Cultural novelty and international students’ experience: a five-country study

Research has linked cultural differences between a sojourner’s home and host country with their cultural transformation. Nonetheless, the results of empirical studies are inconclusive due to different operationalizations of cultural differences and testing among different groups of sojourners. We extend previous investigations by examining the effects of cultural novelty (i.e., the subjective perception of cultural differences) on the experience of international students (N = 1114) in Denmark, Germany, Italy, Poland, and the USA. Drawing on acculturation and social learning theories, we conceptualized a model of students’ adjustment and satisfaction taking into account cultural novelty. We tested the model through multi-group structural equation modeling (SEM) and examined the various relationships across subsamples from all five countries. We determined the significant effects of cultural novelty and a range of factors impacting students’ intercultural experience, such as their cultural intelligence, cultural background, second-language skills, time in the host country, and socialization with domestic students, and how the effects may vary by the host country. We discuss implications for future research and practice

Attitudes and Performance: An Analysis of Russian Workers

This paper investigates the relationship between locus of control and performance among Russian employees, using survey data collected at 28 workplaces in 2002 in Taganrog and at 47 workplaces in 2003 in Ekaterinburg. We develop a measure that allows us to categorize the Russian employees participating in our survey as exhibiting an internal or external locus of control. We then assess the extent to which there are significant differences between “internals” and “externals” in work-related attitudes that may affect performance. In particular, we focus on (1) attitudes about outcomes associated with hard work, (2) level of job satisfaction, (3) expectation of receiving a desired reward, and (4) loyalty to and involvement with one’s organization. In each case we identify where gender and generational differences emerge. Our main objective is to determine whether Russian employees who exhibit an internal locus of control perform better than employees with an external locus of control. Our performance measures include earnings, expected promotions, and assessments of the quantity and quality of work in comparison to others at the same organization doing a similar job. Controlling for a variety of worker characteristics, we find that (1) individuals who exhibit an internal locus of control perform better, but this result is not always statistically significant; (2) even among “internals,” women earn significantly less than men and have a much lower expectation of promotion; (3) even among “internals,” experience with unemployment has a negative influence on performance.http://deepblue.lib.umich.edu/bitstream/2027.42/40144/3/wp758.pd

Strategic investment flexibility for MNE success in Russia: Evolving beyond entry modes

Many American multinational enterprises (MNEs) are currently active in Russia despite the turbulence encountered in that transitional economy. Most seem to have entered as an extension of their global strategies with a long-term horizon. While some entered with considerable involvement and substantial investment, others followed a more cautious or incremental path. This article focuses on how MNE strategies have evolved after entry and describes six strategic approaches. Strategic investment flexibility is found to depend upon a company 's original entry strategy and tolerance for risk, as well as its assessment of the legal and political environment, industry conditions, market readiness for its products or services, competition, and the investment required to establish a sustainable competitive position. Keys to successful strategy development are drawn from the experiences of US MNEs which have established growing businesses in the vast Russian market. The strategies of such successful MNEs, however initiated upon entry, usually evolved to a relatively heavy investment position.

The emergence of corporate governance in Russia

This article tracks the emergence of corporate governance through four stages of the Russia's transition to a market economy from the mid-1980s to the present: commercialization, privatization, nomenklatura, and statization. For each stage, the government's economic objectives are summarized, as well as the foundations for the development of and inhibitors to corporate governance. The problems of nondisclosure and nontransparency that made Russia one of the riskiest countries for investment are discussed. The article emphasizes the substantial progress made recently, culminating in the 2002 Corporate Code of Conduct. The article concludes with prospects for corporate governance to be considered by investors, including foreign executives and managers interested in direct investment in Russia.

Can Russia's state-managed, network capitalism be competitive?: Institutional pull versus institutional push

In the fall of 2005, former chairman of Yukos Oil, Mikhail Khodorkovsky, was sentenced to prison, after being found guilty of fraud and tax evasion. Many viewed the trial as the government's attempt to gain control of the energy sector which Putin had declared as strategically crucial to the country. This article examines the role of the state and the type of capitalism that is evolving in Russia. We view this system as consisting of three forms of network capitalism that coexist in this transition economy - market, oligarchic, and siloviki - and the relationships among them, all existing within the pervasive environment of the Russian state. We argue that the Russian economy will continue to be based for some time on the cognitive institutional pillar rather than the regulative pillar. The article concludes with implications of government policy decisions for the various forms of capitalism, for the country's competitiveness and attractiveness for foreign investment, and for Russian managers.

Corporate governance in Russia: a framework for analysis

In the past several years, the Putin government's goal of joining the World Trade Organization, as well as the critical shortage of investment funds in the country, have been prime levers in raising the importance of corporate governance in Russia. While most research has addressed relatively discrete aspects of the topic, this article provides an integrative framework for analyzing corporate governance in Russia. With large companies as the focus, the framework is particularly appropriate for companies in transitioning economies whose corporate governance systems are still developing. The framework draws on a cultural-embeddedness model as well as agency and stakeholder theories. Propositions for corporate governance in large Russian companies are developed for exploration in future research.

Russia's retreat to statization and the implications for business

Despite the many problems that emerged during Russia's experiment with a market economy in the 1990s, Western firms are not likely to forego the lure that still exists in that market of 150 million people. Understanding the economic and political developments of that decade, and their effects upon business, can provide insights into the potential for business opportunities in the coming years. This article is based on a longitudinal field study of the political and economic environment for businesses in Russia, supplemented by statistical data and other information from published sources. We analyze the major economic and political developments during the 1990s and classify them in four stages --commercialization, privatization, nomenklatura, and statization. A scenario is then presented in which the statization stage, a period of increased state involvement in the economy, will likely continue in the next decade. An enlarged state role, however, is expected to coexist with a still evolving private sector. The article concludes with implications for Western firms doing business in Russia's mixed economy.