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International Training and Management Development Policies and Practices of

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Article in Thunderbird International Business Review · February 2015

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 FEATURE ARTICLE 229

International Training
and Management
Development Policies
and Practices of South
Korean MNEs in China
By
Haiying Kang
Jie Shen
Guang Xu

International training and management development has to date received little research attention. This
study aims to contribute to the international human resource management literature by empirically
exploring international training and management development policies and practices for both expatri-
ates and host-country nationals (HCNs) of South Korean multinational enterprises (MNEs) operating
in China. The data for this study were collected through in-depth interviews with both HCN managers
and expatriate managers of 10 Korean MNEs. The results show that in our sample, South Korean MNEs
provide expatriates with inadequate and low-rigor predeparture cross-cultural training and leadership
training. However, the sample MNEs provide extensive predeparture and postarrival language training
and regular postarrival technical and professional training. On-the-job training is provided mainly to
HCN production workers in order to improve productivity and work safety. Selected high-performance
HCN middle managers and employees are sent back to headquarters for training. This, however, is not

Correspondence to: Guang Xu, Faculty of Management, Harbin Normal University, China, sara0220@sina.com

Published online in Wiley Online Library (wileyonlinelibrary.com)

© 2015 Wiley Periodicals, Inc. • DOI: 10.1002/tie.21695
230 FEATURE ARTICLE
regarded for career development but for rewarding good performance.The sample South Korean MNEs
pay little attention to management development for both expatriates and HCNs. Consequently, this has
a negative effect on employees’ organizational commitment and retention. © 2015 Wiley Periodicals, Inc.
Introduction
I
nternational training and management development
is important to MNEs because it improves human capi-
tal and the motivation of both expatriates and HCNs.
In turn, this influences international business perfor-
mance (Dowling, Festing, & Engle, 2013; McPherson &
Roche, 1997). A recent survey of 529 MNEs operating in
six Asian countries—Indonesia, Malaysia, the Philippines,
Singapore, Thailand, and Taiwan—reveals that MNEs in
general recognize the benefits of training and invest heav-
ily in training for expatriates and HCNs (Zheng, Hyland,
& Soosay, 2007). However, to date, little research has
been done on international training and management
development practices, especially in non-US MNEs. Most
studies have focused only on expatriate predeparture
training. As a result, the literature on other international
training and management development issues, such as
expatriate postarrival training, HCN training, and man-
agement development of expatriates and HCNs, is lim-
ited. Consequently, there is a significant research gap in
the international training and management development
literature.
South Korea is a global giant in outward foreign direct
investment (FDI) and between 2004 and 2011 its outward
FDI quadrupled from US$5.6 billion to more than US$20
billion (United Nations Conference on Trade and Devel-
opment [UNCTAD], 2012). South Korean MNEs such as
Hyundai, Samsung, and LG are globally competitive play-
ers in their respective industry sectors (D. H. Kim & Tung,
2013). However, little research attention has been paid to
such companies’ international training and management
development practices. A recent literature review by Kang
and Shen (2012) has found that only four studies—Tay-
lor, Cho, and Hyun (2001); Gamble (2000); Lansbury,
Kwon, and Suh (2006); and Zou and Lansbury (2009)—
explored training and management development prac-
tices of South Korean MNEs. All four studies, however,
only examined training for HCNs. Expatriate training
and management development, and HCNs’ management
development practices have been largely ignored. Since
the early 1990s China has become the most important
destination of South Korea’s outward FDI for location
advantage, cultural/historical similarities, and business
engagement (E. M. Kim & Mah, 2006). In 2001, China
Thunderbird International Business Review Vol. 57, No. 3 May/June 2015
became for the first time the largest foreign country that
South Korea directly invested in. By 2012, Korean invest-
ment in China was 39% of its total global investment
(Korea Eximbank, 2013). South Korean MNEs invest in
a wide range of industries, such as manufacturing, tele-
communication, wholesale, retail, catering, transporta-
tion, storage, finance, insurance, information technology,
real estate, and service industries (Pan & Zhang, 2011).
Global-wise, China became the first FDI destination in
2012 (Organization for Economic Cooperation and
Development [OECD], 2013) and now becomes an ideal
laboratory for studying how MNEs conduct their interna-
tional training and management development policies
and practices.
To contribute to the international training and
management development literature, this study sets out
to examine predeparture training and management
development practices for Korean expatriates. It also
explores postarrival training for expatriates, and HCN
training and management development practices. The
data for the study were collected from in-depth interviews
with both HCN managers and expatriate managers in
10 South Korean MNEs in China. This article is struc-
tured as follows. We first review the extant literature on
international training and management development.
In 2001, China became for
the first time the largest
foreign country that South
Korea directly invested in.
By 2012, Korean investment
in China was 39% of its
total global investment.
DOI: 10.1002/tie
 International Training and Management Development Policies and Practices of South Korean MNEs in China
Following the explanation of our research method con-
cerning case companies and interviewees, and data ana-
lytical strategies, we present the major research findings.
Subsequently, in the discussion section we analyze the
characteristics of the international training and manage-
ment development practices of South Korean MNEs com-
pared to the international HRM literature. We conclude
the article by discussing the implications for research and
practices.
Literature Review
International Training
International training includes predeparture and postar-
rival training for expatriates and families and training for
HCNs. Expatriates’ predeparture training programs may
be wide-ranging, including, for example, cross-cultural
training (CCT), language training, skill training, and
leadership training (Dowling et al., 2013). While differ-
ent programs have different emphases, CCT is designed
to enhance the individual expatriate’s awareness of cul-
tural differences and sensitivity in dealing with cultural
issues (Wang & Tran, 2012). It is argued that CCT is the
most important predeparture training in that it can assist
expatriates in managing culture shock, appreciating
different cultures, and adapting better to new environ-
ments (Harris & Kumra, 2000; Morris & Robie, 2002).
Language training is important as studies, such as K.
Kim and Slocum (2008), revealed a positive relationship
between host-country language fluency and expatriate
work performance. Predeparture training can be pro-
vided using a range of methods, such as self-initiated
