Examining the Effect of Stakeholder Pressures on Safety Risk Adoption: Evidence from Chinese Manufacturing Enterprises

Mesfin Abeje Tefera, Fan Luo and Zeremariam Yosief
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Mesfin Abeje Tefera: School of Management, Wuhan University of Technology, Wuhan, P.R. China, 430070
Fan Luo: School of Management, Wuhan University of Technology, Wuhan, P.R. China, 430070
Zeremariam Yosief: School of Management, Wuhan University of Technology, Wuhan, P.R. China, 430070

International Journal of Management Science and Business Administration, 2023, vol. 10, issue 1, 42-59

Abstract: This study investigates the connection between stakeholders and organizational dedication in promoting safety risk practices within large-scale manufacturing enterprises of Chinese origin operating in Ethiopia. Given the complex relationship among evaluation tools, metrics, and stakeholder influence in assessing safety risk practices, a deeper exploration of this relationship becomes vital. The research aims to determine the impact of stakeholder pressure on safety risk practices in the Ethiopian-Chinese manufacturing sector, emphasizing the mediating role of organizational commitment. Provide work for a quantitative research approach, the study focuses on five prominent industrial manufacturing enterprises and employs purposive sampling to select 259 participants. The data analysis employs statistical techniques such as structural equation modeling, growth paths, and correlation matrix using the Smart Pls v. four software suite. The study successfully establishes a causal link between stakeholder pressure and safety risk practices, underscoring the significant influence of stakeholder pressures on managing safety risks. Moreover, organizational commitment emerges as a crucial mediator in this relationship. The findings emphasize the need for policymakers and practitioners in Chinese large-scale manufacturing enterprises in Ethiopia to prioritize enhancing safety practices, leading to improved safety performance and overall safety. This research contributes by addressing the limited understanding of the mediating role of organizational commitment in the framework of stakeholder pressure, safety risk practices, and it supports stakeholder theory. Additionally, it fills the gap in research on safety practices and decision-making in developing nations, specifically focusing on the Ethiopian-Chinese manufacturing sector.

Keywords: Stakeholder Pressures; Safety Risk practices; Chinese Manufacturing Enterprises; Organizational Commitment; Driver Factors (search for similar items in EconPapers)
JEL-codes: M00 (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:mgs:ijmsba:v:10:y:2023:i:1:p:42-59

DOI: 10.18775/ijmsba.1849-5664-5419.2014.101.1004

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