty.”

4) Work Engagement

Kahn (1990) first introduced the concept of “personal engagement” at work, defining it as

the ability of members of an organization to fully engage in their work and express themselves

freely. Through in-depth interviews and ethnographic research, Kahn found that engaged

individuals exhibited physiologically active participation in the work assignments, cognitively

cautious, sensitive, and focused; emotionally available to articulate their work-related thoughts

and feelings, their creativity, beliefs, and values, and empathetic with their colleagues with

positive personal relationships (Kahn, 1990, pp. 692-724). Kahn clearly identified three

dimensions -- physiological, cognitive, and emotional – as essential components of personal

engagement, and argued that the level of this engagement was much influenced by three

psychological preconditions: the sense of meaning, security, and accessibility (Kahn,1990， pp.

692-724). Schaufeli et al. (2002) argue that work engagement is a positive, fulfilling, enduring,

and pervasive emotional-cognitive state, which is in turn characterized by three factors: vigor,

dedication, and focus (or absorption). Among them, vigor represents the high energy level and

mental resilience, along with a willingness to work hard and persevere when dealing with

difficulties; dedication refers to a high degree of integration into work while experiencing a

sense of meaning, passion, motivation, pride and challenge; focus is the total concentration on

work to the point that the individual feels time flies at work and does not want it to end.

Defining such engagement as energetic and strong identification with work

(Schaufeli & Bakker, 2006), Schaufeli’s analytical framework is one of the most widely cited

paradigms in both academic and practical fields (Jeung, 2011).

This study combines Kahn’s ideas and those of Schaufeli’s to define work engagement as a

positive, fulfilling, persistent, and pervasive emotional-cognitive state of being fully occupied

with work, characterized by three factors: vigor, dedication, and focus.

5) Expatriate Performance

The conventional definition of expatriate performance is the total outcome of work as a

result of expatriate efforts in the host country, and is generally divided into work,

environmental, and specific performances. Work performance refers to the act of directly

providing chief technical support for a product or service; environmental performance refers to

the successful cooperation between the individuals and the organization; specific performance

complements technical and environmental performance, including cultural and linguistic

effectiveness, return-to-work planning, facilitating information exchange between the parent

and subsidiary companies, and establishing relationships with colleagues, customers and

government officials in the host country (Caligiuri, 2000, pp. 67-88). Kraimer interprets

expatriate performance as the effectiveness of expatriates’ work, comprising task performance

and situational performance (Kraimer, 2004, pp. 209-237). Chinese scholar Cao Liping

integrates management performance and expatriates’ specific situational performance into a

unified structure labelled as “situational performance,” and the performance related to the

completion of work is labelled as task performance (Cao, 2009, p. 65). In 2019, Pedro J.

Ramos-Villagrasa and others, after surveying the general literature on occupational health,

professional and organizational psychology, management, and economics, divided work

performance into three main dimensions: task performance, peripheral performance, and

counterproductivity behavior, and proposed the Individual Work Performance Questionnaire

(IWPQ) (Villagrasa, et al., 2019, p. 199).

Koopmans et al. (2011) define “task performance” as an act that contributes to the

production of goods or the provision of service, one that is measured by the ability to complete

the assigned work, update the relevant knowledge, perform the job accurately and efficiently,

plan and organize, and solve problems. Peripheral performance, also known as organizational

citizenship behavior (OCB), is seen as the act of achieving organizational goals by contributing

to the social and psychological environment of the organization. It generally includes taking

initiatives, maintaining enthusiasm, and cooperating with others in addition to the fulfilling the

specific job responsibilities. Different from task performance, peripheral performance

promotes the effective operation of the organization but does not necessarily have a direct

impact on employee productivity (Hoffman, 2007, pp. 555-566). Counter-productivity work

behavior is viewed as voluntary behavior that harms the well-being of the organization,

including off-task behavior, presentism, complaining, willful mis-execution of responsibilities,

and abuse of privilege. These deviances are associated with negative consequences at both the

individual and organizational levels (Villagrasa, et al., 2019, p. 199).

In this study, expatriate performance is interpreted as the expatriates’ self-controlled

behavior during their tenure working for the partner company in the host country that is

conducive to the realization of the organizational goals (Campbell & Wiernik, 2015, p. 48). It

contains three elements: first, the time frame for expatriate performance measurement is set as

his/her tenure in the host country; second, such performance consists of a series of expatriate

behaviors; third, it focuses on significant changes in work behavior that occur in different jobs,

at different times, and in different cultural contexts as compared to their performance in the

home country (in this case, China). The analysis also encompasses three dimensions: task

performance, peripheral performance, and counter-productivity behavior.

2.2 Literature on Cross-cultural Adaptation

2.2.1 Cultural Concepts

Any study on cross-cultural adaptation should start with an understanding of the

meaning of "cross" and "culture." First, "cross" means that a company desires to engage in

cross-border cooperation, necessitating the entry from one country (home country) to another

(host country) and the merger between one enterprise (parent company) and another (partner

company in the host country) to establish a new company (in the host country). Cartwright &

Cooper use a legally stipulated time frame in a merger to divide the integration of the two

companies into three phases: pre-merger, legal merger, and post-merger (Cartwright & Cooper,

1994). Current studies in North America, the United Kingdom, Germany, and other countries

direct their attention to two major types of cultural concepts and phrase selection, which Martin

Kader Gerson and others have elaborated in Clegg's edited volume Cultural Dimensions of

Transnational Mergers (Gertsen, 1998, pp. 21-32). The first is based on Berry’s cultural

concept enshrined in his classical anthropological view that cultural adaptation represents the

change of two systems due to the diffusion of cultural elements in two directions (Berry, 1980,

p. 215). Mainstream research, exemplified by Malekzadeh & Nahavandi(Malekzadeh &

Nahavandi, 1998). Cartwright & Cooper, Forstmann, and Larsson, believes cultural adaptation

to be the core of contact between different cultures and their shared meaning (Forstmann, 1998,

pp. 57-84). In the pre-merger phase, it is necessary to conduct studies of cultural dimensions in

order to predict likely problems that may arise during corporate integration and adjust strategies

for mutual accommodating and ultimately improve the implementation of cross-border

mergers. The other is based on the social constructivist cultural view advocated by scholars

such as Frederick Bath (Barth), Kleppesto, who propose that cultural models result from social

processes and activities that would continuously create, sustain, and change reality (Borofsky et

al., 2001, pp. 432-446). They believe that culture is based on common or partially shared yet

constantly changing modes of interpretation. Their research primarily revolves around the

postmerger phase, with managing the integration process as a decisive factor. As different

cultural concepts and selected phrase have a direct effect on the post-merger situation, this

study mainly investigates the cross-cultural adaptation of expatriates during their work in the

host country, with the post-merger phrase as its time frame. Adopting the social constructivist

cultural view, this study concentrates on the changes in expatriate performance brought about

by their changing behaviors through surveys, interviews and analytical samples.

Meanwhile, it is imperative to discuss "culture” that has numerous characterizations.

This study uses the definition of culture found in cross-cultural psychology and describes it as

the way of life shared by members of a group (e.g., social institutions and technology, i.e.,

explicit culture) and symbols (e.g., information and mythology, i.e., implicit culture) (Berry,

2020, p. 381). Multinational cooperative enterprises mainly involve national and corporate

cultures.

The existing literature on national culture generally follows two directions: horizontal and

vertical, the former mainly referring to the Dutch anthropologist Hofstede's "onion diagram"

which provides a cross-sectional and horizontal (and hierarchical) division of culture. Hofstede

(1991) argues that the way that human brain thinks is controlled by mental programs at three

levels: human nature, culture, and individuality. Human nature is a characteristic shared by the

entire human race, which comes from human genetics and determines the physiological and

psychological function of human beings. Culture is formed through acquired learning rather

than natural inheritance, and it is determined by an individual’s social environment rather than

personal genes. Personality refers to a set of mental traits unique to an individual that are not

sharable with others because it stems partially from a person's unique genes, and partially from

acquired learning (Hofstede, 1991, p. 7). Hofstede’s hierarchical analysis of the human mind

allows seemingly disparate cultural attributes to be based on common human nature, thereby

providing a fundamental theoretical foundation for coping with cross-cultural conflicts and

achieving cultural adaptation (Wan, 2007, p. 93). Hofstede divides culture into four levels:

symbols, heroic figures, ceremonies, and values. "Symbols" are the most superficial and

"values" are the core; their hierarchical relationships are displayed in the so-called "onion

diagram” -- a simultaneously horizontal and cross-sectional analysis of cultural levels, which

has become the basic model and analytical tool for cross-cultural studies (Wan, 2007, p. 93).

Figure 3: Hofstede Onion Diagram - Levels of Culture

Note. From Cultures and Organizations: Software of the Mind Intercultural Cooperation and Its Importance for Survival

(p.7), by Hofstede, Geert, G. J. Hofstede and M. Minkov, 1991, London: McGraw Hill.

In accordance with Hofstede's model of organizational culture and national culture,

Karahanna, in his article "The Level of Culture and Individual Behavior: An Integrative

Perspective," proposes a theory of vertical division of culture (from high to low) and

establishes a theoretical model of culture and behavior (Karahanna et al., 2005, p. 9). She

divides cross-cultural studies into five layers -- supranational culture (regional, racial, religious,

Symbol

Heroic characters

ceremonies

Values

and linguistic), ethnic culture, occupational culture, organizational culture, and group culture.

She also emphasizes the need for an integrative cultural perspective in conducting crosscultural

research instead of a single-dimensional perspective by recognizing the value of recognizing,

applying, and integrating different cultural perspectives (Karahanna et al., 2005, p.

7).

Figure 4: Levels of cross-cultural management

Note. From “Levels of Culture and Individual Behavior,” by Karahanna, E., J. R. Evaristo, and M. Srite, 2005,

Journal of Global Information Management, 13(2), 6.

Level Definition

Supranational Any kind of cultural difference that transcends ethnic boundaries or exists in

more than one country

Regional Related to people living in the same geographic area

Ethnic Involves a group of people who share common, well-defined characteristics

Religious The cultural characteristics exhibited by people who share a common religious

belief

Linguistic Related to a group of people who speak the same language

National Used to deduce the collective characteristics of people in different countries

Occupational Focus on the difference between loyalty to the employer and loyalty to the

occupation

Organizational The social and normative glue that unites organizations

Group Cultural differences that exist in a separate group lower than the organization

Supranational

national professional

organizational

group

Individual

Figure 5: Karahanna, cultural and behavioral models Note. From “Levels of Culture and Individual Behavior,”

by Karahanna, E., J. R. Evaristo, and M. Srite, 2005, Journal of Global Information Management, 13(2),10.

The concept of corporate culture was initiated by Edgar H. Schein and divided into three

different levels -- assumptions, beliefs and values, and artificial elements. The first (deep

assumptions) is unconscious or preconceived and therefore unmeasurable; the second (value

system) is at a higher level of consciousness; and the third (artificial elements) is at the last

level (Schein, 2014, p. 22). Corporate culture establishes general and applicable guidelines that

play a facilitating and coordinating role, and represents the identity of the company. On the

other hand, organizational culture is a collective thinking plan that separates members of one

organization from those of another (Hofstede, 1991, p. 535).

In this study, the “cultural unit” refers to the enterprise, which also equates to

“organization” without any distinction between corporate culture and organizational culture. In

essence, a cross-cultural study is one that dissects the similarities and differences of two

cultures and their impact. An enterprise is rooted in the society in which they operate, and the

study of cross-cultural adaptation of expatriate employees should consider the combined impact

of national culture and corporate culture. With a few exceptions, previous studies have not

focused on cultural differences at these levels (Pothukuchi, et al., 2002, p.244); rather, they

mostly provide a general study of expatriate management in various countries. This study, in

Values

Practices

Supernational

National

Professional

Organization

Group

contrast, places the cross-cultural adaptation of expatriates specifically in Japan in order to

make its findings more useful.

2.2.2 Characteristics of Japanese Culture

Japan's social model has been very successful in many aspects with its lowest crime

rate, longest life expectancy, and highest literacy in the world (Vogel, 2016, p. I). In his New

Management in New Japan, Kazuo Inamori states that the Japanese civilization has evolved

from rice farming, which requires the construction of water canals. In this common operation,

equitable water distribution demands the observation of rules, and planting and harvesting

mobilize entire villages. Therefore, intra-village coordination and harmony take precedence

over individual freedom, hence the birth of the “village logic” which in turn defines the

fundamental character of the Japanese nation. However, to the external world, the Japanese

would display a propensity for combativeness and cruelty (Inamori, 2022). Ruth Benedict's

classic on Japanese culture Chrysanthemum and the Sword points out that, unlike China, Japan

did not undergo thirty-six dynasties, and its social structure remains largely undisrupted, certain

changes notwithstanding (Benedict, 2008, p. 205).

2.2.2.1 Characteristics of Japanese Culture

1) Knowing One’s Place

In Japan, it is deemed a virtue to know one’s position, status and responsibilities in society

where individuals are morally bound to act in accordance with the requirements of their

respective role in the group to which they belong (Genyuto, 1996). The Japanese believe that

their country is built in a hierarchical structure and understand the need for each to know

his/her place. Such a hierarchy has special meanings and benefits for Japan, though it may be

inconceivable for Americans who are passionate about individuality and equality (Benedict,

2008, p. 39).

The Japanese trust order and hierarchy in the same way that Americans believe in freedom

and equality, although the two belief systems stand at the polar opposites. The Japanese concept

of knowing one’s place is essential for understanding the relationship between individual

Japanese and their country (Benedict, 2008, p. 73). Hierarchies based on gender, seniority, and

primogeniture status were historically an important part of family life. Until the mid-19th

century, only nobles and samurai could use their surnames, so the Japanese were loyal to feudal

lords rather than family clans. In other words, their family ties were rather weak, and filial

piety was limited to close family members, including only fathers, grandfathers, uncles,

granduncles, and their descendants. In this small family circle, there was a clear rule that as

long as the elder was in charge of the household, others had to obey unconditionally. The eldest

son had almost the same privileges as the father and did not have to give much consideration to

his younger siblings’ opinions when making decisions. As the eldest brother was a symbol of

authority, the Japanese brotherhood signified absolute obedience. At the same time, fathers and

eldest brothers had onerous responsibilities for the family that outweighed its individual

members’ interests. Japanese first acquire hierarchical ideas from their families, taking for

granted obedience to the authority. Bowing is not merely a formality, as one person bowing to

another means acknowledging the recipient's right to intervene in the matter at hand, while the

recipient is fully aware of the responsibilities corresponding to his or her position (Benedict,

2008, p. 81). These cultural traits notwithstanding, Japanese are not submissive people, unlike

those in other countries ruled by a strong hierarchy.

Despite the stringent social order, the government, through different policies and

institutions, provides some kind of security for all classes in Japan, each of which is subject to

restrictions in exchange for order and security (Benedict, 2008, pp. 85-112). Therefore, even in

the contemporary Japanese company culture, in contrast to that in the West, Japanese people

have more respect for their superiors. The Japanese motto is each person should know his/her

place and play a proper role commensurate with that position (Benedict, 2008, p. 139).

Japan is an island country prone to frequent natural disasters, an environment that has

historically simultaneously fostered a strong sense of insecurity and community. The Japanese

attach a great deal of importance to actions that are consistent with those of others around them.

During the Tokugawa period (1600-1868), those who did not obey village rules and community

order in rural Japan were shunned and deprived of basic livelihood. Such social norms had a

significant restraining effect. Consequently, even in today’s Japanese society, any behavior that

accentuates an individual is extremely risky. The spirit of collaboration formed by the rice

culture illustrates that individuals must cooperate and maintain a consistent pace with others in

the group without heeding individual will (Huang, 2020, pp. 130-131). During the late 1990s,

Mr. Inamori was invited to participate in the administrative reform of the Japanese government

for three years. His description of Japanese bureaucracy provides another perspective on the

self-perception by the officialdom. According to Inamori, Japanese officials deem themselves

the builders and guardians of the country, responsible for monitoring, guiding, and caring for its

people who should be shown a path without having to understanding they should follow it.

With an innate distrust of the people who, the officials are convinced that, would act

irresponsibly if given too much freedom. The Japanese government is run in a highly

hierarchical fashion, dominated by its officials whose interests are prioritized over others.

2) Obligations and Sentiments

The Japanese believe strongly in reciprocity and harbor a deep sense of obligation to their

parents (filial piety) and the emperor (loyalty), both of which are compulsory, as well as to

one’s own work (dedication). However, the Japanese definition of loyalty is different from that

of the Chinese. Modern Japan has made various efforts to personify “loyalty” and direct it

specifically toward the emperor himself (Benedict, 2008, p. 205). In Japanese psychology,

affection or emotion is by no means one-sided; it is an interactive and symbiotic relationship

based on the interdependence between and integration of subject and object. It is the most

important and indispensable mediator for harmonizing with nature and among human beings

themselves. Therefore, the cultivation and expression of emotions have an all-encompassing

impact on Japanese culture (Cui, 1996, pp. 61-67).

Corresponding to this enduring sense of “obligation,” the Japanese definition of

“sentiment” also includes two types – one for the society and the other one’s own reputation.

The repayment of debts must be commensurate with the size of benefits received and rendered

within a certain time limit (Benedict, 2008, pp. 187-189). “Sentiment” in Japanese culture is

unique and relatable to motivation, reputation, and personal dilemmas (Benedict, 2008, p. 218).

The Japanese feel a special sentiment toward their teachers and superiors, and the sense of

indebtedness accumulates with the passage of time; it is like compounded interest and carries a

heavy burden. Acknowledging and abiding by hierarchical rule instills in the Japanese a moral

obligation to repay others’ kindness, the intensity of which is incomprehensive to Westerners.

In Japan, doing favors for others is natural, but casually accepting kindness from strangers can

be incommodious. Therefore, accepting favors, especially from close acquaintances or peers,

can cause distress that should ideally be avoided. The Japanese usually do not care much about

what happens to others on the street, believing that any unauthorized intervention would burden

others with unwanted favors and a sense of indebtedness, so they take caution not to actively

intervene (Benedict, 2008, pp. 165-167). In Japan, unlike in China, responsibility to close

relatives does not count as filial piety; helping them is mainly to repay the kindness of a

common ancestor and is done to fulfill a contractual obligation (Benedict, 2008, p. 219). Huang

Mei and Huang Lin’s Analysis of Human Sentiments under the Influence of Japanese Rice

Culture explores the unique concept of human feelings created by Japan’s natural environment

along with its social and historical development (Huang and Huang, 2020, pp. 130-131).

3) Maintaining Reputation and Reducing Competition

Unlike people in other Asian countries, the Japanese have a strong urge to for

selfdescription. They believe that a kami (spirit) resides in everything eternal whereas material

things are secondary and transient in nature. Innate in Japanese culture is its singular attention

to the importance of images and impressions, and dishonor is viewed as nearly equivalent to

death. “Shame,” incorporated into the Japanese moral system, is the foundation of morality,

and only those sensitive to shame can perform good deeds. Therefore, “a man who knows

shame” is translated as “virtuous man” or sometimes “man of honor” (Benedict, 2008, pp. 13).

Aside from avoid making mistakes or rarely admitting them, it is also important to reduce

competition which may lead to failure that in turn brings humiliation and shame. In the

Japanese bureaucracy, it is acceptable to make mistakes but forbidden from admitting them

even though reflecting on one’s mistakes is essential to progress (Inamori, 2022). For any plan,

unless there is enough certainty of success, the Japanese try their hardest not to participate in it.

If a competitive approach is used on a project, people tend to be extremely sensitive to their

opponents who are seen as aggressors, and dealing with a competitor would make it difficult to

concentrate on the work at hand (Benedict, 2008, p. 247-351).

In Japanese companies, shame and reputation also bear special characteristics, and

personal actions serve the interests of the group. From the “Mitsubishi Shame” incident in 2000

to the sham door of Kobe Steel in 2018, it is obvious that when flaws in the production process

are exposed by social media, people in the entire corporation cover for one another in unison

and share responsibilities when responding to external accusations. Doing so is viewed as

honorable while siding with the critics is seen as a “betrayal.” Therefore, following one’s duty

in a designated role is interpreted as being to one’s group and standing with corporate partners

is considered “virtuous” (Huang and Huang, 2020, pp. 130-131).

4) Self-cultivation

The Japanese believe that children and adults alike of all socioeconomic status should

engage in self-cultivation in addition to learning specific skills necessary to cope with

adversities in life. Such self-cultivation is divided into two categories: one is to develop ability,

and the other is to condition one’s mind through self-deprivation (Benedict, 2008, pp. 361373).

Many studies on Japan bring up the spirit of craftsmanship, evidenced in family motto of King

Kongo, the 32nd generation leader of the 1,400-year-old enterprise Kongo Group -- respect for

ancestors, gods, and the Buddha; moderation and focus on the business; honesty and humility;

and consistency between thoughts and action. The family prescription -- don't be excessively

greedy about money making -- is used to warn every one of its employees: centering on the

industry and striving for excellence is the only secret of the enterprise's thousand-year legacy.

There are more than 20,000 century-old companies in Japan, seven of which have lasted a

thousand years and are the best in the world. One of them, a small shop in Kyoto named

"Ichimonya Kasuke", has sold only one kind of baked mochi, eaten with bamboo skewers

dipped in sauce, for a thousand years. One of Japan's oldest sake cellars, the Sudo Honka in

Ibaraki, produces only 800 bottles of classic sake by hand every year, not a single bottle more.

Starting from childhood, an important part of a Japanese person’s life is getting the

approval of his/her friends, and rejection is considered worse than violence. The duality of the

Japanese character puts them in a state of tension. They like to look themselves in the mirror,

not because of vanity but due to self-discipline; that is, it is important to keep a routine and a

sense of regaining childhood innocence through the reflection of one’s own image. Making the

best use of their traditions that pride on cleanliness, the Japanese hold themselves responsible

for cleaning the “rust” on their body, so to speak. In this sense, the sword is no longer a symbol

of offense, but a metaphor for ideals and self-responsibility (Benedict, 2008, pp. 450-459).

5) The “Insider” and “Outsider” Differentiation

There is an unspoken rule among large Japanese companies that they should only

purchase products from their counterparts under the same corporate umbrella, a practice that

seems to echo the “village logic” and one that is unfair to foreign companies and emerging

Japanese companies alike (Inamori, 2022). In Japan, the "insider" and "outsider" dichotomy in

interpersonal communication is obvious; familiar individuals are treated differently than

strangers. In conducting interpersonal relationships, different standards are applied in

accordance with the level of familiarity. "Insiders" usually refer to colleagues and neighbors in

the same workplace or community and, of course, family members, relatives, and friends.

"Outsiders" refer to others who do not belong to any of the “insiders” category, including those

overseas. Internally, the Japanese are harmony-oriented while externally, they do their best to

fend off “trouble” (Huang and Huang, 2020, pp.130-131).

2.2.2.2 Japanese Customs

1) Religion

The emperor serves as the ultimate symbol of Japan. For a very long time in history, the

emperor was considered divine and the object of religious worshipping, and the Japanese

loyalty to the emperor was unconditional, in stark contrast to their criticisms of other

individuals and institutions (Benedict, 2008, pp. 55-57). Japan’s state religion is Shinto, which

is widely observed despite the Japanese government’s claim that its citizens’ respect of Shinto

is not dissimilar to Americans’ salute to the stars and stripes. The Japanese government can

theoretically command public belief in Shinto by equating it as an expression of loyalty to the

state rather than a violation of religious freedom. Japan can teach Shinto in schools without

worrying about criticism from Western countries despite the state support of the religion. State

Shinto is under the jurisdiction of the Ministry of Internal Affairs Priesthood and financed by

the government while other religions, such as Buddhism, Christianity, are managed by the

Department of Religious Affairs of the Ministry of Education, Culture, Sports and are funded

mainly by voluntary donations from believers (Benedict, 2008, p. 141).

2) Lack of Physical Contact

More than one million people in Japan are ensnared in a kind of lonely existence in their

own homes every year. There is a word in Japanese to describe this situation: ひきこもり,

which originally means a state of withdrawal or self-isolation. Approximately 1% of the

Japanese population are found in this condition, including those suffering from social

withdrawal and autism of the 15-39 age group. The number would be much higher if taking

into account those in their 40s and 50s. Generally speaking, Japanese people tend to refrain

from physical contact, especially with those whom they do not know well. If a Japanese person

reaches out to shake another’s hand, it means that either he/she knows that person is a foreigner

or that individual may have also lived abroad and is therefore using a handshake as a learned

habit. Conversely, if one goes to Japan and extends a hand when meeting someone casually,

he/she will find that most Japanese people feel culturally and psychologically awkward to

reciprocate, especially if the handshaker is a man and the other party is a woman. Therefore, do

not take the initiative to shake hands casually in Japan.

3) Unwritten Yet Powerful Social Norms

In Japanese culture, once group values generate strong pressures, which make anyone in

non-compliance feel uneasy or even ashamed. For example, Japanese society generally cares

about cleanliness, and spitting on the ground or sneezing and coughing in front of others can

induce psychological stress. As such, public places, including transportation hubs, are kept

clean with strenuous efforts, including repeatedly wiping elevator handrails and railings.

Sometimes excessive use of detergent creates a unique disinfectant odor and even causes skin

allergies to tourists from China who are not yet accustomed to it. In this context, when the

government urged the public to maintain social distancing during the COVID-19 epidemic,

avoid unnecessary gatherings, among other relevant measures, the overall public compliance

was impressive. Such obedience is conditioned by the traditional cultural psychology that

cautions people not to cause trouble to others.

2.2.2.3 Different Concepts of Loyalty in Chinese and Japanese Cultures

The Confucian notion of "loyalty" is a highly valued moral principle in China and Japan,

but it has different connotations and social implications in the two countries. In the mid-19th

century, both countries were confronted with Western imperialism. China came into contact

with Western culture earlier than Japan, but its Confucian bureaucracy was slow to respond to

Western pressures as its general legal and administrative reforms failed. After Japan

encountered Western culture, it undertook thorough and organic reforms, leading to its

Japanese-style Western learning (Zhao, 1998, pp. 40-51). Scholars often discuss the different

spiritual qualities of the Chinese and Japanese cultures, seen in the emphasis on "Chinese

essence and Western science" and “Japanese soul and foreign talents," respectively. Japanese

culture is perceived as "secular" and "practical" while Chinese culture has a transcendent value

system. In Japan, foreign cultural influence reached such a level that it affected Japanese

"soul." On the other hand, the insistence on Chinese "essence" and Western “practice” made it clear

that the quintessential characteristics of Chinese culture trumped the practicality of policies (Li and

Liu, 1997, pp. 46-51).

As a moral value, "filial piety" has a long history in China. Confucius further elevated its

importance to the governing level by equating it to "loyalty" with the notion that “a gentleman

can transfer his filial piety to his parents to loyalty to a prince” (The Analects "Xue'er").

Confucianism has had a profound impact on the development of Chinese social thought for two

thousand years. Individual self-cultivation, familial harmony, national governance, and

universal pacification are the traditional social ideals in China. Self-cultivation fosters

benevolence; familial harmony is rooted in filial piety; and national governance requires loyalty

as its core value (Wang, 1992, pp. 57-71). Chinese harbor deeply the concept of patriarchal

clan, in which the family name is of primary significance, and member loyalty carries the

utmost importance (Benedict, 2008, pp. 81-83). Family ties in Japan, on the other hand, are

rather weak. The foundation of traditional Chinese society is not contractual in nature but based

on neo-Confucianism and attaches importance to feelings. Therefore, when receiving help from

others, Westerners acquire a specific debt while Asians develop a feeling of indebtedness. In

this sense, the Asian sense of personal and social contract has an innate concept of fairness

(Benedict, 2008, p. 160).

In Japan, after the establishment of patriarchal families in the Middle Ages, the emerging

samurai class increasingly adopted the concepts of filial piety as part of its moral code of

conduct. By the Tokugawa period from the 17th to the 19th century, Confucianism had become

an official doctrine. Filial piety was no longer confined to the aristocracy and samurai class but

penetrated widely into the ranks of commoners, serving as the foundation of moral education

for all people despite the fact that the concept was not indigenously Japanese but imported from

China (Chen, 2008, pp. 118-121). The Japanese outlook on life is expressed through the moral

precepts of loyalty, filial piety, love, benevolence, and human affection. In their view, human

obligations are arranged in a similar way as dividing different administrative regions on a map.

In other words, life consists of many areas – those of loyalty, filial piety, righteousness,

benevolence, and human affection, among others, each with its own unique and detailed

guidelines, and changes in each area are to be addressed in appropriate and distinct ways. The

Japanese believe that the strong should be able to abandon personal happiness and fulfill their

obligations, and that the strength of character is not resistance but obedience. When desires

conflict with obligation, a person is weak if he or she focuses on their own individual desires

(Benedict, 2008, pp. 311-329).

Comparing the concepts and understandings of "filial piety" and "loyalty" in China and

Japan, one sees that the core of Chinese filial piety is "benevolence” and that og Japan’s is

"grace.” The Chinese "filial piety" can shift to "loyalty," and the idea of loving oneself and

others is a moral system from the inside out. Japan's social structure, on the other hand, focuses

on loyalty first by restricting individuals through collectives, and legitimizing this binding

relationship from an ethical point of view, thus forming a moral system from the outside in. In

comparing the traditional cultures of China and Japan, clarifying their core value systems is

essential for understanding their ideological differences (Cui and Li, 2010, pp. 124-129).

2.2.3 Literature on Cross-cultural Adaptation

2.2.3.1 Definitions of Cross-cultural Adaptation

In cross-cultural psychology, adaptation mainly refers to social adaptation, that is, the

change in the behavioral system when an individual or group adapts to the ecological or social

environment (Berry, 2020, p. 381). The study on cross-cultural adaptation began in the United

States in the early 20th century with a focus on the mental health of immigrants, who

constituted 70% of the mental hospital patents, according to a 1903 U.S. census. This fact

attracted the attention of researchers, and subsequent studies were carried out in the United

Kingdom, Australia, Canada, and other countries (Wang, 2011, p. 44). The concept was first

developed by the American anthropologist Robert Herskovits, along with Ralph Linton and

Redfield. They argue that cross-cultural adaptation is a change in cultural patterns caused by

continuous contact of groups of individuals from two different cultures (Herskovits et al.,

1936, p. 149-152). In academic literature, cultural adaptation has different expressions,

including "acculturation" and "enculturation” with similar Chinese translations. In reality,

however, there is a big difference between these three terms (Wang, 2011, p. 44).

Enculturation is the process of individuals learning and adapting to the values and customs of

the parent culture during early socialization and is thus a form of (internal) acculturation.

Generally speaking, in terms of sequence, acculturation happens later than enculturation in the

process of resocialization (Chen, 1998, p. 173-179). Cultural adaptation refers to an

individual’s conscious behavioral choice and adjustment based on his/her cognitive and

emotional attachment to two different cultures after being transferred from one to another. The

emphasis is on "behavior selection" and "behavior adjustment," mostly used for the short-term

acclimatization of sojourners. Acculturation is the process of behavioral change that occurs

after an individual moves from his/her familiar culture to a heterogeneous culture (Wang et al.,

2004, p. 6) as well as a cultural integration at a broader and deeper level that is mostly used for

long-term immigrants.

Figure 6：Differentiation of cross-cultural adaptation concepts (self-developed)

In psychological definition, adaptation is usually seen as the process leading to

acculturation, which is usually divided into psychological adaptation (individual well-being and

self-esteem) and sociocultural adaptation (life competency in mainstream society) (Berry, 2020,

p. 381). The cross-cultural adaptation in this study is indicative of the process of coping with

acculturation experiences.

Culture adaptation

“Behavior selection" and "behavior adjustment"

--mostly used for short-term adaptation of sojourners.

Acculturation

A kind of cultural adaptation in the "resocialization

process;” "the integration of other cultures” -- to a degree

broader and deeper than adaptation, and mostly used for the

cultural adaptation of long-term immigrants.

Enculturation

Occurs early in an individual's life, a type of acculturation

or internal acculturation.

I -

Legend Description:

Figure 7: Conceptualization and research framework of acculturation

Source: John A. W. Berry (2020). Cross-Cultural Psychology: Research and Applications (3rd ed.) (p. 257).Beijing:

Beijing Normal University Press.

2.2.3.2 Research Level of Cross-cultural Adaptation

The research on cross-cultural adaptation is divided into group-level and individual-level

studies. As mentioned above, the initial research focuses on cultural changes due to group

interactions from an anthropological and sociological perspective and identifies cultural

differences. The research at the individual level centers on the psychological response and

social integration of outsiders in a new cultural environment, especially on changes in

individual values, attitudes, and behaviors. The scope of research has expanded from

immigrants and refugees to international students, professional and technical personnel,

businesspeople, missionaries, military personnel, diplomats, and travelers (Yang, 2005, p. 32).

Scholars in a variety of fields, including anthropologists, sociologists, linguists, social

psychologists, and communication experts, have incorporated the subject of cross-cultural

adaptation into their research horizons (Lee, 1983). Since the 1980s, expatriates of

multinational corporations have received widespread attention (Black, 1988, pp. 657-665), and

cross-cultural adaptation specifically refers to the psychological fit or comfort level of

expatriates when coping with cultural differences in the host country (Black, 1989, pp. 529544).

Multiplying research on this subject matter has produced many analytical patterns and theories,

among which four main models are: the U-shaped model, Getz’s cultural change curve, the

surprise and rational search model, and Kim's adaptation model.

1) The U-Shaped Model (also known as the "culture shock theory”)

Cultural anthropologist Oberg first proposed the idea of "culture shock" in 1960, and

subsequent cross-cultural studies have been using this concept to track the experiences of

foreigners in a given country. The theory usually divides cross-cultural adaptation into four

emotional stages: honeymoon, crisis, recovery, and adaptation, illustrated by a simple U-shaped

curve. The basic premise is that a traveler to other countries must go through some difficult

times to achieve the kind of cultural comfort and normality felt before the

travel(Oberg,1960,pp.177-182).

Dashed Line：Life changes typical of the host culture Wavy

lines: Typical life changes in cross-cultural adaptation

Figure 8: U-shaped model of the acculturation process

Source：Oberg, K. . (1960). Cultural shock: adjustment to new cultural environments. Practical Anthropology, 7(4),

177-182.

2) Getz’s Cultural Change Curve

In 1991, Getz, an expert in cross-cultural studies, proposed a cultural change curve,

marking emotional movements and changes as the vertical axis and time span as the horizontal

axis. He showed the dynamic cultural adaptation process statically, and summarized three

"cultural change curves,” as shown in the following illustration:

Figure 9: Gertz's cultural curve

Source: Xu Guangxing (2000). Cross-Cultural Adaptation When Studying Abroad - The Psychological Health and

Assistance to Chinese International Students. Shanghai: Shanghai Dictionary Press.

In Gertz's model, the first two stages, those of excitement and culture shock, are similar to

the honeymoon period and crisis period in the U-shaped model, both of which introduce the

process of cross-cultural adaptors from novelty to feeling differences and experiencing culture

shock. Unlike the U-shaped model, the Gertz model proposes a third stage of cultural change,

when the individual becomes aware of the new environment, begins to accept some new values

and integrates them into a new cultural context. According to Getz, the third is the longest stage

in the process of cultural adaptation. After going through three phrases of excitement, shock,

and change, the individual eventually enters a state of emotional stability, marking the fourth

stage of cultural adaptation, during which individuals should be in different positions on the

acculturation curve due to their different types of acculturations (Xu, 2000).

Individuals in position A are defined as unadaptable because they invariably have a

negative attitude towards the other culture and obstinately maintain their own cultural traits.

Those in position B are moderately adaptable because they have a neutral attitude towards both

the parent culture and the host culture, yet unwilling to blindly accept either while embracing

and integrating the positive elements of both. Those in position C are fully adaptable because

they have a more positive attitude towards the host culture and find it easy to integrate into its

environment and become "naturalized.” Getz's "cultural change curve" reflects not only the

different stages of cross-cultural adaptation but also the different types of individuals in the

process. This model has guiding significance for this study.

3) Louis’ Surprise and Rational Search Model

To better understand the cultural adaptation that occurs when one organizational culture

moves to another, Louis proposes a “surprise and rational research model.” In the U-shaped

model and the Gertz curve, an individual is assumed to have behaved differently at various

stages at a given point in time. In the Louis model, however, the individual is more involved in

all parts of the stages at the same time with the belief that any unexpected "change" or

unanticipated "difference" between the two cultures is the cause of "surprise" which can also

stem from people's own reactions to "differences" (Bradford, 2003, pp.240-254). "Surprise"

refers to emotional fluctuations, equivalent to the "cultural shock" in the first two models.

However, Louis does not overemphasize the negative emotional response of "cultural shock;”

instead, he deems "surprise" as inevitable and seeks rational answers as a natural response of

people when surprised. Louis’ model pays more attention to the mechanisms of cross-cultural

adaptation to help people deal with the "surprise."

Change

Surprise

Variatio

n Rational search, rational

source (personal

background, others facing

the same problem)

Deduce

Causes

Update

expectations and

framework

concepts

Choose behavior

Figure 10: Louis's rational search model

Source: Hall Bradford (2003). Transcending cultural barriers: the challenge of communication. Beijing: Beijing

Broadcasting Institute Press, p. 243.

Louis's model breaks the rigid pattern of the traditional stage analysis, in which an

individual's behavior is assumed to develop according to a set sequence of different stages by

pointing out that "surprise" may occur in any repeatable phase of the adaptation process. In

other words, the rational search is one of repeated superposition, in which people who have

completely different experiences in a certain culture would constantly update their perception

map according to the actual situation (Bradford, 2003, pp.240-254). The significance of

Louis’s model for this study is that in the process of cross-cultural adaptation of expatriate

employees, a research time frame can be set in a long cycle instead of following the

conventional time differentiation because "surprise" may indeed occur in any period of the

expatriate experience in a gradual and formative process.

4) Kim's Stress-adaptation-growth Model

After extensive research on the process of cultural adaptation, Korean psychologist Yun

Kim proposes the stress-adaptation-growth theory (Kim, 1979, pp. 435-453), which analyzes

individual behaviors in the host culture while emphasizing the dynamic nature of cultural

adaptation and the importance of communication in the process. Kim believes that in

crosscultural communication, the process of learning, adjusting, developing, and acculturating

from one individual or group to another is one of long-term accumulation, manifested as a

dynamic model of stress – adaptation –growth. Such progress is like a spiral spring that swings

two steps forward and one step backward, gradually advancing forward under pressure (Chen,

1998, p. 16).

Figure 11: Kim's pressure-adaptation-growth dynamics map

Source：Kim, Y. Y. (1979). “Toward an interactive theory of communication-acculturation” Annals of the

International Communication Association, 3(1), 435-453.

Similar to the previous "surprise" model, Kim's "stress" is also a neutral word denoting a

normal psychological state rather than a sign of failure. It opines that individual cross-cultural

adaptation, as a dynamic process, should not be simply divided into linear stages. In addition,

this model takes a positive view of "culture shock," turning it into an opportunity for sojourners

to learn and grow while deeming it inappropriate to simply describe individual cross-cultural

adaptation as "adaptation" or "inadaptation" (Kim, 1988). The course of spiral adaptation

depends on the individual’s cross-cultural communication ability, the degree of social

communication with the home culture, the tolerance of the host culture toward the foreign

culture, and the age, personality, motivation, self-image, and other characteristics of the

sojourner. At the same time, Kim argues that cultural adaptation necessarily leads to a certain

degree of deculturation, or the loss of certain cultural ideas or behaviors, as part of the natural

process of growth (Kim, 1988). This model has a broad theoretical appeal due to its

applicability to the analysis of either long-term experience of immigrants or short-term stay of

sojourners. It is also helpful in dissecting whether the loyalty of individual expatriate

employees will be "lost" during cross-cultural adaptation.

2.2.4 Models and Measurements of Cross-cultural Adaptation

1) Ward's Model of Acculturation Process

Ward and his colleagues break down the dimension of cross-cultural adaptation into two --

psychological and sociocultural. Psychocultural adaptation is based on expatriates’ emotional

responses, referring to their physical and mental health and general well-being in cross-cultural

situations. If there are few negative emotions such as depression, anxiety, loneliness, and

disappointment, then psychological adaptation is achieved. Sociocultural adaptation is related

to the adjustment to the local socio-cultural environment and effectively engaging and

communicating with people in the local culture (Ward & Searle, 1991, pp. 449-464).

Mendenhall et al. identify the main barriers to cross-cultural adaptation for expatriates as

culture shock, different ways of working, isolation, homesickness, as well as issues concerning

health care, housing, school, diet, language, customs, and cost of living (Mendenhall, 1985, pp.

331-345).