training, briefing, lectures, interviews with expatriates
or repatriates, simulation, and field experience (Dowl-
ing et al., 2013). Training rigor measured by training
program, method, and duration determines the degree
of a trainee’s cognitive involvement in training (Black,
Gregersen, & Mendenhall, 1992). The more rigorous the
training is, the more efficient the expatriate’s adjustment
and work performance will be (Littrell & Salas, 2005). It is
widely suggested that training rigor for expatriates should
be determined by assignment type and duration, cultural
differences between the parent and host countries, and
assignees (Dowling et al., 2013; Shen & Darby, 2006).
Despite the importance of predeparture training to
expatriates, many Australian MNEs (Clegg & Gray, 2002;
Hutchings, 2005; Mehegan, 2003; Shen & Lang, 2009),
Chinese MNEs (Shen & Darby, 2006), New Zealand MNEs
(Seak & Enderwick, 2008), and Taiwanese MNEs (Lin &
Wei, 2005), only provide limited training. According to
the literature, the most common reasons why MNEs do
DOI: 10.1002/tie
231
not provide enough predeparture training are: lack of
time; the temporary nature of assignments not warrant-
ing budget expenditures; the perception that because the
right people have been chosen for assignments they do
not need training; lack of training experts and expertise;
and training costs (Baumgarten, 1995; Shen, 2005; Shen
& Lang, 2009; Tung, 1982; Welch, 1994). In contrast,
research shows that European MNEs in general pay great
attention to predeparture training and provide a variety
of programs including look-see visits and shadowing for
expatriates (Mitrev & Culpepper, 2012). US MNEs gen-
erally emphasize predeparture training, especially CCT,
which lasts for one to two years in some businesses (Esch-
bach, Parker, & Stoeberl, 2001; Yamazaki & Kayes, 2007).
Postarrival training for expatriates aims to minimize
the problems associated with cultural adjustment (Wang
& Tran, 2012). Postarrival training is regarded as effective
in expatriate adjustment due to the fact that expatriates
may have trouble applying structured predeparture train-
ing to their unstructured and unpredicted expatriate
experience. However, postarrival training enables expatri-
ates to combine explicit knowledge and information from
their prior knowledge with real experience (Gudykunst,
2004; Mendenhall, Kuhlmann, Stahl, & Osland, 2002;
Selmer, Torbiorn, & de Leon, 1998). In contrast to pre-
departure training, postarrival training gives expatriates
an opportunity to evaluate any emerging stressors and
problems (Sanchez, Spector, & Cooper, 2000).
Nevertheless, the extant international training lit-
erature is mainly focused on predeparture training and
has largely neglected postarrival training (Wood, 2011).
It is suggested that CCT and
language training should be
provided to HCNs in order
for them to be more effective
in interacting with expa-
triates and implementing
MNEs’ business strategies.
Thunderbird International Business Review Vol. 57, No. 3 May/June 2015
232 FEATURE ARTICLE
One exception is the study by Shen and Darby (2006),
which examines postarrival training for Chinese expatri-
ates. According to the authors, Chinese MNEs do not
have a corporate level policy concerning postarrival train-
ing for expatriates. Instead, they leave it to managers in
subsidiaries to decide if there is a need to provide such
training. Normally, systematic postarrival training is not
provided in Chinese MNEs, which mainly provide ad hoc
postarrival training focusing on work safety and govern-
ment or industry product regulations. Apart from this we
know little about how MNEs manage postarrival training
for expatriates. Therefore, more studies are needed to
explore postarrival training for expatriates.
It is suggested that CCT and language training
should be provided to HCNs in order for them to be
more effective in interacting with expatriates and imple-
menting MNEs’ business strategies (Caligiuri, 2000; Paik
& Sohn, 2004; Suutari, Raharjo, & Riikkilä, 2002). Vance
and Paik (2005) suggest that HCNs should be provided
with more individually tailored training programs. For
example, senior HCN managers should know the parent
company’s culture and business strategy, and technical
and management systems. Hence, training programs
for senior HCN managers should cover these issues.
For operation-level employees, four major categories of
training should be provided: new employee orientation,
entry job skills, parent company predominant language,
and cross-cultural awareness. Research shows in gen-
eral MNEs do not provide adequate training to HCNs.
For example, in Swedish MNEs, training programs are
provided to expatriates, yet training to HCNs and third-
country nationals (TCNs) is not provided to the same
extent (Eriksson & Kobin, 2007). Japanese and Korean
MNEs tend not to provide parent company language
training to HCNs. Instead, they provide English training.
This practice, as argued by Feely and Harzing (2003),
affects the absorptive capacity of HCNs and knowledge
flow between expatriates and HCNs. Lansbury et al.
(2006) reported that the training programs provided
by Korean MNEs for HCNs in Canada and India mainly
focus on loyalty, motivation, and team spirit, rather than
improving skills and ability for career and management
development. Zou and Lansbury (2009) to some extent
agree with Lansbury et al. (2006) in that the training pro-
grams provided by Hyundai Motor Company to Chinese
employees are mainly production operational proce-
dures and how to improve teamwork. Hartmann, Feisel,
and Schober (2010) found that Western MNEs some-
times provide temporary overseas training to talented
HCNs in China before they are assigned to managerial
positions. It is unclear whether this practice results from
Thunderbird International Business Review Vol. 57, No. 3 May/June 2015
There are some advantages
for promoting HCNs
in managerial roles; for
example, it will enhance
the morale of HCNs and
overcome language and
cultural differences easily
with other local colleagues.
a lack of training for ordinary HCNs. It should be noted
that HCN training has received relatively less research
attention. Consequently, how HCN training is managed
by MNEs remains not entirely clear and consequently
requires further analysis.
International Management Development
International management development that involves
promotion of both expatriates and HCNs is critical for
both MNEs and individual employees. It may directly
relate to company growth and even to a company’s
ultimate survival in a very competitive marketplace; to
individuals, it provides directions to their careers and
enables them to accomplish their personal goals (Selmer,
1999). International management development is a key
to attracting, retaining, and developing top international
managers (Shen & Darby, 2006). It has also been found
that there is a high level of expatriate turnover, and the
perception of lack of management advancement oppor-
tunities is a major reason (Dowling & Welch, 2004). The
retention of repatriates is important, as it enables them to
transfer their acquired knowledge and skills from interna-
tional assignments to organizations (Mezias & Scandura,
2005). Hence, MNEs should provide a well-developed,
systematic repatriation system and career planning in
such a way to commit to individual management develop-
ment (Bolino, 2007; Dowling & Welch, 2004).
Many MNEs, typically those of China (Shen & Darby,
2006) and the United States (Tung, 1998), do not have
DOI: 10.1002/tie
 International Training and Management Development Policies and Practices of South Korean MNEs in China 233

