From the Porous Spaces on the Bubble: The Life and Work of Japanese Expatriate Employees in Indonesia and their Relations with the Host Society Yukimi Shimoda B.A., M.A. This thesis is presented for the degree of Doctor of Philosophy of The University of Western Australia Discipline of Anthropology of Sociology School of Social and Cultural Studies 2011 ABSTRACT This is an ethnographic study of both geographical and spatial transnational ‘migrants’, namely, expatriate employees of transnational organisations/corporations, who work away from home countries for a limited period, and their relationships with host national colleagues who work alongside them in transnational office spaces. The central aims of this study are to explore the ways in which expatriate and host national employees work and interact with each other in and out of office spaces and to consider the influences and meanings of the movement of these people and their face-to-face interactions in our globalising societies. The dominant view in the existing social science literature is that ‘elite’, ‘cosmopolitan’ expatriate employees live in a ‘bubble’ cut off from the host societies. This ‘enclosed’ image of the ‘bubble’ sets up a strong contrast with the ‘openness’ that is often associated with their mobility. Meanwhile, in business studies, host national employees tend to be invisible and situated as subordinates to their superiors, namely expatriate employees. This study brings the lived experiences of both expatriate and host national employees into both the social sciences and business studies, shedding light on both constituencies in a balanced manner. This is also a relatively unique case study which focuses on Asian expatriate employees working in an Asian country. With a focus on the Japanese and Indonesian staff of a branch office of a Japanese transnational organisation in Jakarta, as well as a field office in Makassar, this study shows that Japanese expatriate employees (and their families) and host nationals develop important forms of transnational relationships that have hitherto been underexamined. Both expatriate and host national employees perform mediator roles, thus connecting with each other at different times and spaces according to various factors, such as the size and scale of groups/communities, gender, age, ethnicity, i religion, personal characteristics, careers, and circumstances inside and outside offices. Using network analysis as a framework, this study attempts to grasp interpersonal interactions between expatriate and host national employees who generally come from different socio-cultural backgrounds. Granovetter’s theory of ‘the strength of weak ties’ highlights the way in which the functional strength of structurally weak ties effectively connects these two sets of individuals. Exploring both open and closed sides of interpersonal relationships, this study also investigate three theories, which contain the concepts of openness and closure: closed networks and shortcuts in small-world networks, ‘bonding’ and ‘bridging’ social capital, and idealised openness and practical limitation in cosmopolitanism. By so doing, this study reveals the complexity of their interpersonal relationships interwoven practically and emotionally. Challenging the superficial image of the ‘bubble’, this study expands our ways of thinking about transnational connections. Considering the dual features of ‘closure’ and ‘openness’ in interpersonal interactions, the arguments of this study contribute to both the current discourse of transnational studies and the area of business studies. Finally, this study suggests that ties forged through face-to-face interactions in porous spaces on the surface of the bubble and intermittently sustained between (ex-)expatriate and (ex-)host national employees, support the emergence of a latent transnational business/social community beyond national boundaries. ii CONTENTS ABSTRACT I CONTENTS III LIST OF TABLES AND FIGURES VII ACKNOWLEDGEMENTS IX PART I BEGINNING OF THE JOURNEY : RESEARCH SETTING 1 CHAPTER 1 INTRODUCTION : FROM IN-BETWEEN SPACES 3 Introduction 3 Background to This Study: Rethinking Research Attention and ‘Studying Up’? 6 Terms in the Study 12 Japanese Nationals in Indonesia 14 Offices as Spaces for Transnational Interactions 17 The ‘Human Face’ of Expatriate and Host National Employees 20 Outline of the Study 23 Conclusion 27 CHAPTER 2 OPENNESS AND CLOSURE : CONCEPTUALISING TRANSNATIONAL RELATIONSHIPS 29 Introduction 29 Expatriate and Host National Employees in Anthropology 30 Expatriate and Host National Employees in Business Studies 44 Transnational Connections beyond National Boundaries 47 Theoretical Approaches: Openness and Closure in Interpersonal Relations 51 Conclusion 67 CHAPTER 3 THE RESEARCH SITE AND MY LOCATION 69 Introduction 69 The Demographic Characteristics of the Japanese Nationals in Indonesia 69 Methodology of the Study: Researching the Relationships between Expatriate and Host National Employees 75 Scope and Constraints of the Study 86 The Office Space of the JOI 93 iii My Location in the Field 97 Conclusion 103 PART II THE JOURNEY : FANTASTIC VOYAGE 105 CHAPTER 4 LIVING IN A BUBBLE ? 