Figure 12: Ward's Model of Acculturation Process

Source：Ward, Bochner & Furnham (2001)

2) Black’s Integrated Theoretical Framework for Cross-cultural Adaptation of

Expatriates

The Cross-cultural Adaptation Scale was developed by Black and validated and refined

in further research. Black boils down the experience of expatriates to three dimensions, namely

work adaptation, interactive (interpersonal) adaptation, and general adaptation (Black, 1991,

pp. 497-515). Work adaptation refers to the degree of recognition of work tasks, job

responsibilities, and performance standards, etc.; interpersonal adaptation refers to the comfort

level with colleagues and proficiency in social interactions and communications outside of the

work environment; and general adaptation refers to the overall comfort level in life, such as the

living environment, diet, transportation, entertainment, medical treatment, etc. At present, the

three-dimensional structure and scale have been widely used in the studies of cross-cultural

adaptation of expatriates, with a high degree of validity and reliability. The scale contains 14

questions, with the “general adaptation” section centering on living environment, housing

conditions, diet, shopping, living cost, leisure and entertainment, medical system and other

liferelated aspects; the “interpersonal adaptation” portion focusing on social interactions with

local people, daily dealings beyond work, conversations and other social communications; and

the

“work adaptation” emphasizing work responsibilities, performance standards and expectations,

management and other work-related facets (Black, 1991, pp.291-317). In the early 1990s,

Black et al. further proposed a comprehensive model of cross-cultural adaptation (Black, 1991,

pp. 497-515). A large number of Western scholars such as Shaff (1998) and Aycan (1997) have

partially or fully verified the theoretical model and gradually designed a research paradigm of

"stressor-pressure-stress consequences" (Caligiuri, 2002, pp. 761-772).

Figure 13: Integrated Theoretical Framework for Cross-cultural Adaptation of Expatriates. Source：Black et al.

(1991)

3) Bhaskar-Shrinivas and Takeuchi’s Complementary Model

The meta-analysis study of Bhaskar-Shrinivas et al. summarizes the previous scattered

studies and validates the cross-cultural adaptation models as a whole by testing the variables of

Black’s theoretical model through 66 empirical questions, the meta-analysis of 8474 expatriates

and the three-dimensional influencing factors (Bhaskar-Shrinivas, 2005, p.48), shown in the

following:

Figure 14：Bhaskar－Shrinivas et al. Model

Source：Bhaskar－Shrinivas P． et al (2005)．Input－based and time－based models of international

adjustment： Meta－analytic evidence and theoretical extensions, p. 48.

Additionally, Takeuchi conducted the latest research from the perspective of stakeholders,

proposed a more comprehensive and specific theoretical model of cross-cultural adaptation,

retained the core content of Black’s scholarship, and summarized the factors affecting

crosscultural adaptation in more detail from the view of five stakeholders -- individuals,

families, parent companies, subsidiaries, and local society (Takeuchi, 2010). His research uses

familywork conflicts, social exchange relations, and strategic human resource management

theories for explanation and substantiation. It broadens the theoretical perspective of cross-

cultural adaptation research of expatriates. Although this study breaks through the inherent

research paradigm of its predecessors, the model is too complex, its measurement and

verification are difficult, and the proposed factors have not been verified. At the same time,

there may be overlaps between certain elements, such as the "HR Policy for Expatriates" related

to the parent company and the "Human Resource Management Practice System" related to the

subsidiary, which needs to be further validated.

Figure 15：Takeuchi Model

Source: Takeuchi (2010), “A critical review of expatriate－adjustment research through a multiple stakeholder view ：

progress，emerging trends, and prospects,” in Journal of Management， p.1040.

In the past decade, there have been many empirical studies on cross-cultural adaptation

with more innovative research, new breakthroughs in the analytical paradigm and the

introduction of more regulatory variables, all of which have enriched the research in this field

(He & Wang, 2013, p. 59). Maertz Jr. (2009) et al. initiated the theory of cognitive incongruity,

introduced the concept that such adaption was a mental activity process, and proposed six

methods commonly adopted by expatriates to reduce cognitive incoordination (attitude change,

perceptual modification, self-affirmation, rationalization, confession-redemption, and

subjective/inconsistent rejection), and analyzed the impact of these six practices on outcome

variables such as cross-cultural adaptation and early repatriation (Maertz Jr et al.,2009, p. 69).

Wang (2007), Kim (2017), and Pintou (2012) raise the idea of host country subsidiary

support and cultural distance as moderating variables in terms of the mutual impact between

expatriate motivation and cross-cultural adaptation. Jenkins and Mockaitis (2010) also use

cultural distance as a variable to study the effects of perceived distance, objective distance, and

perceived accuracy, respectively, and conclude that the perceived distance and accuracy of

expatriates seriously affect their cross-cultural adaptation. Takeuchi et al. (2008) examine the

other influential factors, such as expatriate decision-making autonomy, differences in global

integration pressures, and variations in the parent companies' cross-border operating

experience. Up to this moment, there has been no uniform dimensional structure or

organizational support in expatriate situations, but the consistent finding is that organizational

support has a 1:1 positive impact on cross-cultural adaptation. While work support affects

work-related adaptation, life support impacts interpersonal and general adaptation. However,

analyses of employee loyalty, which are closely related to organizational support and

organizational commitment, remain lacking.

2.3 Literature on Employee Loyalty

Employee loyalty plays an important role in corporate development. Josiah Royce of

Harvard University points out in his 1908 book The Philosophy of Loyalty that loyalty has its

own hierarchy and is divided into graded categories. At the bottom is loyalty to the individual,

then to the community, and at the top is total devotion to a set of values and principles.

2.3.1 The Concept of Employee Loyalty

2.3.1.1 “Employee Loyalty” Literature Review

Since the 1960s, the study of employee loyalty or organizational commitment has gained

increasing currency. Hirschman's book Exit, Voice and Loyalty, taking the study of employee

loyalty to a new height with its focus on the outcome variables, argues that employees’ loyalty

helps to mitigate their decision to leave the company and/or voice their opinions (Hirschman,

1970). This perspective has led to further studies on organizational commitment and

organizational identity. Meyer and Allen argue that if companies want to reduce turnover and

improve employee in-service behavior, they must make greater commitment and understand

ways to foster employee loyalty (Meyer & Allen, 1991, pp. 61-89). Although the concept of

employee loyalty or commitment has been widely discussed in previous literature, it is still

loosely defined. Hart and Thompson propose a three-tiered psychologically-based definition

that includes the various types of obligations that loyalty may imply, and anticipates that there

may be unequal fidelity configurations between employers and employees, i.e., that loyalty is

difficult to expect without reciprocity (Hart & Thompson, 2007, pp. 297-323).

Tukoimmaz et al. emphasize that loyalty is a state of mind that describes the relationship

between employees and their organization that contributes to a strong desire to remain a

member of an organization (Turkyilmaz et al., 2011, pp. 675-696). Other scholars have further

raised the concept of organizational commitment. Becker, who first proposed the concept

(Becker, 1960, pp. 32-40), sees organizational commitment as a psychological phenomenon in

which employees feel compelled to stay in the organization with the increase of "unilateral

investment,” such as welfare, energy, and skills that can only be used in a particular

organization. Porter views organizational commitment as the relative strength of individual

identification with and involvement in a particular organization, including a) a high degree of

belief and acceptance of organizational goals and values; b) a willingness to make great efforts

to achieve the objectives of the organization; and c) a strong desire to maintain membership in

the organization (Porter, 1974, pp. 603-609). Begin interprets that commitment as the loyalty

and support that the workplace provides to achieve organizational goals (Begin, 2014). O'Reilly

and Chatman believe that organizational commitment is a psychological attachment of

employees to the organization (O'Reilly & Chatman, 1986, p. 492). Holden defines it as the

efforts made by employees to achieve organizational goals (Holden, 1988). This view coincides

with Greenberg and Baron's characterization of employee loyalty in 2000 as the degree to

which employees participate in an organization and are reluctant to leave it 70(Greenberg &

Baron, 2000). Rahim, Falasi and other scholars treat the two as the same concept, that is,

employee loyalty and organizational commitment are both employees' psychological

attachment to the organization as they express a strong desire to continue to be its member

(Ibrahim, & Falasi, 2014, p. 467). Suliman (2000), Schuster (1998), Awamleh (1996) and other

Middle Eastern scholars make no distinction between employee loyalty and organizational

commitment.

It has also been pointed out that the more a company can integrate knowledge,

information, compensation, and power into building an infrustructure of engagement, the more

it can increase employee loyalty (Ichniowski, Shaw, & Prennushi, 1997, pp. 291-313).

Communication, professional competencies, and development opportunities enhance employee

loyalty (Gideon, 2003, pp. 213-233). Chen Xia is persuaded that insufficient authorization and

imperfect compensation mechanisms are important factors that lead to the decline of employee

loyalty (Chen, 2008, pp. 205-207). In 2004, Li Zhifeng built upon Herzberg's motivation-health

care theory (Robbins, 2002, p. 169) and divided the various loyalty factors into two categories:

health factors and motivational ones, the former including performance evaluation, incentives,

environment, empowerment, development opportunities, etc., and only one motivator is

corporate culture. Health factors play an intriguing role in that while their presence does foster

employee loyalty, they do not necessarily engender complete loyalty. A motivating culture is the

only core element that generates employee loyalty. Li agrees with Maslow's “hierarchy of

needs” theory that details the five levels of needs within each person – physiological, security,

social, respect, and self-actualization, which are in turn divided into two broad categories: the

first four are scarcity driven and the last is motivational in nature (Maslow, 2003, p. 54). The

result of unmet security needs is negative emotions such as frustration, anxiety, and chagrin,

while motivating factors make people feel excited, aspiring, positive, and optimistic because

they precisely satisfy the motivational needs of employees and constitute the fundamental

reason for employee loyalty. Corporate culture is the key in enabling employees to unify their

own self-realization with that of the enterprise (Li & Wang, 2004, p. 58). Li Zhifeng and Wang

Yunrui proposed the employee loyalty matrix chart as follow.

Figure 16: Employee loyalty matrix

Source: Li Zhifeng and Wang Yunrui, “Analysis of employee loyalty,” Market Weekly (Business Marketing), 2004

(04):57-59.

According to the respective healthcare and motivational factors, the matrix is divided into

four quadrants. In the upper left quadrant, both factors are very weak, hence the enterprise’s

lack of attraction to its employees who in turn exhibit little loyalty. The upper right quadrant

represents a strong health care effect but weak incentives, resulting in the lack of employee

satisfaction and loyalty. People work for financial benefits, but they work for the value of their

lives even more. If a company overlooks this aspect, then raising their compensation is

tantamount to bribing their employees with financial incentives; ultimately, this kind of practice

would pay a price for the lack of employee loyalty and dedication (Jeffrey, 1967, p. 34). Taking

a start-up company as an example, a weak health care but strong incentive effect may likely

lead to employee loyalty. Despite setbacks and difficulties, employees tend to be more united

because they firmly believe that a business built on shared cultural values is bound to create a

better future. However, as a for-profit organization, the lack of long-term care for employees’

welfare inevitably alienates employees and comprise their loyalty. In the lower right quadrant,

both health and motivation effects are strong, and the employee loyalty in these enterprises is

the most genuine and thorough (Lai, 2004, p. 59). In both research and business practice, the

contributing factors to employee loyalty have been a topic of great interest and exploration.

The double-factor loyalty theory provides a new perspective and measurement for categorizing

and analyzing influential factors in employee loyalty.

2.3.1.2. Definitions and Classifications of Employee Loyalty

Some scholars have classified employee loyalty (Cai, 2009, p. 6) and, based on the

willingness of employees to stay in an enterprise, divided it into passive loyalty and active

loyalty; the former referring to the employee's own strong desire to be loyal to the enterprise,

and the latter is induced by practical considerations, such as higher salaries than their peers,

good benefits, favorable transportation conditions, harmonious interpersonal relationships, etc..

Once these conditions are removed, employees may no longer be loyal to the company. What

enterprises really need is active loyalty rather than passive loyalty (or pseudo-loyalty) of their

employees (Li & Wang, 2004, pp. 57-59). If evaluated according to the object of employee

loyalty, it can then be divided into loyalty to a particular enterprise and that to the cause. An

employee's loyalty to a company is first and foremost to its corporate culture, not to an

individual (i.e., the owner of the company). Loyalty is a two-way street between the employees

and the enterprise; only when it is reciprocal would the two parties be engaged in a genuine

exchange. It is also worth noting that there is a fundamental difference between employee

satisfaction and loyalty -- those who are loyal must be satisfied but not necessarily the other way

around. Employees are satisfied because their efforts are duly rewarded, but they are only loyal

when they want to repay the enterprise. Employee satisfaction is diverse, but employee loyalty

is unitary. They may be loyal to one type of corporate culture but not to one company, and they

can also be satisfied with several enterprises of different cultures because of their loyalty to the

cause. The general expression of employee loyalty can be divided into internal emotion and

external behavior. The mainstream theories of employee loyalty research are categorized into

three types: behavioral loyalty, attitudinal loyalty, and comprehensive loyalty (Dong, 2006, p.

154). The behavioral loyalty theory believes that employee loyalty is expressed in a series of

specific behaviors due to individuals’ dependence on the organization, with emphasis on their

contributions (Tellis, 1988,

p. 133).

According to the attitudinal loyalty theory, loyalty is actually an attitude of employees

towards the enterprise and should be examined from several aspects -- cognition, emotions, and

behavioral tendencies (Bennett, 2002, pp. 193-209). Liu Jumei and Chen Bucheng (2003),

Zheng Yan (2001), Zhou Yayue and Yu Haishan (2003) believe that the so-called employee

loyalty means that employees have deep feelings for the company with a sense of responsibility

and mission, willing to dedicate their wisdom and talents, and maximize role in helping the

company achieve its strategic goals. The comprehensive loyalty theory maintains that loyalty is

the synchronization between employees' behavioral and attitudinal loyalty (Day, 1969, p. 9).

Zhao Ruimei and Li Guiyun (2003) argue that employee loyalty refers to the fact that

employees manifest their allegiance in both attitude and action because they identify with the

values and policies of the enterprise and make every effort to help to realize them and to

safeguard its collective interests at all times. All in all, the study of employee loyalty is in

essence the study of employee - enterprise relationship in multiple dimensions – attitude,

behavior, and intellectual capital, that is, the combination of employee capability compounded

by loyalty. Such comprehensive research fully illustrates the importance of employee loyalty,

as talent drain is tantamount to the loss of corporate capital. Therefore, improving the loyalty of

core employees has become a central concern for every organization (Yao, 2021, pp.75-77).

Employee loyalty defined in this study refers to the voluntary identification of employees

with the enterprise, seen in the organic unity between their attitude and action and in their

overall devotion to the enterprise, a unity that is formed during the long process of emotional

and behavioral interactions between employees and the enterprise. The bottom-line

measurement of employee loyalty is their willingness to stay in an organization. In this study,

the concept of organizational commitment in the afore-mentioned literature, and the notions of

"employee loyalty" and "organizational commitment" are not differentiated; they are

collectively referred to as employee loyalty.

2.3.2 Evaluation and Measurement of Employee Loyalty

The measurement of loyalty refers to its quantification and the formation of a scientific

measurement methodology. At present, the evaluation of employee loyalty by international

scholars is mainly based on the following methods:

1) 360-degree Employee Loyalty Evaluation System Based on Employee Satisfaction

Employee loyalty evaluation methods include employee satisfaction surveys and a

360degree employee loyalty evaluation system. The survey is a necessary way to assess the

level of employee loyalty and its contributing factors. The 360° evaluation system, also known

as panoramic feedback, is a multi-level and multi-dimensional evaluation of individuals by

those in and outside of an organization who are familiar with the objects of evaluation (such as

direct supervisors, supervisors of other departments, subordinates, colleagues, and customers).

The synthesis of different evaluators makes it possible to develop a comprehensive and fair

assessment system of employee loyalty (Dong, 2006, p. 154).

Some researchers believe that employees' satisfaction or identification with the company

affects their loyalty, which is gauged with a cognitive evaluation of the internal and external

environment of the enterprise. Zhao Guanbing and Mei Qiang propose six criteria for

measuring employee loyalty, on the basis of which an ambiguous comprehensive evaluation

model is established. Employees receive a score through self-evaluation, which is then

comprehensively judged (Zhao, 2003, pp.43-44). Li Yongmei uses this model to evaluate the

loyalty of hotel employees (Li, 2012, pp.125-126). However, Lang Fuchen and Li Zhi (2004)

have discovered through a survey the lack of simple positive correlations between employee

satisfaction and loyalty; in other words, those with a high degree of loyalty are not necessarily

more satisfied than their less loyal counterparts (Lang & li, 2004, pp.91-93). In practice, as

shown by the two-factor theory, employee satisfaction and loyalty are not positively correlated

in a straightforward fashion. Therefore, this model is not used in this study. 2) A System for

Evaluating the Factors Influencing Employee Loyalty

Some scholars assess the level of employee loyalty by measuring the relevant

influencing factors. Zhou Yayue and Yu Haishan (2003) propose a three-dimensional factor

measurement -- employee personal factors (including personal qualities, personality traits,

professional maturity, skills and age), enterprise factors (including enterprise scale and

operating conditions, human resource management system, layoffs and working environment),

and social and environmental factors (social trust issues, changes in people's ideas and

marketoriented employment mechanisms) (Zhou & Yu, 2003，pp.121- 124). Li Zhifeng and

Wang

Rui (2004), referencing the motivation-health theory proposed by psychologist Herzberg,

divide a variety of loyalty factors into two categories: health factors and motivational factors,

and construct an employee loyalty matrix to analyze how the two types of factors have a

comprehensive impact on employee loyalty (Li & Wang, 2004, pp.57-59). Zhang Xiaoguang

(2005) maintains that the factors affecting employee loyalty are ranked in this order --

compensation, organizational culture, employee-job compatibility, respect and self-realization,

and employee training (Zhang, 2005, pp.28-29).

3) Evaluation Indicators from the Perspective of Organizational Commitment

In foreign countries, the measurement of employee loyalty is relatively well designed, and

the Organizational Commitment Questionnaire, referred to as the OQC scale, is widely used.

OQC was first proposed by Porter in 1974 (Porter, 1974, pp. 603-609), and served as the

foundation on which the OCI scale was built by Taiwanese scholar Li Yuandun. OCI is an

employee loyalty evaluation scale suitable for Taiwanese enterprises based on the OCQ scale

and empirical evidence. Both the OCQ and OCI scales measure employee loyalty from the

perspective of organizational commitment. Canadian scholars Meyer and Allen have

comprehensively analyzed and reviewed the research results of many previous researchers on

organizational commitment and proposed a three-factor model of commitment grounded in

their own empirical research (Meyer, 1991, pp. 61-89). They define organizational commitment

as a state of mind that reflects the relationship between an employee and an organization, and

that implicitly helps an employee make the decision to remain in the organization. The three

factors are: emotional commitment (employees' emotional dependence, identification with and

investment in the organization); continuance commitment (an employee's awareness of

potential loss by leaving the organization); and normative commitment (an employee’s sense of

obligation to remain in the organization). Meanwhile, Meyer and Allen developed a 3-factor

organizational commitment scale (3-OC) (Meyer, 1990 p, 1-18) to evaluate the essential

elements in these commitments.

Chinese scholar Ling Wenquan and his colleagues have proposed the "five-factor

structural model of Chinese employee organizational commitment" on the basis of Meyer’s

scale (Ling, 2000, p, 76-80). After empirical verification of the five-factor model, their research

finds that the structural model of employee organizational commitment in China contains five

factors, namely, 1) emotional commitment (identification with and deep affection toward the

enterprise, deep feelings; willingness to contribute to the survival and development of the

enterprise, regardless of remuneration; and unwillingness to leave and change jobs under any

temptation); 2) ideal commitment (attach importance to personal growth and pursue the

realization of ideals; pay attention to whether the individual's expertise can be utilized in the

organization and whether the organization can provide various working conditions as well as

learning and promotion opportunities to help realize the ideal); 3) normative commitment (the

attitudinal and behavioral performance towards the enterprise are based on social norms and

professional ethics; a sense of responsibility and obligation to the organization); 4) economic

commitment (stay in the organization because of concerns that they will suffer economic losses

by leaving); and 5) opportunity commitment (the fundamental reason for staying in this

organization is employees’ inability to find other more satisfactory jobs due to their low

technical level, and lack of opportunity). This model covers a factor not included in Meyer and

Allen's; that is, ideal commitment, which reflects employees’ aspiration for personal growth and

self-realization in a new era (Ling, 2001, pp. 90-102).

Some scholars use models of non-organizational commitment to study employee loyalty,

such as Frederick's Loyalty Acid Test Survey. The questionnaire consists of two parts -- an

employee balance sheet and an employee value stream report, designed to obtain information of

the enterprise, the market, and competitors, along with the employee retention rate, the value

and profit created by employees in order for the enterprise to determine the level of employee

loyalty (Frederick, 2001, pp. 40-42). However, Frederick’s method lacks the scale structure

corresponding to the loyalty test questionnaire, and its utility in actual operation is limited due

to the difficulty to obtain data concerning the market and competitors and to measure them in

actual practice. My study mainly targets Chinese expatriates and uses the Chinese employee

organizational commitment model and scale to appraise employee loyalty.

2.4 Literature on Work Engagement

2.4.1 Concepts of Work Engagement

Work engagement comes from the psychological concept of individual self-engagement in

work, and it has entered scholarly research as the antithesis of job burnout (Chen, 2015, p. 36).

There is currently no uniform definition of work engagement, though scholars from different

disciplinary backgrounds have tried to come up with their respective designations. Lodahl and

Kejner (1965) explicitly define “work engagement” as individuals’ identification with the

importance of their work as reflected their self-image, and further point out that work

engagement is the degree to which work performance affects a person’s self-esteem (Lodahl &

Kejnar, 1965, p. 24).

Kanungo (1982) thinks that any job investment should originate from the significant needs

of the individual, both internal and external ones, and that work engagement should be an

opportunity for an individual to meet those needs. Therefore, it should be seen as a

psychological cognitive state of an individual about the current job. He argues that an

individual’s “job involvement” (abbreviated as JI) in a “particular job" is different from his/her

general work involvement (abbreviated as WI); the former representing an individual’s

recognition that the current job meets his/her current needs while the latter indicating the value

of general work to an individual's life, which is also in turn affected by personal growth and the

degree of personal socialization (Kanungo, 1982, p. 341).

In 1990, Kahn's definition of "engagement” and its extended interpretation had a sizable

impact on the academic community by further clarifying the relationship between self and

work, especially with the explanations of the various dimensions -physical fitness, cognition,

emotion, and psychology. His study became an important resource for researchers to construct,

test and revise the measurement system of work engagement (Kahn, 1990, pp.692-724).

Maslach maintains that work engagement and burnout stand at polar opposites; with the former

including three dimensions: energy, involvement, and efficacy (Maslach, 2001, pp. 397-422).

Schaufeli does not see work engagement and burnout as the exact opposites because they are

both interrelated and relatively independent, with a moderate negative correlation. The

doublelayered and two-dimensional model (burnout - emotional exhaustion, alienation, and

extended work engagement that encompasses vigor, dedication, focus, and professional self-

efficacy) can explain the verified analyzed data better than the single-layer and single-

dimensional model. Schaufeli and his team also developed the Utrecht Work Engagement Scale

(UWES), a reliable and valid measurement tool, which contributed to the rapid development of

work engagement research (Schaufeli, 2002, 2006).

In addition to the three dimensions proposed by the above scholars, Xu Yan (2004) put

forward the four-dimension framework: interest orientation, psychological identity, work

enthusiasm, and active participation. Hewitt Enterprise Management Consultants (1994)

proposed a systematic six-dimensional employee engagement analysis model, which explores

the mechanism of employee work engagement from six elements: work, personnel,

opportunities, quality of life, procedures, and compensation. Among them, Schaufeli’s view

(2002) of the three dimensions of vigor, dedication and focus has been widely recognized.

Year

Researcher Concepts

1964 Vroom Work engagement is an intrinsic motivator.

1965 Lodahl& Kejner Work engagement is the degree of psychological identification of

individuals with their work, or the importance of work in an

individual's self-image; Work engagement is the degree to which an

individual's work performance affects their self-dignity.

1970 Lowler. Hall Work engagement is the degree of motivation and passion and

fascination of employees for their jobs.

1976 Sale & Hosck Work engagement is a complex concept based on cognition, emotion,

and behavior.

1984 Fuxiang Chen Individuals engage in work when they perceive that the organization

can meet their current significant needs, and when they perceive that

only through individual efforts can the needs be realized.

1990 Kahn

Individuals engage in work when they perceive that the organization

can meet their current significant needs, and when they perceive that

only through individual efforts can the needs be realized.

1997 Maslach

Burnout and work engagement are at opposite ends of a continuum,

representing two extreme states, which consists of three dimensions:

energy, involvement, and performance. Work engagement is on the

positive end of the spectrum, a state of feeling energized and able to

effectively enter work environment and be in harmony with others. In

this case, individuals and organizations are working in a positive and

productive state.

2001 Britt

Individuals have a strong sense of responsibility and commitment to

work performance and feel that the quality of work performance is

related to themselves. Work engagement includes three dimensions:

responsibility, commitment, and performance impact perception.

2001 Maslach& Leiter Work engagement is a continuous, positive emotional state in the

process of work

2002 Schaufeli

Work engagement is a positive, fulfilling emotional, cognitive, and

psychological state of engagement that includes three dimensions:

vigor, dedication, and focus.

2009

Jing Wang

Individuals are psychologically interested in their work, can devote

themselves to their work, and are willing to give extra labor and

effort.

Table 1 Concepts of Work Engagement

Source: Chen Qiuping. “Research on the relationship between corporate welfare and employee work engagement

and organizational commitment” [D]. Huaqiao University, 2015, p.56.

The comprehensive model of job investment proposed by Rabinowitz and Hall (1977)

divides the factors affecting work engagement into personal traits, situational elements, and the

interaction of the two (Rabinowitz & Hall, 1977, p. 265). Brown et al. (1996) conducted a

meta-analysis of 212 pieces of literature related to work engagement from 1974~1995 by

separating its antecedent variables into personal traits, work characteristics, supervisor factors

and role perception, and explained the relevant factors and their impacts (Brown & Leigh,

1996, p. 358). An overview of relevant empirical studies is summarized in the following table.

Antecedent or

consequence

variables

Variable

categories Variables Researcher Year Research Findings

Antecedent

variables

Personal traits

Age

Rabinowit,Hal

l and Goodale

1977 The older an individual gets, the

more engaged they will be in their

work.

Antecedent

variables

Personal traits

Age Urin, Verof and

Field

1980

There was no significant

relationship between age and work

engagement.

Antecedent

variables

Personal traits

Age Mannheim

1975

There was no significant

correlation between male labor age

and work engagement, but

women's engagement increased

with age.

Antecedent

variables

Personal traits

Gender

Rabinowitz and

Hall

1977

Men may be more engaged in work

than women.

Antecedent

variables

Personal traits

Gender Jenkins,

Maslach, and

Lefkowitz

1994

Men work for their achievements

while women rely on their families,

so men are more engaged in work

than women.

Antecedent

variables

Personal traits

Gender Lorence

1987

Men's work engagement decreases

after a certain age, while women's

work engagement tends to increase

with age.

Antecedent

variables

Personal traits

Gender Scott and

McClellan

1990 There is no significant difference in

work engagement between men

and women.

Antecedent

variables

Personal traits

Marital

Status

Rabinowitz and

Hall

1977 Work engagement was

significantly positively correlated

with marital status.

Antecedent

variables

Personal traits

Marital

Status

Lodah and

Kejne

1965 The correlation between the two is

not significant.

Antecedent

variables

Personal traits

Level of

Education

Siegel and

Ruh

1973 Current level of education is not

directly related to work

engagement

Antecedent

variables

Personal traits

Level of

Education

Abboushi 1990 Educational attainment is

positively correlated with work

engagement

Antecedent

variables

Personal traits

Years of

service

Halland

Mansfield

1975 The number of years of work has a

significant correlation with work

commitment.

Antecedent Personal traits Years of Schuyhart and 1972 In a study of middle managers in

variables service Smith companies, it was found that years

of work were not associated with

work engagement

Antecedent

variables

Situational

characteristics

Work

characterist

ics

Hackman and

Lawler

1971 Four core components -- work

variability, autonomy, integrity and

feedback were proposed, and JDS

was used as a measurement tool to

investigate, and the results showed

a significant positive correlation.

Antecedent

variables

Situational

characteristics

Work

characterist

ics

Rabinowitz and

Hall

1977 Self-directed work increases

employee engagement.

Antecedent

variables

Situational

characteristics

Work

characterist

ics

Kiggundo 1983 Job interdependence (i.e.,

cooperation) is positively

correlated with work engagement.

Antecedent

variables

Situational

characteristics

Work

characterist

ics

Brown 1996 Work characteristics are considered

to be positively correlated with

work engagement.

Antecedent

variables

Situational

characteristics

Leadership

Style

Osborn and

Hunt

1985 Leadership style has an impact on

employees' work attitudes.

Antecedent

variables

Situational

characteristics

Leadership

Style

Jones 1985 There is no significant correlation

between work engagement and

perceived leadership behavior.

Antecedent

variables

Situational

characteristics

Leadership

Style

Mohrman 1992 Leadership style is closely related

to the engagement of school

employees, and the best leadership

style is to guide employees to

engage themselves.

Consequence

Variables

Job satisfaction - Rabinowitz and

Hall

1977 There is a significant positive

correlation between work

engagement and overall job

satisfaction.

Consequence

Variables

Job

performance

- Keller 1997 Work engagement is significantly

correlated with job performance.

Consequence

Variables

- Brown 1996 Work engagement and

organizational commitment predict

an employee's job performance.

Consequence

Variables

Tendency to

leave

- Blau and Boal 1987 Employee work engagement is

negatively correlated with

absenteeism, and employee

engagement is one of the effective

indicators for predicting employee

turnover behavior.

Consequence

Variables

Organizational

Citizenship

Behavior

- Mowday et. al 1982 For more familiar jobs, employees

tend to have higher levels of

engagement and organizational

commitment, which can have a

positive impact on their

organizational citizenship behavior.

Consequence

Variables

Organizational

Citizenship

Behavior

- Diefendorff et.

2002 After controlling the "job

importance" variable, work

engagement has a positive impact

on both in-role performance

behavior and organizational

citizenship behavior. It also points

out Brown's (1996) conclusion that

the relationship between work

engagement and job performance is

not significant because there is no

clear distinction between the

variables of work engagement and

job importance.

Table 2 (Collection and Collation): Empirical Research on Work Engagement

The German social psychologist Lewin proposes to use psychological "field theory" to

explain human behavior. He believes that man is a field encompassing the individual and his

psychological environment and living space, which in turn determines individual’s behavior. In

the study of organizational behavior, human behavior is deemed as resulting from the

interactions between individuals and their surroundings and must be examined as such. The

existing research on the causes for work engagement focuses primarily on the two relevant

environmental factors -- work characteristics and leadership style. The environmental

perception of individual psychology is considered insufficient. Cross-cultural adaptation is

relevant to psychological changes that individuals bring about in the face of cultural

differences, and these changes also have an impact on work engagement. At the same time,

there is little research on the impact of work engagement on expatriate performance in the

context of cross-cultural adaptation.

2.4.2 Evaluation and Measurement of Work Engagement

Work engagement is the active integration of individuals from physical, cognition, and

emotion at work (Hu, 2014, p. 1975). The three-dimensional model of Schaufeli et al. (2002)

corresponds to the cognitive, emotional, and experiential work experiences of individuals that

not only have an important impact on their health, well-being, and development, but also play a

pivotal role in organizational effectiveness (Shirom, 2003, 2011). Commonly used scales for

work engagement are UWES (Utrecht Work Engagement Scale) and SMVM (Shirom Melamed

Vigor Measure). Corresponding to the “vigor” work engagement model, these two

measurement methods are most widely utilized in current research.

The UWES scale was designed by Schaufeli and Bakker (2006) based on a model of vigor,

dedication, and focus. Among them, the “vigor” dimension comprises six items to assess

energy, resilience, willingness to put in the effort, lack of exhaustion, and perseverance in the

face of difficulties. The “dedication” dimension measures a person's sense of meaning, passion,

and pride in their work through five items. The “focus” dimension evaluates individuals’

complete happiness in immersing themselves in work through six items (Schaufeli & Bakker,

2006, p. 702). UWES has good dependability rate across European countries when applied.

The Chinese version of UWES also has good cross-cultural consistency (Zhang and Gan,

2005). With respectable internal constancy of the UWES triad, and Schaufeli, Bakker, and

Salanova (2006) reduced UWES to the UWES-9 version, a shortened version of the 9-question scale.

All measurements are scored on a Likert 7-point scale. The UWES scale is the most commonly used

one for research on work engagement (Hu, 2014, p. 1978). In this study,

Schaufeli's UWES scale UWES-9 is adopted.

2.5 Literature on Expatriate Performance

2.5.1 Concepts on Expatriate Performance

Performance can be divided into three levels: employee, team, and enterprise

performance (organizational performance). Employee performance refers to the results brought

to the enterprise by each employee doing his/her designated work within a certain period of

time. Team performance is the collective work done by the team and brought to the enterprise.

Enterprise performance is the degree to which an enterprise achieves its work goals through

economic activities with fully rational and effective use of its various resources (Dong, 2015, p.

27). This study investigates the cross-cultural adaptation of expatriates and, correspondingly,

employee performance. In the previous literature on expatriates, scholars paid more attention to

the influencing factors of expatriate adaptation, while the consequence variables of expatriate

adaptation and performance received less coverage (Zhou, 2013, pp.61-62). In recent years,

expatriate performance has become an important topic in theoretical research (Gregersen, et al.,

1996, p. 711-738). Some researchers believe that expatriate performance is not simply limited

to job performance but should also include the following indicators: job satisfaction and nonjob

satisfaction of expatriates (Shaffer & Harrison, 1998, p. 109), willingness to return to their

home country early, and overall job performance (Kraimer & Wayne，2004, pp. 209-237).

Caligiuri defines expatriate performance as the combined work product of the expatriate’s

efforts in the host country, which is distributed into three components: job performance,

environmental performance, and expatriate-specific performance. Work (technical)

performance refers to the act of directly providing core technical support for a product or

service; environmental performance refers to the assistance and cooperation between the

individual's background and the success of the organization; and expatriate-specific

performance complements technical and environmental performances, including cultural

effectiveness, linguistic proficiency, home-return planning, information exchange between the

parent company and its subsidiary, as well as the establishment of social relationships between

colleagues in host companies, clients, and government officials (Caligiuri, 2000, pp. 67-88).

Motowidlo et al. in 1994 developed a conceptual model of expatriate performance that

includes four dimensions: technical, situational, managerial, and assignee-specific performance.

Technical performance contains proficiency in specific tasks such as making new products,

training host country personnel in new technologies, and managing sales data. Situational

performance involves an expatriate’s sense of purpose in position and the organization,

motivation and dedication, and maintaining personal discipline. Management performance

includes maintaining good working relationships, training local employees, interacting with

local consumers and the public on behalf of the organization, communicating effectively, and

keeping information flowing. Expatriate-specific performance consists of effectiveness in

transferring information and cross-cultural knowledge, building good relationships with local

people in host countries, and developing a sense of mission for the overseas subsidiaries of

TNCs (Motowidlo & Van Scotter，1994, p. 475). Borman and Motowidlo further divided

expatriate performance into environmental performance, work performance and technical

performance. Environmental performance is a core element of expatriate performance,

comprising good working relationships with colleagues and productive social relations with

host residents (Borman, 1997, pp. 99-109).

2.5.2 Evaluation of Expatriate Performance and Influencing Factors

Currently, there is no universal, rigorous and standardized performance evaluation

system for expatriate performance (Schuler , et al., 1991, p. 51). In previous studies, some

scholars used the performance of overseas cooperative subsidiaries of multinational

corporations as the performance evaluation standard for expatriates (Brewster, 1994, pp. 1835).

Claus and Briscoe searched the English literature on performance evaluation published between

1985 and 2005 and found 64 eligible documents (Claus & Briscoe, 2009, pp. 175-

196). The classification is as follows:

Figure 17: International Performance Evaluation Document Classification Chart

Source:Claus, L., & Briscoe, D. (2009). Employee performance management across borders: A review of relevant

academic literature. International journal of management reviews, 11(2), 175-196.

Performance evaluation is a process of observing, identifying, evaluating, and

developing enterprise human resources, the purpose of which is to stimulate employees'

enthusiasm for work, improve their work performance, enable them to make more

contributions, and ultimately maintain the core competitiveness of the enterprise to completing

its strategic goals(Cao, 2009, p,7).

1） Objective Factors Affecting Expatriate Performance Evaluation

There are four main factors affecting the performance evaluation of expatriates, the first of

which is the diversification of employee sources. The expatriates in international positions may

be citizens of their home country or third countries or overseas Chinese; they may be on their

first assignment or have been on multiple assignments, and their initial employment contracts,

remuneration and benefits, career paths and opportunities and performance expectations may be

very different. Managing such a diverse workforce requires adjustments in performance

appraisal policies and procedures. The second is unreliable data. Performance evaluations must

be based on comparable data and standards. Data for overseas subsidiaries and domestic

headquarters can vary greatly, and the performance appraisal system used by domestic parent

companies does not accurately evaluate expatriates. The third is a time difference and

geographical division. Despite the rapid development of the Internet, geographical distance and

time disparities between host entities and home headquarters remain a problem for evaluating

expatriates. The lack of frequency and extensity of communication between expatriates and

local managers or headquarters personnel makes it difficult to have a comprehensive appraisal

of the expectorates without direct contacts. The fourth is the local environment. There are

large differences between the domestic and international environment, and factors such as

acceptable working styles, vacations, expected working hours, and local economic conditions

can directly affect the performance of expatriates. However, home country managers and their

personnel rarely have the same understanding of the local situation (Chen, 2001, p. 77).

2) Subjective Factors Affecting Expatriate Performance Evaluation

At present, the performance evaluation method commonly used by many companies is the

360-degree evaluation system, which is greatly affected by the characteristics of the evaluators,

who usually consist of a superior, self-evaluation, colleagues, and subordinates. The superior in

the home company can’t assess the environmental situation affecting the expatriate work fully

and accurately due to distance, among other factors. Cultural differences may influence the

assessment of expatriate performance by local managers. To get a more accurate picture, many

company executives and local managers participate in the evaluation process; however, this

method is not friendly to researchers, who use anonymous questionnaires that make it

impossible to identify an expatriate’s superior.

The use of self-assessment usually encourages the expatriates to partake more actively and

proactively in setting goals and performing their responsibilities conscientiously while better

distinguishing the roles of different employees and reducing conflicts. However, selfassessment

is prone to bias and distortion of facts. Peer evaluation is often a valuable way to obtain

performance appraisal information, especially when superiors lack knowledge of certain aspects

of their subordinates' job performance. However, when the organization's reward mechanism is

mainly based on the performance of individuals, it is highly competitive and the employees

often lack mutual trust, rendering peer evaluation less reliable. Subordinate evaluations make

superiors more aware of the extent of their influence, but sometimes subordinates evaluate their

superiors only based on their own personality and self-needs rather than the needs of the

organization. Regardless of who the evaluator is, cultural differences between the two sides

should be considered. For example, the evaluator may underestimate the importance of

environmental factors and overestimate the decisive role of the assessed in performance; the

assessed mainly focuses on external environmental factors (such as leadership, lack of support,

lack of cooperation among colleagues, etc.), and the cultural differences between the assessed

and evaluator directly reduce the effectiveness of the assessment (Chen, 2001, p. 78). Job

performance scores vary from evaluator to evaluator.

Self-assessments tend to be more favorable to the evaluated than others, which are

consequently used less frequently. There are advantages to self-reporting, which measures job

performance in other hard-to-reach occupations (e.g., high-complexity work). Unlike other

stakeholders, employees have the opportunity to observe all their actions; colleagues and

managers assess performance based on their overall impression of employees (i.e., the halo

effect); such evaluation information is also easy to collect, thus minimizing problems such as

data loss and secret disclosure (He & Wang, 2013, p. 62).

2.5.3 Applicable Scales for Expatriate Performance Evaluation

Building on previous research, Kraimer defines situational performance as the degree to

which expatriates are effective in accomplishing assignments that go beyond specific tasks, i.e.,

how well expatriates perform in the host culture and interact with people in the host country.

The job performance of expatriates is viewed as the effectiveness of the expatriate’s work

(including task performance and situational performance), and a corresponding scale has been

developed to accommodate the complexity and diversity of each company's performance

evaluation of its own employees. The scale consists of 6 items: (1) completion of work

objectives; (2) technical capability; (3) overall work performance; (4) adaptability to the local

business customs and rules of the host country; (5) establish relationships with key local

business partners in the host country; (6) interaction with colleagues (Kraimer, 2001, p, 71-99).

Chinese scholar Cao Liping draws on the research results of Kraimer and others to integrate

management performance and situational performance with expatriates into a framework, and

calls it the situational performance of expatriates, including (1) adjusting to the local business

customs and rules of the host country, (2) establishing contacts with important local business

partners in the host country, and (3) interacting with colleagues in the host country. The

performance related to work completion is called task performance, including (1) completion of

work objectives, (2) technical ability, (3) overall work performance, and other three aspects.

Task performance and situational performance are measured using the Likert 5-point scale, 1

being very poor, 2 poor, 3 unclear, 4 good, and 5 excellent. (Cao, 2009, p. 65). The similarities

of both scales are quite obvious (Kraimer, 2001, p, 71-99) (Cao, 2009, p. 65). However, due to

their overlap with the measurement scheme of the independent "cross-cultural adaptation"

variable in my study, these aforementioned methods are not applied.