formal international management development schemes
for expatriates. According to Tung (1998), 60% of
American expatriates were not guaranteed a position
in their company’s headquarters after expatriation, and
only one-third of expatriates were promised a position at
the same organizational level before their expatriation.
Many European MNEs, however, provide written guar-
antees that their positions will still be there when they
return (Scullion & Brewster, 2002). Most Finnish MNEs
guarantee at least similar-level positions for repatriates,
and some of them agree to provide specific jobs on repa-
triation before the international assignment (Suutari &
Brewster, 2001). US MNEs do not have long-term career
planning before expatriation and do not guarantee
future positions upon return (Bossard & Peterson, 2005).
It is suggested that the development of global leader-
ship should include HCNs and TCNs (Debrah & Rees,
2011). Otherwise, there will be difficulties in attracting
nonparent national talent (Shen & Darby, 2006). There
are some advantages for promoting HCNs in managerial
roles; for example, it will enhance the morale of HCNs
and overcome language and cultural differences easily
with other local colleagues (Wong & Law, 1999). However,
trust is important when MNEs grant authorities to their
nonexpatriate managers. Without trust, the localization
progress may be disrupted (Harvey, Speier, & Novicevic,
1999; Herrmann & Werbel, 2007). It is suggested that
talented HCN managers should not only be appointed in
subsidiaries in host countries but also transferred to head-
quarters (i.e., inpatriation) (Edström & Galbraith, 1977).
Research shows that US MNEs offer HCNs opportuni-
ties to advance their leadership careers at the regional
as well as the global level (Vo, 2009). Japanese MNEs,
however, tend to be more ethnocentric by not promoting
HCNs to senior management positions (Vo, 2009). This
is due to the fact that Japanese MNEs are heavily focused
on an expatriate-based system and consequently HCNs
face limited promotion opportunities (Legewie, 2002).
Research also shows that German MNEs were more likely
to promote HCN subordinates if clear exchange of ben-
efits were made with their supervisors or they had support
mechanisms throughout the organization to achieve their
objectives (Herrmann & Werbel, 2007). Due to a lack of
research, little is known about HCN management devel-
opment practices in Korean MNEs.
Methodology
We adopted the collective and descriptive case study
approach in this study. The data for this study were col-
lected through in-depth semistructured interviews with
20 senior managers who well understood their firms’
HRM practices and expatriate management in subsidiar-
ies of 10 Korean MNEs operating in Beijing, Tianjin, and
Yantai in China. As shown in Table 1, the case companies
varied in size and age, and were involved in a wide range
of industries. Two MNEs, Telecom C and Auto A, are joint
ventures (JVs), and the others are South Korean–owned
enterprises. The business structure is consistent with the
industry and ownership patterns of Korean MNEs in
China (Export-Import Bank of Korea, 2011). The subsid-
iary size (number of employees) ranged between 20 and
69,000.
The interviews were conducted between August and
October 2011. Two managers, one HCN manager and
one expatriate manager, in each firm were interviewed.

