Value incongruence and categorization theoretical perspectives in SIE-HCN dyad: Path towards acceptance of differences

Abstract This study extends current literature that examines the dynamic interplay between self-initiated expatriate (SIE) and host country national (HCN) dyads through the theoretical lenses of value incongruence and categorization. This study explores the impact of embeddedness value incongruence on the acceptance of differences. It emphasizes the mediating effect of categorization and the moderating effect of SIEs' local language skills. Data were collected from SIEs and their respective HCN colleagues in China using matched dyadic surveys. The proposed relationships were tested using path analysis to investigate both direct and indirect effects, as well as moderation effects on acceptance of differences. The findings reveal that embeddedness value incongruence negatively relates to acceptance of differences. This relationship is also explained through the categorization process, particularly the categorization of SIE as an out-group member. However, contrary to expectations, SIE’s local language skills did not significantly moderate the relationship between categorization of SIE as an out-group member and acceptance of differences. This challenges conventional knowledge and opens new ways of thinking about the value of SIE’s local language skills. This study offers novel insights to international human resource management literature, particularly advancing knowledge on the dynamic interplay between SIE and HCN. This research offers practical implications for negotiating the complexities of incongruence and difference in global work environments. The intention is to ensure effective management and acceptance of differences, to foster greater diversity and inclusion in the workplace. Paper type: Research paper