Perceived risk and sensitivity and their influence on expatriate performance during the COVID‐19 pandemic

Abstract

The COVID 19 pandemic has changed the way that global businesses function, and has been the driving force behind a reevaluation of the factors that influence expatriate performance. This study empirically examines the mediating effects of perceived risk and sensitivity in the relationship between self‐initiated expatriates support mechanisms (perceived organizational support and host‐country national support) and expatriate performance during the COVID‐19 pandemic. The data from 114 expatriates working and residing in Malaysia between March 27 and May 14, 2020 was analyzed using structural equation modelling. The results from the study indicate that host country national support significantly influences expatriate performance indirectly through expatriate engagement, while perceived risk and sensitivity moderate the relationship between perceived organizational support and host country national support through expatriate engagement. The integration of factors that influence work performance during a pandemic, such as perceived risk and sensitivity, leads to a more concise view of expatriation. Organizations need to be more prepared in terms of risk induced scenarios, and propose suitable intervention programs to mitigate the potential negative outcomes due to a pandemic.