Job performance is the ultimate measure of human resource management as the "ultimate

dependent variable" and its evaluation becomes an issue of capital utilization. Job performance

is a behavioral structure under employee control that contributes to organizational goals

(Campbell & Wiernik, 2015, pp. 47-54). Different organizations use their capital to enable the

evaluation and analysis of job performance, such as personnel screening, compensation and

rewards, or training. Based on a systematic review of the literature on occupational health, work

and organizational psychology, management, and economics, and a collaborative study by

Koopmans, Bernards, Hildebrandt, Devi, and Van der Beck (2013), Vilafat et al. presented the

Individual Job Performance Questionnaire (IWPQ) in 2019. They identified all possible

indicators of the job performance dimension from existing literature, questionnaires, and expert

interviews. The study found that all 317 potential projects belonged to the four dimensions of

work performance: task performance, peripheral performance, counter-productivity behavior,

and adaptive performance. Removing overlapping metrics between dimensions and variables,

as they are determinants of job performance rather than the performance itself (such as

motivation), resulted in 128 items. A total of 253 experts from different professional

backgrounds and countries agreed on the most relevant generic indicators for each scale,

generating a common scale with three dimensions: task performance, peripheral performance,

and counter-productivity behavior. While IWPQ initially considered adaptive performance,

items related to this dimension were included in peripheral performance (Villagrasa, et al.,

2019, p. 199).

The IWPQ is a sufficient measure of job performance that centers on behaviors related to

the organization (Villagrasa, et al., 2019, p. 195). The first dimension is task performance,

which refers to behaviors that contribute to the production of goods or the provision of services.

Because it is related to core work tasks, it is difficult to find a generic task performance

framework, so a specific relational one is used instead. A performance evaluation method has

been developed for public employees according to their level of responsibility. In both high-

and lower-level positions, only two of the five task performance indicators are shared, namely

technical knowledge and productivity (in terms of quantity and quality) (Salgado & Cabal,

2011, pp. 75-91). Koopmans et al. further develops a common framework that includes task

performance indicators such as completing tasks, keeping knowledge updated, working

accurately and neatly, planning and organizing, and problem solving (Koopmans, 2011, pp.

856-866).

The second dimension is peripheral performance, also known as organizational citizenship

behavior (OCB), described as the act of achieving organizational goals by contributing to the

social and psychological environment of the organization, encompassing completing tasks,

taking initiatives, maintaining enthusiasm, and cooperating with others in addition to fulfilling

job-specific responsibilities. Peripheral performance is different from task performance, which

can promote the effective operation of the organization but does not necessarily have a direct

impact on employee productivity, a distinction validated by Hoffman (Hoffman, 2007, pp.

555566). The third dimension is counter-productivity behavior, categorized as voluntary

behavior that harms the interests of the organization, including off-mandate behavior,

presentism, complaining, willful mis-execution of tasks, and abuse of privileges, among others.

These deviances are associated with negative consequences at the individual and organizational

levels. Although counter-productivity work behavior has a considerable relationship with

peripheral performance, the meta-analysis conducted by Dehral shows that each dimension has

its own identity and domain. In the area of counter-productivity work behavior, one finds a two-

dimensional structure that includes personal deviancy (e.g., gossiping about colleagues) and

organization-related misbehavior (e.g., absenteeism) (Villagrasa, et al., 2019, pp. 195-201).

All items have a 3-month recall period and a 5-point rating scale (0 is little, 4 is always,

both for task performance and peripheral performance; 0 is never, 4 is often, both used for

counter-productivity work behavior). The average score of each individual work performance

questionnaire scale can be calculated by adding the item scores and then dividing their sum by

the number of items on the scale. In a sample of 1424 Dutch workers from different

occupational sectors, IWPQ scores showed sufficient aggregate validity and excellent

discriminatory validity. The IWPQ was adapted into American English in further research, in

which they asked U.S. workers (N = 40) whether they believed the questionnaire was a true

measure of individual job performance and whether it assessed all relevant aspects of an

individual's job performance. This experiment yielded good content validity of IWPQ. The

operationalization of the Spanish version of the IWPQ scale was based on a systematic review

of the literature on occupational health, work and organizational psychology, management, and

economics, and empirical studies have shown that the scale meets the criteria for promoting

work performance research. It is a short self-report scale that measures the three main

dimensions of job performance and can be used for a variety of jobs. IWPQ shows the same

factor structure and good internal reliability as the original language in different contexts of

Spanish, English, and Dutch (Cronbach's alpha). In research settings, the IPWQ is indicated to

be useful for exploring new predictors or relationships between variables (Villagrasa, et al.,

2019, p. 204). This is valuable for doing cross-cultural performance research and is therefore

utilized in this study to measure the performance of expatriate employees. It also complements

this study's use of the Chinese context.

2.6 Research on Cross-cultural Adaptation and Expatriate Performance

A search using “cross-cultural adaptation” and “performance” as keywords on CNKI

produced a total of 95 relevant pieces of literature, but none was directly related to Chinese

studies. Previous research on the relationship among cross-cultural adaptation, organizational

and cultural differences, and performance has not formed a unified theoretical basis. Among

these variables, complex interactions of other unknown variables can also be considered (Koo,

2012, pp. 33-56). A more open and comprehensive perspective is used to analyze the

multifaceted and intertwined connections between cultural differences, cross-cultural

adaptation, and expatriate performance of multinational enterprises.

Scholar Dependent

Variable

Independent

Variable Relationship Sample

Krug and

Nigh (1998)

Top management

turnover

Hofstede index

(Cross-national

cultural difference)

Negative

211 US target firms acquired

by a non-US acquirer b/w

1986-1989

Larsson and

Finkelstein

(1999)

Employee

resistance

Management style

dissimilarity Negative

61 M&As (16 cross-border)

during +30years

Morosini et

al. (1998) Growth in sales Hofstede index Positive 52 MNCs M&A in Italy b/w

1987-1992

Very et al.

(1997)

Performance

index

Cultural

incompatibility Negative

42 French and 64 British

acquired companies b/w

1987-1996

Weber et al.

(2011)

Top management

commitment /

cooperation

Corporate cultural

differences Positive

US targets in eight

international M&As b/w

19851987

Table 3 Current Findings on Cross-cultural Post-acquisition Performance and Organization/Cultural Differences

Note from “Theoretical research on the determinants of successful M & A focusing on post-merger integration and

organizational culture in cross-border transaction: A research review,” by Koo, J. S., 2012, The Bulletin of Graduate

School of Commerce, Waseda University, 75, 45.

The theoretical research in this section mainly focuses on the impact of cross-cultural

adaptation, brought about by cultural differences in multinational operations, on the

performance results of cross-border mergers and acquisitions. Using a sample of 1,874

international acquisitions by U.S. companies between 2000 and 2014, Lewis and Bozos find

that industry correlation, cultural distance, and institutional distance have significant mitigating

effects on acquirers' post-acquisition risks (Lewis & Bozos, 2019, p.2). Multinational mergers

are the reason for having expatriate employees, and in cross-border mergers, expatriates often

have no choice but to adapt to the host culture. This can lead to cross-cultural adjustment

anxieties, interpreted as mildly pathological and disruptive personal states and behaviors that

can affect employee morale, performance, and retention (Rajan, 2010, p. 6). The pressure of

cross-cultural adaptation can potentially undermine the overall performance of a merger

because it reduces employee loyalty, productivity, retention, and shareholder value (Rajan,

2010, p. 2). Therefore, the impact of cross-cultural adaptation on corporate performance is also

attracting attention from many parties.

Turning to the research in recent years on the outcome variables of cross-cultural

adaptation of expatriates, one finds that it has been concerned primarily with job satisfaction,

withdrawal intentions, plan to return to China before the end of the contracted period,

willingness to complete expatriate tasks, and work performance. The meta-analysis by Bhaskar-

Shrinivas et al. suggests that the maladaptation of expatriates has an obvious effect on the

completion of expatriate assignments, but it does not address whether expatriates are able to

complete assignments if they do adapt (Bhaskar-Shrinivas, 2005, p. 48). The study selected

three variables, job satisfaction, intention for early return to home country, and job

performance, as measures of expatriate outcomes. Through the examination of the correlations,

it is found that cross-cultural adaptation is significantly connected with the three outcome

variables, and then the influence mechanism of cross-cultural adaptation on the three outcome

variables is tested by three structural equation models, namely the "attitude model,"

"attitudecognitive model," and "attitude-cognitive-behavior" model. Finally, it reveals that the

"attitude-cognitive-behavior" model can best explain the problems in management practice; in

other words, cross-cultural adaptation affects job satisfaction, early return intention and work

performance all at once. Job satisfaction also influences early return intentions and job

performance (He & Wang, 2013, p. 61).

Table 4 Study of outcome variables for cross-cultural adaptation

Source: He Yanzhen and Wang Yumei. “A review of cross-cultural adaptation of expatriates of multinational

corporations” [J]. Journal of Jinggangshan University (Social Science Edition),2013, 34 (01):58-64. In

previous studies, the relationship between cross-cultural adaptation and job performance

among expatriates received the most attention but also generated the most controversy.

Despite the different views on the impact of cross-cultural adaptation on work performance

due to the use of different indicators and evaluation subjects, the conclusion is relatively

consistent that adaptation positively affects work performance (He & Wang, 2013, p. 62). It is

worth noting that cross-cultural adaptation does not fully predict job performance, as it can

only explain 10%-15% of such performance, leaving 85%-90% for other interpretations.

The current studies on variables, including expatriates’ personalities, provide explanations for

only a small portion of the influencing factors (Bhaskar-Shrinivas, 2005, p. 48); other new

variables, such as employee loyalty, have yet to be explored.

2.7 Conceptual Model Related to This Study

Through extensive literature review and thoughtful considerations of multinational

cooperation, culture, Japanese culture, and cross-cultural adaptions, it is decided that the main

subject of this particular study is the Chinese expatriates’ experience with cross-cultural

adaptation in Japan after they were sent by Chinese corporations engaged in cross-border

operations. It uses Black’s comprehensive theoretical framework for the analysis of expatriates’

international adaptation as its main research dimensions. Specifically, the study investigates the

consistency between employee loyalty and organizational commitment by selecting assessing

the degree of employee loyalty with the dimension of organizational commitment. Meanwhile,

it dissects the various dimensions of work engagement from a psychological perspective with

the use of three-dimensional theory and the UWES Scale as a measurement. In addition, it

addresses the methods and degree of difficulty when evaluating the performance of employees

and expatriates. The various dimensions of expatriate performance are detailed in the following

illustration:

Figure 18: Conceptual Models Related to This Study

Chapter III Research Design and Methods

This chapter focuses on the overall research structure design of this study, further clarifies

the research hypothesis through one-on-one pilot interviews and designs of the quantitative

research questionnaires, as well as data analysis based on the hypotheses.

3.1 Research Design

The purpose of this study is to analyze and catalogue the various phenomena of

crosscultural adaptation and performance of Chinese expatriates during their overseas

assignments in recent years, especially with regard to employee loyalty and work commitment

in the context of traditional Chinese culture of loyalty and filial piety, in order to find out the

country-specific characteristics, rules and models of the expatriates’ experience in Japan. At

present, there is still a lack of mature and comprehensive theoretical framework and empirical

research in the Sino-Japanese milieu. This study analyzes the existing literature and uses pilot

interviews to refine, summarize, and construct a model of characteristics. Based on the

summary, the hypothesis is formulated and then verified through the questionnaires, followed

by questionnaire collection, and the completion of statistical analysis.

Figure 19: Overview of Study Design (self-developed)

3.2 Research Methods - Qualitative Research

3.2.1 Comprehensive Literature Analysis

Literature synthesis and analysis is a commonly used method in research. Researchers

compile and synthesize literature relevant to their research topic, providing a comprehensive

understanding of the overall scope and direction of the research. Through the literature review

in Chapter II, the author has provided a comprehensive overview of the research outcomes of

both Chinese and international scholars on key terms such as culture, cross-cultural adaptation,

employee loyalty, work engagement, expatriate performance, and more. Furthermore, it

clarifies the research questions for this study in several aspects: First, what is the impact of

cross-cultural adaptation on the performance of Chinese expatriates? Second, does employee

loyalty mediate the relationship between cross-cultural adaptation and expatriate performance?

Third, does work engagement mediate the relationship between cross-cultural adaptation and

expatriate performance? Fourth, how do different dimensions of employee loyalty and work

engagement affect these relationships? Fifth, what impact do employee loyalty and work

engagement have when they interact together on cross-cultural adaptation and expatriate

performance?

3.2.2 Pilot Interviews

In the preface to the Chinese edition of his book China and Japan, Vogel delineates the

importance of intensive interviews as a way to learn about other cultures and become familiar

with the people embodying those cultures. He points out that doing so is a way to make

friends, both personally and for research (Vogel, 2019, p. 11). Since there is no advanced model

for analyzing the complex relationships among cross-cultural adaptation, employee loyalty,

work engagement and expatriate performance in existing studies, in-depth pilot interviews are

used as a research method in this study in order to revise the research dimensions to form a

more scientific hypothesis.

3.2.2.1. Interview Design and Preparation

The pilot interviews are designed to understand the characteristics of the targeted

population for research from different aspects. They serve the purpose of selecting participants,

the number of participants, time, place, and environment, etc.. The data collection methods

(interview, observation, and data analysis), and formulate the research dimensions that are

either accentuated or missing in the existing theories.

1) Purpose of the Interviews

One of the main objectives of the interviews is to gain an initial understanding of the

fundamental cultural differences confronting Chinese employees during their overseas

assignments. Some sample questions include: Have there been any conflicts in the process of

adapting to a different culture and if so, how to deal with them? What are the differences

between the intuitive perceptions of Japanese culture and Chinese culture? The second purpose

is to explore the central factors influencing cross-cultural adaptation: Do young and older

employees experience cultural adaptation differently? Do any previous overseas work and life

experiences have an impact on the speed of cultural adaptation or the acceptance of a different

culture? Are loyal employees more likely to persist during the adjustment process? Does

household income have a major impact on loyalty and cross-cultural adaptation? Does lack of

adaptation have an impact on the degree of work engagement? The third purpose is to discuss

the primary elements of the performance of expatriates and answer questions such as: What are

the effects of cross-cultural adaptation on employee turnover? Do employees stay because they

like their current job? Are there differences in the experiences and sentiments among high

ranking, middle layer, or ordinary employees in the expatriate team, and are there any

differences in their respective performance?

2) Interview Outline

In accordance with the purpose of the interview, a preliminary outline was set; the

interviewees were informed of the broad parameter in advance, and questions were added or

removed in response to the actual situation on the scene during the interview. The interview

outline is detailed in Appendix 7.

3) Interview Method

Seven respondents in different industries were selected, taking into account the size of

the respondent's company, the industry, his/her rank, the number of years of working in the

overseas capacity, and the proportion of Chinese and Japanese employees in the company. In

light of the global epidemic, all interviews were conducted in the form of personal WeChat

online communication and semi-structured face-to-face interviews using online voice

interviews. Each interview was conducted by 1-2 investigators, and the interview method was

one-on-one. Each interview lasted about one hour, and with the consent of the interviewee, the

content of the interview was recorded on the spot by the interviewer and before being

transcribed. As commonly acknowledged, recordings help maximize the accuracy and allow

researchers to focus on the quality of the reaction rather than writing it down during the

interview. The interviewees for this study agreed to have the sessions recorded in a format that

encouraged a dialogue with the participants, who were given the flexibility to provide

additional information that they deemed relevant. Therefore, seven interviews were obtained,

and their main content was organized, totaling about 36,000 words.

4) Interview Coding Catalogue Encoding

rules:

●Example “ -1-A-(1)-a” Ⅰ

●Represents the first company Ⅰ

1. 1Represents the first respondent

●A Represents the top tier, B Represents the middle tier, and C Representing the

grassroots.

●(1) Represents men，(2)Represents women

●Companies with Japanese as the majority: a; companies with Chinese as the majority:

Number Date of Interview Enterprise Number of words in the

file

-1-A-(1)-a Ⅰ2021.5.28 a 6692

-2-B-(2)-a Ⅰ2021.6.17 a 4610

-3-A-(1)-a Ⅰ2021.6.18 a 5375

-4-A-(1)-b Ⅱ2021.11.4 b 6356

-5-B-(2)-b Ⅲ2021.11.5 b 4763

-6-A-(1)-a Ⅳ2021.11.5 a 3818

-7-A-(1)-b Ⅴ2021.11.5 b 4458

Total 36072 (words)

Table 5: Interview Record Code Directory (self-developed)

3.2.2.2. Review of the Interview Process

During the interviews, many respondents commented that the main characteristics of

Japanese culture, in their opinion, include the capacity to focus, respect for the strong, zero or

little tolerance, blatant hierarchy, priority for the Japanese, restraint, unity against outsiders, and

conservatism. According to the respondents, except for the notion of hierarchy, the other

aspects of Japanese culture are quite different from the Chinese culture, and it would take time

to acclimate. Cross-cultural adaptation is one of the principal factors affecting one's

performance. One interviewee said, "Employee loyalty is especially important for expatriates.

Sometimes I feel that life is very stressful since I am away from my home country and family

while on assignment, but when I think of the company's trust in me and my responsibility for

the performance of its subsidiary, I feel an obligation to tough it out." Another interviewee said,

"Because I did well in my home company, I was the first to be selected to work in Japan. My

family is proud of me, and I have to do my job well." Another interviewee articulated,

"Sometimes I feel a lot of pressure. I can't understand some dialects, but I still need to

communicate. I always feel like a minority in Japan and prefer to stay with Chinese friends. But

I still have to work hard to adapt to life in Japan for the sake of business.”

Regarding work engagement, some respondents said: "My work engagement has not been

affected by adaptation process. I have always been very positive about work, which is why I

was selected to come here in the first place. Sometimes I am not as efficient or effective as I

was when working in China because, after all, I need to familiarize myself with the new

environment. But there is no problem with our work enthusiasm." Several interviewees said,

"Some Japanese people are not very friendly to us, and some do not understand or agree with

our performance system. At times like this, it is very frustrating when we can’t explain things

well. At those moments, we don’t feel good about our work situation and are tempted to quit."

Other comments included: "The biggest problem is homesickness. My family did not come

with me in the first two years after my arrival, so every single day there was nothing but work.

Occasional after-work entertainment was with customers, which was also work-related. I tell

myself that working overseas carries a high income, and my family can have a better life." "It's

hard to work overseas for a few years, but you may have better job opportunities when you

return home; after all, you have seen some of the world." "I hope to bring my family over,

which will also be good for my child's education. If my family can come, my situation will be

more stable and better." "Sometimes when everyone complains, my feelings are affected as

well. Therefore, the overall atmosphere of the company is important."

As for cross-cultural adaptation, the respondents stated that the traditional Japanese

seniority system with its inherent hierarchy was pervasive in the partner company. They also

brought up the Japanese lifetime employment system, the conservative and stubborn

management process, the Japanese fear of isolation, as well as the different Chinese and

Japanese concepts about family. One interviewee said, "When my wife was going to give birth,

I wanted to take a leave to go home. However, my Japanese boss felt that a leave was not

necessary in such a situation; instead, I should first finish my assigned work. For us Chinese,

the most unfilial thing is having no children, so my wife should definitely come before work

when she gives birth." Speaking of the effects of intermarriage, a respondent remarked that "it

is easier for me to communicate with Japanese managers with a Chinese spouse. Whether there

is (Chinese-Japanese) intermarriage on the part of the managers on both sides has an impact on

each other's cultural understanding and management style." "Our general manager has a

Japanese wife, and he knows a lot of Japanese habits. And we get along fine with our Japanese

colleagues in our daily work." The important factor of whether one has had "overseas work or

study experience" is discussed in previous studies, but mostly on its impact on work experience

and proficiency. The reference to this factor in this study, however, attaches cultural

significance. One interviewee believed that overseas work experience "has an impact on

Japanese managers and the corporate culture of Japanese companies; when most of the

Japanese corporate management has overseas experience, the overall style of the company is

relatively open and not as depressing as that of traditional Japanese companies. Employees are

more motivated to work, which is reflected in their high satisfaction with their performance."

Also, "Compared against managers with overseas experience, ordinary Japanese managers bear

a deeper imprint of Japanese national culture in their way of managing the company." An

additional observation was, "I have worked in an American company before, and the feeling of

working in the United States is very different from that in Japan. It takes about half a year to

adapt to each job change, and others also need to adapt to you."

Among other factors that impact cross-cultural adaptation and performance, the findings

are similar to those that are addressed in the existing literature, that is, age, length of service

and rank all have an effect on both. Additionally, the interviews revealed other interesting

details. For example, the influence of language was cited. Language as an influential factor

was analyzed in terms of whether familiarity with the host country’s language (in this case,

Japanese) was important for post-merger management and cultural exchange, including

language and culture training prior to entering a multinational joint venture in the host country

and its impact on the inclusiveness and daily communications. However, when the language

issue merged with the strength-worshipping Japanese culture, an interesting point of view

emerged, suggesting that "mastering the Japanese language helps communication to a certain

extent, though the benefit is not obvious. However, commanding the English language

facilitates better communication with Japanese managers, especially when it comes to

providing informal advice, as speaking English is respected more than speaking Chinese."

Others pointed out that "Language has no direct influence on daily promotion, which is based

primarily on job performance regardless of if one knows Japanese well.” The interviews also

yielded new insights: "Large Japanese enterprises make huge contributions to their outstanding

employees’ pensions, which constitute a large portion of their income, so the loyalty of

Japanese employees is stronger than that of their Chinese counterparts." "Japanese employees

have a psychological sense of superiority.” "The Japanese culture encourages ‘ants to move

stones;’” in other words, “attitudes are more important than results. If a leader expresses one

desire, everyone would put down their work at hand and start following the leader’s directive.

At that movement, it is not right if you continue to do your own thing. Even if in the end what

the leader wants to be done does not materialize, the Japanese would still be moved by their

own spirit. We Chinese are more pragmatic and would suspend something immediately if it is

not worth doing. ‘Face’ is important, but we will not value face more than results." They also

noted the Japanese propensity for trying to get the small things right, their attention to details,

and their overall persistence. As a feature of the “herd culture,” no one wants to take

responsibility or stick out from the crowd.”

After summarizing the 36,000-word interview transcripts, the following is revealed:

•The Japanese national culture is exclusive, that is, it does not exhibit much cultural

tolerance. Instead, it prefers a culture of cohesiveness in small circles and pays

special attention to loyalty.

•A typical aspect of Japanese culture is its meticulousness, which is referred to as

“craftsmanship.” The relationship between cultural trait and performance is obviously

affected by the type of industry and the corporate sector. For example, in the

manufacturing industry, especially in production line, culture and performance form a

positive relationship. However, in marketing or consumer-oriented industries, the

reverse is true. In this regard, there are similarities between Chinese and Japanese

cultures, so it is relatively easy for expatriates in manufacturing to adapt to their

cross-cultural environment.

•In companies in which Chinese enterprises have an ownership or have larger shares

of stocks, the influences of Japanese culture on these companies vary greatly due to

the ownership and management rights. Such influence is not strongly related to the

number of Japanese and Chinese employees in the company but has everything to do

with who has greater management rights.

•Different enterprises attach different levels of importance to cross-cultural adaptation

due to the variations in corporate culture. There are also obvious differences in

operational efficiency, so the importance of management to cross-cultural adaptation

also provides a critical research angle.

•Language plays a role, but surprisingly, it is not whether one knows Japanese or

Chinese, but whether one knows English, that is important for communicating with Japanese

people. This finding confirms the aspect of Japanese culture that respects perceived

strength (English-speaking countries are seen to be more powerful by the

Japanese).

•Managers who are in intermarriages play a positive role in facilitating cross-cultural

adaptation, as those with overseas work and study experiences.

•Loyalty plays an important role in dealing with conflicts and difficulties during the

cross-cultural adaptation of expatriates.

•Work engagement and the overall work situation have a clear impact on expatriate

performance, which can be influenced by cross-cultural adaptation and the work

atmosphere of a small team.

3.2.2.3 Combination and Supplementation of Interviews and Theories

1) The Importance of Identifying Specific Countries for Research

Two of the interviewees had expatriate experience in different countries, and they felt very

differently about their respective adaptation process in European countries and the United

States, as compared to that in Japan. The degree of their work engagement was also very

different. Such findings confirm the importance of identifying and clarifying the specific

countries – both the home and host countries -- for this study. In previous studies, expatriates

from different countries were examined together, which led to possible biases in their

conclusions due to the different variables. At the same time, it is also essential to note the

different roles of managers with different backgrounds (their marital status and experience,

among others) in the overall performance during cultural adaptation, and to highlight the impact

of language on the relationship between cultural adaptation and performance.

2) Changes in the Scope of the Study

Initially, this research was intended to concentrate on the study of acquisitions and

cross-border mergers. After the preliminary interviews, it was revealed that, regardless of the

type of the company -- a joint venture or a merger/acquisition company, cross-cultural

adaptation was a necessary process as long as the two parties were from different countries.

Although the transfer of management from mergers and acquisitions has a greater cultural

impact, their employees all face the issue of cross-cultural adaptation (to the national and

corporate culture) after being assigned overseas. In other words, joint ventures, mergers, and

acquisitions share certain commonalities. Therefore, the research scope has been expanded.

3) Clarification of "Employee Loyalty" and "Work Engagement" as Mediating Variables

The definition and perception of loyalty differ between China and Japan, affecting their

mutual acceptance. "Loyalty" and "filial piety" both originate from Chinese culture, but these

moral values are not seen as unconditional by the Chinese. Instead, they also emphasize "ren"

(benevolence), which serves as the prerequisite for "loyalty" and "filial piety." However, the

Japanese do not adhere to these ethical requirements (Benedict, 2008, p.191). Consequently, the

Chinese and the Japanese are not on the same wavelength when it comes to the concept of

loyalty. Japanese people consider dedication and loyalty to a company as an obligatory

repayment of a fraction of the latter’s favor while the Chinese attach greater importance to

loyalty to the monarch or superior. "Ren" is the prerequisite, and loyalty is changeable.

Whether one is loyal or adaptable will ultimately manifest in work participation and, in the end,

affect the performance of expatriates. Understanding how loyalty to the parent company and

the level of engagement in a different cultural setting influence expatriate performance is an

interesting and meaningful research topic.

4) Enhanced Research Significance

Relations between countries, especially neighboring countries, are often complicated,

and exchanges between China and Japan have been a major part of their bilateral relations for

1,500 years. China and Japan have engaged in mutual learning from each other during three

pivotal periods. From 600 to 838, Japan studied Chinese civilization; from 1895 to 1937, China

learned from Japan’s experience with Westernization; from 1978 to 1992, China received

technical support and economic assistance from Japan to develop its economy. One obstacle for

Sino-Japanese full reconciliation is the Japanese aggression against China. Vogel believes that

today's Beijing-Tokyo relations have entered a new era, changing from a period of

Japanese domination to one of China’s. How to conduct Sino-Japanese relations after this

recent transfer to power is clearly a topic worthy of enormous attention (Vogel, 2019, pp.1820).

3.3 Research Hypotheses

Through literature review and pilot interviews, the model of research for this study is

proposed as follows:

Figure 20 Cross-cultural adaptation and expatriate performance double-triangle model

Hypothesis 1: The Chinese expatriates’ cross-cultural adaptation (X) has an impact on

their performance (Y)

Black and Stephens maintain that general adaptation refers to the degree to which

expatriates adjust to the host country's living environment and culture. Typically, the more

capable expatriates are to make such a transition, the easier it is for them to integrate into the

local work environment and society, along with their ability to establish personal and social

networks and obtain various information and support in the host country. In so doing, an

expatriate can feel less of a "foreigner,” thus finding it easier to work and live in the host

country and, perhaps more importantly, to enhance their overall performance (Black &

Stephens, 1989, pp. 529-544). Job performance is an employee’s behavioral structure that is

conducive to achieving organizational goals (Campbell & Wiernik, 2015, pp. 47-54). Villafat

uses three sub-items to explain job performance, namely, task performance, peripheral

performance, and counterproductivity work behavior.

Task performance refers to behaviors that contribute to the production of goods or the

provision of services, and its primary objective is to accomplish assigned tasks. In different

cross-cultural adaptation situations, expatriates are bound to exhibit varying levels of

performance in completing their job assignments, maintaining and updating their knowledge,

working accurately and neatly, planning and organizing, and problem-solving (Koopmans,

2011, pp. 856-866). The hypothesis suggests that the cross-cultural adaptation (X) of Chinese

expatriates has an impact on their task performance (Y1), verifiable in subsequent research.

Peripheral performance is defined as behaviors that aid in achieving organizational

goals by contributing to the social and psychological environment of the organization, including

behaviors that go above and beyond fulfilling job responsibilities, such as being proactive,

enthusiastic, and cooperative with others (Hoffman, 2007, p. 856-866). Peripheral performance

is characterized by its indirect nature, as it plays a supportive role in realizing organizational

objectives. Korean scholar Kim, through long-term and broad observations and analysis,

established a stress-adaptation-growth model for cross-cultural adaptation, positing that an

individual's cross-cultural adaptation is a dynamic and nonlinear process and should not be

simply labeled as “adapted" or "ill-adapted" (Kim, 1988). In this spiral process, factors

determining the degree of adaptation include an individual's interpersonal skills, closeness in

relationships, social interactions with their home culture, the host culture's accommodation to

foreign cultures, as well as the expatriate's age, personality, motivations, self-image, and other

different elements. Kim believes that the process of cultural adaptation, as a natural part of

growth, inevitably involves discarding certain concepts, behaviors, and cultural patterns.

Embracing change can thus become an opportunity for expatriates to learn and grow (Kim,

1988). Cross-cultural adaptation can affect the social and psychological environment of

expatriate employees, thereby influencing their peripheral performance. This hypothesis

suggests that the cross-cultural adaptation (X) of Chinese expatriates has an impact on their

peripheral performance (Y2), verifiable in subsequent research.

Cross-cultural adaptation is premised on cultural differences, and counter-productivity

work behavior is defined as voluntary actions that harm organizational interests. Individual

perceptions and understanding of cultural differences between their own culture and the host

culture form the basis of cultural distance (Ozorhon, et al., 2008, p. 365). When expatriate

employees face cultural distance and encounter cultural differences, they make conscious

choices and adjustments in their behaviors. In other words, while undergoing cross-cultural

adaptation, either excessive or insufficient adaption directly affects their psychological state

(personal well-being and self-esteem) as well as their social and cultural adjustments (ability to

live in the mainstream society) (Berry, 2020, p. 381). Consequently, counterproductivity work

behavior emerges, including conduct outside of the task parameters, absenteeism, complaining,

intentional and deceptive task execution, and abuse of privileges, etc.. These deviances are

related to negative consequences at both individual and organizational levels (Villagrasa, et al.,

2019, pp. 195-201). The hypothesis suggests that the cross-cultural adaptation (X) of Chinese

expatriates has an impact on counterproductivity behavior (Y3), verifiable in subsequent

research.

Hypothesis 2: Cross-cultural adaptation (X) has an impact on expatriate performance (Y)

through the mediating variable of employee loyalty (M1)

Conducting a comprehensive search in the CNKI database for all categories of relevant

literature with key words such as “loyalty” and “performance” as topics, regardless of the year

of publication, yielded only four articles, suggesting that little had been written on the

relationship between employee loyalty and expatriate performance in China. The subject has

been mentioned in some loyalty-related variables (e.g., employee satisfaction, organizational

commitment, etc.) and job performance (Wei Zhao, 2008, p. 17). Organizational commitment

reflects the attitude, values, motivations, emotions, and loyalty of members of an organization,

and it therefore affects employees’ degree of commitment and work efficiency in completing

their assigned tasks (Riketta, 2002, pp. 257-266). Ying Yingchun (2006) concludes in his

research on the impact of employee loyalty on job performance in private enterprises that such

loyalty plays a certain predictive role in all aspects of work performance, and improving

employee loyalty can therefore enhance the quality of their work performance. Researchers

tend to define employee loyalty as an integral part of organizational commitment, with similar

measurement tools for both variables. Zhou Mingjian and Ye Wenqin, however, use employee

satisfaction and loyalty as mediating variables when studying the relationship between the

perception of organizational support and job performance. They conclude that employees' job

satisfaction and organizational loyalty have different effects on employees' task performance

and organizational citizenship behavior. Task performance Y3 is mainly affected by employees'

job satisfaction but not their organizational loyalty; the influence of the latter is on individual

and group organizational citizenship behavior, that is, peripheral performance Y2 in this

particular study. Notably, the measurement of employees’ “organizational loyalty" is borrowed

from the emotional commitment subscale of the Allen and Meyer Organizational

Commitment Scale. The choice of this scale directly determines the conclusions of the study

(Zhou and Ye, 2006, p. 119-128). Employee satisfaction and loyalty are not equivalent; in fact,

there is a fundamental difference between the two. Those who are loyal must be satisfied, but

those who are satisfied are not necessarily loyal. Employees are satisfied because their efforts

are rewarded, but they are loyal because they want to repay the organization. Employee

satisfaction is diverse and employee loyalty is unitary. Employees may be loyal to one aspect

of the corporate culture, but not to the company itself. Meanwhile, they can also be satisfied

with multiple aspects of a corporate culture because of their loyalty to the cause (Dong

Chuangchun, 2006, p. 154). At present, there is no clear research on whether employee loyalty

has an impact on counter-productivity work behavior when faced with cross-cultural

challenges. “Employee loyalty” in this study refers to the attitude and behavior of employees

voluntarily identifying with the enterprise and willing to do their best for it; in other words, it is

the long-term emotional and behavioral interactions between employees and enterprises, in

which the former identify with the values of the latter and actively contribute to the realization

of organizational goals and personal values. It is the organic convergence between

psychological and behavioral loyalty with an inevitable impact on expatriate performance.

Managers working abroad encounter the daunting task of adapting to new cultures and

new business practices. The company naturally wants to maximize its gain from these

managers, both during their assignment period and after their home return. However, the issue

of loyalty often hinders the success of individuals and companies. Addressing the question as to

whether expatriates are most loyal to the parent company or local company, Blake and Gregson

studied and interviewed a large number of expatriates before summarizing four patterns of

loyalty and their influencing factors (Black, 1992, p. 114).

Figure 21: Double Loyalty

Source: Black, J. S., & Gregersen, H. B. (1992). Serving two masters: Managing the dual allegiance of expatriate

employees. MIT Sloan Management Review, 33(4), 61.

This challenges the traditional research findings that employees who perform well

across cultures often have good expatriate performance. Expatriates, for example, who consider

themselves "mercenary" freelance agents, have proven that their specialized skills, such as

language proficiency, ability to succeed in an international environment and cross-cultural

adaptation, are qualities often lacking in some internal managers of the parent company.

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However, their loyalty to both the parent company and the local business is low, and such

people often leave the company without giving the latter much advance notice. Finding proper

replacements is often expensive and difficult and can negatively impact both the parent

company and the local business. On average, 15 to 20 percent of expatriates fail in their

overseas assignments, incurring heavy costs to the company. Sometimes these "mercenaries"

sacrifice the long-term interests of the company for their own short-term career gains. In

contrast, those with high loyalty to the parent company and low loyalty to the local company,

called "home hearts,” make up 12% of the sample. These expatriate managers identify much

more with their parent company than they do with the local company and the culture, language,

and business practices of the host country. These people are more likely to stay with their

parent company after returning home. However, low loyalty to the local company reduces the

knowledge available to these expatriates, thus indirectly impacting their parent company’s

overall achievements (Black, 1992, pp. 116-120). Therefore, as a mediating variable, the study

of the complexity and multifaceted impact of cross-cultural adaptation on expatriate

performance is of great significance.

Hypothesis 3: Cross-cultural adaptation (X) affects expatriate performance (Y) through

the mediating variable of work engagement (M2)

Mischel et al. argue that human behavior is the product of an individual's interaction

with a given situation, which in turn affects other personal factors and exercises an influence on

individual behaviors. Such interactions constitute a unique pattern that reflects behaviors and

emotions bearing individual characteristics. Mischel and Shoda (1995) propose the full

cognitive-affective system theory of personality (CASTP), which holds that individual

particularities are reflected in the fact that in different situations, their distinctive

cognitiveemotional mediating units are activated, further triggering other elements (such as

expectations, goals, behavioral scripts, and plans) in the personality system and causing

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interactions. This theory considers both the stability of the personality system and the changes

in individual cross-situational behavior, thereby resolving the basic controversy regarding

personality and social psychology in the past few decades.

Figure 22: Situational, cognitive-affective systems, and behavioral relationship models

Source: Mischel, W., Shoda, Y. 1995. “A cognitive-affective system theory of personality: Reconceptualizing

situations, dispositions, dynamics, and invariance in personality structure.” Psychological Review 102(2): 246– 268.

According to this theory, each person is a unique cognitive-emotional system that

interacts with the social environment and produces patterns of behavior unique to that

individual. In management practice, it is evidenced in the fact that when the work situation of

expatriate employees changes due to their various levels of ability and self-adjustment (i.e.,

different degrees of work engagement), it will have a distinct impact on the expatriate behavior

and performance. An individual's cognition, emotion and work experience not only have a

discernible effect on their health, happiness, and overall development, but also play a pivotal

role in organizational effectiveness. Work engagement is an individual's active and multifaceted

integration with work – physically, cognitively, and emotionally (Hu & Wang, 2014, p. 1975).

The degree of work engagement has a proportionally positive impact on performance, and

employees who are more engaged are better able to cope with stress and experience more

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positive emotions, which are directly related to their ability to accomplish personal and

organizational goals. It is therefore in the home company’s interest to dispatch employees who

know how to complete their tasks with dedication under the intense pressure of particular work-

related circumstances and cross-cultural adaptation.

3.4 Research Methods - Quantitative Research

The empirical research method used in this study is a questionnaire survey.

Questionnaire surveys are a commonly employed method in research. This method involves

using questionnaires as a form of data collection to gather useful information by having

respondents answer certain questions. Researchers typically control a number of variables and

design relatively structured questionnaires. Data for this study are collected through

questionnaire surveys from individuals who are Chinese expatriates in different multinational

companies in Japan. The software tool used for data analysis is SPSS, and the method

employed is hierarchical regression analysis.

3.4.1 Questionnaire Design

To ensure that the measurement of variables reflects the conceptual content defined in

this study to the greatest extent, a literature review is conducted during the questionnaire design

process. Through a detailed literature review, the measurement of variables is given a solid

theoretical foundation. For variables that have not yet undergone empirical research, relevant

theoretical and analytical literature is referenced as much as possible. Based on the initial

oneon-one interviews, some adjustments are made to specific measurement items and

questions, aiming to maximize the reliability of variable measurements. The literature sources

for the main variables and measurement items involved in this study are detailed in Table 6.

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Name of

Variables Dimension Sources

Independent

Variable

Crosscultural

Adaptation

①Work

Adaptation

②

Interpersonal

Adaptation ③

General

Adaptation

1.Black, J．S., Stephens, GK. (1989). The influence of the spouse on

American expatriate adjustment and intent to stay in pacificrim overseas

assignments. Journal of Management, l5(4):529-544．

2.Bhaskar-Shrinivas, P., Harrison, D.A., Shaffer, M.A., Lul, D. M. (2005).

Input—based and time—based models of international adjustment：

Metaanalytic evidence and theoretical extensions. Academy of Management

Journal, 48(2):257-281．

Mediating

Variable

Employee

Loyalty

① Emotional

Commitment

②Normative

Commitment

③Ideal

Commitment

④Economic

Commitment

⑤Opportunity

Commitment

Ling Wenquan, Zhang Zhican, Fang Liluo. Structural Model Study of

Employee Commitment in Chinese Workers' Organizations[J]. Journal of

Management Sciences in China, 2000(02):78.

Mediating

Variable

Work

Engagement

①Vigor

②Dedication

③Focus

Schaufeli, W. B., Bakker, A. B., & Salanova, M. (2006). The measurement of

work engagement with a short questionnaire a cross-national study.

Educational & Psychological Measurement, 66(4), 701-716.

Dependent

Variable

Expatriate

Performance

①Task

Performance

②Peripheral

Performance

③Counter-

productivity

Behavior

Hjalmarsson, A.K.V., Dåderman, A.M. Relationship between emotional

intelligence, personality, and self-perceived individual work performance: A

cross-sectional study on the Swedish version of TEIQue-SF. Curr Psychol 41,

2558–2573 (2022).

Table 6: List of Sources for Major Variable Measurement Items (Self-Made)

In this study, a Likert-Type Scale with 5 points is utilized. In most cases, a 5-point scale

is considered to be the most reliable, as having more than 5 response options can lead to

difficulty in identification (Fernandez, 1994, pp. 363-367). A 3-point scale limits the expression

of moderate and strong opinions. Based on the interviews, a questionnaire consisting of two

parts is developed, with the first comprising basic demographic data and the second containing

the formal questions related to the research. The main questions stem from relevant literature

and previous interviews. A total of 34 questions are used to measure the variable "cross-cultural

adaptation," and 21 questions are used to evaluate the variable "employee loyalty." Within the

"employee loyalty" variable, there are five questions related to sub-variable 1 "emotional

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commitment," six questions for sub-variable 2 "normative commitment," three questions for

sub-variable 3 "ideal commitment," six questions for sub-variable 4 "economic commitment,"

and three questions for sub-variable 5 "opportunity commitment." Additionally, ten questions

are used to assess the variable "work engagement," and 18 questions are used to measure the

variable "expatriate performance," including six questions for "task performance," seven

questions for "peripheral performance," and five questions for "counterproductivity behavior."

