Turning psychic distance upside down: a dynamic, adaptive and manager-centered reconceptualization

Purpose This article reconceptualizes psychic distance (PD) from managers' perspectives as a dynamic and adaptive sense-making process. Dynamic refers to the interactive nature of PD interpretations, while adaptive emphasizes the in-the-making quality of PD assessment as it is continually recalibrated through ongoing interactions and learning. Design/methodology/approach The article employs a multi-step methodology to develop the conceptual framework, synthesizing insights from international marketing, management, psychology, and sociology literature. Findings Managers assess PD across three cognitive domains, psychological (business self), role-based (business habitus), and cultural (organizational values and priorities), which are affected by history and religion, market environment, and social structure. PD is further influenced by mental frames, behavioral observations and mindsets, evolving adaptively through perspective taking, strategic interactions, and learning. Research limitations/implications The new conceptual framework requires empirical validation across diverse cultural and institutional contexts. Practical implications Rather than treating PD as a constraint, businesses can use it as a strategic tool to navigate international marketing decisions. Originality/value This article represents a paradigm shift in conceptualizing PD, from a static, macro-level view to a dynamic, interpretive perception rooted in managerial experience.