TABLE 1 Company Profiles

Year of Establishment Location in No. of Foreign Subsidiaries No. of Employees Ownership in

Company in Korea/China Industry China Globally/Host Country Globally/in China China
Telecom A 1997/2004 Online Services Beijing 4/4 400/76 FOE
Chemical A 1966/1992 Chemical Beijing 15/6 10,000/2,000 FOE
Telecom B 1984/1987 Mobile Phone Beijing 6/3 4,500/350 FOE
Advertising A 2005/2005 Advertising Beijing 10/5 350/30 FOE
Telecom C 1984/2003 IT Beijing 1/1 4,500/58 JV
Electronics A 1958/1993 Electronics Yantai 100/44 100,000/36,000 FOE
Electronics B 1938/1992 Electronics Tianjin 57/65 680,000/69,000 FOE
Auto A 1967/2002 Automobile Beijing 18/8 68,000/7,400 JV
Finance A 1993/2005 Finance Beijing 2/2 2,375/20 FOE
Telecom D 1999/2000 Mobile Phone Beijing 2/2 100/30 FOE
Note: FOE: foreign-owned enterprise; JV: joint venture.

DOI: 10.1002/tie Thunderbird International Business Review Vol. 57, No. 3 May/June 2015
234 FEATURE ARTICLE

The interviewees’ profiles are shown in Table 2. Interviews Results

were conducted in Chinese for Chinese managers and
Korean for expatriate managers (the first author is fluent
in Korean). The interviewees were asked about provision,
programs, methods, and duration of predeparture train-
ing for expatriates and training in the host country for
both expatriates and HCNs, and management develop-
ment practices for both expatriates and HCNs. Expatri-
ate managers provided more detailed information about
predeparture training. Interview summaries and case
reports were sent back to the interviewees for verifica-
tion. The interviews normally lasted about one and a half
hours. Follow-up calls were made when needed to clarify
issues. Data were also collected through company docu-
ments and reports such as annual reports and what was
published on official web sites.
The qualitative data were content analyzed. Cod-
ing examples and exemplary statements are shown in
Table 3. For reasons of space constraint in this article,
we do not report the results in a case-by-case fashion,
but rather summarize the results based on the key
themes.
International Training
All the case Korean MNEs except for Advertising A and
Finance A provided CCT, leadership training, and lan-
guage training to expatriates prior to departure although
expatriates were chosen mainly from people who had
learned Chinese. The length of training programs varied
from one to two months depending on training intensity.
On average, the training duration was two to three hours
per week, which was generally regarded as too short by
the interviewees. In the words of the operation manager
in Telecom D:
I have received a very short notice for my posting in
China—only one month before the expatriation. My
language training was only for a few days. Although
previously I learned some Chinese I felt I needed more
language training before I took on the Chinese assign-
ment. Some other expatriates said the same thing to me.
CCT was often combined with leadership training.
For example, a focus on leadership training at Chemical

