What we talk about when we talk about ‘global mindset’: Managerial cognition in multinational corporations

Abstract

Recent developments in the global economy and in multinational corporations have placed significant emphasis on the cognitive orientations of managers, giving rise to a number of concepts such as ‘global mindset’ that are presumed to be associated with the effective management of multinational corporations. This paper reviews the literature on global mindset and clarifies some of the conceptual confusion surrounding the construct. We identify common themes across writers, suggesting that the majority of studies fall into one of three research perspectives: cultural, strategic, and multidimensional. We also identify two constructs from the social sciences – cosmopolitanism and cognitive complexity – that underlie the perspectives found in the literature. We then use these two constructs to develop an integrative theoretical framework of global mindset. We then provide a critical assessment of the field of global mindset and suggest directions for future theoretical and empirical research. Journal of International Business Studies (2007) 38, 231–258. doi:10.1057/palgrave.jibs.8400265

Transcultural Brokerage: The Role of Cosmopolitans in Bridging Structural and Cultural Holes

“…Finally, cosmopolitanism conceptualized in terms of external orientation and openness is considered a key underlying characteristic of global mindset, a construct that focuses on cognition and information processing in a global context (Levy et al, 2007).…”

“…Our approach draws on the cultural perspective on cosmopolitanism that underscores the pervasive effect of macro-level forces of globalization on ordinary individuals who are now able to travel and work in previously unreachable political, economic, and cultural territories, both physically and virtually (Beck, 2006). Related constructs such as cultural intelligence (Earley & Ang, 2003), global mindset (Levy et al, 2007), and global competencies (Bird, Mendenhall, Stevens, & Oddou, 2010), although informed by the global context, are largely independent of historical and structural dynamics. Consequently, they do not address the increasing diversity of individuals who experience cultural multiplicity and interact across cultural boundaries.…”

Predicting IJVs’ effectiveness based on their autonomy levels and the characteristics of their parent companies

“…In other words, these types of differences may be less likely to produce role conflict and role ambiguity among IJV managers since they are expected as part of the purpose of the IJV partnership. Since they are expected, systems may be in place to capture the benefits of these differences, and/or specific global competencies may be developed to better manage tensions and differences (e.g., Levy, Beechler, Taylor & Boyacigiller, 2007;Furuya, Stevens, Bird, Oddou & Mendenhall, 2009). Accordingly, the benefits of autonomy might be weaker when these differences are present.…”

Family Involvement in the Firm and Exports in the Family SME: Is the Manager’s International Orientation Influential?

“…While this manager's attribute is a well-documented construct in international business research, different approaches like SMEs internationalization [Reuber and Fisher 1997;Lloyd-Reason and Mughan 2000], multinationalization [Perlmutter 1969], learning-based models of internationalization [ Johanson and Vahlne 1977] or international entrepreneurship [McDougall, Sane and Oviatt 1994] have used different terminology (eg. "international orientation", "global mindset", "transnational mentality", "multinational mindset") but substantively examine the same phenomenon [Levy et al 2007]. Following Levy et al [2007], we are focusing on the "cultural perspective" of this construct which suggests that the answer to managing the challenges induced by globalization is to move away from an ethnocentric mindset and develop a global mindset -a mindset that involves cultural self-awareness, openness to and understanding of other cultures, and selective incorporation of foreign values and practices Levy et al [2007] 12 .…”

“…"international orientation", "global mindset", "transnational mentality", "multinational mindset") but substantively examine the same phenomenon [Levy et al 2007]. Following Levy et al [2007], we are focusing on the "cultural perspective" of this construct which suggests that the answer to managing the challenges induced by globalization is to move away from an ethnocentric mindset and develop a global mindset -a mindset that involves cultural self-awareness, openness to and understanding of other cultures, and selective incorporation of foreign values and practices Levy et al [2007] 12 . While we espouse this perspective, we will privilege the use of the term of "international orientation" at the detriment of "global mindset" as we exclude in our theory setting and empirical study multinationals or global firms which already gained a substantial internationalization level and focus on internationalizing family SMEs that require like other types of SMEs critical resources in order to open to and succeed in foreign markets.…”