In total, there are 83 questions (as shown in the table below):

Dimensions Sub-dimensions

Corresponding

question

numbers

Corresponding question labels

X Crosscultural

adaptation

X1 work

adaptation 14 9, 22-27, 29, 30, 31, 46, 50, 64, 65

X2 general

adaptation 16 1-5, 7, 8, 10, 11, 13-17, 19, 20

X3 interpersonal

adaptation 4 6, 12, 18, 21

M1 meditating

variable:

Employee

Loyalty

M1-1 emotional

commitment 5 33-35, 37, 38

M1-2 normative

commitment 6 28, 36, 39-42

M1-3 ideal

commitment 3 43-45

M1-4 economic

commitment 3 47-49

M1-5

opportunity

commitment 4 51-54

M2 mediating

variable:

Work

Engagement

M2-1 vigor 3 55-57

M2-2 dedication 3 58-60

M2-3 focus 4 32, 61-63

Y Expatriate

performance

Y1 task

performance 6 66-71

Y2 peripheral

performance 7 72-78

counterproductivity

behavior 5 79-83

Table 7: Correspondence Between Dimensions, Indicators, and Questions in the Study of Cross-cultural Adaptation

Performance of Chinese Expatriates (self-developed)

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Before the formal distribution, a preliminary test of the survey questionnaire was

conducted. Three eligible expatriates were invited to complete the questionnaire. Based on their

feedback and responses, some questions were adjusted in terms of wording, resulting in the

final version of the survey questionnaire.

3.4.2 Data Collection

To avoid the potential impact of the COVID-19 pandemic on the distribution and

completion of the questionnaire, the survey collection is done through the social media platform

WeChat. The Questionnaire Star mini-program is used to distribute the survey through both

WeChat groups and personal messages, with each person receiving the survey only once. This

approach has several advantages: ensuring the smooth progress of the initial survey, mitigating

issues related to insufficient sample size and reduced completion rates that can occur with

secondary distributions, and eliminating errors associated with differences among respondents.

To improve the response rate, some questionnaires are specifically directed at

individuals with connections in Japan's workforce through personal relationships. Additionally,

targeted distribution is carried out through the Peking University Japan Alumni Association to

ensure that questionnaire connection not limited to a small number of companies, thus

enhancing the overall representativeness of the survey. The study aims at Chinese employees

of Chinese multinational corporations who worked in Japan between 2009 and 2019, or who

were still working in Japan in 2022. A total of 220 questionnaires are distributed, 213 of which

are completed. After removing 5 invalid questionnaires (which include duplicate data and

extreme data), a total of 208 valid questionnaires are collected, resulting in an effective

response rate of 94.5%, meeting the expected target.

Regarding the method of sampling, two common approaches are typically used: random

sampling, which is more representative and better at capturing the entire population, and

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nonrandom sampling, which is often employed due to constraints related to research funding,

human resources, and other objective factors. This study chooses a non-random sampling

method, selecting areas based on the research direction and convenience. The primary focus is

on specific regions in both China and Japan.

Figure 23: Map of the questionnaire distribution area

The research theory and principle dictate the sample size to be a minimum of 200 in

order to render valid analysis of the variables. The ratio between the total number of samples

with regression analysis to the number of independent variables should not be less than 10:1.

The current total number of variables is 15, and the total number of questionnaires is 213,

which meets the validity requirements for sample testing with the use of structural equation

models. In order to ensure the quality of questionnaire filling, the context of this study and the

content of the questionnaire are introduced to the relevant personnel in advance with

explanations as to what issues warrant attention to ensure that they have a general

understanding of the questionnaire. Within a span of 8 weeks, a total of 220 questionnaires are

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distributed, 213 of them are received and 5 invalid ones (due to data duplication, data

polarization, etc.) are eliminated. In the end, there 208 valid questionnaires represent a 94.5%

effective survey rate.

Chapter IV Data Analysis and Discussion

The questionnaire star system is used to distribute the survey and the SPSSAU software

is utilized for rendering analysis of the various intricate relationships by drawing the model

framework to convey the overall research structure and ideas. The analytical framework used in

this study is as follows:

Figure 24：Framework of Impactful Relationships

4.1 Sample Analysis

4.1.1 Analysis of the Sample Population’s Characteristics

First, basic frequency analysis is performed on the collected data, such as statistics on

gender, education, and language ability. After classifying and analyzing the valid questionnaires

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based on the demographic characteristics, the statistical information from the sample shows that

the number of men is higher than that of women, with an approximately 6:4 ratio. Such a

distribution is acceptable and balanced enough to stave off gender bias in the research findings.

As for the education level of the respondents, 10.8% do not have a bachelor's degree,

56.81% hold a bachelor's degree, 30.52% have a master's degree or above, and 1.88% marked

“other.” In other words, those with a bachelor's degree or higher constitute more than 87% of

the respondents, indicating that they are educated individuals. As the main objects of this study

include expatriate managers, professional and technical personnel while excluding

spontaneously dispatched and general labor personnel, the educational level of the respondents

meets the requirements of the target group.

Regarding their length of service, more than 88% of the respondents have worked for more

than two years, more than 75% have worked for more than four years, and over 50% have six

years or more work experience. From the individual education levels, it is possible to discern

the respondents’ age distribution because in China, the typical age of entering elementary

school is six. Since it takes generally 16 years to complete one’s education from elementary

school to college, it is assumed that, by the time one completes his/her college education, the

individual would be about 22 years old. Therefore, half of the respondents are under 28 years

of age while the other half is under that age, forming a close to 1:1 ratio in terms of age

distribution of the survey subjects and making it possible to obtain feedback from respondents

from different age groups.

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Figure 25: Years of service of the survey respondents

The demographic characteristics of the respondents indicate that the sample population

is reasonably designed and representative of the real-world situation.

4.1.2 Analysis of the Sample Population’s Occupation-Related Characteristics

The sample data in this study comes from the questionnaire, constructed from the general

feedback from Chinese multinational companies’ expatriate employees overseas as well as the

relevant literature on this subject matter. The questionnaire conforms to the Chinese language

customs, is randomly distributed to expatriate employees in different industries and positions

and is filled out anonymously.

1) Analysis of Occupational and Linguistic Characteristics

The companies for which the respondents work belong to various industries: communication

and internet companies account for 15.49%, consumer goods sales 9.86%, import and export

trade 20.19%, real estate and construction 6.57%, education, scientific research, and art-related

industries 12.21%, and manufacturing 19.25%. Sectors such as lifestyle services, specialized

services, and finance make up less than 5%. The allocation among these industries is relatively

balanced, therefore making the research conclusions broadly applicable. Among the various

industries, manufacturing, communication and internet, and import-export trade together

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constitute over 55%, aligning with the current industrial landscape in China during its rapid

development.

In terms of the respondents’ language proficiency, 15.96% of them have a poor

command of the host country’s language, 18.78% rate their proficiency level as “average”,

35.68% as relatively good, and 29.58% as proficient. The combined “good” and proficient”

rating is more than 65%, but nearly 16% of the respondents consider themselves “unfamiliar”

with the host language (previously, this number stood at 4-6%, indicating that the requirements

for expatriates’ command of their host country’s language have changed).

As the pilot interviews highlight the special importance of the English language for

working in Japan, this questionnaire therefore includes the English language as a survey item.

The results show that close to 50% and 36.15% of the respondents have “good” or “average”

command of English, respectively. In other words, over 85% of them can use English in their

communication. In the follow-up comparative analysis, the correlation between language and

other data is made.

2) Analysis of Other Relevant Information of the Survey Subjects

Among the respondents, technical professionals constitute 26.29%, junior managers

28.64%, middle-level managers 29.11%, senior managers 11.27%, and company owners or

executives 4.69%. Managers make up nearly 74% of the total, thus meeting the requirements of

the questionnaire's targeted population. As for the duration of their overseas assignments,

23.47% of the respondents were assigned for six months or less, 18.31% for six months to one

year, 19.25% for one to three years, and 38.97% for more than three years. Nearly 80% of the

respondents had worked in Japan for over six months, giving them direct experiences in

crosscultural adaptation.

In the pilot interviews, the influence of spouses or families on cross-cultural adaptation and

expatriates’ performance during their overseas employment was discussed. Consequently, a

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question concerning family companionship is included in the survey. The results show that

more than half of the respondents without family members accompanying them, signifying the

influence of traditional Chinese values concerning work (that is, one is more productive without

the distractions of family matters). The similar percentages of spousal companionship and that

of other family members suggest the practicality of combining spouses and other family

members as dependents in future studies. There is no data indicating intermarriage with locals

in the sample population, suggesting the possible rarity of such marriages or the inability, which

makes it impossible for this study explore the impact of intermarriage on cross-cultural

adaptation.

Percentage

Presence of Spouse/Family

Members

No 54.46%

Not at first, but accompanied by a spouse after

working for a

while

13.62%

Not at first, accompanied by a

spouse

and family after

working for a while 15.49%

Always accompanied by a spouse 7.98%

Always accompanied by a spouse

an d family 5.63%

Intermarriage with locals after

expatr iation

Figure 26: Proportion of survey respondents with family companionship members

3) Analysis of Overseas Work Experience and Focus

This study focuses on the impact of employee loyalty on cross-cultural adaptation and

expatriate performance. In everyday management practices, employees’ loyalty is often

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measured by the duration they have worked for a company and the number of job changes they

have made, indicating habitual loyalty (rare job changes) or high loyalty to a specific company.

According to the survey, 19.72% of the respondents worked for their current company for

less than six months, aligning with their date of departure from China. Employees with a tenure

of 6-12 months in the current company constitute 8.45% of all respondent; approximately

18.78% with a 1-3 year job tenure, 14.55% with 3-5 years of work experience, and 38.5% with

5 or more years of work experience. Among them, those with less than 3 years of tenure

account for 47%, and those with more than 3 years of tenure comprise 53%. This balanced ratio

of new and old employees is helpful for studying employee loyalty.

Taking into consideration the number of previous companies where the respondents had

worked (excluding the current company), it is observed that nearly 32% of them had only

worked for their current company, while almost 70% had changed jobs. Less than 4% of the

respondents had changed jobs more than 5 times, suggesting the infrequency of their change.

The turnover rate aligns with the average in most companies, indicating normal employment

situation. As turnover rate is an indicator of the lowest employee loyalty, the job-changing data

is relevant for this particular research. The demographic characteristics of the sample

population convey the sound structure and utility of this study.

4.2 SPSS Analysis

4.2.1 Invalid Samples and Dimension Adjustment

This study utilizes the SPSSAU software system, the online version of the general analysis

software SPSS. It operates through web interfaces and, with established rules and algorithms,

provides intelligent analytical results. Necessary to identify invalid samples before rendering

analysis, two criteria are set for identifying them: identical values and deletion ratio. Since

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Likert scales are used, similar data patterns are expected. To avoid accidental deletion of data,

the following criteria for identifying invalid samples are established:

Identical Values: Samples where all selected items (e.g., 90%) have identical values are

identified as invalid samples.

Missing Data Ratio: Samples where all selected items (e.g., 70%) have missing data are

identified as invalid samples.

After verification, 5 invalid data points are recognized, leaving 208 valid data points. Using

the average function tool for generating variables, multiple questionnaire items are combined

into various dimensions based on the predefined relationships. This is done to facilitate the

analysis of variables in subsequent stages. Currently, the following 14 dimensions have been

organized for the main analysis:

Number Dimension

1 X1 Work Adaptation

2 X2 General Adaptation

3 X3 Interpersonal Adaptation

4 M1-1 Emotional Commitment

5 M1-2 Normative

Commitment

6 M1-3 Ideal Commitment

7 M1-4 Economic Commitment

8 M1-5 Opportunity

Commitment

9 M2-1 Vigor

10 M2-2 Dedication

M2-3 Focus

12 Y1 Task Performance

13 Y2 Peripheral Performance

14 Y3 Counter-productivity

Behavior

Table 8: Main Dimensions for Subsequent Analysis

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4.2.2 Reliability and Validity Analysis

4.2.2.1 Validity Analysis

In quantitative analysis, validity is commonly used as a measurement tool, whose

purpose is to examine whether the questions or content involved in a survey questionnaire are

designed reasonably. The typical approach is to use exploratory factor analysis (EFA) and

correlation analysis to test and verify. The primary application scope is usually within

structured scale data, excluding demographic data and other similar options. It is not used to

analyze questions with multiple options.

In contrast to exploratory factor analysis (EFA), there is confirmatory factor analysis

(CFA), a research method used to examine whether the correspondence between measurement

factors and items (on the scale) is consistent with the researcher's predictions. The difference

lies in that CFA is used to validate the correspondence, while EFA is used to explore the

correspondence between factors and measurement items. If a mature scale is utilized,

researchers can simultaneously use CFA and EFA to assess the validity of the scale. If the

scale's authority is weak, EFA is usually employed to explore factors or for test the validity.

The scales of the variables used in this study are all classic scales. However, considering

this is a first-time study of the relationships between the variables, exploratory factor analysis

(EFA) is used first for structural validity analysis. Subsequently, CFA is used for in-depth

analysis, specifically for assessing convergent and discriminant validity.

1) Exploratory Factor Analysis (EFA)

The core value of conducting EFA validity analysis lies in its comparison and assessment of

the alignment between the original expectations of researchers regarding the appropriate

categorization of variables and/or the display of the characteristics of certain variable and the

combinations or groupings established during the observation. When these groupings, as

analyzed and tested using factors, closely match the initial design by bearing essentially the

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same characteristics or exhibiting only minimal deviation, then it is generally concluded that

the validity of these items and grouping relationships is favorable, indicating a higher level of

effectiveness. This type of analysis is frequently employed in research to measure data related

to attitudes.

Validity analysis commonly utilizes the Kaiser-Meyer-Olkin (KMO) value. Its

corresponding intervals and associated information extraction are shown in the graph.

Table 9：KMO Value Analysis

If significant deviations are observed during the testing process, corresponding

adjustments should be made, after which the testing should be conducted again until the KMO

value reaches or exceeds the C range before it can be deemed acceptable (Chung, 2004, pp.

6680). After the first round of validity processing, following the system's prompts, 9 factor

loading coefficients deemed inadequate are removed. Subsequently, a new validity analysis is

carried out, and the results are presented below:

Results of Validity Analysis

Factor1 Factor 2 Factor 3 Factor 4 Factor Variance)

Y Expatriate performance 0.221 0.395 0.282 0.846 1.000

X Cross-cultural adaptation 0.944 0.143 0.242 0.175 1.000

M1 Employee loyalty 0.289 0.266 0.883 0.259 1.000

M2 Work Engagement 0.162 0.884 0.263 0.350 1.000

Eigenvalues (before rotation) 2.738 0.662 0.362 0.238 -

Variance Explained %

(Before Rotation)

68.443% 16.552% 9.044% 5.961% -

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Factor Name

Factor Loading Coefficients

Communalities (Common

Cumulative Variance Explained %

(Before Rotation)

68.443% 84.995% 94.039% 100.000% -

Eigenvalues (after rotation) 1.049 1.029 0.986 0.936 -

Variance Explained %

(After Rotation)

26.224% 25.730% 24.646% 23.399%

Cumulative Variance Explained %

(After Rotation)

26.224%

51.955% 76.601% 100.000% -

KMO Value 0.759

Bartlett's Test of Sphericity 380.096 -

df 6 -

p value 0.000 -

Table 10: Exploratory Factor Validity Analysis

The core objective of this test is to determine whether the underlying logic of the entire

research is reasonable, scientifically sound, and representative. Indicators such as the KMO

value and communalities used in the test serve this purpose. Moreover, these indicators focus

on different aspects of measurement. For example, communalities serve as an elimination

method, variances provide a level-based approach, and loading coefficients represent a

matching degree (Zhou, 2017).

From the table above, it is evident that all communalities are greater than 0.4, indicating the

absence of unfit items. The KMO value of 0.759 falls within the good validity range of 0.7 to

0.8, categorized as zone A. Furthermore, the variance explained by the four factors is

26.224%, 25.730%, 24.646%, and 23.399% respectively, with a cumulative explained variance

of 100.000% after rotation, exceeding the 50% threshold. These diverse measurement

directions and values collectively represent a comprehensive assessment of the data from

various perspectives. They provide strong evidence that information and data related to

different dimensions relevant to this study can be effectively extracted.

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2) Confirmatory Factor Analysis (CFA)

Confirmatory Factor Analysis (CFA) can be employed for research involving construct

validity, discriminant validity, and common method bias (CMV) studies. The validation process

requires an understanding of basic data characteristics, including the number of factors and the

sample size. If the sample size is less than five times the number of analyzed items, it should

generally be increased. In this study, Confirmatory Factor Analysis (CFA) is conducted on four

factors and 14 items. The effective sample size is 208, which exceeds ten times the number of

analyzed items, therefore assuring its utility. Factor loading coefficients demonstrate the

correlation between factors (latent variables) and analyzed items (observable

variables/measurement items). Standard loading coefficient values are typically used to

represent the correlation between factors and analyzed (measurement) items. If an item

displays significance and its standard loading coefficient value exceeds 0.7, it indicates a strong

correlation. Conversely, if an item lacks significance or has a low standard loading coefficient

value (e.g., below 0.4), it suggests a weak relationship with the factor and may warrant

consideration for removal.

Factor Loading Coefficients Table

Standardized

Factor(latent

variables)

Measurement

Items (observed

variables)

Non-

standardized

Coefficients

Standard.

Error

z (CR

value) p

Coefficients

(Std.

Estimate) X1work

X adaptation 1.000 - - - 0.729

Factor Loading Coefficients Table

Factor(latent

variables)

Measurement

Items (observed

variables)

Non-

standardized

Coefficients

Standard.

Error

z (CR

value) p

Standardized

Coefficients

(Std.

Estimate)

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interpersonal

adaptation 1.515 0.118 12.851 0.000 0.878

X2 general

adaptation 1.493 0.111 13.401 0.000 0.967

Y1 task

performance 1.000 - - - 0.773

Y2 peripheral

performance 1.026 0.074 13.840 0.000 0.924

Y expatriate

performance 3-

counterproductivity

behavior 0.211 0.086 2.439 0.015 0.176

M1-1emotional

commitment 1.000 - - - 0.862

M1-

5opportunity

commitment -0.022 0.096 -0.234 0.815 -0.017

M1employee

loyalty 4economic

commitment

0.272 0.056 4.810 0.000 0.336

M1-3 ideal

commitment

0.779 0.068 11.379 0.000 0.692

M1-2

normative

commitment

0.990 0.057 17.226 0.000 0.923

M2-1 vigor

1.000 - - - 0.852

M2-3 focus

1.022 0.066 15.472 0.000 0.854

M2 M2-2 dedication 1.007 0.061 16.466 0.000 0.888

Table 11: Confirmatory Factor Validity Analysis 1

When measuring Y Expatriate Performance, the standardized loading coefficient absolute

value for its relationship with Factor 3 – Counterproductivity Behavior is 0.176, which is less

than 0.6, thus denoting a relatively weak correlation and consideration for possible removal and

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further analysis. When measuring M1 Employee Loyalty, the standardized loading coefficient

absolute value for its relationship with Factor 5 - Opportunity Commitment is 0.017, which is

less than 0.6, suggesting a weak correlation and consideration for removal as well as further

analysis. When measuring M1 Employee Loyalty, the standardized loading coefficient absolute

value for its relationship with Factor 4 - Economic Commitment is 0.336, which is less than

0.6, implying a weak correlation. It might be prudent to consider eliminating this measurement

relationship and reanalyzing the data. With the potential removal of the aforementioned

measurement relationships in mind, the analysis can be conducted again.

First, Y Expatriate Performance 3 - Counterproductivity Behavior was removed. The

measurement results are as follows:

Model AVE and CR Index Results

Average Variance Extracted (AVE) Value Composite Reliability (CR) Value

X 0.745 0.897

Y 0.724 0.839

M1 0.438 0.735

M2 0.748 0.899

Discriminant Validity: Pearson Correlation and Square Root of AVE

X Y M1 M2

X 0.863

Y 0.482 0.851

M1 0.569 0.637 0.662

M2 0.404 0.756 0.604 0.865

Table 12: Confirmatory Factor Validity Analysis 2

AVE (Average Variance Extracted) and CR (Composite Reliability) are used for assessing

construct validity (convergent validity). Typically, AVE values greater than 0.5 and CR values

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greater than 0.7 indicate good construct validity. If AVE or CR values are low, it might be

considered to remove a factor and reanalyze construct validity. The formulas are as follows:

AVE = Average (loading squared values) and CR = Sum (loading)^2 / [Sum (loading)^2 + Sum

(residual standard loading) ^2], where loading values are standardized loading coefficients, and

e represents the residual standard loading coefficients. Additionally, Confirmatory Factor

Analysis (CFA) can be used for discriminant validity studies. In the table, the diagonal

represents the square root of AVE, and other values are correlation coefficients. The square root

of AVE indicates the factor's “convergence,” while the correlation coefficients indicate

relationships. If a factor has strong convergence (clearly greater than the absolute values of

correlations with other factors), it indicates good discriminant validity. If the square root of

AVE for a factor is greater than the absolute values of correlations with other factors and all

factors exhibit this pattern, then good discriminant validity is demonstrated.

In this analysis, Confirmatory Factor Analysis (CFA) is performed on four factors and 13

items. The table above clearly demonstrates that all four factors have CR values greater than

0.7, but there are instances of AVE values below 0.5. Adjustments to the model might be

considered before reanalysis. For discriminant validity analysis, for Factor X, its square root of

AVE is 0.863, exceeding the maximum absolute correlation coefficient value of 0.569,

indicating good discriminant validity. For Factor Y, its square root of AVE is 0.851, exceeding

the maximum absolute correlation coefficient value of 0.756, denoting good discriminant

validity. For Factor M1, its square root of AVE is 0.662, exceeding the maximum absolute

correlation coefficient value of 0.637, showing good discriminant validity. For Factor M2, its

square root of AVE is 0.865, exceeding the maximum absolute correlation coefficient value of

0.756, demonstrating good discriminant validity.

The measurement results above show that after removing Y Expatriate Performance 3 -

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Counterproductivity Behavior, both Exploratory Factor Analysis (EFA) and Confirmatory

Factor Analysis (CFA) demonstrate good discriminant validity for this study. In reliability

analysis, special attention can be given to Y Expatriate Performance 3.

To further enhance the effectiveness of the research and based on the analyses above, Y

Expatriate Performance 3 - Counterproductivity Behavior and M1 Opportunity Commitment

are removed. The resulting measurement results are as follows:

After removing Y3 and M1-5:

Model AVE and CR Index Results

Factor Average Variance Extracted (AVE) Value Composite Reliability (CR) Value

X 0.745 0.897

Y 0.724 0.839

M1 0.547 0.814

M2 0.748 0.899

Discriminant Validity: Pearson Correlation and Square Root of AVE Values

X Y M1 M2

X 0.863

Y 0.482 0.851

M1 0.547 0.681 0.739

M2 0.404 0.756 0.665 0.865

Note: Blue numbers on the diagonal represent the square root of AVE values. Table

13: Confirmatory Factor Validity Analysis 3 (Excluding Y3 and M1-5)

After removing Y3 and M1-4:

Model AVE 和CR Index Results

Factor Average Variance Extracted (AVE) Value Composite Reliability (CR) Value

X 0.745 0.897

Y 0.724 0.839

M1 0.519 0.756

M2 0.748 0.899

Discriminant Validity: Pearson Correlation and Square Root of AVE Values

X Y M1 M2

X 0.863

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Y 0.482 0.851

M1 0.584 0.671 0.721

M2 0.404 0.756 0.640 0.865

Note: Blue numbers on the diagonal represent the square root of AVE values. Table

14: Confirmatory Factor Validity Analysis 3 (Excluding Y3 and M1-4)

The discriminant validity analysis conducted in both of these tables above indicates that

the square root of AVE for X, Y, M1, and M2 exceeds the maximum absolute correlation

coefficient value, suggesting that both have good discriminant validity.

In both aforementioned validations, Confirmatory Factor Analysis (CFA) is performed

on four factors and 12 analyzed items each. As observed in Table 20 and Table 21, the AVE

values for all four factors in both validations are consistently above 0.5, and all CR values are

higher than 0.7. This signifies that the analyzed data in both validations exhibit robust construct

(convergent) validity. This implies that removing M1 Opportunity Commitment 5 or M1

Employee Loyalty 4, in addition to removing Y Expatriate Performance 3 - Counterproductivity

behavior, can effectively enhance the construct validity of the analyzed data. It is advisable to

pay attention to the conditions of these three analyzed items during the reliability analysis.

4.2.2.2 Reliability Analysis

In the early 20th century, Spearman was among the pioneers in psychology to introduce

the concept of reliability to assess the consistency or reliability of experimental results. In

surveys and questionnaires, variables being investigated are often grouped into sets of

questions. Reliability involves observing these grouped questions to determine whether they all

point to the same variable. The commonly used measure for this is the Cronbach's Alpha

coefficient, where a value exceeding 0.8 is considered good, and sometimes values as low as

0.7 are acceptable. If the Corrected Item-Total Correlation (CITC) value is below 0.3, it is often

considered for the item to be filtered out, and then the change in the alpha coefficient after

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filtering is examined. Reliability is frequently used to determine the consistency of participants'

answers when observing and studying quantitative data. In this study, SPSS and AMOS were

employed to statistically analyze the structural variables of the questionnaire sample data,

obtaining relevant statistics such as means and standard deviations. The reliability coefficient

method was effectively employed to validate the consistency and stability of the questionnaire

data (Eisinga & Pelzer, 2013, pp. 637-642).

This study has conducted an analysis of the a coefficient.

1) Reliability of the Cross-cultural Adaptation Dimension

Table 15 Cronbach Reliability Analysis of Cross-Cultural Adaptation Dimensions

Name Corrected Total Correlation (CITC) Item Deleted α factor Cronbach α coefficient

1. Work

0.632 0.946 adaptation

2. General

0.900 0.677 0.873 adaptation

3. Interpersonal

0.856

adaptation

0.744

Standardized Cronbach α coefficient: 0.882

Cronbach Reliability Analysis -- Simpli

fied Format

Item Number Sample Size Cronbach α coefficient

3 208 0.873

Table 15: Reliability Analysis of the Cross-Cultural Adaptation Dimension

The above table displays the reliability coefficient value as 0.873, which is greater than

0.8 and thus indicates the high reliability of the research data. The CITC value of the analyzed

items is greater than 0.4, signifying a good correlation between them and an acceptable degree

of reliability. These data are therefore valid for further examination.

2) Reliability of the Employee Loyalty Dimension

Cronbach Reliability Analysis

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Corrected Item-Total Correlation α Coefficient with Items

Item Cronbach α Coefficient

(CITC) Removed

M1-1 emotional commitment

0.548

0.546

M1-2 normative commitment

0.664

M1-3 ideal commitment

0.503

0.494

0.571 0.664

M1 employee loyalty 4-

economic commitment 0.526

0.585

M1-5 opportunity commitment 0.036 0.802

Standardized Cronbach αCoefficient：0.698

Cronbach Reliability Analysis – Simplified Format

Item Number Sample Size Cronbach α Coefficient

Table 16: Reliability Analysis of Employee Loyalty

Cronbach Reliability Analysis

Corrected Item-Total Correlation α Coefficient with Items

Item Cronbach α Coefficient

(CITC) Removed

The table above shows the reliability coefficient value to be 0.664, which is greater than

0.6., indicating that acceptable reliability of the research data. Since the CITC value

corresponding to M1 Opportunity Commitment 5 is less than 0.2, it suggests a weak

relationship with the other analyzed items. Consideration could be given to removing this item

(if it is part of a pilot study, adjustments can be made to this item before collecting formal data).

In summary, as the research data's reliability coefficient value exceeds 0.6, it is acceptable for

this study.

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5 208 0.664

After the removal of M1-5 Opportunity Commitment, a subsequent reliability test was

conducted. The test results are as follows:

Cronbach Reliability Analysis

Corrected Item-Total Correlation α Coefficient with Items

Item Cronbach αCoefficient

(CITC) Removed

M1-1 emotional commitment

0.714

0.700

M1-2 normative commitment

0.769

M1-3 ideal commitment

0.663

0.671

0.802

0.728

M1 employee loyalty 4-

0.343

economic commitment

0.857

Standardized Cronbach αCoefficient：0.791

Cronbach Reliability Analysis – Simplified Format

Item Number Sample Size Cronbach α Coefficient

Table 17: Reliability Analysis of Employee Loyalty 2

The table above shows the “CITC values” corresponding to M1-4 economic

commitments to be less than 0.4. Concerning the "deleted item α coefficient," if M1 Employee

Loyalty and 4-Economic Commitment are removed, the reliability coefficient would

significantly increase. However, considering the current reliability coefficient for Employee

Loyalty is 0.802, which is greater than 0.8, indicating a high level of data reliability, it can be

used for further analysis. Therefore, the decision is made to temporarily retain M1-4 Economic

Commitment for subsequent observation.

3) Reliability of the Work Engagement Dimension

Cronbach Reliability Analysis

Corrected Item Total Correlation

Item α Coefficient with Items

(CITC) Removed

Cronbach α coefficient

126

4 208 0.802

Work Engagement -1

Focus 0.715 0.854

Work - 2 Dedication

0.785 0.785 0.870

Work Engagement - 3

Vigor 0.771

0.801

Standardized Cronbach α coefficient: 0.872

Cronbach Reliability Analysis –

Simplified Format

Item Number Sample Size Cronbach α Coefficient

3 208 0.870

Table 18: Reliability Analysis of Work Engagement

The above table shows the reliability coefficient to be 0.870, which is greater than 0.8.

indicating good data reliability. The reliability coefficient does not change significantly after

deleting any item, so this item is retained for now. In subsequent analyses, further consideration

will be given to whether this dimension should be preserved. Overall, the reliability of this

dataset is good, allowing for further research in the subsequent stages. 4) Reliability of the

Expatriate Performance Dimension

Cronbach Reliability Analysis

Item Corrected Item Total Correlation

(CITC)

α Coefficient with Items

Removed

Cronbach α

Coefficient

Y3-Counter-Productivity

Behavior

0.202 0.826

Y2 Peripheral Performance

0.576 0.344 0.628

Y1 Task Performance

0.591 0.278

Standardized Cronbach αCoefficient：0.629

Cronbach Reliability Analysis – Simplified Format

Item Number Sample Size Cronbach α Coefficient

127

3 208 0.628

Table 19：Reliability Analysis of Expatriate Performance

The table above demonstrates the reliability coefficient as 0.628, which is greater than

0.6., denoting the acceptability of the data. If Y Expatriate Performance 3 - Counterproductivity

Behavior were to be removed, the reliability coefficient would undergo a noticeable change.

Hence, modifying or eliminating this item can be considered in further research. Since the

CITC value for Y Expatriate Performance 3 – Counterproductivity Behavior falls within the

range of 0.2 to 0.3, it indicates a relatively weak relationship with the other analyzed items.

Therefore, options include removal, temporary retention, or modifications based on subsequent

analyses.

As a result, after removing Y3 - Counterproductivity Behavior, a new reliability analysis

was conducted, and the results are presented below:

Cronbach Reliability Analysis

Corrected Item Total Correlation αCoefficient with Items Cronbach

Item

(CITC) Removed αCoefficient

Y2 Peripheral

Performance 0.712 -

0.826

Y1 Task Performance 0.712 -

Standardized Cronbach α Coefficie

nt：0.832

Cronbach Reliability Analysis – Simplified F

ormat

Item Number Sample Size Cronbach α Coefficient

2 208 0.826

Table 20: Reliability Analysis of Expatriate Performance 2

After removing Y3 - Counterproductivity Behavior, a significant change in the reliability

coefficient was observed, with a value of 0.826, exceeding 0.8. This indicates a high reliability

quality of the research data. Consideration can be given to removal or temporary retention,

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combined with the results of the convergent validity analysis, before making a decision on

whether to retain it in future research.

In summary, after removing Y3 Counterproductivity Behavior and M1-5 Opportunity

Commitment, the reliability and validity of the corresponding dimensions have significantly

improved, indicating high quality. Therefore, in the subsequent research and data analysis, Y3

Counterproductity Behavior and M1-5 Opportunity Commitment will be excluded. After

removing these two variables, the reliability, convergent validity, and discriminant validity of

different dimensions involved in this study are within acceptable limits for quantitative

research.

4.2.3 Correlation Analysis

Correlation analysis is a commonly used method in quantitative research, primarily

employed to determine the relationship between two sets of quantitative data. It helps ascertain

whether there is a correlation between them, the nature of this correlation (strong or weak), and

whether the correlation is positive or negative. In research, when considering the application of

regression analysis, it is typically important to first examine whether a correlational relationship

exists, as this serves as a prerequisite for regression analysis. In correlation analysis, the signs

(positive or negative) represent whether the correlation is positive or negative. The magnitude

of the coefficient signifies the strength of the relationship. If there are sub-dimensions

corresponding to variables X or Y, a comparative and analytical examination of the

relationships among these sub-dimensions is also necessary to determine their correlations with

each other.

In this study, the dependent variable, Expatriate Performance (Y), comprises two

dimensions: Y1 - Task Performance and Y2 - Peripheral Performance. The independent

variable, Cross-Cultural Adaptation (X), consists of three dimensions: X1 - Work Adaptation,

X2 - General Adaptation, and X3 - Interpersonal Adaptation. The analysis is performed using

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SPSSAU software as follows:

Pearson Correlation - Detailed Format

Y Expatriate

Performance Y1 Task Performance Y2 Peripheral

Performance

Correlation X

Cross-cultural Adaptation Coefficient 0.482** 0.383** 0.519**

p value 0.000 0.000 0.000

X1 Work Adaptation

Correlation

Coefficient 0.491** 0.381** 0.539**

p value 0.000 0.000 0.000

X2 General Adaptation

Correlation

Coefficient 0.431** 0.336** 0.472**

p value 0.000 0.000 0.000

X3 Interpersonal Adaptation

Correlation

Coefficient 0.396** 0.328** 0.413**

p value 0.000 0.000 0.000

*p<0.05 ** p<0.01

Pearson Correlation – Standard Format

Y Expatriate

Performance Y1 Task Performance Y2 Peripheral Performance

X Cross-cultural Adaptation 0.482** 0.383** 0.519**

X1 Work Adaptation 0.491** 0.381** 0.539**

X2 General Adaptation 0.431** 0.336** 0.472**

X3 Interpersonal Adaptation 0.396** 0.328** 0.413**

*p<0.05 ** p<0.01

Table 21: Pearson Correlation – Standard Format

From the table above, using correlation analysis to study the relationships between

Expatriate Performance (Y), its dimensions Y1 Task Performance and Y2 Peripheral

Performance, and Cross-Cultural Adaptation (X) and its dimensions X1 Work Adaptation, X2

General Adaptation, and X3 Interpersonal Adaptation, the Pearson correlation coefficient is

employed to indicate the strength of these relationships. The specific analysis reveals the

following:

Expatriate Performance (Y) and Cross-Cultural Adaptation (X): All four relationships

between Y and X dimensions (X1, X2, X3) exhibit statistical significance. The respective

correlation coefficient values are 0.482, 0.491, 0.431, and 0.396. Moreover, all correlation

130

coefficients are greater than 0, indicating positive correlations between Expatriate Performance

and the dimensions of Cross-Cultural Adaptation (X).

Y1 Task Performance and Cross-Cultural Adaptation (X): Similar to the previous case,

all four relationships between Y1 Task Performance and X dimensions (X1, X2, X3) are

statistically significant. The respective correlation coefficient values are 0.383, 0.381, 0.336,

and 0.328. All correlation coefficients being greater than 0 implies positive correlations

between Y1 Task Performance and the dimensions of Cross-Cultural Adaptation (X).

Y2 Peripheral Performance and Cross-Cultural Adaptation (X): Once again, all four

relationships between Y2 Contextual Performance and X dimensions (X1, X2, X3) exhibit

statistical significance. The respective correlation coefficient values are 0.519, 0.539, 0.472,

and 0.413. Positive correlation is indicated by the fact that all correlation coefficients are

greater than 0, revealing positive correlations between Y2 Peripheral Performance and the

dimensions of Cross-Cultural Adaptation (X).

4.2.4 Controlled Variable Regression Analysis

In quantitative research, when analyzing the relationships between different variables, it

is common practice to control other variables in order to better understand the changes and

impacts brought about by a specific variable. The controlled variables included in this study

encompass the following aspects:

1. Gender

2. Proficiency in Japanese language

3. Proficiency in English language

4. Highest level of education

5. Presence of family companionship members when going abroad

6. Employee tenure (total years of work experience)

7. Company tenure (years of work experience within the same company in China)

8. Overseas tenure (cumulative working time during overseas assignments in Japan)

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9. Number of previous companies worked at (excluding current company)

10. Position/rank within the organization

11. The industry in which the Company operates.

Due to the involvement of multiple control variables, regression analysis is conducted

on the control variables and the dependent variable. Control variables with minor or no impact

are removed to simplify the research model.

4.2.4.1 Analysis of Gender and Education Level

1) Gender Analysis

Linear Regression Analysis Results (n=208)

Non-standardized Standardized

Coefficients Coefficients t p Collinearity Diagnosis

B standard error Beta VIF tolerance

Constant

7.711 0.325 - 23.696 0.000** - -

-1.gender Ⅰ

-0.249 0.219 -0.079 -1.136 0.257 1.000 1.000

R 2

0.006

Adjust R 2

0.001

F (1,206)=1.292,p=0.257

D-W value 1.960

Dependent Variable: Y Expatriate Performance

* p<0.05 ** p<0.01

Table 22: Regression Relationship between Gender (C) and Y

In the table above, by using Gender ( -1) as the independent variable and Expatriate Ⅰ

Performance (Y) as the dependent variable in a linear regression analysis, the model equation is

derived as follows: Expatriate Performance (Y) = 7.711 - 0.249 * Gender ( -1). The R-squared Ⅰ

value of the model is 0.006, indicating that Gender ( -1) explains 0.6% of the variation in Ⅰ

Expatriate Performance (Y). However, upon conducting the F-test on the model, it is evident

132

that the model does not pass the F-test (F = 1.292, p = 0.257 > 0.05). This result implies that

Gender ( -1) does not have a statistically significant impact on Expatriate Performance (Y). Ⅰ

2) Education Level Analysis

Linear Regression Analysis Results (n=208)

Non-standard Standard

Collinearity Diagnosis

coefficient coefficient t p

BStandard error Beta VIF Tolerance

Constant

6.939

0.390 - 17.812 0.000** - -

-4.highest education Ⅳ

level 0.189 0.168 0.078 1.128 0.260 1.000 1.000

R 2

0.006

Adjust R 2

0.001

F (1,206)=1.273,p=0.260

D-W value 2.006

Dependent Variable: Y Expatriate Performance

*p<0.05 ** p<0.01

Table 23: Regression Relationship between C Education and Y Expatriate Performance

In the table above, when using Highest Education Level ( -4) as the independent Ⅳ

variable and Expatriate Performance (Y) as the dependent variable in a linear regression

analysis, the model equation is derived as follows: Expatriate Performance (Y) = 6.939 + 0.189

*Highest Education Level ( -4). The R-squared value of the model is 0.006, indicating that Ⅳ

Highest Education Level ( -4) explains 0.6% of the variation in Expatriate Performance (Y). Ⅳ

However, upon conducting the F-test on the model, it is evident that the model does not pass

the F-test (F = 1.273, p = 0.260 > 0.05). This result suggests that Highest Education Level ( -Ⅳ

4) does not have a statistically significant impact on Expatriate Performance (Y).

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In summary, the analysis indicates that neither gender nor educational background

significantly affects expatriate performance.

4.2.4.2 Language Proficiency Analysis

In the pilot interviews, language proficiency in both Japanese and English is mentioned

among the Chinese expatriates Japan. Therefore, this study investigates the language

proficiency in these two languages separately.

1) Japanese Language Proficiency

Linear Regression Analysis Results (n=208)

Nonstandard Standard Collinearity

Coefficient Coefficient t p Diagnosis

Standard

B Beta VIF Tolerance error

Constant

-2. Japanese language Ⅱ

7.758 0.253 - 30.719 0.000** - -

proficiency

-0.181 0.104 -0.120 -1.734 0.084 1.000 1.000

R 2

0.014

Adjust R 2

0.010

F (1,206)=3.006,p=0.084

D-W value 2.045

Dependent Variable: Y expatriate performance

* p<0.05 ** p<0.01

Table 24: Regression Relationship between C Japanese Language Proficiency and Y Expatriate Performance

The table above shows that when using -2 Japanese language proficiency as the Ⅱ

independent variable and Y expatriate performance as the dependent variable in a linear

regression analysis, the model equation is as follows: Y expatriate performance = 7.758 - 0.181

* -2 Japanese language proficiency. The model's R-squared value is 0.014, indicating that -2Ⅱ Ⅱ

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Japanese language proficiency accounts for 1.4% of the variation in Y expatriate performance.