107 Introduction 107 Establishment of a New Living Environment: Creating a ‘Bubble’ Space? 108 Living in New Environments: Japanese Social Milieu 116 Connections to the Host Society 130 Cosmopolitan Reality? 140 Conclusion 145 CHAPTER 5 POROUS SPACE : DEALING WITH DIFFERENCES AND FAMILIARITIES IN WORKING LIFE 147 Introduction 147 Working In-Between 148 ‘Managing Differences’ 157 Commonalities in Perspectives, Attitudes, Values, and Lifestyle 170 Situated Openness, Porous, and Weak Ties 180 Conclusion 183 CHAPTER 6 MEDIATORS AND TRUST : CONNECTIONS BETWEEN AND AMONG INDIVIDUALS AND GROUPS 185 Introduction 185 Role of Mediators in an Organisation 186 Influential Factors on the Construction of Ties and the Role of Mediators 191 Mediators, Networks, and Embedded Knowledge 207 Trust, Talk, and Social Capital 210 Conclusion 224 CHAPTER 7 SCALE OF GROUPS /C OMMUNITIES 225 Introduction 225 Small-Scale Community: Life in Makassar 226 Proximity in Small Offices 237 Closure in Bonding Ties and Openness in Bridging Ties 252 Conclusion 260 PART III END OF THE JOURNEY : FROM A DISTANCE 263 CHAPTER 8 TRANSNATIONAL BUSINESS /S OCIAL TIES : CONSEQUENCES OF iv INTERACTIONS 265 Introduction 265 Face-to-Face Interactions, Emotion, and Memories 266 Intermittent and Enduring Weak Ties 275 Latent Transnational Business/Social Community: Keys to Cross-Boundary Relationships 288 Conclusion 299 CHAPTER 9 CONCLUSION : IN-BETWEEN OPENNESS AND CLOSURE 301 Introduction 301 Connected People across Geo-Spatial Boundaries 302 From in-Between Space: Contributions of the Study 311 Limitations of this Study and Future Research 322 Conclusion 324 CHAPTER 10 EPILOGUE : FROM THE SKY AND FROM THE EARTH 327 REFERENCES 333 APPENDICES 353 Appendix 1: Project Information Sheet and Participant Consent Form (English, Japanese, and Indonesian versions) 355 Appendix 2: Formal Semi-Structured Interview Questionnaires to Japanese Expatriate Employees (English and Japan versions) 361 Appendix 3: Formal Semi-Structured Interview Questionnaires to Indonesian Host National Employees (English version) 369 Appendix 4: Formal Semi-Structured Interview Questionnaires to Japanese Expatriate Wives (English and Japanese versions) 373 Appendix 5: Short Questionnaire of the Survey (English and Japanese versions) 377 Appendix 6: The Complete Summary of the Survey (except descriptions) 387 v vi LIST OF TABLES AND FIGURES Tables Table 3.1 Japanese Long-Term Residents by Occupation in 2008 (as of 1 st October) Table 3.2 Japanese Nationals in Indonesia (1 st October in each year) Table 3.3 Formal Interviews in Jakarta Table 3.4 Formal Interviews in Makassar Table 7.1 Japanese Nationals in Jakarta and Makassar in 2008 (as of 1 st October) Table 8.1 Contacts with the known Indonesians after assignments Figures Figure 2.1 A Clustered Network (Left) and a Small-World Network (Right) Figure 3.1 Japanese male and female primary long-term residents in 2008 Figure 3.2 Japanese primary long-term residents by occupations in 2008 Figure 3.3 Office Layout of the JOI Figure 7.1 Office Layout of the JOM Cover Photo (Re)Collection of Togetherness – Stage 4 Mixed media installation, dimensions variable © 2009 Tintin Wulia Photo taken at Jakarta Biennale XIII by Yukimi Shimoda vii viii ACKNOWLEDGEMENTS First and foremost, I sincerely appreciate all of those, who appear in this thesis, for their time and trust in sharing their precious experiences with me. I am hugely indebted to all the staff of the JOI in Jakarta, Indonesia, where I conducted the majority of my fieldwork, and also to the staff of the JOM in Makassar. Also, I extend special thanks to one former Japanese and two Indonesian staff members, who kindly read my draft and provided me with very helpful, insightful comments. I wish to express my gratitude to my supervisor, Loretta Baldassar, who has been at the helm in supervising me throughout this long journey. Since we first spoke under Perth’s vast blue sky prior to my enrolment at the University of Western Australia (UWA), she has inspired me and guided me in my journey. Her suggestions and advice stimulated my thoughts and expanded my views. In addition to academic tutelage, her encouragement and concern about my life has provided me with precious support. I also would like to greatly thank one of my other supervisors, Gregory Acciaioli. Without his constant support and