TABLE 2 Interviewees’ Profiles

Company Position Age Gender Working Years Education Nationality

Telecom A Operation Manager 38 M 3 Bachelor Korean
General Manager 46 M 5 Master Chinese
Chemical A Marketing Manager 41 M 3 Master Korean
HR Manager 40 M 3 Bachelor Chinese
Telecom B Chief Operating Officer 44 M 2 Bachelor Korean
General Manager 48 M 4 Bachelor Chinese
Advertising A Marketing Manager 33 M 3 Bachelor Korean
HR Manager 40 F 4 Bachelor Chinese
Telecom C Operation Manager 41 M 3 Bachelor Korean
General Manager 48 M 4 Diploma Chinese
Electronics A Marketing Manager 43 M 3 Master Korean
HR Manager 45 M 4 Bachelor Chinese
Electronics B Finance Manager 46 M 5 Bachelor Korean
General Manager 41 M 4 Bachelor Chinese
Auto A Marketing Manager 41 M 4 Bachelor Korean
HR Manager 46 M 3 Bachelor Chinese
Finance A Finance Director 39 F 4 Bachelor Korean
HR Manager 45 M 3 Bachelor Chinese
Telecom D Operation Manager 38 M 2 Bachelor Korean
HR Manager 46 F 2 Bachelor Chinese

Thunderbird International Business Review Vol. 57, No. 3 May/June 2015 DOI: 10.1002/tie
 International Training and Management Development Policies and Practices of South Korean MNEs in China 235

TABLE 3 Coding Examples and Exemplary Statements

Category Coding Statement

Expatriate Predeparture Program “The Headquarters focus heavily on the Chinese culture in expatriate predeparture training” (HR manager,
Training Chemical A).
Method “Seminars were conducted to discuss cultural differences” (HR manager, Chemical A).
Duration “My language training was only for few days” (operations manager, Telecom D).
Expatriate Postarrival Program “We run workshops to discuss the difficulties expatriates have in dealing with Chinese colleagues” (general
Training manager, Telecom A).
Method “No further CCT was provided except for orientation provided to newly arrived expatriates” (marketing
manager, Electronics A).
Duration “We offer three hours of Chinese language lessons to expatriates and their spouses per week” (HR manager,
Electronics A).
HCN Training Program “We run English workshops for Chinese managers to improve their communication skills” (general manager,
Electronics B).
Method “We send some HCN middle managers and high performers to Korean headquarters for training” (general
manager, Telecom A).
Duration “Training at the headquarters normally lasts for two weeks” (general manager, Telecom A).
Expatriate Management Career “There is no career planning for me. My company did not make any promises about what position I will get
Development Planning once I have finished the Chinese assignment” (operating manager, Telecom C).
HCN Management Chances for “The majority of senior managers in my company are Korean, leaving little chances for local employees to
Development Promotion get promoted” (HR manager, Electronics A).