However, upon conducting an F-test on the model, it is found that the model did not pass the

test (F = 3.006, p = 0.084 > 0.05), indicating that -2 Japanese language proficiency does not Ⅱ

have a significant impact on Y expatriate performance.

2) English Language Proficiency

Linear Regression Analysis Results (n=208)

Nonstandard Standard Collinearity Coefficient Coefficient Diagnosis

t p

Constant

7.629 0.322 - 23.689 0.000** - -

New_ -3. English Language Ⅲ

Proficiency -0.108 0.123 -0.061 -0.882 0.379 1.000 1.000

R 2

0.004

Linear Regression Analysis Results (n=208)

Nonstandard Standard Collinearity Coefficient Coefficient Diagnosis

Dependent Variable: Y Expatriate Performance

* p<0.05 ** p<0.01

Table 25: Regression Relationship between C English Language Proficiency and Y Expatriate Performance

From the table above, it can be observed that when using New_ -3 English language Ⅲ

proficiency as the independent variable and Y expatriate performance as the dependent variable

135

Standard

B error Beta VIF Tolerance

BStandard

error Beta VIF Tolerance

Adjust R 2

-0.001

F (1,206)=0.777,p=0.379

D-W Value 1.990

in a linear regression analysis, the model equation is: Y expatriate performance = 7.629 - 0.108

* New_ -3 English language proficiency. The model's R-squared value is 0.004, indicating Ⅲ

that New_ -3 English language proficiency explains 0.4% of the variance in Y expatriate Ⅲ

performance. However, upon conducting the F-test on the model, it is evident that the model

does not pass the F-test (F=0.777, p=0.379>0.05), implying that New_ -3. English language Ⅲ

proficiency does not have a significant impact on Y expatriate performance.

In summary, the collective analysis suggests that neither Japanese language proficiency

nor English language proficiency have an impact on the expatriate performance Y.

4.2.4.3 Analysis of Family Companionship

Linear Regression Analysis Results (n=208)

Nonstandard Standard Collinearity Coefficient Coefficient Diagnosis

Constant

-5 with family companionship Ⅴ

7.752 0.184 - 42.110 0.000** - -

members when arriving overseas

-0.188 0.072 -0.178 -2.595 0.010* 1.000 1.000

R 2

0.032

Adjust R 2

0.027

F (1,206)=6.734,p=0.010

Linear Regression Analysis Results (n=208)

Nonstandard Standard Collinearity Coefficient Coefficient Diagnosis

Dependent Variable: Y expatriate performance

* p<0.05 ** p<0.01

136

Standard

B error Beta VIF Tolerance

Standard

B error Beta VIF Tolerance

D-W Value 1.962

Table 26: Regression Relationship between Family Companionship (C) and Y

The table above shows a linear regression analysis with " -5 family companionship Ⅴ

when arriving overseas" as the independent variable and "Y expatriate performance as the

dependent variable. The model equation derived from the analysis is: "Y expatriate

performance = 7.752 - 0.188 * -5 having family companionship members when arriving Ⅴ

overseas”. The R-squared value of the model is 0.032, indicating that " -5 having family Ⅴ

companionship when arriving overseas can explain the 3.2% variation in Y expatriate

performance.

The model passes the F-test (F=6.734, p=0.010<0.05), suggesting that " -5 having Ⅴ

family companionship when arriving overseas” does indeed have a significant impact on "Y

expatriate performance. Further analysis reveals that the regression coefficient for " -5 is 0.188Ⅴ

(t=-2.595, p=0.010<0.05), indicating a significant negative relationship between the presence of

family companionship during overseas assignments and expatriate performance.

4.2.4.4 Analysis of Work Experience and Position Rank

1) Analysis of Employee Tenure (total years of service)

Linear Regression Analysis Results (n=208)

Nonstandard Standard

Collinearity Diagnosis

Coefficient Coefficient

Constant

6.762 0.308 - 21.964 0.000** - -

-6. Employee tenure Ⅵ

0.170 0.082 0.143 2.077 0.039* 1.000 1.000

R 2

0.021

137

Standard

Error

Beta VIF Tolerance

Adjust R 2

0.016

Linear Regression Analysis Results (n=208)

Nonstandard Standard

Collinearity Diagnosis

Coefficient Coefficient

Dependent Variable Y Expatriate Performance

* p<0.05 ** p<0.01

Table 27: Regression Relationship between C Employee Tenure and Y Expatriate Performance

From the table above, it can be observed that conducting a linear regression analysis with

-6 Employee Tenure as the independent variable and Y Expatriate Performance as the Ⅵ

dependent variable yields the following model equation: Y Expatriate Performance = 6.762 +

0.170* -6 Employee Tenure. The R-squared value of the model is 0.021, indicating that -6 Ⅵ Ⅵ

Employee Tenure can explain 2.1% of the variance in Y Expatriate Performance. Upon

performing an F-test on the model, it becomes evident that the model passes the F-test

(F=4.315, p=0.039<0.05), suggesting that -6 Employee Tenure does indeed have a Ⅵ

significant impact on Y Expatriate Performance. A more specific analysis reveals that the

regression coefficient value for -6 Employee Tenure is 0.170 (t=2.077, p=0.039<0.05), Ⅵ

implying that -6 Employee tenure has a statistically significant positive influence on Y Ⅵ

Expatriate Performance.

2) Analysis of Company Tenure in China (years of service in the same company in China)

Linear Regression Analysis Results (n=208)

Nonstandard Standard Collinearity Coefficient Coefficient Diagnosis

138

BStandard

Error Beta VIF Tolerance

F (1,206)=4.315,p=0.039

D-W Value 2.031

Constant

6.393 0.257 - 24.898 0.000** - -

-7. Company tenure Ⅶ

0.280 0.068 0.276 4.122 0.000** 1.000 1.000

R 2

0.076

Adjust R 2

0.072

F (1,206)=16.993,p=0.000

D-W Value 1.998

Linear Regression Analysis Results (n=208)

Nonstandard Standard Collinearity Coefficient Coefficient Diagnosis

Dependent Variable: Y Expatriate Performance

* p<0.05 ** p<0.01

Table 28: Regression Relationship between C Company Tenure (C) and Y Expatriate Performance

The above table shows a linear regression analysis with -7 Company tenure as the Ⅶ

independent variable and Y Expatriate Performance as the dependent variable leads to the

following model equation: Y Expatriate Performance = 6.393 + 0.280* -7 Company tenure. Ⅶ

The R-squared value of the model is 0.076, indicating that -7 Company tenure can explain Ⅶ

7.6% of the variance in Y Expatriate Performance. The model passes the F-test (F=16.993,

p=0.000<0.05), indicating that -7 Company tenure indeed has a significant impact on Y Ⅶ

Expatriate Performance.

139

Standard

error

Beta VIF Tolerance

Standard

error

Beta VIF Tolerance

In conclusion, the specific analysis reveals that the regression coefficient value of -7 Ⅶ

Company tenure is 0.280 (t=4.122, p=0.000<0.01), implying that this variable significantly and

positively influences Y Expatriate Performance.

3) Analysis of Overseas Tenure in Japan (cumulative length of overseas assignment in

Japan)

err

Constant

-8 Overseas Tenure Ⅷ

6.529 0.261 - 25.058 0.000** - -

in Japan (cumulative)

0.303 0.087 0.236 3.487 0.001** 1.000 1.000

R 2

0.056

Adjust R 2

0.051

F (1,206)=12.159,p=0.001

D-W Value 2.115

Dependent Variable: Y Expatriate Performance

* p<0.05 ** p<0.01

Table 29: Regression Relationship between C Overseas Tenure in Japan (cumulative) and Y Expatriate Performance

The table above shows that, when using -8 Overseas tenure in Japan (cumulative) asⅧ

the independent variable and Y Expatriate performance as the dependent variable, the linear

regression analysis yields the following model equation: Y Expatriate performance = 6.529 +

0.303 * -8 Overseas tenure in Japan (cumulative). The model's R-squared value is 0.056, Ⅷ

indicating that -8 Overseas tenure in Japan (cumulative) can explain 5.6% of the variance inⅧ

Y Expatriate Performance. The model passes the F test (F=12.159, p=0.001<0.05), implying

that -8 Overseas tenure in Japan (cumulative) indeed has a significant relationship with Y Ⅷ

140

Linear Regression Analysis Results ( n=208)

Nonstandard

Coefficient

Standard

Coefficient t p

Collinearity

Diagnosis

B Standard Beta VIF Tolerance

Expatriate Performance. In conclusion, the specific analysis indicates that the regression

coefficient for -8 Overseas tenure in Japan (cumulative) is 0.303 (t=3.487, p=0.001<0.01), Ⅷ

signifying it has a significant positive impact on Y Expatriate performance.

4) Analysis of Job Rank

Linear Regression Analysis Results (n=208)

Non-standard Standard Collinearity Coefficient Coefficient Diagnosis

Dependent Variable: Y Expatriate Performance

* p<0.05 ** p<0.01

Table 30: Regression Relationship between C Job Rank within the ompany and Y Expatriate Performance

From the table above, one sees that, when using -10 Job Rank within the company as Ⅹ

the independent variable and Y Expatriate Performance as the dependent variable in a linear

regression analysis, the resulting model equation is: Y Expatriate Performance = 6.327 + 0.427

141

B Standard

error Beta VIF Tolerance

Constant

6.327 0.243 - 26.005 0.000** - -

-10 Job Rank in the Ⅹ

Company

0.427 0.091 0.310 4.688 0.000** 1.000 1.000

R 2

0.096

Adjust R 2

0.092

F (1,206)=21.973,p=0.000

D-W Value 1.977

* -10. Job Rank. The model's R-squared value is 0.096, signifying that -10 Job Rank can Ⅹ Ⅹ

explain 9.6% of the variance in Y Expatriate Performance. It is evident that the model passes

the F test (F=21.973, p=0.000<0.05), indicating that -10 Job Rank indeed has a significant Ⅹ

relationship with Y Expatriate Performance. In-depth analysis further reveals that the regression

coefficient for -10 Job Rank is 0.427 (t=4.688, p=0.000<0.01), suggesting a significant Ⅹ

positive impact of -10. Job Rank on Y Expatriate Performance.Ⅹ

In summary, the analysis demonstrates that -6 Employee tenure, -7 Company Ⅵ Ⅶ

tenure, -8 Overseas tenure in Japan (cumulative), and -10 Job Rank within the Company Ⅷ Ⅹ

all have significant positive influences on Y Expatriate Performance.

4.2.4.5 Analysis of Job Changes and Industries

1) Analysis of Job Change (Number of Previous Companies)

Linear Regression Analysis Results (n=208)

Non-standard Standard Collinearity Coefficient

Coefficient Diagnosis

142

Standard

Error

Beta VIF Tolerance

Constant

7.507 0.275 - 27.283 0.000** - -

-9.Number of Previous Companies Ⅸ

（excluding current company） -0.075 0.130 -0.040 -0.573 0.567 1.000 1.000

R 2

0.002

Adjust R 2

-0.003

F (1,206)=0.328,p=0.567

D-W Value 1.960

Dependent Variable: Y Expatriate Performance

* p<0.05 ** p<0.01

Table 31: Regression relationship between C Job Changes (number of previous companies) and Y Expatriate

Performance

From the table above, when using -9 Number of Previous Companies (excluding the Ⅸ

current company) as the independent variable and Y Expatriate Performance as the dependent

variable for linear regression analysis, the model equation is: Y Expatriate Performance = 7.507

- 0.075 * -9 Number of Previous Companies Worked at (excluding the current company). Ⅸ

The model's R-squared value is 0.002, indicating that -9 Number of Previous Companies Ⅸ

(excluding the current company) explains only 0.2% of the variation in Y Expatriate

Performance. Upon conducting an F-test on the model, it is clear that the model does not pass

the F-test (F=0.328, p=0.567>0.05). This suggests that -9 Number of Previous Companies Ⅸ

Worked at (excluding the current company) does not have a significant impact on Y Expatriate

Performance, therefore, it cannot be specifically analyzed for its influence on the dependent

variable.

2） Analysis of the Industry of Company

Linear Regression Analysis Results (n=208)

Non-standardized Standardized Collinearity

Coefficients Coefficients t p Diagnostics

B Standard

Error

Beta VIF Tolerance

Constant

7.370 0.218 - 33.747 0.000** - -

XI-11. Industry of Company -0.002 0.043 -0.003 -0.047 0.962 1.000 1.000

R 2 0.000

Adjust R 2 -0.005

F F (1,206) =0.002,p=0.962

D-W Value 1.978

Dependent Variable: Y Expatriate Performance

* p<0.05 ** p<0.01

143

Table 32: Regression Relationship between Control Variable C (Number of Industries) and Y Expatriate

Performance

From the table above, it can be observed that a linear regression analysis is conducted

with the industry of company XI-11 as the independent variable and expatriate performance (Y)

as the dependent variable. The model formula is: Expatriate Performance (Y) = 7.370 - 0.002 *

Industry of Company XI-11. The model's R-squared value is 0.000, indicating that 0.0% of the

variance in expatriate performance can be explained by the industry of company XI-11. When

conducting the F-test, model did not pass it (F=0.002, p=0.962>0.05), indicating that the

industry of company XI-11 does not have a significant impact on expatriate performance.

Therefore, the relationship between the independent variable and the dependent variable cannot

be specifically analyzed.

The summary analysis indicates that neither the number of previous companies worked

at (excluding the current company) nor the industry of company XI-11 has an impact on

expatriate performance (Y).

This study initially had numerous control variables. Through regression analysis of

these control variables with the dependent variable, only five control variables are found to

have an impact on the results: C1 family companionship, C2 employee tenure (total years of

service), C3 company tenure (years of service in the same company in China), C4 overseas

tenure (length of overseas work experience), and C5 job rank. These variables will be included

in subsequent regression and mediation models to simplify the research model.

4.2.5 Regression Analysis of Main Effects

Regression analysis is a widely used research method in quantitative studies. Its primary

objective is to examine the relationship between independent and dependent variables through

model fitting and other techniques. This analysis aims to determine whether there is an

144

influential correlation between the variables, the direction of that influence (positive or

negative), and its extent.

In the specific operational steps, researchers typically start by observing R-squared (R²)

and Variance Inflation Factor (VIF) values. These values are used to assess the fitness of the

model and check for multicollinearity issues. The R-squared value indicates the proportion of

variance in the dependent variable that is explained by the independent variables. For instance,

an R² of 0.5 means that the model accounts for 50% of the variance. The significance of the

regression coefficients (B) is also crucial in determining the magnitude of the impact.

Additionally, p-values are examined: values less than 0.05 or 0.01 indicate significant effects of the

independent variables on the dependent variable. Finally, an F-test is often conducted to validate the

model's overall significance.

In this study, the regression relationships between the independent variable X, the

dependent variable Y, the control variables C, and the mediator variables M1 and M2 are

analyzed.

4.2.5.1 Regression Analysis of X Cross-Cultural Adaptation and Y Expatriate

Performance

First, this study conducts a regression analysis on the main effect of X cross-cultural

adaptation and Y expatriate performance. The results are as follows:

Linear Regression Analysis Results (n=208)

Non-standard Standard

Collinearity Diagnosis

Coefficient Coefficient

145

Dependent Variable: Y Expatriate Performance

Table 33: Linear Regression Results of X Cross-Cultural Adaptation on Y Foreign Assignment Performance.

From the table above, it can be observed that X cross-cultural adaptation is used as the

independent variable, while Y expatriate performance is used as the dependent variable in the

linear regression analysis. The model equation is: Y expatriate performance = 3.326 + 0.364 *

X cross-cultural adaptation. The R-squared (R²) value of the model is 0.232, indicating that X

cross-cultural adaptation can explain 23.2% of the variance in Y expatriate performance. The

Ftest conducted on the model yields a result of F=62.198, with a p-value of 0.000, which is less

than 0.05. This indicates that X cross-cultural adaptation significantly influences Y expatriate

performance.

146

B Standard

Error Beta VIF Tolerance

Constant

3.326 0.520 - 6.393 0.000** - -

X Cross-cultural Adaptation

0.364 0.046 0.482 7.887 0.000** 1.000 1.000

R 2

0.232

Adjust R 2

0.228

F (1,206)=62.198,p=0.000

D-W Value 2.138

Further analysis reveals that the regression coefficient for X cross-cultural adaptation is

0.364 (t=7.887, p=0.000<0.01), meaning that X cross-cultural adaptation has a significant

positive impact on Y expatriate performance.

4.2.5.2 Regression Analysis of X Cross-Cultural Adaptation, Control Variables C, and Y

Expatriate Performance.

Due to the extensive number of control variables, only regression analyses involving

control variables that have a significant impact on Y will be displayed in subsequent analyses.

Further details regarding these analyses will not be reiterated in the following sections.

Linear Regression Analysis Results (n=208)

Non-Standard Standard

Collinearity Diagnosis

Coefficient Coefficient

147

B Standard

Error Beta VIF Tolerance

Constant 3.301 0.516 - 6.392 0.000** - -

X Cross-cultural Adaptation

0.316 0.048 0.418 6.530 0.000** 1.260 0.794

C1 Family Companionship

-0.216 0.061 -0.204 -3.520 0.001** 1.034 0.968

C2 Employee tenure

-0.127 0.083 -0.108 -1.536 0.126 1.503 0.665

C3 Company tenure

0.148 0.069 0.146 2.147 0.033* 1.410 0.709

C4 Overseas tenure

0.075 0.086 0.059 0.877 0.381 1.379 0.725

C5 Job Rank

0.303 0.086 0.221 3.516 0.001** 1.207 0.828

R 2

0.345

Adjust R 2

0.325

F (6,201)=17.643,p=0.000

D-W Value 2.135

Dependent Variable: Y Expatriate Performance

* p<0.05 ** p<0.01

Table 34: Overview of Regression Relationship between X Cross-cultural Adaptation + C Control Variables → Y

Expatriate Performance

The table above shows that a linear regression analysis is conducted using X

crosscultural adaptation as the independent variable and Y expatriate performance as the

dependent variable. The model equation is as follows: Y expatriate performance = 3.301 +

0.316X crosscultural adaptation - 0.216 C1 family companionship - 0.127 C2 employee tenure

- 0.148C3 company tenure + 0.075C4 overseas tenure + 0.303C5 job rank. The model's R-

squared value is 0.345, indicating that X cross-cultural adaptation, C1 family companionship,

C2 employee tenure, C3 company tenure, C4 overseas tenure, and C5 job rank together explain

34.5% of the variation in Y expatriate performance. The F-test indicates that the model is

significant (F=17.643, p=0.000<0.05), suggesting that at least one variable among X cross-

cultural adaptation, C1 family companionship, C2 employee tenure, C3 company tenure, C4

overseas tenure, and C5 job rank has an impact on Y expatriate performance. Furthermore, the

test for multicollinearity reveals that all VIF values are below 5, indicating the absence of

multicollinearity issues. The D-W value, situated around 2, suggests the absence of

autocorrelation in the model, signifying a lack of interdependence among sample data and a

well-fitted model.

The specific analyses are as follows:

•The regression coefficient of the independent variable X cross-cultural adaptation is

0.316 (t=6.530, p=0.000<0.01), indicating a significant positive impact on Y

expatriate performance.

•The regression coefficient of the control variable C1 family companionship is 0.216

(t=-3.520, p=0.001<0.01), indicating a significant negative impact on Y expatriate

performance.

148

•The regression coefficient of the control variable C2 employee tenure is -0.127

(t=1.536, p=0.126>0.05), indicating that C2 does not significantly affect Y

expatriate performance.

•The regression coefficient of the control variable C3 company tenure is 0.148

(t=2.147, p=0.033<0.05), indicating a significant positive impact on Y expatriate

performance.

•The regression coefficient of the control variable C4 overseas tenure is 0.075

(t=0.877, p=0.381>0.05), indicating that C4 does not significantly affect Y

expatriate performance.

•The regression coefficient of the control variable C5 job rank is 0.303 (t=3.516,

p=0.001<0.01), indicating a significant positive impact on Y expatriate

performance.

In summary:

•X cross-cultural adaptation has a significant positive impact on Y expatriate

performance.

•Control variables C3 company tenure and C5 job rank have a significant positive

impact on Y expatriate performance, while C1 family companionship has a

significant negative impact. However, C2 employee tenure and C4 overseas tenure

do not significantly affect Y expatriate performance.

Combining the analysis from both sections, it can be concluded: Hypothesis 1: X

crosscultural adaptation of Chinese expatriates has a significant impact on Y expatriate

performance.

149

4.2.6 Analysis of Mediating Variables

In quantitative research, sometimes the study introduces the concept of “mediation” to

better understand the relationships between variables. Mediation refers to the study of three

variables, where the focus is on examining whether there is a mediating variable that influences

the relationship between the independent variable and the dependent variable. If there is a

sequence like independent variable -> mediating variable -> dependent variable, it is generally

considered that the mediating variable plays an intermediary role. In this scenario, there exists a

mediating effect in the relationship. For example, cross-cultural adaptation (X) may influence

employee loyalty (M), which in turn affects final expatriate performance (Y). The concept of

150

mediation requires specific data analysis through techniques like hierarchical regression to

observe the mediating effects, whose analysis requires that Y, X, and mediating variable M

must all be quantitative data.

Analyzing the mediating effect usually involves establishing three corresponding

models:

The first model involves conducting a regression analysis between X and Y. The second

model entails a regression analysis involving all three variables: X, M, and Y. The third model

focuses on the regression analysis of the independent variable X and the mediating variable M

(Wen Zhonglin, Ye Baojuan, 2014, p. 731). These models are utilized to investigate the presence

and significance of the mediating effect, allowing researchers to understand the pathways

through which the independent variable influences the dependent variable via the mediating

variable.

Figure 27: Illustration of the mediating effect test model Source: Wen Zhonglin and Ye Baojuan.

“Mediating Effect Analysis: Method and Model Development” [J]. Advances in Psychological Science,

2014, 22(005):731-745.

Description of the mediating effect test model

Model 2：

Y=cX+bM+e3

Model 1：Y=cX+e1

Model 3：

M=aX+e2 ；

Independent

variable (X)

Dependent

variable (Y)

Mediator (M) e3

a b

Independent

variable (X)

Dependent

variable (Y)

This study uses the SPSS AU software and follows the principles and steps of mediating

effect analysis to process the data.

1 Data standardization

146

2 Model 1: Regression of independent variable (X) on dependent variable

(Y)

Figure 28: Steps of Mediating Analysis Source: Wen Zhonglin and Ye Baojuan. “Mediating Effect

Analysis: Method and Model Development” [J]. Advances in Psychological Science, 2014, 22(005):731-

745.

This study will analyze the mediating effects among the independent variable X,

dependent variable Y, control variables C, mediator variable M1, and mediator variable M2,

respectively.

4.2.6.1 Mediating Effect of M1 Employee Loyalty

1) Regression Analysis of X Cross-cultural Adaptation, M1 Employee Loyalty, and Y

Expatriate Performance

To gain a clearer understanding of the relationship between X and M1, as well as between M1

and Y, before conducting the mediating effect analysis, this study first performs regression analyses

for these two groupings.

Linear Regression Analysis (n=208)

152

Standard

Non-standard Coefficient Collinearity Diagnosis

Coefficient t p

B Standard Error Beta VIF Tolerance

Constant

6.925 0.745 - 9.300 0.000** - -

X Cross-cultural Adaptation

0.622 0.070 0.554 8.907 0.000** 1.260 0.794

C1 Family Companionship

-0.103 0.088 -0.066 -1.168 0.244 1.034 0.968

C2 Employee tenure

-0.243 0.120 -0.138 -2.029 0.044* 1.503 0.665

C3 Company tenure

0.219 0.099 0.145 2.211 0.028* 1.410 0.709

C4 overseas tenure

-0.163 0.124 -0.085 -1.311 0.191 1.379 0.725

C5 Job Rank 0.431 0.124 0.211 3.466 0.001** 1.207 0.828

To gain a clearer understanding of the relationship between X and M1, as well as between M1

and Y, before conducting the mediating effect analysis, this study first performs regression analyses

for these two groupings.

Linear Regression Analysis (n=208)

Standard

Non-standard Coefficient Collinearity Diagnosis

Coefficient t p

BStandard Error Beta VIF Tolerance

R 2

0.383

Adjust R 2

0.365

F (6,201)=20.789,p=0.000

D-W Value 1.960

Dependent Variable：M1 Employee Loyalty

* p<0.05 ** p<0.01

Table 35: Regression Relationship between X Cross-cultural adaptation and M1 Employee Loyalty

153

The table above demonstrated that, by considering X cross-cultural adaptation as the

independent variable and C1 family companionship, C2 Employee tenure, C3 Company tenure,

C4 overseas tenure, C5 job rank as control variables, a linear regression analysis was conducted

with M1 employee loyalty as the dependent variable. The model equation is as follows: M1

employee loyalty = 6.925 + 0.622X cross-cultural adaptation - 0.103C1 family companionship -

0.243C2 employee tenure + 0.219C3 company tenure - 0.163C4 overseas tenures + 0.431C5

job rank The model's R-squared value is 0.383, indicating that the independent variable X

cross-cultural adaptation and the control variables C1 family companionship, C2 employee

tenure , C3 company tenure, C4 overseas tenure, C5 job rank can explain 38.3% of the variance

in M1 employee loyalty.

The model passes the F-test (F=20.789, p=0.000<0.05), indicating that at least one of the

factors listed above has a significant impact on M1 employee loyalty. Furthermore, when

examining the issue of multicollinearity in the model, it is discovered that all the VIF values are

less than 5, implying the absence of multicollinearity issues. The Durbin-Watson statistic (D-W

value) is close to 2, suggesting the absence of autocorrelation in the model and indicating a

favorable data relationship among the samples. In conclusion, the following specific insights are

gained:

The regression coefficient value of the independent variable X cross-cultural adaptation

is 0.622 (t=8.907, p=0.000<0.01), indicating that X has a significant positive impact on M1

employee loyalty. The regression coefficient value of the control variable C1 family

companionship is -0.103 (t=-1.168, p=0.244>0.05), suggesting that it does not have a

significant impact on M1 employee loyalty. The regression coefficient value of the control

variable C2 employee tenure is -0.243 (t=-2.029, p=0.044<0.05), indicating its significant

negative impact on M1 employee loyalty. The regression coefficient value of the control

variable C3 company tenure is 0.219 (t=2.211, p=0.028<0.05), demonstrating its significant

154

positive impact on M1 employee loyalty. The regression coefficient value of the control variable

C4 overseas tenure is -0.163 (t=-1.311, p=0.191>0.05), indicating that it does not have a

significant impact on M1 employee loyalty. The regression coefficient value of the control

variable C5 job rank is 0.431 (t=3.466, p=0.001<0.01), denoting its significant positive impact

on M1 employee loyalty. In summary, it can be concluded that X cross-cultural adaptation, C3

company tenure, and C5 job rank have a significant positive impact on M1 employee loyalty. At

the same time, C2 employee tenure has a significant negative impact on M1 employee loyalty.

However, neither C1 family companionship nor C4 overseas tenure has a significant impact on

M1 employee loyalty.

标准误

Constant

1.006 0.509 - 1.975 0.050* - -

M1 Employee Loyalty

0.407 0.035 0.605 11.501 0.000** 1.162 0.861

C1 Family Companionship

-0.179 0.053 -0.170 -3.408 0.001** 1.040 0.961

C2 Employee tenure

-0.016 0.071 -0.013 -0.221 0.826 1.486 0.673

C3 Company tenure 0.063 0.059 0.062 1.063 0.289 1.442 0.693

Linear Regression Analysis Results (n=208)

Non-standard Coefficient Standard Coefficient Collinearity Diagnosis

t p

B 标准误 Beta VIF Tolerance

C4 Overseas tenure

0.177 0.070 0.138 2.532 0.012* 1.250 0.800

C5 Job Rank 0.137 0.076 0.099 1.805 0.073 1.275 0.784

R 2

0.521

Adjust R 2

0.507

F (6,201)=36.455,p=0.000

D-W Value

2.074

Dependent Variable: Y Expatriate Performance *

p<0.05 ** p<0.01

155

Linear Regression Analysis Results ( n=208)

Non- ard Coefficientstand Standard Coefficient t p rity DiagnosisCollinea

B Beta VIF Tolerance

Table 36：Regression Relationship between Employee Loyalty M1 and Expatriate Performance Y

The table above shows that, by considering M1 employee loyalty as the independent

variable and C1 family companionship, C2 employee tenure, C3 company tenure, C4 overseas

tenure, C5 job rank as control variables, a linear regression analysis is conducted with Y

expatriate performance as the dependent variable. The model equation is as follows: Y expatriate

performance = 1.006 + 0.407 M1 employee loyalty - 0.179 C1 family companionship - 0.016C2

employee tenure + 0.063C3 company tenure + 0.177 C4 overseas tenure + 0.137C5 job rank.

The model's R-squared value is 0.521, indicating that M1 employee loyalty, C1 family

companionship, C2 employee tenure, C3 company tenure C4 overseas tenure, C5 job rank can

explain 52.1% of the variance in Y expatriate performance.

The model passes the F-test (F=36.455, p=0.000<0.05), indicating that at least one of the

factors among M1 employee loyalty, C1 family companionship, C2 employee tenure, C3

company tenure, C4 overseas tenure, C5 job rank has a significant impact on Y expatriate

performance. Furthermore, when examining the issue of multicollinearity in the model, it is

discovered that all the VIF values are less than 5, implying the absence of multicollinearity

issues. The Durbin-Watson statistic (D-W value) is close to 2, suggesting the absence of

autocorrelation in the model and indicating a favorable data relationship among the samples. In

conclusion, the following specific insights are gained:

The regression coefficient value of the M1 employee loyalty is 0.407 (t=11.501,

p=0.000<0.01), indicating that M1 employee loyalty has a significant positive impact on Y

expatriate performance. The regression coefficient value of the control variable C1 family

companionship is -0.179 (t=-3.408, p=0.001<0.01), suggesting a significant negative impact on

Y expatriate performance. The regression coefficient value of the control variable C2 employee

tenure is -0.016 (t=-0.221, p=0.826>0.05), indicating that it does not have a significant impact

on Y expatriate performance. The regression coefficient value of the control variable C3

156

company tenure is 0.063 (t=1.063, p=0.289>0.05), showing that it does not have a significant

impact on Y expatriate performance. The regression coefficient value of the control variable C4

overseas tenure is 0.177 (t=2.532, p=0.012<0.05), indicating its significant positive impact on Y

expatriate performance. The regression coefficient value of the control variable C5 job rank is

0.137 (t=1.805, p=0.073>0.05), denoting that it does not have a significant impact on Y

expatriate performance.

In summary, it can be concluded that M1 employee loyalty and C4 overseas tenure have a

significant positive impact on Y expatriate performance. Additionally, C1 family companionship

has a significant negative impact on Y. However, C2 employee tenure, C3 company tenure or C5

job rank do not have a significant impact on Y expatriate performance.

(2) Mediating Effect Analysis of Employee Loyalty M1

The model consisting of the independent variable X, control variables C1-C5, mediating

variable M1, and the dependent variable Y was constructed to verify the mediating effect of M1,

as presented below:

Mediating effect analysis Results ( n =208)

Std

error t β β Std error β

Constant

3.301** 0.516 6.392 0.000 - 6.925** 0.745 9.300 0.000 - 0.757 0.525 1.440 0.151 -

Mediating effect analysis Results ( n =208)

Y expatriate performance M1 employee loyalty Y expatriate performance

BStd error t p β B Std error t p β B Std error t p β

X Cross-cultural

adaptation 0.316**

0.048 6.530 0.000 0.418 0.622** 0.070 8.907 0.000 0.554 0.088 0.049 1.805 0.073 0.116

M1 Employee loyalty 0.367** 0.042 8.833 0.000 0.546

157

Y expatriate performance M1 employee loyalty Y expatriate performance

B p B Std error t p B t p

C1 Family

companionship

-0.216** 0.061 -3.520 0.001 -0.204 -0.103 0.088 -1.168 0.244 -0.066 -0.178** 0.052 -3.400 0.001 -0.168

C2 Employee tenure

-0.127 0.083 -1.536 0.126 -0.108 -0.243* 0.120 -2.029 0.044 -0.138 -0.038 0.071 -0.538 0.592 -0.032

C3 Company tenure

0.148* 0.069 2.147 0.033 0.146 0.219* 0.099 2.211 0.028 0.145 0.067 0.059 1.134 0.258 0.066

C4 Overseas

Tenure

0.075 0.086 0.877 0.381 0.059 -0.163 0.124 -1.311 0.191 -0.085 0.135 0.073 1.840 0.067 0.105

C5 Job Rank

0.303** 0.086 3.516 0.001 0.221 0.431** 0.124 3.466 0.001 0.211 0.145 0.076 1.919 0.056 0.105

R 2

0.345 0.383 0.529

Adjust R 2

0.325 0.365 0.512

F Value

F (6,201) =17.643, p=0.000 F (6,201) =20.789, p=0.000 F (7,200) =32.063,p=0.000

* p<0.05 ** p<0.01

Mediating Effects

Test - Horizontal Format

95% CI z value/

Item Symbol Effect p value Conclusion

Significance Lower Limit Upper Limit t value

X Cross-cultural

adaptation=>M1 employee

loyalty =>employee

performance

a*b Indirect

Effect

0.229 0.203 0.408 4.399 0.000

X Cross-cultural adaptation

=>M1employee loyalty

M1 employee loyalty =>Y

expatriate performance

X=>M

M=>Y

0.622

0.367

0.485

0.286

0.759

0.449

8.907

8.833

0.000

Full

Mediating

X Cross-cultural

adaptation=>Y expatriate

performance

Direct

Effect

0.088 -0.008 0.183 1.805 0.073

X Cross-cultural

adaptation=>Y expatriate

performance

c Total Effect 0.316 0.221 0.411 6.530 0.000

Table 37： Mediating Effects Analysis Results of Employee Loyalty M1

From the table above, it can be observed that the mediating effect analysis involves

three models, described as follows:

Y Expatriate Performance = 3.301 + 0.316X Cross-Cultural Adaptation - 0.216 C1

Family Companionship- 0.127C2 Employee tenure + 0.148C3 Company tenure + 0.075 C4

158

Overseas tenure + 0.303 C5 Job Rank

M1 Employee Loyalty = 6.925 + 0.622X Cross-Cultural Adaptation - 0.103 C1 Family

Companionship - 0.243C2 Employee tenure + 0.219 C3 Company tenure - 0.163C4 Overseas tenure

+ 0.431C5 Job Rank

Y Expatriate Performance = 0.757 + 0.088X Cross-Cultural Adaptation + 0.367M1

Employee Loyalty - 0.178C1 Family Companionship - 0.038C2 Employee tenure + 0.067C3

Company tenure + 0.135C4 Overseas tenure + 0.145*C5 Job Rank

In the table, the variables are represented as follows:

"C" represents the regression coefficient of X on Y in the absence of the mediator variable M,

which is the total effect; "a" represents the regression coefficient of X on M; "b" represents the

regression coefficient of M on Y; "a*b" is the product of "a" and "b," representing the indirect

effect or mediation effect. "95% BootCI" represents the 95% confidence interval obtained

through bootstrap sampling. If the interval does not include 0, it indicates significance. "c'"

represents the regression coefficient of X on Y in the presence of the mediating variable M,

which is the direct effect. If both "a" and "b" are significant, and "c'" is not significant, then it

indicates complete mediation.

As shown in the table, M1 Employee Loyalty acts as a complete mediator between Y

Expatriate Performance and X Cross-Cultural Adaptation.

Hypothesis 2: Cross-cultural adaptation influences expatriate performance through the

mediating variable of employee loyalty (M1), confirming the existence of a mediating

effect.

3) Analysis of Mediating Effects of M1 Sub-dimension

159

To enhance the practical applicability of the research results, this study further analyzes

whether there is a mediating effect within the sub-dimensions of M1Employee Loyalty, as

follows:

160

Y Expatriate Performance M1-1 Emotional Commitment Y Expatriate Performance

Constant 3.301** (6.392) 1.438** (5.036) 1.987** (4.191)

X Cross-cultural

Adaptation

0.316** (6.530) 0.181** (6.740) 0.151** (3.263)

M1-1 Emotional

Commitment

0.914** (8.278)

C1 Family

Companionship

-0.216** (-3.520) -0.021

(-0.623)

-0.197** (-3.701)

C2 Employee tenure

-0.127

(-1.536)

-0.059

(-1.283)

-0.074

(-1.022)

C3 Company tenure

0.148*

(2.147)

0.106** (2.795) 0.050

(0.833)

C4 Overseas tenure

0.075

(0.877)

-0.049

(-1.036)

0.121

(1.615)

C5 Job Rank

0.303** (3.516) 0.037

(0.778)

0.269** (3.604)

Sample Size 208 208 208

R 2

0.345 0.253 0.512

Adjust R 2

0.325 0.231 0.495

F Value

F (6,201) =17.643,p=0.000 F (6,201) =11.345,p=0.000 F (7,200) =29.993,p=0.000

* p<0.05 ** p<0.01 The values inside the parentheses are t-values

Mediating Effects Model Test - Horizontal Format

95% CI

X Cross-cultural

adaptation =>M1

Emotional Commitment

=>Y Expatriate

Performance

a*b Direct

Effect

0.165 0.132 0.310 3.668 0.000

X Cross-cultural

Adaptation =>M1-1

Emotional Commitment

M1-1 Emotional

Commitment =>Y

Expatriate Performance

X=>M

M=>Y

0.181

0.914

0.128

0.697

0.233

1.130

6.740

8.278

0.000

Partial

Mediating

161

Item Symbol Significance Effect

Value

z Value

/t Value p Value Conclusion

Lower

Limit

Upper

Limit

Mediating Effects Model Test - Simplified Format

X Cross-cultural

adaptation =>Y

Expatriate performance

c' Direct

Effect

0.151 0.060 0.242 3.263 0.001

X Cross-cultural

adaptation =>Y

Expatriate Performance

C Total

Effect

0.316 0.221 0.411 6.530 0.000

Table 38: Mediating Effect Analysis Results of Emotional Commitment M1-1

As demonstrated in the above table, the mediating effect analysis involves three models, as

follows:

Y Expatriate Performance = 3.301 + 0.316X Cross-Cultural Adaptation - 0.216C1

Family Companionship - 0.127C2 Employee tenure + 0.148C3 Company tenure + 0.075C4

Overseas tenure + 0.303 C5 Job Rank

M1-1 Emotional Commitment = 1.438 + 0.181X Cross-Cultural Adaptation -

0.021C1

Family Companionship - 0.059C2 Employee tenure + 0.106C3 Company tenure - 0.049C4

Overseas tenure + 0.037C5 Job Rank

Y Expatriate Performance = 1.987 + 0.151X Cross-Cultural Adaptation + 0.914M1-1

Emotional Commitment - 0.197C1 Family Companionship - 0.074C2 Employee tenure +

0.050C3 Company tenure + 0.121C4 Overseas tenure + 0.269*C5 Job Rank

Within the sub-dimension of the mediating variable M1 Employee Loyalty, it is evident that

M1-1 Emotional Commitment plays a partial mediating role.

