Award Date

12-2007

Degree Type

Professional Paper

Degree Name

Master of Hospitality Administration

Department

Hotel Administration

First Committee Member

Gary Potts, Chair

Number of Pages

48

Abstract

Globalization is fast becoming the new trend of the hospitality industry. It remains as a highly complex and controversial concept that is not a new phenomenon. Researchers have suggested that globalization is likely an irreversible forceful process that will change the face of businesses (Mrak, 2000). In the recent Global Relocation Trends Survey conducted annually by GMAC Global Relocation Services (2007), it was reported that more than two-thirds (69%) of the multinational corporations surveyed reported an increase to the number of international assignments. This is the highest percentage that was ever reported, with more companies (65%) indicating their intent in sending even more employees on international assignments in 2007. With the increasing advancements of technological changes, globalization exposes national economies to a new level of intense competition. Neyman (2007) concurs that globalization and international business form the norms of business patterns today. With globalization prominent in the line of sight, Brewster and Suutari (2005) commented that small and medium-sized business firms are also joining huge corporations in seeking international opportunities in the global arena.

Professionals who are willing to take on such international assignments have therefore been steadily increasing in demand (Katz & Seifer, 1996). However, as many researchers have revealed, prior to sending a willing individual to start on their new international assignment, there are many factors that must be considered in the selection process, pre-departure training and on-site socialization. International assignments require huge dollar investments by the respective corporations, and according to Business Week Online, expatriate assignments can cost two to three times more than what it would cost the corporation to employ the same executive in their home country (Cheng, 2002). Thus, one of the key responsibilities of organization must be in exploring ways to lessen the impact of relocation by ensuring that proper and adequate expatriate training is in place before the manager leaves their home country. Flynn (1995) concurs by indicating that relocation is a partnership effort between companies and their employees. Peter Koveos, Director of Kiebach Center for International Business Studies at Syracuse University (as cited in Hebard, 1996) therefore suggests that those companies who are planning to win in the big arena of globalization, must commit in preparing their people to understanding and valuing the local system in the host country that they are engaged in because ultimately, a successful international assignment requires more than an eager executive with a packed suitcase whom is ready to go.

Jameson (2007) suggests that “the ever increasing globalization of the hospitality industry and movement of people across international borders heightens the needs for intercultural education and training” (p.5). The nature of the hospitality and gaming industry deals with human beings, and when an expatriate is relocated to another country outside of their birth countries, cultural knowledge, understanding and adaptability becomes increasingly important and crucial for greater success and reduced premature returns.

Keywords

Foreign workers – Training; Globalization; Hospitality industry; International business enterprises

Disciplines

Business Administration, Management, and Operations | Gaming and Casino Operations Management | Hospitality Administration and Management | Other Business

Language

English

Comments

UNLV Singapore Campus