Giovanna Capponi, Matthew Bidwell, Isabel Fernandez-Mateo, Martine Haas
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Global Careers and Compensation: From Initial Penalties to a Superglobal Premium
This paper examines the relationship between international mobility and financial compensation for knowledge workers pursuing business careers. While some theoretical arguments suggest that international mobility may lead to higher pay, others suggest that it may lead to performance problems and lack of recognition, which could reduce financial rewards. Empirical research on the topic is limited, with cross-sectional data providing little insight into the relationship between international mobility and compensation over time. Our study overcomes this challenge by using a panel dataset on the career histories of 1,322 MBA graduates. The results reveal a curvilinear relationship between international mobility and compensation over time. Making one or two international moves can have substantial negative effects on pay. However, further moves are associated with pay growth, and there is some evidence that those who move countries multiple times (“superglobals”) obtain substantially higher pay. We discuss the implications of our findings for research on international mobility and business careers.
期刊介绍:
The mission of AMD is to publish phenomenon-driven empirical research that theories of management and organizations neither adequately predict nor explain. Data on these poorly-understood phenomena can come from any source, including ethnographic observations, lab and field experiments, field surveys, meta-analyses, construct validation research, and replication studies. AMD welcomes exploratory research at the pre-theory stage of knowledge development, where it is premature to specify hypotheses, and which generates surprising findings likely to stimulate and guide further exploration and analysis. This research must be grounded in rigorous state-of-the-art methods, present strong and persuasive evidence, and offer interesting and important implications for management theory and practice. Read the Discoveries FAQs.