Mediating Effects Model Test - Simplified Format

Y Expatriate Performance M1-2 Normative Commitment Y Expatriate Performance

Constant 3.301**

(6.392)

1.535**

(6.227)

1.602**

(3.336)

X Cross-cultural

Adaptation

0.316**

(6.530)

0.198**

(8.564)

0.097*

(2.017)

M1-2 Normative

Commitment

1.107**

(8.801)

C1 Family

Companionship -0.216** (-

3.520)

-0.047

(-1.593)

-0.164** (-

3.126)

162

C2 Employee

tenure

-0.127

(-1.536)

-0.068

(-1.723)

-0.052

(-0.730)

C3 Company

tenure

0.148*

(2.147)

0.052

(1.594)

0.090

(1.523)

C4 Overseas

tenure

0.075

(0.877)

0.010

(0.233)

0.065

(0.886)

C5 Job Rank

0.303**

(3.516)

0.072

(1.753)

0.223**

(3.020)

Sample Size

208 208 208

R 2 0.345 0.349 0.528

Y Expatriate Performance M1-2 Normative Commitment Y Expatriate Performance

Adjust R 2

0.325

0.330 0.511

F Value F (6,201)=17.643,p=0.000 F (6,201)=17.989,p=0.000 F (7,200)=31.939,p=0.000

*p<0.05 ** p<0.01 The values inside the parentheses are t-values

Mediating Effects Test - Horizontal Format

Effect z Value

Item Symbol Lower p Value Conclusion

Significance Value Upper Limit /t Value

Limit

X Cross-cultural

Adaptation =>M1-2

Normative Commitment

=>Y Expatriate

Performance

a*b Indirect

Effect

0.219 0.189 0.398 4.002 0.000

X Cross-cultural

Adaptation =>M1-2

Normative Commitment

M1-2 Normative

Commitment =>Y

Expatriate Performance

X Cross-cultural

X=>M

M=>Y

0.198

1.107

0.153

0.861

0.243

1.354

8.564

8.801

0.000

0.000 Partial

Mediating

Adaptation =>Y

Expatriate Performance

c' Direct

Effect

0.097 0.003 0.192 2.017 0.045

X Cross-cultural

c Total 0.316 0.221 0.411 6.530 0.000

163

95% CI

Mediating Effects Model Test - Simplified Format

Adaptation =>Y Effect

Expatriate Performance

Table 39： Mediating Effects Analysis Result of M1-2 Normative Commitment

The table above displays three models of the mediating effect analysis:

Y Expatriate Performance = 3.301 + 0.316X Cross-Cultural Adaptation - 0.216C1

Family Companionship - 0.127C2 Employee tenure + 0.148C3 Company tenure + 0.075C4

Overseas tenure + 0.303C5 Job Rank

M1-2 Normative Commitment = 1.535 + 0.198X Cross-Cultural Adaptation - 0.047C1

Family companionship - 0.068 C2 Employee Tenure + 0.052C3 Company tenure + 0.010C4

Overseas tenure + 0.072C5 Job Rank

Y Expatriate Performance = 1.602 + 0.097X Cross-Cultural Adaptation + 1.107M1-2

Normative Commitment - 0.164C1 Family companionship - 0.052C2 Employee tenure +

0.090C3 Company tenure + 0.065C4 Overseas tenure + 0.223*C5 Job Rank

Mediating Effects Model Test - Simplified Format

Y Expatriate Performance M1-3 Ideal Commitment Y Expatriate Performance

Constant 3.301** (6.392) 1.665** (6.252) 1.987** (3.844)

X Cross-cultural

Adaptation

0.316** (6.530) 0.177** (7.081) 0.177** (3.564)

M1-3 Ideal

Commitment

0.789** (6.302)

C1 Family

Companionship

-0.216** (-

3.520)

-0.003

(-0.101)

-0.213** (-3.799)

C2 Employee tenure

-0.127

(-1.536)

-0.117** (-2.743) -0.035

(-0.450)

C3 Company tenure

0.148*

(2.147)

0.034

(0.968)

0.120

(1.909)

C4 Overseas tenure

0.075

(0.877)

-0.112*

(-2.530)

0.164*

(2.050)

C5 Job Rank

0.303** (3.516) 0.215** (4.834) 0.134

(1.601)

Sample Size

208 208 208

R 2

0.345 0.309 0.454

164

Adjust R 2

0.325 0.289 0.434

F Value F (6,201) =17.643,p=0.000 F (6,201) =15.006,p=0.000 F (7,200) =23.709,p=0.000

Within the sub-dimension of the mediating variable M1 Employee Loyalty, it is evident that

M1-2 Normative Commitment plays a partial mediating role.

*p<0.05 ** p<0.01 The values inside the parentheses are t-values.

Mediating Effects Model Test - Horizontal Format

Effect z Value

Item Symbol Lower Upper p Value Conclusion

Significance Value /t Value

Limit Limit

X Cross-cultural

Adaptation =>M1-3 Direct

Ideal Commitment =>Y a*b Effect 0.140 0.099 0.280 3.032 0.002

Expatriate Performance

X Cross-cultural Partial

Adaptation =>M1-3 a X=>M 0.177 0.128 0.226 7.081 0.000 Mediating

Ideal Commitment

M1-3 Ideal

Commitment =>Y b M=>Y 0.789 0.544 1.035 6.302 0.000

Expatriate Performance

Y Expatriate Performance M1-3 Ideal Commitment Y Expatriate Performance

X Cross-cultural

Adaptation =>Y Direct c' 0.177 0.080 0.274 3.564 0.000

Expatriate Performance Effect

X Cross-cultural

Adaptation =>Y c Total Effect 0.316 0.221 0.411 6.530 0.000

Expatriate Performance

Table 40: Mediating Effect Analysis Results for M1-3 Ideal Commitment

The table above shows the mediating effect analysis in the following three models:

YExpatriate Performance = 3.301 + 0.316X Cross-Cultural Adaptation - 0.216C1

165

% CI95

Mediating Effects Model Test - Simplified Format

Family companionship - 0.127C2 Employee tenure + 0.148C3 Company tenure + 0.075C4

Overseas tenure + 0.303C5 Job Rank

M1-3 Ideal Commitment = 1.665 + 0.177X Cross-Cultural Adaptation - 0.003C1

Family companionship - 0.117C2 Employee tenure + 0.034C3 Company tenure - 0.112C4

Overseas tenure + 0.215C5 Job Rank

Y Expatriate Performance = 1.987 + 0.177X Cross-Cultural Adaptation + 0.789M1-3

Ideal Commitment - 0.213C1 Family companionship - 0.035C2 Employee tenure + 0.120C3

Company tenure + 0.164C4 Overseas tenure + 0.134*C5 Job Rank

Within the sub-dimension of the mediator variable M1 Employee Loyalty, it is

evident that M1-3 Ideal Commitment plays a partial mediating role.

Mediating Effects Model Testing - Simplified Format

Y Expatriate Y Expatriate

M1-4 Economic commitment

Performance Performance

Constant

3.301** (6.392) 2.288**

(10.739)

2.999**

(4.624)

C1 Family

Companionship

-0.216** (-

3.520)

-0.032

(-1.279)

-0.212** (-

3.433)

C2 Employee tenure

-0.127

(-1.536)

0.002

(0.051)

-0.128

(-1.538)

C3 Company Tenure

0.148*

(2.147)

0.026

(0.926)

0.144*

(2.090)

C4 Overseas tenure

0.075

(0.877)

-0.011

(-0.300)

0.077

(0.892)

C5 Job Rank

0.303** (3.516) 0.107** (3.002) 0.289**

(3.277)

Mediating Effects Model Testing - Simplified Format

Y Expatriate Performance M1-4 Economic commitment Y Expatriate Performance

X Cross-cultural Adaptation 0.316** (6.530) 0.067**

(3.340)

0.308** (6.173)

M1-4 Economic commitment

0.132

(0.772)

Sample Size

208 208 208

R 2 0.345 0.147 0.347

166

Adjust R 2

0.325 0.122 0.324

F Value F (6,201)=17.643,p=0.000 F (6,201)=5.774,p=0.000 F (7,200)=15.177,p=0.000

* p<0.05 ** p<0.01 The values inside the parentheses are t-values.

Mediating Effects Model Test - Horizontal Format

z Value

Item Symbol Significance Effect Value Upper p Value Conclusion

Lower Limit /t Value

Limit

X Crosscultural

Adaptation

=> M1-4

Economic

commitment

=>Y

Expatriate

Performance

a*b Indirect Effect 0.009 -0.021 0.046 0.518 0.605

X Crosscultural

Adaptation

=> M1-4

Economic

commitment

M1-4 Economic

commitment

a X=>M 0.067 0.028 0.106 3.340 0.001

mediating

role

insignificant

=>Y

Expatriate

Performance

Crosscultural

b M=>Y 0.132 -0.203 0.468 0.772 0.441

Adaptation

=>Y

Expatriate

Performance

Crosscultural

c' Direct

Effect

0.308 0.210 0.405 6.173 0.000

Adaptation

=>Y

Expatriate

Performance

c Total Effect 0.316 0.221 0.411 6.530 0.000

167

95% CI

Table 41: Mediating Effects Analysis Results for M1-4

The above table displays the analysis of mediating effects in the following three models:

• Expatriate performance (Y) = 3.301 - 0.216 * C1 family companionship- 0.127 * C2

Employee tenure + 0.148 * C3 Company tenure + 0.075 * C4 Overseas tenure +

0.303 * C5 Job rank + 0.316 * X Cross-cultural adaptation

• M1-4 Economic commitment = 2.288 - 0.032 * C1 family companionship + 0.002 *

C2 Employee tenure + 0.026 * C3 Company tenure - 0.011 * C4 Overseas tenure +

0.107 * C5 Job rank + 0.067 * X Cross-cultural adaptation

• Expatriate performance (Y) = 2.999 - 0.212 * C1 family companionship - 0.128 *

C2 Employee tenure + 0.144 * C3 Company tenure + 0.077 * C4 Overseas tenure +

0.289 * C5 Job rank + 0.308 * X Cross-cultural adaptation + 0.132 * M1-4

Economic commitment

In the mediating variable M1 employee loyalty sub-dimension, the mediating effect of

M1-4 Economic commitment is not significant.

In summary, within the mediating variable M1 employee loyalty sub-dimension, M1-1

Emotional commitment, M1-2 Normative commitment, and M1-3 Ideal commitment, all have

partial mediate effects, whereas the mediating effect of M1-4 Economic commitment is not

significant.

4.2.6.2 Mediating Effects of M2 Work Engagement

1) Regression Analysis of X Cross-cultural Adaptation and M2 Work Engagement, and M2

Work Engagement with Y Expatriate Performance

168

To gain a clearer understanding of the relationship between X and M2, as well as between

M2 and Y, before conducting the mediating effect analysis, this study first performs regression

analyses on these two sets of variables.

Linear Regression Analysis Results (n=208)

Standard

Nonstandard Coefficient Collinearity Diagnosis

Coefficient t p

BStandard error Beta VIF Tolerance

Constant 4.960 0.852 - 5.821 0.000** - -

X Cross-cultural

Adaptation 0.444 0.080 0.381 5.552 0.000** 1.260 0.794

C1 Family

companionship -0.116 0.101 -0.071 -1.147 0.253 1.034 0.968

C2 Employee tenure

-0.233

0.137 -0.128 -1.703 0.090 1.503 0.665

C3 Company tenure

0.211

0.113 0.135 1.862 0.064 1.410 0.709

C4 Overseas tenure

-0.047

0.142 -0.024 -0.334 0.738 1.379 0.725

C5 Job Rank

0.494

0.142 0.233 3.473 0.001** 1.207 0.828

R 2

0.248

Adjust R 2

0.225

F (6,201) =11.032,p=0.000

D-W Value 1.995

Dependent Variable：M2 Work Engagement

* p<0.05 ** p<0.01

Table 42: Regression Relationship between X Cross-cultural Adaptation and M2 Work Engagement

169

The table above shows that, by taking X cross-cultural adaptation as the independent variable

and controlling variables C1 family companionship, C2 employee tenure, C3 company tenure,

C4 overseas tenure, and C5 job rank, the linear regression analysis is conducted with

M2 Work engagement as the dependent variable. The model equation is: M2 work engagement =

4.960 + 0.444 * X cross-cultural adaptation - 0.116 * C1 family companionship - 0.233 * C2

employee tenure + 0.211 * C3 company tenure - 0.047 * C4 overseas tenure + 0.494 * C5 job

rank. The model's R-squared value is 0.248, indicating that X cross-cultural adaptation, C1

family companionship, C2 employee tenure, C3 company tenure, C4 overseas tenure, and C5

job rank can explain 24.8% of the variance in M2 work engagement. The model passes the Ftest

(F = 11.032, p = 0.000 < 0.05), signifying that at least one of the variables has an impact on M2

work engagement. Additionally, an inspection for multicollinearity reveals that all VIF values in

the model are below 5, indicating the absence of collinearity issues. Moreover, the D-

W value is close to 2, denoting the absence of autocorrelation and suggesting a good model fit.

Upon specific analysis, it can be concluded that the regression coefficient value of the

independent variable X cross-cultural adaptation is 0.444 (t = 5.552, p = 0.000 < 0.01), showing

a significant positive relationship between X cross-cultural adaptation and M2 work

engagement. The regression coefficient value of the control variable C1 family companionship

is -0.116 (t = -1.147, p = 0.253 > 0.05), indicating that it does not have a significant impact on

M2 work engagement. The regression coefficient value of the control variable C2 employee

tenure is -0.233 (t = -1.703, p = 0.090 > 0.05), denoting that it does not have a significant impact

on M2 work engagement. The regression coefficient value of the control variable C3 company

tenure is 0.211 (t = 1.862, p = 0.064 > 0.05), indicating that it does not have a significant impact

on M2 work engagement. The regression coefficient value of the control variable C4 overseas

tenure is -0.047 (t = -0.334, p = 0.738 > 0.05), showing that it does not have a significant impact

170

on M2 work engagement. The regression coefficient value of the control variable C5 job rank is

0.494 (t = 3.473, p = 0.001 < 0.01), displaying a significant positive relationship between C5 job

rank and M2 work engagement.

In summary, the analysis reveals that the independent variable X cross-cultural

adaptation and the control variable C5 job rank have a significant positive impact on M2 work

engagement. However, the control variables C1 family companionship, C2 employee tenure, C3

company tenure, and C4 overseas tenure do not have a significant impact on M2 work

engagement.

Linear Regression Analysis Results (n=208)

Nonstandard Coefficient Standard Coefficient Collinearity Diagnosis t

B standard error Beta VIF Tolerance

Constant

2.051 0.358 - 5.727 0.000** - -

M2 Work Engagement

0.449 0.030 0.692 14.836 0.000** 1.153 0.868

C1 Family Companionship

-0.174 0.047 -0.165 -3.721 0.000** 1.039 0.962

C2 Employee tenure 0.002 0.063 0.001 0.024 0.981 1.488 0.672

Linear Regression Analysis Results (n=208)

Nonstandard Coefficient Standard Coefficient Collinearity Diagnosis

t p

B standard error Beta VIF Tolerance

C3 Company tenure

0.062 0.053 0.061 1.171 0.243 1.434 0.697

C4 Overseas tenure

0.163 0.062 0.127 2.616 0.010** 1.251 0.799

C5 Job Rank

0.098 0.068 0.071 1.454 0.148 1.279 0.782

R 2

0.621

Adjust R 2

0.610

F (6,201) =54.895,p=0.000

D-W Value 2.142

Dependent Variable: Y Expatriate Performance

* p<0.05 ** p<0.01

171

Table 43：Regression Relationship between M2 Work Engagement and Y Expatriate Performance

The above table displays a linear regression analysis using M2 work engagement as the

independent variable, C1 family companionship, C2 employee tenure, C3 company tenure, C4

overseas tenure, and C5 job rank as control variables, and Y expatriate performance as the

dependent variable. The model formula is as follows: Y expatriate performance = 2.051 + 0.449

* M2 work engagement - 0.174 * C1 family companionship + 0.002 * C2 employee tenure +

0.062 * C3 company tenure + 0.163 * C4 overseas tenure + 0.098 * C5 job rank. The model's

R-squared value is 0.621, indicating that these variables collectively explain 62.1% of the

variance in Y expatriate performance.

The model passes the F-test (F=54.895, p=0.000<0.05), suggesting that at least one of the

variables among M2 work engagement, C1 family companionship, C2 employee tenure, C3

company tenure, C4 overseas tenure, and C5 job rank has a significant impact on Y expatriate

performance. Furthermore, testing for multicollinearity within the model reveals that all

Variance Inflation Factor (VIF) values are below 5, implying the absence of collinearity issues.

Additionally, the Durbin-Watson (D-W) statistic is around 2, indicating the absence of

autocorrelation and implying a lack of correlation between sample data points. Overall, this

suggests that the model is in good shape.

Upon detailed analysis, the following conclusions can be drawn from the regression

coefficients:

•The regression coefficient for the independent variable M2 work engagement is 0.449

(t=14.836, p=0.000<0.01), denoting a significant positive impact on Y expatriate

performance.

•The regression coefficient for the control variable C1 family companionship is 0.174

(t=-3.721, p=0.000<0.01), indicating a significant negative impact on Y expatriate

performance.

172

•The regression coefficient for the control variable C2 employee tenure is 0.002

(t=0.024, p=0.981>0.05), suggesting that it does not have a significant impact on Y

expatriate performance.

•The regression coefficient for the control variable C3 company tenure is 0.062

(t=1.171, p=0.243>0.05), inferring that it does not have a significant impact on Y

expatriate performance.

•The regression coefficient for the control variable C4 overseas tenure is 0.163 (t=2.616,

p=0.010<0.01), indicating its significant positive impact on Y expatriate performance.

•The regression coefficient for the control variable C5 job rank is 0.098 (t=1.454,

p=0.148>0.05), suggesting it does not have a significant impact on Y expatriate

performance.

In summary, it can be concluded that M2 work engagement and C4 overseas tenure have a

significant positive impact on Y expatriate performance. On the other hand, C1 family

companionship has a noteworthy negative impact, while C2 employee tenure, C3 company tenure,

and C5 job rank do not have a significant impact on Y expatriate performance.

2) Mediating Effect Analysis of M2 Work Engagement

In order to assess the mediating effect of M2 Work Engagement, a model is constructed

with M2 as the mediating variable. The model includes the independent variable X, control

variables C1 through C5, the mediating variable M2, and the dependent variable Y. The results of

the model testing are presented below:

Mediating Effect Analysis Results (n=208)

Y expatriate performance M2 work engagement Y expatriate performance

Standard error

t P

Standard Standard β B error

t p β B error

t p β

Constant

3.301** 0.516 6.392 0.000 - 4.960** 0.852 5.821 0.000 - 1.274** 0.413 3.082 0.002 -

M2 Work

Engagement 0.316** 0.048 6.530 0.000 0.418 0.444** 0.080 5.552 0.000 0.381 0.135** 0.039 3.505 0.001 0.179

0.409** 0.032 12.919 0.000 0.629

173

C1 Family

Companionship

C2 Employee

Tenure

-0.216** 0.061 -3.520 0.001 -0.204 -0.116 0.101 -1.147 0.253 -0.071 -0.168** 0.046 -3.698

0.000

0.159

C3 Company

Tenure

-0.127 0.083 -1.536 0.126 -0.108 -0.233 0.137 -1.703 0.090 -0.128 -0.032 0.062 -0.520

0.604

0.027

C4 Overseas

Tenure

0.148* 0.069 2.147 0.033 0.146 0.211 0.113 1.862 0.064 0.135 0.061 0.051 1.194 0.234 0.060

C5 Job Rank

0.075 0.086 0.877 0.381 0.059 -0.047 0.142 -0.334 0.738 -0.024 0.095 0.064 1.489 0.138 0.074

R 2

0.303** 0.086 3.516 0.001 0.221 0.494** 0.142 3.473 0.001 0.233 0.101 0.066 1.541 0.125 0.074

Adjust R 2

0.345 0.248 0.643

0.325 0.225 0.630

D-W Value F (6,201) =17.643,p=0.000 F (6,201) =11.032,p=0.000 F (7,200) =51.449,p=0.000

* p<0.05 ** p<0.01

Mediating Effect Test - Horizontal Format

Effect z value

Item Symbol Lower Upper p value Conclusion

Significance Value /t value

Limit Limit

X Cross-cultural

Adaptation=>M2 Work

Engagement=>Y

Expatriate performance

a*b Indirect

effect

0.181 0.141 0.352 3.356 0.001

X Cross-cultural

Adaptation=>M2 Work

Engagement

M2 Work

a X=>M 0.444 0.287 0.600 5.552 0.000

Partial

mediating

Engagement=>Y

Expatriate performance

X Cross-cultural

b M=>Y 0.409 0.347 0.471 12.919 0.000

Adaptation =>Y

Direct

0.135 0.060 0.210 3.505 0.001

Expatriate performance effect

Mediating Effect Analysis Results (n=208)

Y expatriate performance M2 work engagement Y expatriate performance

Standard β B Standard

error t p

174

95% CI

B Standard error t P β B error t p

X Cross-cultural Adaptation =>Y c total effect 0.316 0.221 0.411 6.530 0.000

Expatriate performance

Table 44: Analysis Results of Mediating Effects of M2 Work Engagement

The table above displays that the mediating effect analysis involves three models as

follows:

Yexpatriate performance = 3.301 + 0.316 * X cross-cultural adaptation - 0.216 *

C1 family companionship - 0.127 * C2 employee tenure + 0.148 * C3 company tenure +

0.075 *

C4 overseas tenure + 0.303 * C5 job rank

M2 work engagement= 4.960 + 0.444 * X cross-cultural adaptation - 0.116 * C1 family

companionship - 0.233 * C2 employee tenure + 0.211 * C3 company tenure - 0.047 * C4 overseas

tenure + 0.494 * C5 job rank

Y expatriate performance = 1.274 + 0.135 * X cross-cultural adaptation + 0.409 * M2

work engagement - 0.168 * C1 family companionship - 0.032 * C2 employee tenure + 0.061 *

C3 company tenure + 0.095 * C4 overseas tenure + 0.101 * C5 job rank

The mediating effect analysis involves six relevant indicators. Some explanations

regarding the mediating effect of M1 have already been provided. If both 'a' and 'b' are

significant, and 'c'' is not significant, then the mediating effect is full. Alternatively, if at least one

of 'a' and 'b' is not significant, and the 95% BootCI of a*b does not include 0 (significant), and

'c'' is not significant, then it is full mediating effect. This applies to the effect observed for M1

employee loyalty. If both a and b are significant, c’ is significant, and a*b and c' have opposite

signs, or if at least one of ‘a’ and ‘b’ is not significant, the 95% BootCI of a*b does not include 0

(significant), ‘c’ is significant, and 'ab' and 'c'' have opposite signs, then it is a suppression effect.

If at least one of 'a' and 'b' is not significant, the 95% BootCI of a*b includes 0 (insignificant),

175

then the mediating effect is not significant. If both 'a' and 'b' are significant, 'c'' is significant, and

'ab' and 'c'' have the same sign, then it is a partial mediating effect. Similarly, if at least one of 'a'

and 'b' is not significant, the 95% BootCI of a*b does not include 0 (significant), 'c' is significant,

and a*b and 'c' have the same sign, then it is a partial mediating effect.

From the models and charts displayed above, it is evident that M2 Work Engagement has

a partial mediating effect.

Hypothesis 3: Cross-cultural adaptation X affects Y expatriate performance through the

mediating variable of M2 work engagement, and this hypothesis is supported.

3) Mediating Effect Analysis of M2 Work Engagement Sub-dimensions

To enhance the practical applicability of the research findings, an analysis of whether there

exists a mediating effect in the sub-dimensions of M1 employee loyalty is conducted as follows:

Mediating Effect Analysis Results (n=208)

Y Expatriate Performance M2-1 Vigor Y Expatriate Performance

Standard

error

t p β B

Standard

error t p β

Standard

B t

error p β

Constant

3.301** 0.516 6.392 0.000 - 1.674** 0.318 5.259 0.000 - 1.631** 0.435 3.745 0.000 -

X Cross-cultural

Adaptation

0.316** 0.048 6.530 0.000 0.418 0.157** 0.030 5.252 0.000 0.367 0.160** 0.041 3.916 0.000 0.212

M2-1 Vigor 0.998** 0.090 11.027 0.000 0.564

C Family

Companionship

0.216**

0.061 -3.520 0.001 -0.204 -0.075* 0.038 -1.974 0.050 -0.125 -0.141** 0.049 -2.889 0.004 -0.134

C2 Employee

tenure

-0.127 0.083 -1.536 0.126 -0.108 -0.099 0.051 -1.927 0.055 -0.147 -0.029 0.066 -0.440 0.660 -0.025

C3 Years company

tenure 0.148* 0.069 2.147 0.033 0.146 0.086* 0.042 2.024 0.044 0.150 0.062 0.055 1.130 0.260 0.061

C4 Overseas

tenure

0.075 0.086 0.877 0.381 0.059 -0.053 0.053 -1.000 0.319 -0.073 0.128 0.068 1.883 0.061 0.100

C Job Rank

0.303** 0.086 3.516 0.001 0.221 0.157** 0.053 2.950 0.004 0.202 0.147* 0.070 2.108 0.036 0.107

176

R 2

0.345 0.221 0.593

Adjust R 2

0.325 0.198 0.578

F Value F (6,201) =17.643, p=0.000 F (6,201) =9.531, p=0.000 F (7,200) =41.568, p=0.000

*p<0.05 ** p<0.01

Mediating Effect Analysis -- Horizontal Format

X Cross-cultural

Adaptation=>M2-1

Vigor=>Y Expatriate

Performance

a*b Indirect Effect 0.156 0.120 0.307 3.271 0.001

X Cross-cultural

Adaptation=>M2-1 Vigor

M2-1 Vigor=>Y

Expatriate Performance

X Cross-cultural

X=>M

M=>Y

0.157

0.998

0.098

0.821

0.215

1.175

5.252

11.027

0.000

partial

mediating

Adaptation=> Y

Expatriate Performance

X Cross-cultural

c' Direct Effect 0.160 0.080 0.240 3.916 0.000

Adaptation=> Y

Expatriate Performance

c Total Effect 0.316 0.221 0.411 6.530 0.000

Table 45: Results of Mediating Effect Analysis of M2-1Vigor

177

Item Symbol Significance Effect

Value

% CI95 z value/

t value p value Conclusion

Lower Limit Upper Limit

The table above reveals the mediating effect analysis in three models, as outlined below:

Y Expatriate Performance = 3.301 + 0.316 * X Cross-Cultural Adaptation - 0.216 * C1 Family

companionship - 0.127 * C2 Employee tenure + 0.148 * C3 Company tenure + 0.075 * C4 Overseas

tenure + 0.303 * C5 Job Rank

M2-1 Vigor = 1.674 + 0.157 * X Cross-Cultural Adaptation - 0.075 * C1 Family companionship -

0.099 * C2 Employee tenure + 0.086 * C3 Company tenure - 0.053 * C4 Overseas Tenure + 0.157 * C5

Job Rank

Y Expatriate Performance = 1.631 + 0.160 * X Cross-Cultural Adaptation + 0.998 * M2-1 Vigor -

0.141 * C1 Family companionship - 0.029 * C2 Employee tenure + 0.062 * C3 Company tenure + 0.128

*C4 Overseas Tenure + 0.147 * C5 Job Rank

As shown in the table above, M2-1 Vigor plays a partial mediating role.

Mediating Effect Analysis Results (n=208)

Y Expatriate Performance M2-2 Dedication Y Expatriate Performance

Standard Standard

B t p β B t p β Error Error B

Standard

Error t p β

Constant

3.301**

0.516 6.392 0.000 - 1.951** 0.312 6.260 0.000 - 1.326** 0.448 2.959 0.003 -

X Cross-cultural

Adaptation 0.316** 0.048 6.530 0.000 0.418 0.144** 0.029 4.942 0.000 0.350 0.170** 0.041 4.177 0.000 0.225

M2-2

Dedication

1.013** 0.093 10.914 0.000 0.553

C Family

-0.216**

Companionship

0.061 -3.520 0.001 -0.204 -0.051 0.037 -1.382 0.168 -0.089 -0.164** 0.049 -3.355 0.001 -0.155

C2 Employee

tenure

-0.127 0.083 -1.536 0.126 -0.108 -0.098 0.050 -1.963 0.051 -0.152 -0.028 0.066 -0.421 0.674 -0.024

C3 Company

tenure 0.148* 0.069 2.147 0.033 0.146 0.056 0.041 1.342 0.181 0.100 0.091 0.055 1.665 0.098 0.090

C4 Overseas

tenure

0.075 0.086 0.877 0.381 0.059 -0.001 0.052 -0.024 0.981 -0.002 0.077 0.068 1.124 0.262 0.060

C Job Rank

0.303** 0.086 3.516 0.001 0.221 0.158** 0.052 3.030 0.003 0.210 0.144* 0.070 2.052 0.041 0.104

R 2

0.345 0.200 0.589

Adjust R 2

0.325 0.176 0.575

F Value F (6,201) =17.643, p=0.000 F (6,201) =8.391, p=0.000 F (7,200) =41.025, p=0.000

178

* p<0.05 ** p<0.01

Mediating Effect Analysis -- Horizontal Format

95% CI

Effect z value/

Item Symbol Significance Lower Upper p value

Value t value Conclusion

Limit Limit

X Cross-cultural

Adaptation=>M2-2

Indirect Partial

Dedication=>Expatriate a*b 0.146 0.093 0.313 2.585 0.010

Effect Mediating

Performance

X Cross-cultural

Adaptation=>M2-2

Dedication

M2-2

a X=>M 0.144 0.087 0.202 4.942 0.000

Dedication=>Expatriate

Performance

X Cross-cultural

b M=>Y 1.013 0.831 1.194 10.914 0.000

Adaptation=>Expatriate

Performance

c' Direct

Effect

0.170 0.090 0.250 4.177 0.000

X Cross-cultural

Adaptation=>Expatriate

Performance

c Total

Effect 0.316 0.221 0.411 6.530 0.000

Table 46: Results of Mediation Analysis of M2-2 Dedication

From the table above, it can be observed that the mediating effect analysis involves three models,

outlined as follows:

YExpatriate Performance = 3.301 + 0.316 * X Cross-Cultural Adaptation - 0.216 * C1 Family

companionship- 0.127 * C2 Employee tenure + 0.148 * C3 Company tenure + 0.075 * C4 Years

Overseas Experience+ 0.303 * C5 Job Rank

179

M2-2 Dedication = 1.951 + 0.144 * X Cross-Cultural Adaptation - 0.051 * C1 Family

companionship - 0.098 * C2 Employee tenure + 0.056 * C3 Company tenure - 0.001 * C4 Years of

Overseas Experience+ 0.158 * C5 Job Ran

Y Expatriate Performance = 1.326 + 0.170 * X Cross-Cultural Adaptation + 1.013 * M2-2

Dedication - 0.164 * C1 Family companionship - 0.028 * C2 Employee tenure + 0.091 * C3 Company

tenure + 0.077 * C4 Years of Overseas Experience + 0.144 * C5 Job Rank

As shown in the table above, M2-2 Dedication plays a partial mediating role.

Mediating Effect Analysis Results ( n =208)

Standard Standard Standard

B t p β B t p β B t p β error error error

Constant 3.301** 0.516 6.392 0.000 - 1.335** 0.324 4.116 0.000 - 2.065** 0.439 4.708 0.000 -

X Crosscultural

0.316** 0.048 6.530 0.000 0.418 0.143** 0.030 4.683 0.000 0.327 0.184** 0.042 4.433

0.000 0.244 adaptation

M2-3 Focus

0.926** 0.092 10.108 0.000 0.534

C1 Family

Companionship -0.216** 0.061 -3.520 0.001 -0.204 0.010 0.039 0.252 0.801 0.016 -0.225** 0.050 -4.495 0.000 -0.213

C2 Employee

tenure

C3 Company

-0.127 0.083 -1.536 0.126 -0.108 -0.036 0.052 -0.697 0.487 -0.053 -0.094 0.068 -1.385 0.168 -0.079

tenure

C4 Overseas

0.148* 0.069 2.147 0.033 0.146 0.070 0.043 1.615 0.108 0.119 0.083 0.056 1.471 0.143 0.082

tenure

0.075 0.086 0.877 0.381 0.059 0.007 0.054 0.126 0.900 0.009 0.069 0.070 0.986 0.325 0.054

C5 Job Rank

X Cross-

0.303** 0.086 3.516 0.001 0.221 0.180** 0.054 3.318 0.001 0.227 0.137 0.072 1.895 0.060 0.100

cultural

Adaptation

0.316** 0.048 6.530 0.000 0.418 0.143** 0.030 4.683 0.000 0.327 0.184** 0.042 4.433 0.000 0.244

M2-3 Focus 0.926** 0.092 10.108 0.000 0.534

R 2

0.345 0.222 0.566

Adjust R 2

0.325 0.199 0.551

180

Y Expatriate Performance M2- Focus3 Y Expatriate Performance

F Value F (6,201) =17.643, p=0.000 F (6,201) =9.580, p=0.000 F (7,200) =37.331,p=0.000

* p<0.05 ** p<0.01

Mediating Effect Analysis -- Horizontal Format

95% CI

Effect z value/

Item Symbol Significance Lower Upper p value

Value t value Conclusion

Limit Limit

X Cross-cultural

Adaptation=>M2-3

Focus=>Y Expatriate

Performance

a*b Indirect

Effect

0.132 0.091 0.263 3.019 0.003

X Cross-cultural

Adaptation=>M2-3

Focus

M2-3 Focus=>Y

Expatriate

Performance

X Cross-cultural

X=>M

M=>Y

0.143

0.926

0.083

0.746

0.202

1.105

4.683

10.108

0.000

Partial

Mediating

Adaptation => Y

Expatriate

Performance

X Cross-cultural

c' Direct

Effect

0.184 0.103 0.266 4.433 0.000

Adaptation => Y

Expatriate

Performance

c Total

Effect

0.316 0.221 0.411 6.530 0.000

Table 47: Results of Mediation Analysis of M2-3 Focus

From the table above, it can be observed that the mediating effect analysis involves three models,

outlined as follows:

Y Expatriate Performance = 3.301 + 0.316 * X Cross-Cultural Adaptation - 0.216 * C1 Family

companionship - 0.127 * C2 Employee tenure + 0.148 * C3 Company tenure + 0.075 * C4 Overseas

tenure + 0.303 * C5 Job Rank

M2-3 Focus = 1.335 + 0.143 * X Cross-Cultural Adaptation + 0.010 * C1 Family companionship -

181

0.036 * C2 Employee tenure + 0.070 * C3 Company tenure + 0.007 * C4 Overseas tenure + 0.180 * C5

Job Rank

Y Expatriate Performance = 2.065 + 0.184 * X Cross-Cultural Adaptation + 0.926 * M2-3 Focus -

0.225 * C1 Family companionship - 0.094 * C2 Employee tenure + 0.083 * C3 Company tenure + 0.069

* C4 Overseas tenure + 0.137 * C5 Job Rank

As shown in the table above, M2-3 Focus plays a partial mediating role. In conclusion, within the

M2 Work Engagement sub-dimension, all three sub-dimensions, M2-1 Vigor, M2-2 Dedication, and M2-3

Focus, serve as partial mediators.

4.2.6.3 Parallel Mediating Effects of M1 Employee Loyalty and M2 Work Engagement

In the above sections, this study respectively analyzes the mediating effects of M1 and M2, as well as

the potential mediating effects of the sub-dimensions of M1 and M2. Previous research has primarily

focused on a single mediating variable, referred to as a "simple mediating effect." Additionally, there

exists a phenomenon where multiple mediating variables play a role between the independent variable and

the dependent variable. This type of mediating model is known as "multiple mediation models,” the

analysis of which has not yet garnered widespread attention. When multiple variables mediate between

the independent and dependent variables, their effects can either occur simultaneously, known as a

"parallel multiple mediation model," or sequentially, referred to as a "chain multiple mediation model"

(Preacher & Hayes, 2008, pp. 879-891). The model in this study reflects the parallel mediating effects of

two variables, employee loyalty (M1) and work engagement (M2), between the independent and

dependent variables.

This study assumes the use of employee loyalty (M1) and work engagement (M2) as mediating

variables in a dual triangular model. The subsequent analysis tests the effects that arise when both

mediating variables, M1 and M2, along with control variables C1-C5, simultaneously influence the

relationship between the independent variable X and the dependent variable Y. The results of the data

processing are as follows:

182

Mediating Effects Analysis Results (n=208)

Y Expatriate Performance M1Employee Loyalty M2Work Engagement Y Expatriate Performance

Standard Standard Standard Standard

B t p β B t p β B t p β B t p β Error Error Error Error

Constant

3.301** 0.516 6.392 0.000 - 6.925** 0.745 9.300 0.000 - 4.960** 0.852 5.821 0.000 - 0.508 0.442 1.150 0.252 -

X Cross-cultural

Adaptation 0.316** 0.048 6.530 0.000 0.418 0.622** 0.070 8.907 0.000 0.554 0.444** 0.080 5.552 0.000 0.381 0.066 0.041 1.615 0.108 0.087

M1Employee

Loyalty

0.166** 0.041 4.020 0.000 0.246

M2Work

Engagement

0.332** 0.036 9.217 0.000 0.511

C1Family

Companionship

-0.216** 0.061 -3.520 0.001 -0.204 -0.103 0.088 -1.168 0.244 -0.066 -0.116 0.101 -1.147 0.253 -0.071 -0.160** 0.044

-3.645 0.000 -

0.152

C2 Employee

Tenure -0.127 0.083 -1.536 0.126 -0.108 -0.243* 0.120 -2.029 0.044 -0.138 -0.233 0.137 -1.703 0.090 -0.128 -0.010 0.060

-0.165 0.869 -

0.008

C3Company

Tenure 0.148* 0.069 2.147 0.033 0.146 0.219* 0.099 2.211 0.028 0.145 0.211 0.113 1.862 0.064 0.135 0.041 0.050 0.829 0.408 0.041

C4 Overseas tenure

0.075 0.086 0.877 0.381 0.059 -0.163 0.124 -1.311 0.191 -0.085 -0.047 0.142 -0.334 0.738 -0.024 0.118 0.062 1.915 0.057 0.092

C5 Job Rank

0.303** 0.086 3.516 0.001 0.221 0.431** 0.124 3.466 0.001 0.211 0.494** 0.142 3.473 0.001 0.233 0.068 0.064 1.062 0.290 0.049

R 2

0.345 0.383 0.248 0.670

Adjust R 2

0.325 0.365 0.225 0.656

F Value F (6,201)=17.643,p=0.000 F (6,201)=20.789,p=0.000 F (6,201)=11.032,p=0.000 F (8,199)=50.450,p=0.000

* p<0.05 ** p<0.01

Table 48: Parallel Mediating Effect Analysis Results of M1 Employee Loyalty and M2 Work Engagemen 1

Mediation Effects Model can be categorized into three types of regression models: the first constructs

a regression between the independent variable X and the dependent variable Y; the second constructs a

regression between the independent variable X and the mediating variable M (if there are multiple

mediating variables, then multiple models are constructed); the third constructs a regression between the

independent variable X and the mediating variable M together with the dependent variable Y. From the

table above, it can be observed that the mediating effect analysis in this study involves a total of four

models, as follows:

Expatriate Performance (Y) = 3.301 + 0.316X Cross-Cultural Adaptation - 0.216C1 Family

183

Companionship - 0.127C2 Employee tenure + 0.148C3 Company tenure + 0.075C4 Overseas tenure +

0.303C5 Job Rank

Employee Loyalty (M1) = 6.925 + 0.622X Cross-Cultural Adaptation - 0.103C1 Family

Companionship - 0.243C2 Employee tenure + 0.219C3 Company tenure - 0.163C4 Overseas tenure +

0.431C5 Job Rank

Work engagement (M2) = 4.960 + 0.444X Cross-Cultural Adaptation - 0.116C1 Family

Companionship - 0.233C2 Employee tenure + 0.211C3 Company tenure - 0.047C4 Overseas tenure +

0.494C5 Job Rank

Expatriate Performance (Y) = 0.508 + 0.066X Cross-Cultural Adaptation + 0.166 Employee Loyalty

(M1) + 0.332Work engagement (M2) - 0.160C1 Family Companionship - 0.010C2 Employee tenure +

0.041C3 Company tenure + 0.118C4 Overseas tenure + 0.068C5 Job Rank

Summary of Mediating Effect Test Results

c a*b a*b c’

a*b a*b a*b Test

Item Total a b Mediating (Boot Direct

(z value) (p value) (95% BootCI) Conclusion

Effect Effect SE) Effect

X Cross-Cultural

Adaptation =>

M1 Employee

Loyalty => 0.316**0.622** 0.166** 0.103

Y Expatriate

Performance

0.044 2.323 0.020 0.052 ~ 0.227 0.066

Full

Mediating

X Cross-Cultural

Adaptation =>

M2 Work

0.316**0.444** 0.332** 0.147

Engagement =>

Expatriate

Performance 0.049 3.013 0.003 0.107 ~ 0.300 0.066

Full

Mediating

* p<0.05 ** p<0.01

Bootstrap Type: Percentile Bootstrap Method

Summary of Mediating Effect Results

c a*b c’

Test Effect Size Proportion

Item Total Mediating Direct

184

Conclusion Calculation Formula

Effect Effect Effect

Effect Size

Proportion

X Cross-Cultural Adaptation

M1 Employee Loyalty => Y

Expatriate Performance

Full Mediating 0.316 0.103 0.066 - 100%

X Cross-Cultural Adaptation

M2 Work Engagement =>

Expatriate Performance Full Mediating 0.316 0.147 0.066 - 100%

Mediating Effect Test - Horizontal Format

X Cross-Cultural

Adaptation =>

M1 Employee Loyalty

=>Y Expatriate

Performance

a*b Indirect

Effect

0.103 0.052 0.227 2.323

0.020

X Cross-Cultural

Adaptation =>

M1 Employee Loyalty

=>Y Expatriate

Performance

X Cross-Cultural

X=>M

M=>Y

0.622

0.166

0.485

0.085

0.759

0.246

8.907

4.020

0.000

Adaptation =>

=> Y Expatriate

Performance

X Cross-Cultural

c' Direct

Effect

0.066 -0.014 0.146 1.615 0.108

Adaptation =>

=> Y Expatriate

Performance

X Cross-Cultural

Adaptation=>M2

c Total

Effect

0.316 0.221 0.411 6.530 0.000

Work Engagement

=>Expatriate

Performance

a*b Indirect

Effect

0.147 0.107 0.300 3.013 0.003

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Item Symbol Significance Effect % CI95 z value/t value p value Conclusion

Lower Limit Upper Limit

X Cross-Cultural

Adaptation=>M2

Work Engagement

M2 Work Engagement

a X=>M 0.444 0.287 0.600 5.552 0.000

Full

Mediating

=>Expatriate

Performance

b M=>Y 0.332 0.261 0.402 9.217 0.000

X Cross-Cultural

Adaptation => c' Direct

Effect 0.066 -0.014 0.146 1.615 0.108

=> Y Expatriate

Performance

X Cross-Cultural Adaptation

=> Y Expatriate c Total Effect 0.316 0.221 0.411 6.530 0.000

Performance

Table 49: Parallel Mediating Effect Analysis Results of M1 Employee Loyalty and M2 Work Engagement 2.