A, Electronics A, and Electronics B aimed to build trust
in the Chinese culture. Marketing Manager at Electronics
A commented, “Through the training, I learned how to
be trusted by Chinese subordinates.” Training methods
included online learning, workshops, discussions with
repatriates, simulation, and on-site visits. The marketing
manager at Chemical A commented, “We invite repatri-
ates to conduct CCT training so that they can reflect
some of their experience.” HR Manager at Chemical A
mentioned that the company uploaded training materials
online so that expatriates could also learn in their own
time after they had attended workshops.
Electronics A, Electronics B, and Auto A arranged
one week or so previsits for expatriates before departure.
The general manager at Electronics B commented that
the purpose of previsit is for expatriates to look at their
new working and living environments so that they will
not be surprised when they have been relocated. No case
company provided any predeparture training to expatri-
ates’ family members. The operations manager at Tele-
com C commented that “Spouses normally do not work
in the same company. It is understandable to me that my
company would not think it necessary to include my wife
in predeparture training.”
Advertising A and Finance A had briefings on inter-
national assignments, but did not provide other formal
predeparture training to expatriates. According to the
marketing manager at Advertising A and the operations
manager at Finance A, their companies recruited expatri-
ates from people who could speak Chinese or had lived
in China previously. These two interviewees are Korean
expatriates, fluent in Chinese, and had lived in China for
many years before joined the companies. Hence, these
two companies believed that their expatriates did not
have serious cultural and language issues to overcome
and consequently CCT and language training were not
necessary.
Five firms—Telecom A, Telecom D, Chemical A, Elec-
tronics A, and Auto A—continued to provide language
training to expatriates or provided financial support to
those who took language courses after they had arrived in
China. The HR manager at Telecom D commented that,
typically, “In my company financial assistance is always
available if someone [expatriate] wants to study the local
language.” The duration of language training organized
by the sample MNEs was generally two to three hours per
week, lasting from one month to one year. Electronics A
and Auto A also allowed expatriates’ families to attend
language training. The marketing manager at Auto A
remarked, “My wife and kids have enjoyed the Chinese
language training and have found the training useful for
improving their communication skills.” No further CCT
was provided except for orientation provided to newly
arrived expatriates. Expatriates were often sent back to

