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Purpose

The purpose of this paper is to explore the relationship between the brain circulation of Asian graduates of Japanese universities and Japanese companies by picking up China, Thailand, Indonesia and Vietnam, which are among the top countries which send students to Japan and host Japan-affiliated companies.

Design/methodology/approach

Questionnaire responses of Japanese university graduates from four countries are compared, especially between those who work for Japanese companies in Japan and in their countries of origin (COO), coupled with existent data analysis, interviews of these graduates and human resources (HR) managers/executives of Japanese companies.

Findings

A mobility of Japanese university graduates from Japan to their COO has been promoted by an increase in Japan-affiliated companies in their COO, which tend to offer better working environment than Japanese companies in Japan.

Practical implications

Japanese companies need to provide better working conditions to able local staff in overseas subsidiaries in order to recruit and retain the returned graduates of Japanese universities and to realize mutually beneficial brain circulation.

Originality/value

The role and constraints of study destination companies in relation with international students’ brain circulation were explored based on empirical study.

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