After conducting the mediating effect analysis, further tests can be performed to examine the effect

size (proportion of effect). If it is fully mediating, the effect size is 100%; if it is partially mediating, then

the effect size is calculated using the formula: a * b / c; in the case of a suppression effect, the effect size

is the ratio of the mediated effect to the direct effect, calculated using the formula: | a * b / c |.

If the mediating effect is not statistically significant, the effect size is 0%. As shown in the table above,

the effect size for both M1 Employee Loyalty and M2 Work Engagement is 100%, indicating that they act

as full mediators when they both simultaneously influence the relationship.

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Figure 29: Model of Parallel Mediating Effect

After two rounds of testing, it was revealed that the two variables -- employee loyalty and

work engagement -- played a full mediating role in both cross-cultural adaptation and expatriate

performance.

4.3 Research Results

4.3.1 Research Results of Reliability and Validity Analysis

This study investigates the relationship between cross-cultural adaptation and expatriate

performance which is determined by their behaviors that are in turn influenced by employee

loyalty and work engagement. The research design is based on a comprehensive theoretical

framework concerning international adaptation of expatriates. The fundamental framework for

the study is as follows: examining the relationship between cross-cultural adaptation and

expatriate performance among Chinese expatriates in Japan and investigating whether employee

loyalty and work engagement have a mediating effect on this relationship.

Considering the ethnic and cultural characteristics of Chinese expatriates, the five-factor model

proposed by Ling Wenquan, which has been validated with data collected from a sample of

over ten thousand Chinese employees, is used as the research method for measuring employee

loyalty. The study of work engagement is based on a model that considers the relationship

between context, cognitive-emotional systems, and behavior. The Individual Work Performance

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Questionnaire (IWPQ) is utilized as the preferred measure for individual expatriate

performance.

In quantitative research, the commonly used (Cronbach's Alpha) coefficient is used for

measurement. A value exceeding 0.8 is considered good, sometimes 0.7, or even as low as 0.6, is

acceptable. The results indicate that in the Cronbach reliability analysis, the reliability

coefficient for cross-cultural adaptation is 0.873, and the CITC value is greater than 0.4. After

excluding M1-5 Opportunity Commitment, the reliability coefficient for employee loyalty is

0.802, and the reliability coefficient for work engagement is 0.870. The reliability coefficient for

research data is higher than 0.7, indicating high data reliability. This suggests good correlation

between the analyzed items and indicates a high level of reliability. When Y3

Counterproductivity Behavior is removed, the reliability coefficient undergoes significant

changes. The reliability coefficient for expatriate performance is 0.826, indicating that the

reliability of the research data is within an acceptable range. This implies that the three

dimensions of work adaptation, interpersonal adaptation, and general adaptation from Black's

classic model are equally applicable in specialized studies of Chinese expatriates in Japan.

Similarly, the structural model of organizational commitment developed by Ling Wenquan and

others, Schaufeli et al.'s work engagement model, and Hjalmarsson et al.'s Individual Work

Performance Questionnaire (IWPQ) also demonstrate good reliability and possess certain

uniqueness in specialized studies of expatriates.

The measurement results show that in the Exploratory Factor Analysis (EFA), the

communality values are all greater than 0.4, indicating the absence of unfit items. The KMO

value is 0.759, falling within the excellent validity range of 0.7 to 0.8 (Category A). The

variances explained by the 4 factors are 26.224%, 25.730%, 24.646%, and 23.399%,

respectively. The cumulative variance explained after rotation is 100.000%, which is greater than

50%. These different measurement directions and values show a comprehensive and thorough

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examination of the data, demonstrating that information and data related to various dimensions

in this study can be effectively extracted.

After removing Y3 Counterproductivity Behavior and M1-5 Opportunity Commitment,

Confirmatory Factor Analysis (CFA) is conducted for the remaining 4 factors and 12 items. In

each validation, the AVE values corresponding to the 4 factors are all greater than 0.5, and all

CR values are higher than 0.7, showing the analyzed data to possess good convergent validity. In

summary, both Exploratory Factor Analysis (EFA) and Confirmatory Factor Analysis (CFA) in

this study demonstrate very good discriminant validity.

4.3.2. Results of Control Variable Analysis

Taking into account the previous sections, the relationship between control variables and

the dependent variable is summarized in the following table:

Control Variables

Dependent Variable Effect Classification

Significance

Gender Expatriate

Performance Y Irrelevant Insignificant

Education Level Expatriate

Performance Y Irrelevant Insignificant

Japanese Language

Proficiency

Expatriate

Performance Y Irrelevant Insignificant

English Language

Proficiency

Expatriate

Performance Y Irrelevant Insignificant

Family

Companionship

Expatriate

Performance Y Negative Correlation Significant

Employee tenure Expatriate

Performance Y Positive Correlation Significant

Company tenure Expatriate

Performance Y Positive Correlation Significant

Overseas tenure Expatriate

Performance Y Positive Correlation Significant

Job Rank Expatriate

Performance Y Positive Correlation Significant

Job Change Expatriate

Performance Y Irrelevant Insignificant

Industry of Companies Expatriate

Performance Y Irrelevant Insignificant

Table 50: Table of Control Variable Effects and Correlations

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In 2000, Caligiuri introduced the concept of specific performance in the study of

expatriate performance. In this concept, besides cultural factors, the importance of language

proficiency was emphasized as well (Caligiuri, 2000, pp. 67-88). However, the control variable

analysis in this study has yielded new findings that differ from the previous pilot interviews and

existing literature. The respondents to the questionnaire among the Chinese expatriates in Japan

encompass a more diverse range of age groups, indicating that the significance of language is

gradually changing in the internet era. The proficiency level in either English or Japanese

languages does not significantly impact expatriate performance.

Similarly, what differs from previous studies is the industry dimension. Lewis and

colleagues pointed out in 2019 that industry relevance significantly moderated performance risk

after international mergers (Lewis & Bozos, 2019, p.2). This study finds that among Chinese

expatriates in Japan, the industry they belong to does not show a significant correlation with

their performance.

In contrast to the traditional Chinese value that prioritizes family, the presence of family

members is found to have a negative correlation with expatriate performance in this study.

4.3.3 Results of Main Effect Analysis

Cultural adaptation is the process through which individuals voluntarily or involuntarily

evolve or experience change in two different cultures (Berry, 2020, p. 381). The research on

cultural adaptation primarily investigates the similarities and differences between two cultures.

In the context of Chinese expatriates in Japan, the results of cross-cultural adaptation show a

certain consistency with prior literature. The regression coefficient of X cross-cultural adaptation

is 0.316 (t=6.530, p=0.000<0.01), indicating a significant positive relationship between X cross-

cultural adaptation and Y expatriate performance.

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Additionally, this study has discovered that control variables C3 company tenure and C5

job rank have a significant positive impact on Y expatriate performance. Control variable C1

family companionship has a significant negative impact on Y expatriate performance. However,

C2 employee tenure and C4 overseas tenure do not have any significant impact on Y expatriate

performance. In conclusion,

H1: Cross-cultural adaptation of expatriates (X) influences expatriate performance (Y) is

supported.

4.3.4 Results of Mediating Effect Analysis

1) Full Mediating Effect of Employee Loyalty

Collins discovered that the eleven renowned companies in the United States share a

common trait: their employees are highly loyal to their respective companies (Collins, 2002,

p.165). The principle of propriety economics introduces a third variable as a subject of academic

inquiry in addition to the two variables (Hong, 2021, p.120). Therefore, this study introduces the

mediating variable of employee loyalty aside from studying the relationship between cross-

cultural adaptation and expatriate performance. The mediating effect is rigorously tested

according to testing procedures. The analysis of the mediating effect of employee loyalty overall

involves three models, as shown below:

Y Expatriate Performance = 3.301 + 0.316 * X Cross-Cultural Adaptation - 0.216 * C1 Family

Companionship - 0.127 * C2 Employee tenure + 0.148 * C3 Company tenure +

0.075 * C4 Overseas Experience + 0.303 * C5 Job Rank

M1 Employee Loyalty = 6.925 + 0.622 * X Cross-Cultural Adaptation - 0.103 * C1 Family

Companionship- 0.243 * C2 Employee tenure + 0.219 * C3 Company tenure - 0.163 * C4

Overseas Experience + 0.431 * C5 Job Rank

Y Expatriate Performance = 0.757 + 0.088 * X Cross-Cultural Adaptation + 0.367 * M1

Employee Loyalty - 0.178 * C1 Family Companionship- 0.038 * C2 Employee tenure +

0.067 * C3 Company tenure + 0.135 * C4 Overseas Tenure + 0.145 * C5 Job Rank

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The cross-cultural adaptation (X) exerts its influence on expatriate performance (Y) through

the mediating variable of employee loyalty (M1), demonstrating full mediation. This result

aligns with the research of Black and Gregersen, who extensively studied and interviewed

expatriates. The presence of disloyalty amidst substantial competition, geographic distances, and

the cultural diversity of extensive global operations can lead to various failures during and after

expatriates’ international assignments, triggering a vicious cycle that erodes or even destroys a

company's global competitive position. This study validates further that employee loyalty plays

a full mediating role between cross-cultural adaptation and expatriate performance.

In summary, M1 Employee Loyalty exerts a full mediating effect on the relationship between

Y Expatriate Performance and X Cross-Cultural Adaptation.

Hypothesis 2: Cross-cultural adaptation influences expatriate performance through the

mediating variable of employee loyalty; therefore, the mediating effect of employee loyalty

is established.

This study examines the impact of employee loyalty across four loyalty dimensions:

opportunity, ideal, emotional, and normative, revealing that within the sub-dimensions of the

mediating variable M1 Employee Loyalty, M1-1 Emotional Commitment, M1-2 Normative

Commitment, and M1-3 Ideal Commitment play a partial mediating role, while M1-4

Economic Commitment does not exhibit a significant mediating effect. This finding is a significant

discovery of this study.

In 2011, Lü Zhengbao and Ling Wenquan conducted a survey involving 750 valid

questionnaires from 69 effective teams, where they used the organizational commitment scale

showed organizational citizenship behavior in our country to have a four-dimensional structure.

Organizational commitment, especially emotional commitment, acts as a mediator for both

group/individual organizational citizenship behavior and individual task performance. However,

their investigation was based on Chinese employees within Chinese companies. This study finds

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that when Chinese employees are expatriated to Japan in the context of SinoJapanese

cooperative enterprises, in addition to emotional commitment, ideal commitment and normative

commitment also partially mediate the relationship.

(2) Partial Mediating Effect of Work Engagement

Previous research has suggested a positive correlation between work engagement and job

performance. More engaged employees can better cope with stress, experience more positive

emotions, thus directly affecting both individual work objectives and organizational goals.

Especially in high-stress cross-cultural adaptation scenarios, such as during overseas

assignments, the importance of strong engagement in completing expatriate tasks becomes

essential. In this study, work engagement is denoted as M2 and involves three models as

follows:

Y Expatriate Performance = 3.301 + 0.316 * X Cross-Cultural Adaptation - 0.216 * C1

Family Companionship- 0.127 * C2 Employee tenure + 0.148 * C3 Company tenure +

0.075 * C4 Overseas Tenure + 0.303 * C5 Job Rank

M2 Work Engagement = 4.960 + 0.444 * X Cross-Cultural Adaptation - 0.116 * C1

Family Companionship- 0.233 * C2 Employee tenure + 0.211 * C3 Company tenure -

0.047 * C4 Overseas Tenure + 0.494 * C5 Job Rank

Y Expatriate Performance = 1.274 + 0.135 * X Cross-Cultural Adaptation + 0.409 * M2

Work Engagement - 0.168 * C1 Family Companionship- 0.032 * C2 Employee Tenure

+ 0.061 * C3 Company Tenure + 0.095 * C4 Overseas Tenure + 0.101 * C5 Job Rank

After testing, it is found that work engagement has a partial mediating effect on the

correlation between cross-cultural adaptation and expatriate performance.

Hypothesis 3: Cross-cultural adaptation influences expatriate performance through the

mediating variable of work engagement (M2), and the hypothesis is established.

This study observes the impact of work engagement across three commitment dimensions:

vigor, dedication, and focus. The results indicate that within the sub-dimensions of the mediating

variable M2 Work Engagement, M2-1 Vigor, M2-2 Dedication, and M2-3 Focus all play a partial

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mediating role. The findings suggest that work engagement also partially mediates the

relationship between cross-cultural adaptation and expatriate performance, providing theoretical

insights into the impact of different personality traits and work habits during the process of cross-

cultural adaptation on expatriates.

(3) Parallel Mediating Effect of Employee Loyalty and Work Engagement

In this study, employee loyalty is defined as the willingness and behavior of positive

dedication towards achieving organizational goals and personal values. From a proactive

standpoint, it is similar to work engagement, but employee loyalty involves emotional and

behavioral interactions with the company over the long term, which is not entirely the same

premise as work engagement. By using both employee loyalty and work engagement as parallel

mediating variables, the study aims to test whether the mediating effects are significant. The data

processing results are as follows:

The mediating effect analysis involves four models as described below:

Y Expatriate Performance = 3.301 + 0.316 * X Cross-Cultural Adaptation - 0.216 * C1

Family Companionship- 0.127 * C2 Employee tenure + 0.148 * C3 Company tenure +

0.075 * C4 Overseas Tenure + 0.303 * C5 Job Rank

M1 Employee Loyalty = 6.925 + 0.622 * X Cross-Cultural Adaptation - 0.103 * C1

Family Companionship- 0.243 * C2 Employee tenure + 0.219 * C3 Company tenure -

0.163 * C4 Overseas Tenure + 0.431 * C5 Job Rank

M2 Work Engagement = 4.960 + 0.444 * X Cross-Cultural Adaptation - 0.116 * C1

Family Companionship- 0.233 * C2 Employee tenure + 0.211 * C3 Company tenure -

0.047 * C4 Overseas Tenure + 0.494 * C5 Job Rank

Y Expatriate Performance = 0.508 + 0.066 * X Cross-Cultural Adaptation + 0.166 * M1

Employee Loyalty + 0.332 * M2 Work Engagement - 0.160 * C1 Family

Companionship- 0.010 * C2 Employee tenure + 0.041 * C3 Company tenure + 0.118 * C4

Overseas Tenure + 0.068 * C5 Job Rank

The conclusions from the relevant tests indicate that when both employee loyalty and

work engagement simultaneously influence cross-cultural adaptation and expatriate performance,

both factors act as full mediators.

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In summary:

H2: Cross-cultural adaptation (X) has an impact on Expatriate Performance (Y) through

the mediating variable of Employee Loyalty (M1).

H3: Cross-cultural adaptation (X) has an impact on Expatriate Performance (Y) through

the mediating variable of Work Engagement (M2).

Hypotheses 2 and 3 are both supported. Additionally, M1 Employee Loyalty and M2 Work

Engagement act as parallel mediators.

The relationships between the variables are summarized in the table below:

Item Conclusion

Cross-cultural adaptation X = > employee loyalty M1 = > expatriate performance Y Full mediating

Cross-cultural adaptation X = > M1-1 emotional commitment = > expatriate

performance Y Partial mediating

Cross-cultural adaptation X = >M1- 2 normative commitment = > expatriate

performance Y Partial mediating

Cross-cultural adaptation X = > M1-3 ideal commitment = > expatriate performance Y Partial mediating

Cross-cultural adaptation X = >M1-4 economic commitment = > expatriate

performance Y Insignificant

Cross-cultural Adaptation X = > work Engagement M2 = >expatriate Performance

Y Partial mediating

Cross-cultural Adaptation X = > M2-1 - vigor = >expatriate performance Y Partial mediating

Cross-cultural Adaptation X = > M2-2 - dedication = >expatriate performance Y Partial mediating

Cross-cultural adaptation X = > M2 -3 – focus = >expatriate performance Y Partial mediating

Cross-cultural adaptation X =>employee loyalty M1=>expatriate performance

Y Full mediating

Meanwhile, Cross-cultural Adaptation X=> work engagement M2 =>expatriate

performance Y Full mediating

Table 51: Research Results of Variables’ Mediating Effect

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Chapter V: Conclusions and Prospects

5.1 Research Conclusions

With the gradual easing of the COVID-19 epidemic, countries around the world are actively

taking measures to stimulate economic recovery. As an important part of transnational economic

activities, multinational companies’ expatriate management has become an important topic not

only for organizational development but also for international human resource management as a

whole. Therefore, the topic has drawn increasing attention from academics and practitioners

alike.

The significance of this study lies in the fact that, after exploring the origins and concepts

of culture and cross-culture, it advances the concepts of "employee loyalty" and "work

engagement" and applies them to the study of their impact on the Chinese expatriates’

crosscultural adaptation and performance in Japan. Compared with previous research on the

antecedents and effects of cross-cultural adaptation and expatriate performance, this study

examines their influence in real situations, thus at least partially overcoming the limitations of

the existing research in this area. Its measurement of the multitude of mediating variables and

dissection of the changes in Chinese expatriates’ occupational behavior in the dynamic overseas

environment are innovative and contributory by substantiating the current analyses with

empirical evidence.

This study has specifically extracted data from over 200 Chinese expatriates in Japan, primarily

consisted of management and research and development personnel. The data includes

individual measurement dimensions related to employees from various industries, ages,

educational backgrounds, years of service, job levels, international experience, family

companionship, language proficiency, and other aspects. China is considered the home country,

and Japan is the host country for the expatriates. The study comprehensively analyzes factors

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concerning individual expatriate employees, their host country's environment, as well as their

organizational environment. By comparing with previous relevant research, valuable results

are obtained.

5.1.1 Significantly Positive Impact of Cross-cultural Adaptation on Expatriate Performance

This study is based on a comprehensive theoretical model of expatriates’ cross-cultural

adaptation and examines the relationship between cross-cultural adaptation and expatriate

performance. The results show that all three sub-dimensions of cross-cultural adaptation

significantly impact the expatriate performance of Chinese employees stationed in Japan. First,

among individuals who demonstrate good adaptability in the work, general, and interpersonal

dimensions of cross-cultural adaptation, better task performance is observed, indicating a

significant positive effect. This aligns with common understanding. Second, groups exhibiting

high adaptability in cross-cultural adaptation demonstrate relatively better peripheral performance

in areas beyond job responsibilities, proactivity, and cooperation with others, also showing

significant positive effects.

Meanwhile, this study has yielded some new discoveries. Villagrasa, et al. et al.'s study

(1999) suggests that individual job performance can be divided into three specific dimensions:

task performance, peripheral performance, and counterproductivity behavior, based on

perspectives from work and organizational psychology, management, and economics. This

study, through reliability and validity assessments, reveals that by removing counterproductivity

behavior (Y3), the reliability coefficient of expatriate performance changes significantly with a

value of 0.826. After excluding counterproductivity behavior, for the

shared 4 factors and 12 analysis items, the confirmatory factor analysis (CFA) is performed.

Each time, the Average Variance Extracted (AVE) values for the 4 factors are all above 0.5, and

the Composite Reliability (CR) values are all above 0.7, indicating good convergent validity.

Counterproductivity behavior is defined as voluntary behavior that harms organizational

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interests, including practices that fall outside of the scope of assigned tasks, presenteeism,

complaining, intentionally performing tasks incorrectly, and abusing privileges. These deviant

behaviors are associated with negative consequences at both individual and organizational

levels. Despite the close relationship between counterproductivity work behavior and peripheral

performance, meta-analyses conducted by Drallaire show that each dimension has its own

identity and scope. A two-dimensional structure is identified in the realm of counterproductivity

work behavior, including both interpersonal (e.g., talking negatively about colleagues) and

organizational (e.g., absenteeism) transgressions (Villagrasa, et al., 2019, pp. 195-201).

Stewart Black and Hal Gregersen point out that free agents who excel in both general

adaptation and interpersonal adaptation often focus solely on their job tasks. These "mercenaries"

typically only take responsibility for their own job tasks and may leave the company without any

forewarning, constituting counterproductivity behavior. Finding replacements is often expensive

and difficult, and it may have negative effects on the parent company and local business (Black,

1992, p. 61). The exclusion of this dimension implies that Chinese expatriate employees are not

sensitive to the impact of this behavior on their individual performance during cross-cultural

adaptation. Future research can consider adjusting the corresponding questions of this dimension

for further testing and study.

The Individual Work Performance Questionnaire (IWPQ) demonstrates consistent

factor structure and good internal reliability in different linguistic contexts such as Spanish,

English, and Dutch (Villagrasa, et al., 2019, p. 204). Comparing the questionnaire results of

208 Chinese expatriates in Japan with the classic model, this study finds that in the expatriate

performance model for Chinese employees in Japan, counterproductivity behavior (Y3) should be

excluded from the IWPQ. This indicates that the IWPQ model has certain uniqueness in

expatriate-related research, making it an effective attempt in the Asian language context.

By combining the dimensions of cross-cultural adaptation of Chinese employees sent by

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Chinese companies to Japan with specific research on expatriates’ individual job performance, this

study concludes that cross-cultural adaptation positively influences expatriate performance and

provides valuable reference data for further research on cross-cultural adaptation among Chinese

expatriates.

5.1.2 The Full Mediating Effect of Employee Loyalty on the Relationship between Cross-

Cultural Adaptation and Expatriate Performance

This study introduces two mediating variables that may have an effect on the relationship

between cross-cultural adaptation and expatriate performance. The utilization of employee

loyalty as a mediating variable is an original contribution of this study, as it has rarely been

explored in previous literature. The main objective is to investigate the influence of employee

loyalty on the correlation between cross-cultural adaptation and expatriate performance of

Chinese corporate employees sent to Japan. Based on the results of preliminary exploratory

interviews and literature analysis, emotional, ideal, normative, and opportunity commitments are

extracted as factors to examine employee loyalty, and the mediating role of employees'

perceptions of their expatriate performance under cross-cultural adaptation was verified.

The findings are as follows:

First, employee loyalty serves as a full mediator between the cross-cultural adaptation and

expatriate performance of Chinese employees stationed in Japan.

Japan and China both belong to the East Asian cultural context, shaped by Confucian ethics

and grounded in agrarian societies with a and kinship-based cultural system.

Nevertheless, significant differences between the two countries exist (Miao, 2008, pp. 44-45).

Different national cultures significantly impact the management of multinational corporations.

First of all, the country serves as an external and overarching environment for a company's

growth, and various policies, economic conditions, and socio-cultural circumstances can exert

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immense influence on business operations. Secondly, among the four fundamental elements of

business operations – people, finance, assets, and information – the management of people is the

most complex. Behavioral patterns are shaped over a long period of social adaptation,

influenced by one's home country culture and personal upbringing. These factors impact the

subjective proactivity and enthusiasm of expatriate employees. Therefore, to a certain extent,

the management of multinational corporations, particularly that of human resources, requires a

compatibility of behavioral traits with the prevailing culture in the host country. This alignment

is crucial for effectively utilizing resources, enhancing expatriate employee performance, and

ultimately elevating the competitiveness of the corporation.

Comparison of National Culture, Company Management Characteristics, and

Corporate Culture between China and Japan

Country National Culture

Company Management

Characteristics

Basic Corporate

Culture Features

China

Huge distance between

powers, strong control,

high risk tolerance,

emphasis on

collectivism, long-term

orientation

Bureaucratic system, centralized

management, strict hierarchy,

leader-centered approach over

rule-of-law, weakened formal

systems, tendency towards

personalized leadership and

teamwork, emphasis on

interpersonal relationships,

unclear responsibility and

authority

Emphasis on ethics and

morality with strong ethical

undertones; Non-institutional

corporate culture combining

leadership-driven,

emotiondriven, virtue-driven,

and ruledriven elements;

Indistinct corporate culture

personalities

Japan

High level of

masculinity, emphasis

on competition and

control, strong

preference for

uncertainty avoidance,

high level of long-term

orientation, low

individualism,

moderate power

distance

Lifetime employment,

connecting employees with

fortune of company, long

assessment cycles,

senioritybased promotion,

fostering versatile skills,

emphasis on clear control

mechanisms such as practical

numbers, nurturing human

potential, collective decision-

making (consensus decision-

making system), focus

Emphasis on social

responsibility; Emphasis on

talent cultivation and

utilization; Advocates

familyowned businesses and

family management methods;

Values teamwork; Cares about

customers, emphasizes product

quality and craftsmanship;

Focuses on cultural

indoctrination of employees,

Country National Culture

Company Management

Characteristics

Basic Corporate

Culture Features

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on long-term goals, equal and

independent employees

enhancing their sense of

identification and trust

Table 52: Comparison of National Culture, Company Management Characteristics, and Corporate Culture between

China and Japan

Source: Shen Bingxun, Ling Wenquan. National Culture, Corporate Culture, and Company Management.

Psychological Research, 2009(05):57.

In both Chinese and Japanese corporate cultures, a strong emphasis is placed on

cultivating talents and fostering employee identification. Slight differences exist, with Chinese

corporate culture having a more pronounced ethical dimension. Employee loyalty embodies

both the ethical aspect of "loyalty" and the contemporary management aspect of "employee

identification." The research conducted by Lü Zhengbao and Ling Wenquan on the mediating

role of organizational commitment in the impact of organizational citizenship behavior on

employee attitudes and actions, as well as the moderating effects on organizational promise and

job satisfaction, has validated the relationship between employee loyalty and performance in

Chinese organizations. Similarly, this study verifies the mediating role of employee loyalty in

individual performance in the context of Chinese expatriates’ cross-cultural adaptation in Japan.

This study marks the first validation of the five-factor structure model of organizational

commitment for Chinese employees in a scenario involving Japan.

Second, within the sub-dimensions of the mediating variable M1—employee loyalty, both

emotional commitment (M1-1), normative commitment (M1-2), and ideal commitment (M1-3)

contribute to partial mediating effects, whereas opportunity commitment (M1-5) shows no

significant mediating effect.

Meyer initially described normative commitment as the individual's sense of obligation to

remain within a profession (Meyer & Allen, 1984, p.372). The normative commitment defined in

this study involves: 1) aligning attitudes and behaviors with social norms and professional ethics;

and 2) feeling a sense of responsibility towards the organization and fulfilling one's duties and

obligations towards work and the organization. It reflects employees' loyal behavior in their

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work habits, representing both professional spirit and ethical sentiments. From the early stages of

reform and opening to China's rapid economic development in 2022, business management has

transitioned from that of simple workshops to modern corporate systems. During this

transformation, a significant number of professional managers have emerged. Normative

commitment influences cross-cultural adaptation and expatriate performance, reflecting the

ethical awareness of Chinese expatriates and the development of their professional qualities,

thereby providing valuable standards for expatriate selection.

Emotional commitment is defined as employees' willingness to contribute to the survival

and development of the enterprise due to emotional factors, even in the absence of rewards,

while resisting various temptations. In this study, it is indicated through questionnaire options

such as remaining loyal despite poor benefits and being willing to contribute extra effort. On the

other hand, ideal commitment, first proposed by Chinese scholar Ling Wenquan in 2001, adds

to the Meyer and Allen model, suggesting that it represents employees' contemporary

aspirations for personal growth and self-fulfillment needs (Ling, 2001, pp. 90102).

In traditional Chinese culture, emotional commitment is highly valued and has often

been used in previous studies as the primary measure of employee loyalty. However, the results

of this study show that emotional commitment, normative commitment, and ideal commitment

have partial mediating effects on the impact of cross-cultural adaptation and expatriate

performance among Chinese expatriates in Japan, while economic commitment is not significant

at all. This suggests that the characteristics of Chinese expatriate employees are changing.

Compared to data on Chinese employees working within China, the constraining power of

emotional commitment, with its key emphasis on "emotion" and "contribution," over the job

performance of expatriate employees has relatively decreased. On the other hand, normative

commitment, characterized by loyalty and dedication to the organization and moral obligation to

the organization and unethical to switch jobs, stands out in the mediating effect of employee

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loyalty. This indicates that the professional qualities of Chinese expatriate employees are

improving. Ideal commitment, defined as valuing personal growth and pursuing ideal

realization, and concerns about the prospect of utilizing personal expertise in the organization,

as well as whether the organization provides various working conditions, learning opportunities,

and promotion opportunities to facilitate the fulfillment of ideals, also plays a significant

mediating role. This suggests that Chinese expatriate employees in Japan are paying more

attention to their personal career development during their work process.

Economic commitment is expressed as staying with an organization due to the fear of

incurring economic losses if one leaves. Opportunity commitment, excluded in the model's

reliability and validity assessment, does not show a significant mediating effect. These findings

mark a significant shift in the loyalty patterns of Chinese employees during the years of rapid

economic growth in China. Unlike opportunity commitment, which represents the lowest

denominator of loyalty where employees have no alternative employment options, economic

commitment, also known as continuance commitment, stems from the fear of financial losses if

an employee leaves the organization. This dimension is influenced by family financial income

and expenses, subsequently affecting the psychological state in cross-cultural adaptation and, in

turn, expatriate performance. In previous studies by Black on the loyalty of U.S. expatriate

employees, there was no distinction between opportunity commitment and economic

commitment. According to Black, although the reasons and consequences for employees during

career stagnation not leaving are different, they pose potential significant costs to individuals,

the parent company, and the local business. Underestimating the value of international business

increases the likelihood of managers during their career stagnation accepting overseas work and

reduces the likelihood of high-potential managers voluntarily taking on such assignments. Both

opportunity commitment and economic commitment affect U.S. expatriate employees. The

nonsignificant effect of economic commitment, as revealed in this study, denotes a significant

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decrease in the importance and influence of factors such as income, benefits, and salary increase

after changing jobs. Motivational factors related to personal development, emotional

commitment associated with self-realization and identity, and normative commitment related to

professionalism, are beginning to play a more influential role in employee loyalty and,

consequently, performance. These findings complement and refine the dual-factor loyalty theory

proposed by Li Zhifeng and his colleagues in 2004.

Clearly, the perception of employee loyalty among Chinese expatriates has shifted from

traditional loyalty to a particular leader or company to a growing commitment to their profession

and personal ideals. This transition is similar to the "ritualized ruler-subject relationship" that

Hou Xudong articulates in his work Indulgence (宠). In this context, subordinates uphold their

duties and responsibilities based on institutions and laws to maintain the empire rather than

perform temporary tasks arranged by the leader outside of the formal system by abiding by a

more intimate "trust-based ruler-subject relationship" (Hou, 2016). The research on Chinese

expatriates in Japan suggests that the Japanese corporate culture, with its emphasis on processes,

adherence to norms, and employee growth, contributes to the development of employee loyalty

of the Chinese expatriates from individual or companyspecific loyalty to a commitment towards

their profession.

In corporate HR practices, absent a specific loyalty survey, companies often use the

employee turnover rate as a baseline data to appraise employee loyalty. Because this study is

primarily concerned with individual performance when evaluating expatriate performance and the

questionnaire is anonymous, it is challenging to obtain relevant and publicly available

information about the employees. However, excluding external factors and business strategies,

the improvement of individual performance can also impact that of organization to some extent.

Therefore, after reviewing the companies that are mentioned in the preliminary interviews and

revisiting the operational data of a multinational manufacturing company's joint venture in

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Japan in recent years, the following data are compiled:

Year 2018 2019 2020 2021

Total Sales (in

billions of

Japanese Yen)

227 261 314 348

Increase in

Business

Performance

Percentage

(%)

14.98% 20.31% 10.83%

Total Number

of Employees

(person)

225 221 219 218

Number of

Departing

Employees

(person)

3 2 1 1

Employee

Turnover Rate 1.33% 0.90% 0.46% 0.46%

Table 53: Data for a Fortune Global 500 Company's Japan Joint Venture, 2018-2021

Based on publicly available data from the Japanese Ministry of Health, Labor and Welfare,

one sees that during the years 2018-2021, the turnover rate for employees in Japanese

companies remained around 2.5%. In the aftermath of the post-merger instability, the employee

turnover rate in this China-Japan joint venture company was notably lower than the average for

Japanese companies during the same period. Additionally, the company's performance exhibited

a steady increase, which was inversely related to the employee turnover rate for each respective

year. Further interviews reveal that the company places significant emphasis on cultural

development and has introduced an innovative multinational management approach that

integrates culture and system through a three-step process of "break, establish, and integrate." It

also finds that the departing employees were those who joined the company midway after a

merger in 2012. This discovery indirectly supports the conclusions of this study, which

identifies a positive correlation between the employee tenure in a company and expatriate

performance and employee loyalty.

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5.1.3 Parallel Mediating Effect of Employee Loyalty and Work Engagement on the

Relationship between Cross-Cultural Adaptation and Expatriate Performance

In the realm of human resource management, work engagement is a common variable

believed to enhance labor productivity and improve organizational competitiveness. Some

researchers see a significant positive correlation between work engagement and employee

loyalty (organizational commitment) (Li & Ling, 2007). Through interviews and questionnaire

analysis, it is found that work engagement and its sub-dimensions -- vigor, dedication, and

focus – all display partial mediating effects on the relationship between cross-cultural

adaptation and expatriate performance. When both employee loyalty and work engagement are

simultaneously considered, they jointly exhibit a parallel complete mediating effect on the said

relationship. This study corroborates previous findings regarding the positive impact of work

engagement and employee loyalty. Schuster (1998) proposes that in an era where organizations

frequently face sweeping changes, loyal employees can become extremely valuable

organizational resources that facilitate rapid adaptation to continuous change. Mischel et al.

(1995) suggests that individual differences manifest in varying cognitive-emotional mediational

units activated by different contexts, leading to distinct behaviors. Hence, work engagement

may be influenced to some extent by employees' individual personality factors (Mischel &

Shoda, 1995, pp.246-268). From another perspective, employee loyalty signifies a commitment

to an organization as well as the willingness and intension to work hard whereas work

engagement is the behavioral manifestation of one’s effort. Employee loyalty connotes the

acknowledgment and willingness to invest in organizational work, while work engagement

convey the ability to repay the organization.

The results of this study indicate that in the unique context of high-pressure cross-cultural

adaptation, when expatriates possess both the willingness and capability as mediating factors --

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employee loyalty and work engagement, as opposed to employees who only display work

engagement, their high level of commitment significantly influences the effective completion of

expatriate assignments and enhances expatriate performance. In other words, faced with the

need for cross-cultural adaptation, expatriates with high loyalty and work engagement exhibit

better expatriate performance. Crafting meaningful engagement and fostering more loyal

employees have become essential for enhancing the overall organizational value in the context

of improving expatriate performance during cross-cultural adaptation.

5.1.4 Impact of Employees Tenure, Company Tenure, Overseas Tenure, Job Rank, and

Family Companionship on Expatriate Performance

In this study, employee tenure (total years of work experience), company tenure (years of

work experience within the same company in China), overseas tenure (duration of overseas

assignments), job rank, and family companionship are considered as important control variables

for individual employees.

The results indicate that the regression coefficients for the aforementioned variables are as

follows: employee tenure 0.170 (t=2.077, p=0.039<0.05), company tenure 0.280 (t=4.122,

p=0.000<0.01), overseas tenure 0.303 (t=3.487, p=0.001<0.01), job rank 0.427 (t=4.688,

p=0.000<0.01). This implies a significant positive correlation between employee tenure,

company tenure, overseas tenure, job rank, and expatriate performance. Both China and Japan

are countries with distinct hierarchical systems, and especially in Japan, the concept of

"everyone in their place" has long been a core cultural trait. Larger and higher values for

employee tenure, company tenure, overseas tenure, and job rank within the context of Chinese

expatriates imply a higher status and authority within the company. This, in turn, makes it easier

to gain respect, cooperation, and obedience from Japanese employees. As profit-oriented

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organizations, enterprises achieve performance goals through teamwork. The results of this

study align with common sense in business practice and demonstrate distinctive national

characteristics of Chinese expatriates in Japan.

Furthermore, this study unveils some new findings that differ from previous research. When

it comes to American expatriates, there is a strong emphasis on family companionship during

their overseas assignments. However, Chinese expatriates often start their overseas assignments

without family members accompanying them, and some young employees do not even have an

immediate family. Research data reveal that when observing the impact of crosscultural

adaptation (X) on employee loyalty (M1), there is not only a positive relationship between the

two, but also a significant negative relationship between company tenure (C2) and employee

loyalty (M1). A shorter company tenure somewhat signifies a younger age of employees, who

interestingly tend to have higher loyalty. This corresponds with the findings regarding the

consistent negative impact of family companionship (C1) on expatriate performance (Y) and

work engagement (M2). This leads to the logical association that young employees without

family responsibilities during overseas assignments may exhibit a higher loyalty and better

performance. This aligns with traditional Chinese and Japanese values of loyalty and filial piety,

and the belief the two cannot both be fulfilled simultaneously. Existing literature suggests that

multinational companies tend to send senior employees aged around 30 or over 50 for overseas

assignments, mainly because they have fewer family responsibilities. The mainstream age for

Chinese expatriates is around 30, as companies believe they have lighter family burdens and

higher enthusiasm for work and better cultural integration capabilities (Jie, 2007, p.58).

Additionally, the study finds that company tenure (C3) and job rank (C5) have a significant

positive impact on employee loyalty (M1), with job rank (C5) also having a significant positive

impact on work engagement (M2). This aligns with practical business scenarios. However,

neither company tenure (C3) nor job rank (C5) has a relationship with expatriate performance

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(Y). Overseas tenure (C4) improves employee adaptability, which is consistent with previous

research findings. This study also demonstrates that within the context of the mediating

variables being employee loyalty (M1) or work engagement (M2), overseas tenure (C4) will

have a significant positive impact on expatriate performance (Y).

5.1.5 Key Factors in Selecting Chinese Expatriates to Japan

A study by the American Society for Human Resource Management reveals that 80% of

failed overseas assignments were due to selecting the wrong individuals, and 32% of companies

planned to improve their employee selection processes to enhance the success rate of expatriate

assignments (Li, 2003). Based on the literature and data analysis of this study, the following

aspects are found to influence the expatriate performance of Chinese expatriates in

Japan during their cross-cultural adaptation.

Employee loyalty significantly impacts performance, with emotional commitment,

normative commitment, and ideal commitment all having a significant effect. Within work

engagement, individual characteristics of vigor, dedication, and focus also play a role. This study

highlights the importance of considering employees with shorter total work experience, longer

tenure with the same company and longer duration of overseas assignments, as these employees

tend to perform better in expatriate assignments. During the process of assigning tasks, priority

can be given to expatriates with higher job ranks while also considering the family situations of

expatriates. Unmarried or childless employees might be prioritized to mitigate the impact of

family companionship on expatriate performance.

In summary, taking into account previous research literature, a preliminary selection model

for Chinese expatriates to Japan can be proposed as follows:

Selection Model for Chinese Expatriates to Japan (Preliminary)

Index Key Factors Interpretation Score

1 Normative

Guided by social norms and professional ethics. Displays conscientiousness —

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Commitment

and responsibility, offers rational suggestions, exhibits high level of

professionalism.

Emotional

Commitment

Strong altruistic behavior, shows strong commitment to leadership,

colleagues, and organization. Low intention of leaving posts, Deep emotional

connection to the organization, identifies with organizational goals, willing to

contribute selflessly, and unwilling to leave under any circumstances.

Supports leadership, helps others, actively participates in organizational

activities. —

Ideal Commitment

Achieves personal ideals through realizing organizational goals, strong

achievement motivation, desires conditions to showcase personal strengths

and talents, and craves opportunities for promotion and advancement.

—

Index Key Factors Interpretation Score

Understands and accepts organizational goals, experiences job satisfaction,

shows better resilience under pressure.

Vigor

Willing to invest effort in work, maintains high resilience and endurance in

the face of challenges.

—

Dedication

Invests both physical and mental efforts into work, contributes significantly

to the organization through hard work, receives high recognition and

motivation from the organization.

—

Focus

Remains focused during work, external distractions do not affect work

efficiency and effectiveness.

—

7 Employee Tenure Total years of work experience. —

8 Company Tenure Years of work experience within the same company in China. —

9 Overseas Tenure Duration of past overseas assignments. —

10 Job Rank Job level within the organization. —

Family

Companionship

Situation

Regardless of employees’ marital status , whether family members need to

accompany them for overseas work.

—

Table 54: Selection Model for Chinese Expatriates to Japan (Preliminary)

In the practice of human resources, this study recommends that the aforementioned key

factors be taken into consideration when selecting expatriate employees.

5.2 Main Contributions and Significance

Cross-border companies involve employees from multiple countries and international

cooperation. The management of multinational corporations goes far beyond that of their internal

affairs. Empirical research on cross-cultural adaptation is of great significance for fostering

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global social harmony, enhancing mutual trust between corporations, and promoting cooperation

between companies and countries on a global scale.