DOI: 10.1002/tie Thunderbird International Business Review Vol. 57, No. 3 May/June 2015
236 FEATURE ARTICLE
headquarters for technical training and professional
training. For example, the marketing manager at Elec-
tronics A usually went back to South Korea twice a year
for professional training. Expatriates who worked in the
research and development departments were sent back
more often to Korea for training.
Little training was provided to HCNs in the case
companies because, as the general manager at Telecom B
said, they “recruit local employees who have enough pro-
fessional knowledge and abilities to complete the tasks.”
Electronics A, Electronics B, and Auto A provided HCNs
with work skills and safety training, normally two-week on-
site training for new workers, in the production sections.
Telecom A, Telecom B, Chemical A, Electronics A, and
Electronics B provided training to selected HCN middle
managers and high performers at Korean headquarters.
Such training combined headquarters visits, technical and
cultural training and sightseeing, and, according to the
general manager at Telecom A, had two purposes. One
is to provide an opportunity to HCN managers to update
their technical knowledge and learn about organizational
cultures and management. The other is to reward those
who achieved outstanding performance in their work.
International Management Development
Only Chemical A, Electronics A, and Electronics B had
career plans for expatriates, although these plans were
regarded to be vague due to a lack of commitment to
management development. The marketing manager at
Advertising A, which did not have an expatriate career
plan, commented:
In Korea, an employee’s career ladder is normally
relatively fixed. It takes several years (normally four
years) for a person to be promoted to a higher position.
Although international experience and work perfor-
mance are important there are many factors, such as
qualifications, relationship with senior managers, and
seniority. So it is unrealistic to set a career plan for an
expatriate.
A lack of career planning resulted in high turnover
among expatriates and repatriates. The operating man-
ager of Telecom C remarked:
Some of my colleagues left the company after repa-
triation, and some left the company while they were
in China to start their own businesses here. Since my
future position is uncertain, I am open to all options
including seeking a job in another company.
All the interviewees reported that HCNs were
included in management development schemes, but
Thunderbird International Business Review Vol. 57, No. 3 May/June 2015
these were confined to Chinese subsidiaries. HCNs’
promotion mainly depended on their qualifications,
experience, and job performance. However, because
there were limited senior managerial positions, promo-
tion among HCNs was rare and difficult to achieve. Pro-
motion was even harder in Electronics A, Finance A, and
Advertising A, which adopted an ethnocentric approach
to staffing. With this approach, these MNEs appointed
expatriates to fill most senior managerial positions. A lack
of opportunities for promotion was a major reason for
high-caliber HCNs to leave Korean MNEs. A statement
often expressed was like: “It becomes common for HCN
employees to leave after working for two years due to a
lack of development chances.”
Discussion
Research Contributions
International training and management development
is an underresearched topic in the IHRM literature.
The current study aims to contribute to the literature
by exploring the international training and manage-
ment development policies and practices Korean MNEs
adopt in their Chinese subsidiaries. Our study reveals
that the sample Korean MNEs provide extensive pre-
departure language training, but only little CCT and
leadership training to expatriates. Overall, the rigor of
predeparture training measured by programs, methods,
and duration is generally low. More specifically, while
no formal predeparture training is provided in Advertis-
ing A and Finance A, training durations are generally
of a brief nature in the other sample MNEs. Workshops
Our study reveals that the
sample Korean MNEs
provide extensive predepar-
ture language training, but
only little CCT and leader-
ship training to expatriates.
DOI: 10.1002/tie
 International Training and Management Development Policies and Practices of South Korean MNEs in China
and lectures that are widely deemed to be low-rigor
training in the international training literature are the
major training methods used by the sample Korean
MNEs. Only three companies including Electronics A,
Electronics B, and Auto A provide previsits to the host
country. Leadership training tends to be combined
with CCT and is only provided by the abovementioned
three MNEs. This finding lends some support to Gamble
(2000), Lansbury et al. (2006), and Taylor et al. (2001)
that reached a similar conclusion, in that MNEs offer
only limited, low-rigor predeparture training. Our study
shows that the inadequacy of predeparture CCT and
leadership training is due to managerial perceptions of
low training needs because expatriates were chosen from
candidates who had already worked or lived in the host
country, and predeparture training was of little use. This
finding is consistent with the literature (i.e., Gamble,
2000) arguing that MNEs in general pay more attention
to choosing the right expatriates than to predeparture
training. Furthermore, studies such as Feely and Harzing
(2003) and Gamble (2000) reported that MNEs tend to
provide expatriates with language training. Consistent
with this literature, our research reveals that the majority
of the sample South Korean MNEs put a strong emphasis
on language training both prior to departure at home
and postarrival in the host country.
The sample South Korean MNEs do not provide
expatriates with postarrival CCT, but with regular lan-
guage, technical, and professional training. While postar-
rival language training takes place in the host country,
expatriates are sent back to their headquarters for techni-
cal and professional training. Given that the past research
on postarrival training is scarce, our study adds to the
knowledge base of the international training literature.
The case South Korean MNEs pay significant attention to
on-the-job skills and safety training for HCN production
workers in order for them to work effectively and safely.
However, little of such training is provided to nonpro-
duction workers because of its perceived irrelevance. No
CCT or language training is provided to HCNs either.
Some high-performance HCN managers and employ-
ees are chosen to be sent to headquarters for training
on organizational systems and cultures. As such, train-
ing is normally focused on sightseeing and networking
with managers at headquarters; it is regarded as a kind
of reward for good performance, not employee career
development. Our research therefore does not support
past studies, such as Lansbury et al. (2006), Taylor et
al. (2001), and Zou and Lansbury (2009), arguing that
Korean MNEs provide considerable training to HCNs in
foreign operations.
DOI: 10.1002/tie
237
The case South Korean MNEs have not developed
formal career development plans for expatriates. Although
international experience is one criterion for promotion in
South Korea, other factors such as qualifications, senior-
ity, and relationships with leaders are more important in
promotion (Taylor et al., 2001). A lack of management
development opportunities is significantly associated with
high turnover among Korean expatriates and repatriates.
While HCNs are included in management development
schemes, managerial positions available to them are
restricted in the host country, and chances for promotion
are rare. Ineffective international management develop-
ment has a negative impact on employee organizational
commitment and significantly increases turnover and
