Thunderbird School of Global Management1 Global PlaceGlendale, AZ 85306-6000

Conceptualizing and Measuring Global Mindset:Development of the Global Mindset Inventory

A Technical Report by:

Mansour Javidan, Ph.D.Dean of Research,Garvin Distinguished Professor, and Director of ThunderbirdGlobal Mindset Institute Leaetta Hough, Ph.D.The Dunnette Group Amanda Bullough, Ph.D.Assistant ProfessorThunderbirdSchool of Global Management

FOR MORE INFORMATION, CONTACT:globalmindset@thunderbird.eduwww.globalmindset.com

Table of Contents Executive Summary ....................................................................................................................................................... 4

Development of the Global Mindset Inventory ......................................................................................................... 5Confirmatory Factor Analyses ................................................................................................................................... 5Internal Reliability of the Global Mindset Inventory ................................................................................................. 6External Validity of the Global Mindset Inventory ................................................................................................... 6

Chapter 1 The Global Mindset Project at Thunderbird .................................................................................................. 8Background ................................................................................................................................................................ 8Global Mindset: Preliminary Definition .................................................................................................................... 8Objective of Present Report ....................................................................................................................................... 9

Chapter 2 Development of the Global Mindset Inventory ........................................................................................... 11Delineating Global Mindset ..................................................................................................................................... 11Item Generation and Rational Sorting ..................................................................................................................... 15Pretest Study ............................................................................................................................................................ 15

Data Collection .................................................................................................................................................... 15Data Analyses ...................................................................................................................................................... 15Preliminary Scales ............................................................................................................................................... 16

Pilot Study ............................................................................................................................................................... 16Data Collection .................................................................................................................................................... 16First Interim Global Mindset Inventory Scales .................................................................................................... 17Second Interim Global Mindset Inventory Scales ................................................................................................ 27Third Interim Global Mindset Inventory Scales .................................................................................................. 28

Conclusion of the Global Mindset Inventory Development .................................................................................... 32Chapter 3 Confirmatory Factor Analyses .................................................................................................................... 33

First Iteration: N = 1,266 ..................................................................................................................................... 33Second Iteration: N = 6,071 ................................................................................................................................. 36

Conclusion to the Confirmatory Factor Analyses .................................................................................................... 37Chapter 4 Reliability Analyses and Correlations ......................................................................................................... 38

Countries in the GMI database ................................................................................................................................ 41Conclusion of the Reliability and Correlation Testing ............................................................................................ 47

Chapter 5 Demographic and Prior Research Validity Test .......................................................................................... 48Organizational Level from CEO .............................................................................................................................. 48

Organizational Size .............................................................................................................................................. 52Education ............................................................................................................................................................. 53Age ...................................................................................................................................................................... 56Gender ................................................................................................................................................................. 61Graduate Degree in International Business/Affairs ............................................................................................. 64Language ............................................................................................................................................................. 65Countries Lived In ............................................................................................................................................... 74Friends and Families from Other Countries ......................................................................................................... 80Board of Directors Office Positions ..................................................................................................................... 83

Chapter 6 Criterion-Related Validities of Global Mindset Inventory Scales ............................................................... 87Acme 1 Validity Study ............................................................................................................................................ 87

Acme 1 Survey Participant Characteristics .......................................................................................................... 87Global Mindset Inventory Descriptive Statistics ................................................................................................. 87Acme 1 Criteria ................................................................................................................................................... 91Validities of Global Mindset Inventory Variables (76 Items): Correlations with Criteria ................................... 94Acme 1 Key Findings ........................................................................................................................................ 100

Acme 2 Corporation Validity Study ...................................................................................................................... 100Acme 2 Corporation Survey Participant Characteristics ................................................................................... 100Descriptive Statistics ......................................................................................................................................... 100Acme 2 Corporation Criteria ............................................................................................................................. 102Validities of Global Mindset Inventory Variables (2010 Edition, Shortened Scales) ........................................ 103Key Findings...................................................................................................................................................... 104

Concluding Remarks about the GMI ..................................................................................................................... 105References ................................................................................................................................................................. 106

Conceptualizing and Measuring Global Mindset

Page 2 of 106

List of Tables and Figures Table 2.1. Initial Attributes of Global MindsetIdentified Through Literature Review and Interviews with

Executives and Scholars ................................................................................................................................ 13 Table 2.2. Preliminary Global Mindset Inventory: Pretest Results .............................................................................. 15 Table 2.3. First Interim Global Mindset Inventory: Scale Reliabilities and Descriptive Statistics

(Pilot Study