Low level mobility in Hungary: advantage or disadvantage to learning and competitiveness?

The objective of this paper is to test whether the observations of foreign managers about the low mobility level of the Hungarian workforce can also be verified on a sample drawn from among young professionals. Second the paper aims to prove that a low mobility level is not necessarily a disadvantage for the economy in which small to medium‐sized enterprises (SMEs) are playing a significant role in creating new jobs.

The paper uses a questionnaire, which is based on the mobility pyramid developed by Quelch and Bloom, to survey two groups of students in two institutions.

The paper finds a strong correlation between the observations of foreign managers and the opinions of the participants in the samples. Although the sample size is not too large, the arguments of the students about why long‐term and far‐away foreign assignments are not very desirable for them are powerful and convincing. They prove how slowly society characteristics are changing.

The present low mobility level corresponds with the earlier Hofstede's findings on Hungary being a strong uncertainty avoidance society. However in the paper's view the low mobility is not necessarily a disadvantage, as people still can continuously learn, create new knowledge and strengthen local social capital, which are all important ingredients of national competitiveness.