5.2.1 Contributions and Significance in Research

1) From the Perspective of Cultural Economics

In 1998, economist Amartya Sen injected ethical considerations into discussions on major

economic issues and was awarded the Nobel Prize in Economics. This renewed attention on

cultural economics sparked a series of discussions and interests. Mainstream economics pursues

efficiency as its goal with the use of advanced mathematical methods. Rational economic

behaviors are incorporated into models seeking the maximum objectives under certain

constraints. This approach often overlooks or fails to capture individuals' social attributes and

complex preferences. Cultural economics emphasizes fairness and human care, prioritizing self-

esteem, independence, and self-improvement. In the face of issues like market failure, the

humanistic approach advocates using moral constraints to regulate the market by applying

humanitarian care to market economics (Ren & Zhu, 2006).

This study approaches the topic from the perspective of cultural economics, focusing on the

cross-cultural adaptation of Chinese expatriates to Japan. It examines the individuals’ adaptation

in the context of dual cultural shifts—national culture and corporate culture. Crosscultural

research inherently investigates the similarities and differences between two cultures,

encompassing cultural diversity and inclusivity. Individuals exist within organizations and

influence their own values and performance through their perception of cultural differences and

inclusivity (Berry, 2020). This study does not approach the topic from the angle of constructing

efficient systems; instead, it adopts the viewpoint of cultural economics. It concentrates on

employee loyalty as a representative of moral constraints and work engagement as a

representation of individual values. This approach, rooted in human-centered thinking, examines

the relationship between cross-cultural adaptation and expatriate performance of Chinese

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employees in Japan. It contributes to cultural economics by providing additional and valuable

data in the specific context of cross-cultural management between China and Japan.

Li Yining in his book Cultural Economics points out that moral regulation can effectively

complement market and government regulations. Moral and cultural regulation are considered

synonymous, and the premise of moral norms and cultural regulation lies in the relative

understanding of culture (Li, 2018, pp. 238-239). Through the introduction of Japanese culture

and use of guided interviews, this study adjusts the survey questions and selected theoretical

models. The conclusion drawn from data analysis is that employee loyalty and work engagement

variables have mediating effects on the relationship between cross-cultural adaptation and

expatriate performance. This study combines the theoretical foundation of humanistic economics

with the data analysis methods of mainstream economics to make a valuable attempt at cultural

management of expatriates.

2) From the Perspective of Propriety Economics

In recent years, the resurgence of cultural economics has prompted economists and the

management community to focus on the deep exploration of intrinsic humanistic values. They

have attempted to guide instrumental values with humanism as the objective. However, as the

Chinese saying goes, "going too far is as bad as not going far enough." If there is excessive focus

on acquiring economic value, the humanistic spirit that advocates morality could become simply

an alternative instrument. Mathematical logics should not guide the mainstream direction of

economics because it deviates from the essence of economics. Similarly, completely abandoning

scientific rationality in favor of humanistic spirit will not gain widespread acceptance. The

foundation of economics as a science precisely lies in the spirit of science and rational principles

(Liang, Li & Zhou, 2008, p.19).

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Propriety economics emphasizes the three-element theory as a framework, triangular

thinking as a paradigm, and the third variable as the primary research object. In this study, there

are three main manifestations:

First, it positions economic entities as the third pivot between the government and the

market. To enable moral regulation to play a role in specific economic activities requires

corporations to leverage their initiative, managing expatriate employees proactively and finding

effective ways of operating in unfamiliar foreign host countries and engaging in cross-cultural

adaptation regarding their governments, policies, markets, and competitions. Corporate culture

is the soul of an enterprise, representing its unique identity and providing general guidelines for

its operation. Many problems or activities can be effectively coordinated based on the criteria of

corporate culture. The dual-triangular paradigm in this study provides effective theoretical

support for promoting a corporate culture that encourages employee loyalty and work

engagement.

Second, it positions shared values as the third pivot between universal values and

individual values. A core aspect of cultural economics is the pursuit of shared beliefs and

preferences, and shared values act as a moderate common denominator between universal and

individual values. They embody a cultural function of moderation and centrism (Hong, 2021,

p.82). Due to different development goals of each company, different expatriate management

models such as cluster-based or independent, are employed for developed countries, developing

countries, and impoverished countries. Consequently, expatriate adaptation shows different

intervals, including direct and indirect adaptation. This study focuses on the nationality of the

research subjects, seeking shared values between universal values (emphasizing existing

identical values within two or more groups) and individual values (based on unique history,

culture, and traditional values, not necessarily suitable for all ethnic groups). Shared values are

built on the basis of seeking common ground while preserving differences. They are not

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necessarily the existing shared values between the two but an incremental concept that can be

explored and developed together through coordinated efforts (Hong, 2021, p.84). Loyalty is a

fundamental principle acknowledged in both Chinese and Japanese national cultures and

corporate cultures, albeit with differences in their premises and connotations. Through this study,

the mediating role of employee loyalty as the third variable has been validated. This research has

found shared value points where both Chinese and Japanese companies can move forward

together in the process of Sino-Japanese corporate cooperation. It is recommended to build a

corporate culture based on loyalty, which can facilitate the awareness of shared values and

interests among Chinese and Japanese employees.

Third, it positions individual responsibility as the third pivot between individual rights

and social responsibility. American writer Ayn Rand, in The Fountainhead, proposed that modern

collectivism emphasizes altruism and advocates self-sacrifice, while individualism, in opposition,

emphasizes individual rights. Human worshippers are those who can understand and strive to

achieve humans’ greatest potential. The personal responsibility she proposed is not determinism

but the belief that through effort, humanity can accomplish great deeds within human reach. It

acknowledges youthful ambitions, demonstrates the vast possibilities of humanity, and celebrates

human glory (Rand, 2019, p.15). The personal heritage of expatriate employees is innate, but

culture varies because it is the result of learning and depends on different social and corporate

environments. Expatriate management is a specific and unique situation. When expatriate

employees face a completely new national and corporate environment, they must balance work

and life to achieve relative equilibrium within limited resources.

In this study, the role "work engagement" as the mediating variable is validated in the

context of exercising individual initiative and responsibility in cross-cultural adaptation to

enhance expatriate performance. In 1908, Josiah Royce from Harvard University put forward

the idea that loyalty is hierarchical, ranking from its lowest form to the highest, from loyalty to

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individuals, to communities and, ultimately, to values and principles. The ideal commitment and

normative commitment, as analyzed in this study, play important roles in expressing expatriate

loyalty to values and principles while fulfilling one’s personal responsibility.

3) From the Perspective of Spiritual Capital

Capital usually refers to entities or symbols that can increase existing value or create new

value in the normal operation of socio-economic processes. It can be classified into material

capital and spiritual capital based on the form of existence. Spiritual capital, as a humanistic

spirit, is a productive resource hidden in social relationships, including trust, customs, norms,

among other intangibles. It helps form spontaneous cooperation among transaction parties,

increases repeatable transactions, and reduces operational costs (Zou, 2013). Humans are the type

of capital that becomes more valuable the more it is utilized. While material capital experiences

diminishing marginal returns, human capital exhibits the opposite trend due to social benefits and

value appreciation.

Employees possess the capital of credit. When they invest in their work with focus, vigor,

and dedication, it becomes easier for the company's rules to be followed, and efficiency

correspondingly improves. This exemplifies the overflow effect of human capital acting as

spiritual capital. Through questionnaire surveys and empirical analysis, this study further

confirms the parallel full mediating effect of employee loyalty and work engagement in the

cross-cultural adaptation of Chinese expatriates in Japan, thus demonstrating the meaningful role

of spiritual capital in expatriate management.

When conducting literature searches using "employee loyalty" and "performance" as

keywords in the China National Knowledge Infrastructure (CNKI), only 170 relevant articles

were found. Although research in this area has been gradually increasing since 2008, it remains

primarily at the level of master's theses. Moreover, no related studies were found when

searching with all the keywords "employee loyalty," "performance," and "multinational,"

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indicating a scarcity of research in this domain. This study is an important contribution to

scholarship on the importance of spiritual capital in expatriate management.

5.2.2 Practical Significance of the Research

1) From the Perspective of Chinese and Japanese Cultures

The relationship between China and Japan should be comprehensively viewed from both

historical and contemporary perspectives. Scholars have pointed out that the study of Japanese

culture should adopt a three-dimensional approach, utilizing analytical and comparative

methods. This involves employing techniques such as cross-sectional comparisons, longitudinal

analyses, expanded research outlooks, and interdisciplinary innovations (Zhao, 1998). This

study precisely merges cross-cultural psychology with international Human Resources

management, employing a mixed research method of literature analysis, qualitative analysis,

and quantitative analysis. It presents new challenges and research directions to the existing non-

country-specific studies on cross-cultural adaptation, and creatively advances the accuracy of

cross-cultural adaptation research by specifically focusing on that of Chinese expatriates in

Japan.

As for the specific research elements, as mentioned earlier, the affinity brought about by

shared cultural and historical heritage between China and Japan are unique yet absent in their

interactions with Westerners. The famed Chinese scholar Gu Hongming (辜鸿铭) believes that

the three major traits of Chinese civilization are profundity, extensity, and simplicity. Compared

to the Japanese culture that favors a close-knit support system within small groups, the

inclusiveness of Chinese culture is more prominent. This can be observed in China's historical

attitudes toward various religions (Gu, 2010). This study places Chinese employees in the

cross-cultural environment in Japan, where employee loyalty and work engagement, deeply

rooted in the Chinese culture, play a enormous role in their adaptation process. Specifically,

normative commitment, emotional commitment, ideal commitment, focus, vitality, and

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dedication are all crucial factors. This finding contrasts significantly with those of Ling

Wenquan whose research focuses primarily on Chinese employees in domestic companies. It

suggests that when employee loyalty is introduced into the cultural stratosphere of Japan and

Sino-Japanese cooperative enterprises, it undergoes context-specific changes. These data

variations provide direction and support for subsequent specialized expatriate management that

is tailored to specific countries as well as for cross-cultural management of Chinese expatriates

in Japan. This is the first validation of the organizational commitment 5factor structural model

concerning Chinese employees in the context of their expatriation to

Japan.

2) From the Perspective of Overseas Operations of Multinational Corporations

When American scholar Huntington compared the economic data of Ghana and South

Korea in the early 1960s, he found that the economic level and per capita income of the two

countries were similar 30 years ago.However, by the early 1990s, South Korea had become the

14th largest economy in the world, while Ghana's per capita GDP was only 1/14 of South

Korea's. Huntington attributed this significant disparity to the cultural values that South Koreans

possessed but Ghanaians lacked, such as valuing frugality, investment, education, and discipline

(Zhao, 2013). The role of culture in economics is evident. Therefore, from the perspective of the

overseas operations of multinational corporations, the practical significance of this research lies

in thoroughly exploring the focal points and areas of concern in corporate culture development

during international management.

In addition to centering on the cross-cultural adaptation of expatriate employees across

work, interpersonal interactions, and daily life in overseas operations, it is crucial for managers

to pay attention to the cultural environment and the Sino-Japanese cultural differences

regarding work engagement and employee loyalty. In terms of institutional design, emphasis

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should be placed on understanding and blending the differences between Chinese and Japanese

cultures while considering the various needs of employees. As Norris once proposed, formal

rules are only a small portion of the overall prescriptive framework in today's society, whereas

informal rules are ubiquitous (Norris, 1994). When compared to laws and corporate regulations,

values such as employee loyalty and work engagement, which are part of the organizational

culture, have a deeper and more lasting impact on maintaining management order. They can

effectively reduce transaction costs and enhance the value of the corporation.

In the process of multinational operations, well-known Chinese enterprises are

continually exploring and innovating methods of international human resources management.

Haier Smart Home, as reported by media outlets such as Market Investment Weekly serves as

an example. Japan, as the first overseas high-end market that Haier entered, became the litmus

test for Haier Smart Home's cross-cultural management capabilities. Before that, companies like

Samsung, LG, and GE had also entered the Japanese market but withdrew within a decade. In

2002, Haier Smart Home officially made its entry into a market that was dominated by the top

six global home appliance brands, all of which were Japanese. With two decades from 2002 to

2022, Haier Smart Home's sales in Japan grew from 1.4 billion yen to 62 billion yen, with

profits increasing 900-fold. Looking back at its management process, apart from adopting the

"coopetition" strategy with Sanyo and pioneering "market exchange" as a business strategy,

Haier Smart Home made significant moves. In 2007, building upon its long-term cooperation

with Sanyo, Haier absorbed the latter’s struggling refrigerator business through a joint venture.

In 2012, it acquired Sanyo Electric's Home Appliance Business, which helped Haier establish a

2-4-6 market structure centered around Southeast Asia and the Asian region. This structure

includes 2 research and development centers, 4 manufacturing bases, and markets across 6

countries, comprising various business channels and customer relationships. Considering the

Japanese people's sentiment towards local brands, Haier Smart Home adopted a dual-brand

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operation mode. It positioned the AQUA brand, which was a new name for Sanyo's Home

Appliance Business, as its main brand, focusing on the high-end market. The AQUA brand,

integrated into Haier Smart Home's global production and research network, rejuvenated and

transitioned from long-term losses to sustained profitability. The core of Haier’s transformation

that amazed the Japanese home appliance industry lies in its "break-establish-integrate"

approach. It gradually implemented and deepened its employee-customer integration practice in

Japan.

Traditional Japanese companies have adhered to the lifetime employment and

senioritybased promotion system. Within these companies, practices such as ranking employees

based on seniority and promoting egalitarianism are prevalent. While the lifetime employment

system played a crucial role in social stability, its long-term implementation has drawbacks, for

it can dampen individual motivation and hinder innovative practices among outstanding

employees, and results in businesses lacking vitality and struggling to efficiently adapt to

market changes. The rigidity of the seniority-based promotion system has also stalled the

transformation of many large Japanese companies. For Haier Smart Home to thrive in Japan, it

needed to break these barriers. This is the core internal factor that enabled Haier to revitalize

Sanyo and drive the dual-brand strategy as a dark horse in the Japanese market.

The "break" refers to breaking Japan's thought patterns and ideologies, dismantling the

seniority-based promotion system, egalitarianism, rigid compensation rulebooks, and all cultural

norms and hidden rules that undermine individual value while promoting team spirit.

The "establish" means creating new systems under the “employee-customer unit” model.

However, these new systems are not implemented hastily; they are established gradually based on

the success of numerous individual cases. These new systems involve bonus schemes, salary

structures, retirement mechanisms, as well as subsequent target-oriented mechanisms and veto

apparatus.

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The "integrate" signifies cultural assimilation. The process of implementation naturally

encounters resistance. As reported publicly, in 2009, during the third year of enacting the

employee-customer integration in Japan, Haier required seven sales employees to sign a contract

which stipulated that employees would receive corresponding rewards based on achieving

company goals, with an inherent reward and punishment structure. Initially, only four people

signed the contracts with the company while the other three refused because they found the

concept of "penalty" unacceptable. However, after six months, the company's performance

surged, and the income of the signed employees increased significantly. As a result, the three

reluctant employees requested to sign the contract. Haier Smart Home used individual case

studies as breakthrough points, gradually turning the new arrangement into a system and a

culture within the company. This transformation revitalized Haier Smart Home's presence in

Japan, accelerating its growth, and ultimately becoming a mainstream brand in the home

appliance kingdom.

In 2022, during Japan's most crucial sales season --"New Life", Haier's market share was

21%, ranking first. When combined with AQUA, the dual-brand market share was 31%,

1.5 times higher than the second-place Sharp. In the Japanese freezer market, AQUA's freezer

sales ranked first for the first time in September, and in October, the combined market share of

AQUA and Haier was twice that of the third-place competitor. In the extra-large refrigerator

market, the year-on-year growth rate reached 33%, twice of Toshiba's 16% and 2.5 times of

Sharp's 13%. Moreover, in the commercial washing machine market, Haier's "Community Wash"

is the industry leader. There are now 22,000 "Community Wash" stores in Japan, of which 71%

belong to Haier Smart Home. Among these stores, 3,500 of them are equipped with IoT-enabled

smart appliances, all under the AQUA brand. Many Japanese domestic companies have joined

Haier Smart Home's community washing business, including prominent chains like

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HURXLEY, Japan's top ENEOS gas stations, MUJI, and Family Mart convenience stores. The

success of Haier Smart Home in Japan is not just a testament to successful business strategies

but also to effective cross-cultural management(Cao, 2018).

As times change, corporate management constantly evolves, but corporate culture remains

rooted in national culture and customs, which are closely related to human behavior as well as

historical and cultural traditions. Former Haier CEO Zhang Ruimin once said, "Any merger

project can be accomplished with funds, but its success does not depend on capital.

Rather, it depends on the strength of cultural integration." Du Jingguo, the former President of

Haier Japan, reflecting on the company's 20-year experience in Japan, stated that talents for

multinational operations must possess a soft exterior and a strong interior. While they can

appear gentle on the surface, they need clear boundaries and goals, resembling an "undying

bird" that constantly adapts to the environment—a crucial quality for cross-national operations.

Respect is a prerequisite, communication is fundamental, and the "break and establish" approach

ultimately achieves integration.

This study, from the perspective of employee loyalty and work engagement, bridges the

gap between the home country culture, host country culture, corporate culture, and employee

attributes. It emphasizes cultivating employee loyalty in individuals who both respect the bottom

line of normative commitment and have clear growth goals and ideal commitments.

Establishing a culture and systemic environment conducive to employee work engagement

provides more practical guidance for multinational enterprises' expatriate management, especially

in terms of their cross-cultural management.

3) From the Perspective of Selecting and Caring of Expatriate Employees

From a practical standpoint, when multinational enterprises engage in international

business activities, the selection of suitable expatriate personnel becomes crucial to the success

of expatriate management, and even the survival of overseas subsidiary companies. Enhancing

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the performance of expatriate employees has consistently been a major management concern for

overseas branch establishments. In previous practices, the focus was more on educational

background, language proficiency, and overseas experience when selecting expatriate personnel.

However, given the dual adaptation pressures of national culture and corporate culture,

expatriates' cross-cultural adaptability has considerable impact on expatriate performance.

This study reveals that employee loyalty plays a pivotal role in cross-cultural adaptation,

particularly in dimensions such as normative, emotional, and ideal commitment. Individual

traits such as vigor, focus, and dedication exhibit a substantial mediating effect on cross-cultural

adaptability. Furthermore, factors such as employee tenure (years of total work experience),

company tenure (years of service at the same company in China), overseas tenure (cumulative

overseas experience), and the situation of family companionship influence expatriate

performance. Multinational enterprises can incorporate these dimensions into their expatriate

selection process, balancing traditional criteria such as education and language proficiency with

a greater emphasis on employees' organizational value in terms of professionalism and career

planning. This approach fosters a more balanced selection of expatriate personnel and team

formation, ultimately influencing expatriate performance in a positive fashion. On another note,

conventional theories posit that employees' cross-cultural adaptability can be enhanced through

training. Cross-cultural training, particularly before and during the early stages of expatriation,

emphatically impacts cross-cultural adaptability. In this study, work engagement is identified as

a mediating variable, indicating that managers should deepen employees' understanding of the

host country's language, customs, and values during cross-cultural training while

simultaneously concentrating on establishing relevant corporate systems. This includes

fostering a work environment and habits that encourage vigor, dedication, and focus, ultimately

boosting organizational support. To enhance the effectiveness of training, managers can

consider incorporating scenario-based experiential training with reallife cases. The design

222

should be feasible, measurable, and sustainable. During training, close observation of

employees' on-site responses and recording whether their reactions are excessive, insufficient,

or appropriate is essential. A peer-to-peer training approach, wherein employees coach each

other, can also make training more practical, targeted, and applicable.

In the management of expatriates, it is crucial to pay attention to their psychological

well-being, provide positive psychological counseling to enhance work engagement, and

ultimately, improve expatriate performance. In light of China's continuing growth in outbound

foreign direct investment, research on cross-cultural adaptation and expatriate performance is of

paramount importance for the strategic operation of multinational corporations. The

conclusions drawn in this study can offer effective reference points for the selection of

expatriate personnel in multinational enterprises, thereby generating a beneficial impact on

organizational performance in cross-national management.

5.3 Limitations of this Study and Future Research Directions

5.3.1 Limitations of the Study

The present study has certain limitations, leaving room for further exploration and

deepening investigation in future research endeavors. These limitations primarily encompass the

following aspects:

First, due to the nature of anonymous questionnaires, the study did not explicitly categorize

expatriates in different industries. It remains uncertain as to whether the occupational

characteristics and employee traits of different industries would impact expatriate performance.

Further exploration and analysis are necessary in this regard. Second, this study treated factors

influencing expatriate performance, such as age, education level, and duration of prior overseas

assignments, as control variables. The sample used in this study had a higher proportion of

young individuals and those with a bachelor's degree or higher. This subset of the population,

223

comprising more open-mindedness individuals (in contrast to their counterparts who are older

or with lower education levels), might affect their roles in cross-cultural adaptation. Therefore,

the general applicability of these findings in other studies is still uncertain. Additionally, this

study identified the mediating effect of employee loyalty. However, during overseas assignment,

employees might sometimes face a choice between loyalty to the parent company and that to the

local subsidiary. This issue is not deeply explored in this study. In future research, it may be

valuable to incorporate these factors into a theoretical framework.

Lastly, from a longitudinal perspective, the influence of cross-cultural adaptation on

expatriate performance cannot be separated from individual differences among expatriate

employees, leadership traits, and other personal factors. Different individuals have varying

limits for expatriation goals, which can also impact cross-cultural adaptation. Due to the

limitations in the scope of this study, these factors were not extensively explored. Looking

horizontally, the study's limitations regarding specific countries are apparent. Besides China and

Japan, major global economies include the United States, European Union, and other diverse

countries. Research on the cross-cultural adaptation of expatriate employees specific to

individual countries is still in its early stages. Whether expatriate employees from different

countries share commonalities in this regard, and how different host country cultures affect the

impact of job engagement and employee loyalty on cross-cultural adaptation and expatriate

performance, remain open questions. Moreover, there is a need to investigate the specific

differences in expatriate management among developed countries, developing countries, and

impoverished nations. These topics are worthy of further exploration in future studies.

5.3.2 Insights of the Study and Future Prospects

After conducting literature analysis, proposing the innovative double-triangle model with

employee loyalty and work engagement as mediating variables, and conducting in-depth

qualitative and quantitative research on the impact of expatriate employees' cross-cultural

224

adaptation on expatriate performance, substantial research outcomes were achieved. The research

process involved extensive literature review and numerous communications with the target

subjects, yielding several insights into corporate practices:

1）Higher Demands on Corporate Management: Building a Resilient Team

In the VUCA era, organizational structures are transitioning from traditional hierarchical

setups to more horizontal ones, where internal and external organizational boundaries are

blurred. In this borderless age, effective institutional design, management change, and cultural

development are essential. These efforts can increase the number of employees displaying

loyalty and work engagement. This shift is crucial to building a resilient team capable of not only

achieving the company's objectives with loyalty but also actively engaging in crossboundary

work in the VUCA era.

2）Elevated Requirements for International Human Resource Management: Identifying

Managers with Triple Leadership Qualities and Recognizing Self-Motivated Expatriate

Employees

Leadership is the soul of a team. In this new era, leaders need to possess triple leadership

qualities: strategic leadership (insight), professional leadership (competence), and character

leadership (integrity). In a large-scale leadership survey conducted by Kouzes, honesty ranked

first among the leadership attributes, with a significance of 83% (Yang, 2019, p. 86-88), and a

clear emphasis on character of leadership. The employee loyalty mentioned in this study is

neither the blood-related loyalty of the traditional societal "patriotism," nor the attachmentbased

loyalty in the hierarchical system where individuals subordinate themselves to their superiors.

Instead, it is a contractual loyalty based on equal exchanges in economic activities. Leaders must

treat the company and the team with sincerity, promoting a culture of loyalty in multinational

enterprises and reducing the sense of powerlessness and anxiety stemming from the

headquarters' limited control. Identifying and nurturing managers with triple leadership qualities

pose higher demands on international human resources management.

225

In the latest research, we have discovered the emergence of self-initiated expatriates, a

group distinct from organizational expatriates (individuals sent by their home country

companies to complete specific tasks or manage operations in a host country). These

selfinitiated expatriates are individuals who may secure employment abroad before leaving

their home country or find a job after arriving in the host country. Scholars like Suutari have

identified four key differences between these groups, including the source of initiative, the

objectives of foreign work, financial support, and types of professions (Suutari & Brewster,

2000, p.35). Compared to organizational expatriates, self-initiated expatriates possess numerous

advantages. Their spontaneity allows them to exhibit higher levels of work engagement,

overcoming the shortcomings or difficulties often faced by organizationally initiated

expatriates. Therefore, in the realm of international human resource management, it is crucial to

adapt to the times. Tailoring the selection process according to the actual conditions of the host

country's environment and recruitment needs, the strategic utilization of selfinitiated expatriates

can significantly enhance expatriate performance, consequently boosting a company's

competitiveness.

3） Leveraging the Advantages of Social Media in Expatriate Management to Facilitate

Cross-Cultural Adaptation

With the rapid development of the Internet, social media has increasingly played a crucial

role in interpersonal communication. For expatriates, social media not only helps them understand

the local culture but also enables them to maintain connections with their homeland, receiving

support from family and friends. Recent studies have shown that expatriates use

social media platforms in their home country primarily to maintain existing social relationships

and connections. This psychological support is highly significant for Chinese expatriates. Foreign

social media platforms, being more open, effectively assist expatriates in actively participating in

local activities, adapting better to the local culture, fostering an open mindset in cross-cultural

226

interactions. Expatriates primarily use foreign social media to integrate into local social circles

and conveniently manage their daily life and work (Huang, 2021).

In expatriate management, companies can provide targeted training to help expatriates

understand how to use foreign social media platforms. By utilizing these platforms to engage in

local social activities, expatriates can accelerate their cross-cultural adaptation. Additionally,

encouraging members of cross-cultural teams to establish accounts on mainstream social media

platforms, follow each other, and create company groups can help expatriate employees find a

sense of belonging on the host country's social media platforms, aiding their adjustment to new

social platforms. This approach, optimizing costs, promotes cross-cultural adaptation and work

engagement, ultimately enhancing expatriate performance.

4） Focusing on the Unique Cross-Cultural Sensitivity of Chinese Expatriates

In this study, the ability of Chinese individuals to understand, perceive, and appreciate

cultural differences in cross-cultural communication with foreigners is termed cross-cultural

sensitivity. This ability exhibits dynamic developmental characteristics. Yan Wenhua suggests

that cultural sensitivity primarily refers to the acuteness of recognizing similarities and

differences between one's own culture and foreign cultures. It involves understanding how these

cultural traits influence one's own and others' words and actions. Many people perceive cultural

sensitivity as merely understanding foreign cultures, neglecting the fact that the foundation for

understanding foreign cultures lies in one's own culture (Yan, 2008, p.104). Chinese employees

expatriated to Japan engage in cross-cultural adaptation based on their cultural sensitivity

rooted in Chinese culture. The cross-cultural sensitivity of Chinese expatriate employees

encompasses five core characteristics: cultural cognitive comprehension, ethnic identity,

harmonization of differences, optimization of relationships, and flexibility and adaptability

(Deng, 2006). Further research can explore the interconnections between employee loyalty,

227

cross-cultural adaptation, and cross-cultural sensitivity. Identifying the similarities and

differences among Chinese expatriate employees when they are sent to Japan, Europe, or

Africa can greatly benefit the development of multinational enterprises.

5） In the Post-Pandemic Era Finding a Path for Business Survival Amidst the Complexities

of Sino-Japanese Relations by Using the Triangular Paradigm

The global rampage of the COVID-19 virus has posed significant risks and challenges to

the operational management of multinational enterprises. In the current environment of

uncertainty and high risk, multinational companies find it challenging to implement effective

expatriate management. This is primarily manifested in reduced willingness among employees

for overseas assignments, a lack of talent for expatriation, and insufficient enthusiasm among

expatriate employees, leading to problems such as high failure rates and unsustainable processes

in multinational companies' expatriate management (Cheng, 2022, p.86-89). The escalating

competition between China and the United States has further strained Sino-Japanese relations,

giving rise to a great deal of fluctuating uncertainty in Sino-Japanese relations between 2021

and 2023.

Hong Zhaohui proposed the Triangular Paradigm in the context of propriety economics,

where the three angles have no inherent value judgment; they only differ in terms of their level

of effectiveness (Hong, 2021, p.115). In Sino-Japanese relations, two possible "third parties" that

could lead to changes are Japanese youth and the business community.

A joint survey between China and Japan, along with the "Beijing-Tokyo Forum," revealed

that although respondents from both countries highly recognized the importance of SinoJapanese

relations, there were deep psychological concerns in both countries about historical, territorial,

and security issues. Over 90% of Japanese respondents held negative impressions of China, while

66.1% of Chinese respondents had negative views of Japan. This implies that the deep-seated

psychological impact of historical, territorial, and security issues has pushed the mutual sentiment

228

between China and Japan to a new low (Hu et al., 2022, p.14-28). However, a survey conducted

by the Global Times in 2022 showed that the younger the respondents, the more positive feelings

they had towards China. Particularly, Japanese individuals below the age of 30 consistently

maintained a positive sentiment towards China, hovering around 40% in recent years, most likely

due to their exposure to people, events, and objects with Chinese symbols in their studies, work,

and daily lives (Xu, 2022). Chinese companies should actively promote localization, allowing

Japanese youth to understand Chinese workplace culture through actual experience. People-to-

people friendship has always been a cornerstone of the development of Sino-Japanese relations.

Depoliticizing and ideologically neutralizing attitudes towards China among Japanese youth can

effectively counteract the negative influence of rightwing, conservative, rigid, and stereotypical

factors on Sino-Japanese relations. Mutual positive perceptions can go a long way in fostering

good will and facilitating the development of Sino-

Japanese relations.

From December 12 to 21, 2022, the Global Public Opinion Survey Center under the

Global Times, in collaboration with South Korean Daily Economic News and Japanese Nihon

Keizai Shimbun, conducted the 11th annual survey among business managers from China,

Japan, and South Korea, titled "2023 Economic Outlook Survey for Business Managers in

China, Japan, and South Korea." The survey results revealed that most business representatives

in these three countries were optimistic about China's future economic performance and hope for

improvements in Sino-US relations in 2023. Faced with the ongoing disruptions in the supply

chain, a significant portion of business representatives from these countries (over 40%)

expressed a preference for "strengthening existing cooperation" as their first choice. Among

them, 42.6% of Chinese business representatives and nearly 60% of their counterparts in Japan

expressed a desire to strengthen existing cooperation. The survey also indicated that over 20%

of Chinese businesses were planning acquisitions in Japan in 2023 (Ni & Chu, 2023).

229

China is Japan's largest economic and trade partner. According to a survey by the Ministry

of Foreign Affairs, there are more than 30,000 Japanese companies operating in China,

accounting for about 40% of the total number of overseas Japanese companies. Moreover, these

Japanese companies have an average profit margin of 15%, which is twice that of overseas

Japanese companies elsewhere and local Japanese companies (Wu, 2023, p.29-31). The close

cooperation between China and Japan in the industrial and supply chains has been achieved

through decades of joint efforts, aligning with market needs, and serving the maximum economic

interests of businesses in both countries. As a third entity beyond government and market,

businesses must be vigilant and confident, actively promoting cooperation in the complex and

ever-changing geo-political environment. This approach enhances the crucial role of economic

cooperation in improving Sino-Japanese relations with reliance on the neutral and cooperative

"third parties," such as young people or the business community. After all, cultural and economic

exchanges at the grassroots level are instrumental in mitigating tension between the two

countries and propelling their relations to move in a more positive direction.

Looking ahead, the following aspects warrant consideration for future academic research:

First, as culture is a fundamental factor in determining the value orientation of social

actors, other cultural factors that affect corporate expatriates’ cross-cultural adaptation (aside

from employee loyalty) are worth exploring and examining when studying cultural orientation

and economic activities together. Secondly, as the main entities for overseas operations,

multinational corporations bear the responsibility for guiding corporate culture and value

orientation. If the corporate culture is inconsistent with the national culture of the host country,

how can the company guide and balance the cultural values to maximize profitability? This area

also warrants further research. Third, cultural economics posits that individuals, as transaction

subjects, are influenced not only by self-interest and bounded rationality but also by their sense

of responsibility, honor, morality, empathy, and ethical views. Therefore, in the future,

230

multinational corporations need to clarify the duties and responsibilities of employees in

expatriate management, focus on interpersonal communication and team support, and pay more

attention to elements that exercise organizational influences.

Meanwhile, in humanistic economics, identity economics has emerged in the field of

expatriate management, as geographical boundaries include not only political and cultural frontiers

but also the psychological distance between people. Individuals in similar or different places may

influence the economic processes due to their own values and preferences. As cooperation

economics and propriety economics consider more about the welfare of others and societal goals,

they may generate new research interests and directions worthy of serious scholarly inquiry.

Culture outweighs institutions, and humanity outweighs culture. Returning to

humancentered economics does not mean a stark and binary choices that are detached from

institutions. On the contrary, it requires increasing the weight of culture and humanity in a

triangular equilibrium. Expatriate management of multinational corporations can conceivably be

based on propriety economics and seek more shared values in an era of uncertainty.

Appendix

Appendix 1：Black(1989) Cross-cultural Adaptation Scale

Source：Black, J．S., Stephens, GK. (1989). The influence of the spouse on American expatriate adjustment and intent

to stay in Pacific rim overseas assignments. Journal of Management, l5(4):529-544．

231

Appendix 2：UWES－9 Scales

Source: Schaufeli, W. B., Bakker, A. B., & Salanova, M. (2006). The measurement of work engagement with a short

questionnaire a cross-national study. Educational & Psychological Measurement, 66(4), 701-716.

The following 9 sentences are statements about how you feel at work. Read them carefully

and determine if you have ever felt this way at work. If you have never felt this way, fill in "0"

on the horizontal line to the left of the question. If you have ever felt this way, fill in the

horizontal line with the corresponding number (from 1 to 6) that best describes how often you

feel this way. 0 never, 1 almost never, 2 rarely, 3 sometimes, 4 often, 5 quite frequently, 6

always

①At work, I feel like I have an energy burst.

②At work, I feel strong and energetic.

③I am passionate about my work.

④My work inspires me.

⑤When I get up in the morning, I want to go to work.

⑥When work is intense, I feel happy.

⑦I'm proud of what I am doing.

⑧I am immersed in my work.

⑨When working, I reach a state of focus.

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Scoring Method

The condensed version of the work engagement scale includes three subscales, including

vigor, dedication, and focus. The total or average score of the topics in each of the subscale can

be calculated, with each including the following questions:

Short work engagement scales include vigor, dedication, and focus.

1． Vigor：a total of 3 questions, including Questions 1, 2, and 5.

2． Dedication: a total of three questions, including Questions 3, 4, and 7. 3．

Focus：a total of 3 questions, including Questions 6, 8, and 9.

Appendix 3: Overview of Sino-Japanese Relations (2001-2021) Based on Public News

(selfcreated)

Period Time Events

2001-2006

Nadir

2001-2006 During his administration, Junichiro Koizumi visited the

Yasukuni Shrine for five consecutive years, bringing

SinoJapanese relations to the lowest point.

2006-8/2010

Détente and

gradual

normalization

2006 Prime Minister Shinzo Abe’s ice-breaking visit to China

04/2007 Premier Wen Jiabao's “ice-thawing” visit to Japan, during

which the two countries drew up a concrete action plan to

improve their mutual relations

12/2007 "Welcome to Spring” Tour – Prime Minister Yasuo

Fukuda’s invited visit to China

5/2008 “Warm Spring Visit”- During President Hu Jintao's visit to

Japan, the two countries issued The Sino-Japanese Joint

Statement on Comprehensively Promoting Strategic

Mutually Beneficial Relations

06/2008 The Chinese and Japanese governments announced

simultaneously that they had reached a consensus on the

East China Sea issue

9/2010-2015

Period of

09/2010 "Diaoyu Islands Ship Collision Incident"

Sino-Japanese relations once again became tense

233

difficulty;

gradual

improvement

in late 2015

2011 Japan intervened in the South China Sea

09/2012 Japan's Noda administration implemented the policy of

"nationalization" of the Diaoyu Islands

11/2013 China set up an air defense identification zone in the East

China Sea

12/2013 Shinzo Abe’s visit to the Yasukuni Shrine was the first one

by a Japanese Prime Minister since Junichiro Koizumi’s

seven years prior

12/2013 The Japanese government established a new security

system through the "National Defense Program Guidelines"

and other measures

11/2014 President Xi Jinping was invited to meet with Japanese

Prime Minister Shinzo Abe

04/2015 President Xi Jinping attended the Asian Africa Summit in

Jakarta and met with Japanese Prime Minister Shinzo Abe,

setting the direction for the further improvement and

development of China-Japan relations

2016-present

Gradual

return to the

right track

and enter the

period of

"coordination

and

cooperation"

09/2016 President Xi Jinping met with visiting Japanese Prime

Minister Shinzo Abe. Xi emphasized that China-Japan

relations were in a critical stage where both sides were

climbing up the hill and crossing the hurdles, with either

advancement or retreat in the prospect

05/2018 Premier Li Keqiang attended the 7th China-Japan-ROK

Summit and paid an official visit to Japan

10/2018 Japanese Prime Minister Shinzo Abe visits China

12/2019 President Xi Jinping met with Japanese Prime Minister

Shinzo Abe

02/2020 During the initial outbreak of COVID-19 in Wuhan, China,

Japanese people from all walks of life expressed their will

toward the Chinese in Wuhan. The Chinese Ministry of

Foreign Affairs expressed deep appreciation for the

goodwill gestures. The Japanese government and many

local governments and enterprises donated masks, goggles,

protective gears and other aid materials to China.

234

09/2020 President Xi Jinping had a telephone conversation with

Japanese Prime Minister Yoshihide Suga. Xi expressed his

hope that Beijing and Tokyo would work together to

maintain a stable and smooth supply chain as well as a fair

and open trade and investment environment while

improving the quality and level of their cooperation. China

supported Japan in hosting the Olympic Games in the

following year.

04/2021 Chinese Prime Minister Wang Yi had a telephone

conversation with Japanese Foreign Minister Toshi Motegi

to make sure that the attitudes of both countries toward the

stable development of Japan-China relations have not

changed

Appendix 4: Table of Factor Structure after Rotation of the Five-factor Commitment Model

Source: Ling Wenchen, Zhang Zhican, Fang Liluo. Research on the structural model of employee organizational

commitment in China[J].Journal of Management Science,2000(02):78.

Appendix 5：Schedule 5: Description Item and Factor Load of Individual Work Performance

Questionnaire (IWPQ)

235

M SD Sk K Task Cont Coun

1. I try to plan well in order to complete my work on time 3.20 0.89 -1.22 1.59 .86 -.11 .06

2. I keep in mind the goal that needs to be achieved 3.13 0.83 -0.93 1.09 .55 .12 -.02

3. I am able to set priorities 3.14 0.83 -0.93 0.96 .65 .05 .04

4. I can perform my work effectively 3.27 0.73 -1.10 2.07 .66 .09 -.14

5. I am quite good at time management 3.12 0.80 -0.69 0.24 .75 -.01 .04

6. When completing a task, I would take initiative to work

on something new

2.75 1.09 -0.84 0.15 .088 .54 -.09

7. As long as I have time, I would accept tasks with new

challenges

2.34 1.14 -0.43 -0.56 -.08 .74 -.04

8. I strive to keep my work-related knowledge up to date 2.74 1.01 -0.59 -0.06 .11 .55 -.08

9. I strive to keep my job skills up to date 2.93 0.92 -0.63 0.11 .18 .46 -.11

10. I came up with creative solutions to new problems 2.45 1.06 -0.45 -0.47 -.03 .75 .03

11. I take on other additional responsibilities 2.49 1.15 -0.50 -0.63 -.05 .76 .05

12. I am constantly looking for new challenges in

my work

2.31 1.15 -0.31 -0.72 -.08 .83 .08

13. I actively participate in meetings and/or

other consultations

2.20 1.29 -0.31 -0.95 .10 .56 .10

14. I complain about small work-related issues at work 1.13 1.13 0.76 -0.28 -.04 .18 .61

15. I complicated work-related problems 0.42 0.83 2.12 3.84 -.05 .05 .70

16. I focus on the negative rather than positive

aspects of my work

0.70 0.97 1.35 1.20 .02 -.11 .72

236

Description Factor Load

17. I talked to my colleagues about the negative

aspects of my work

1.55 1.17 0.41 -0.80 .05 -.10 .45

18. I talk to people outside of the company about

The negative aspects of my work

1.34 1.20 0.61 -0.65 .04 -.02 .59

237

Source ：Villagrasa, P. J. R., Barrada, J. R., del Rio, E. F., & Koopmans, L. (2019). Assessing job

performance using brief self-report scales: The case of the individual work performance questionnaire.

Revista de psicología del trabajo y de las organizaciones= Journal of work and organizational

psychology, 35(3), 199.

Appendix 6: Empirical Studies on Work Engagement

Antecedent

or result

variables

Variable

The Impact of Cross-Cultural Adaptation on the Job Performance of Chinese Expatriates in Japan

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