intention to leave among high-caliber HCNs in the sample
MNEs. Reviewing the literature, our findings concerning
international management development are consistent
with the study by Lansbury et al. (2006), who report that,
first, promotion opportunities provided to HCNs are rare,
and second, procedures are normally slow and long with
their sample of Korean MNEs. In comparison, in our
study, the sample Korean MNEs’ international manage-
ment development practices are similar to those of Chi-
nese and US MNEs (Shen & Darby, 2006; Tung, 1998).
That is, they lack formal schemes for expatriate manage-
ment development, and HCNs are rarely promoted to
senior managerial positions. In contrast to this scenario,
K. Kim and Slocum’s (2008) study reveals that US-based
Korean expatriates have great opportunities for career
development and promotion. This finding appears not to
be supported by our study.
Theoretical Implications and Research Limitations
This study has significant theoretical implications. First,
our study provides some insight into the importance
of predeparture training. Our study reveals that the
sample Korean MNEs provide inadequate, low-rigor
predeparture CCT for expatriates. This finding is con-
sistent with the prevailing literature (e.g., Baumgarten,
1995; Dowling et al., 2013; Gamble, 2000; Shen & Darby,
2006; Tung, 1982; Welch, 1994). We therefore suggest
that it has likely become commonplace for MNEs not to
provide adequate, high-rigor CCT. A major reason for
MNEs not providing adequate, high-rigor predeparture
CCT is the common belief among senior managers that
such training is of little use, or there is a lack of need for
it. However, academics insist that predeparture CCT is
important and they continue to advocate the provision
of extensive, high-rigor predeparture CCT. Based on the
findings of this study and taking into account what the
existing literature generally suggests, we tend to believe
Thunderbird International Business Review Vol. 57, No. 3 May/June 2015
238 FEATURE ARTICLE
choosing people who have prior knowledge and experi-
ence of host-country cultures and provision of regular
postarrival training would undermine the significance of
predeparture training and compensate inadequacy. In
today’s modern society, people have access to advanced
information technology through which they learn about
different cultures, customs, and traditions. This consider-
ably reduces the significance of predeparture CCT. We
therefore call for more studies to reexamine the practices
and the importance of predeparture CCT, and the relative
impact of predeparture training, postarrival training, and
expatriate selection criteria on expatriates’ adjustment
and work performance in international assignments.
Second, our study helps to better understand the
association of expatriation with management devel-
opment. Past research such as K. Kim and Slocum’s
(2008) revealed that US-based Korean MNEs have great
opportunities for career development and promotion for
expatriates. This finding is not supported in our study. We
Based on the findings of
this study and taking into
account what the existing
literature generally suggests,
we tend to believe choosing
people who have prior
knowledge and experience
of host-country cultures
and provision of regular
postarrival training would
undermine the significance
of predeparture training and
compensate inadequacy.
Thunderbird International Business Review Vol. 57, No. 3 May/June 2015
suspect that if this is the case, international experience
may be regarded as less significant when Korean expatri-
ates work in developing or underdeveloped countries.
However, this finding could be Korea-specific and needs
to be further examined in studies conducted in other
national contexts. Furthermore, our study provides a
new perspective to understanding MNEs’ decisions on
training for expatriates. The South Korean MNEs in our
sample provide extensive language training to expatriates
prior to departure and postarrival. There is hence the
possibility that when the need for some training is not
apparent, MNEs may allocate more resources to other
training programs. This finding is worth further empiri-
cal exploration.
Like any other studies, this research has limitations
that should be addressed in future studies. First, this
study was conducted in Korean MNEs in China where
the host’s national culture is very similar to South Korean
culture. As suggested by Dowling et al. (2013); Shen
and Darby (2006); Zakaria (2000); and Yang, Wang, and
Drewry (2009), the provision of CCT is influenced by
cultural differences. This to a great extent influences the
CCT practices in the MNEs studied here. The findings’
generalizability would be enhanced if future studies use
samples in multiple countries of origin and host nations.
Second, the sample size of this study is small and no non-
managerial employees were interviewed. Nonmanagerial
employees may have different views about the provision
and effectiveness of training and management develop-
ment practices. Future research should collect data from
more companies and employees in different positions.
Implications for Management
This research has significant implications for manag-
ers of South Korean as well as other national MNEs.
The sample South Korean MNEs provide inadequate,
low-rigor predeparture CCT and leadership training to
expatriates, inadequate on-the-job training to HCNs and
limited management development schemes and oppor-
tunities to both expatriates and HCNs. This deficiency
has a negative impact on expatriate adjustment to new
working and living environments, and on organizational
commitment and retention among both expatriates and
HCNs. To address this problem, MNEs should analyze
the need for predeparture training. If the need is identi-
fied, high-rigor training programs, such as short-term
assignments and host country visits, may be offered. The
current study shows that postarrival training can reflect
expatriate experience and be effective when adjusting to
new environments. MNEs hence should provide regular
postarrival training to expatriates. Given the linkage
DOI: 10.1002/tie
 International Training and Management Development Policies and Practices of South Korean MNEs in China 239

between management development practices and expa-
triate/repatriates retention (Dowling et al., 2013), MNEs
should develop well-designed management development
programs for expatriates, including mentoring during
expatriation and position arrangement upon repatria-
tion. Moreover, MNEs rely heavily on HCNs to manage
business matters in foreign operations. With this in mind,
MNEs should pay more attention to developing HCN
managers by providing HCNs with more opportunities
for promotion and individualized management devel-
opment plans. This would help attract and retain high-
caliber local talent.

Haiying Kang is a lecturer at the Australian Institution of Business. Her research interest is international human
resource management. She has published in International Journal of Human Resource Management and Asia
Pacific Business Review.

Jie Shen is associate professor of human resource management at the School of Management, University of South
Australia. His research interests are human resource management, international human resource management,
organizational behavior, and research methodology. He has published over 50 refereed articles in journals such as
Journal of Management, Human Resource Management, Human Resource Management Journal, and International
Journal of Human Resource Management.

Guang Xu is associate professor of management in the Faculty of Management, Harbin Normal University, China.
His research interests are strategic management, organizational behavior, and research methodology. He has pub-
lished widely in Chinese journals.

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