Personal wellbeing and intra‐cultural interaction interventions for cross‐border adjustment : Investigation of construct validity using structural equation modelling

Purpose – The purpose of this paper is to report on research which addressed two purposes. First, to test the fit between, the theoretical model, and the empirical findings from an earlier reported study. Secondly, to test the extrapolative and interrelated nature of a two sets of cultural adjustment constructs designed to enhance the personal wellbeing and intra‐cultural interaction of cross‐border managers when on foreign assignments. Design/methodology/approach – Data were collected from 244 cross‐border managers working for Australian private sector businesses in South‐East Asia in two broad industry groups: manufacturing/industrial, and financial/services. Respondents were asked to complete a questionnaire based on two separate dimensions associated with an individual's adjustment to cross‐border circumstances vis., personal wellbeing and intra‐cultural interaction. This paper evaluates the measurement fit between the identified constructs, by first examining any significant relationship though a structural equation model using LISREL 8; and then through employing path analysis. Findings – Results from the structural equation modeling were significant; and suggest a sound fit between the theoretical model and the empirical findings. The path analysis further supports the multidimensional model. The results provide direction for organisations in addressing cultural adjustment issues to support the personal wellbeing; and the intra‐cultural interaction; of cross‐border managers. Research limitations/implications – Future research will need to consider the potential for measurement invariance associated with the framework identified in this paper. Originality/value – The overall results provide useful insights for organisations as to important interventions to assist cross‐managers in becoming more attuned to their new job, business and cultural surroundings and circumstances. In this respect, cross‐border organisations need to include such interventions amongst the “adjustment experiences” for their cross‐border managers in developing personal wellbeing skills and intra‐cultural interaction strategies.