Be a better boss. Employee treatment, trust level and family business innovation: Evidence from China

Lin Wang, Yingkai Tang, Yaozhi Chen and Kun Wang

Research in International Business and Finance, 2021, vol. 58, issue C

Abstract: This study examines the impact of employee treatment on family business innovation. Our empirical research shows that beneficial employee treatment can increase family business innovation input and output. Moreover, the empirical conclusions pass the robustness and endogeneity tests. An additional analysis shows that non-salary aspects of employee treatment can significantly increase the quantity and quality of innovation output; however, they have little to no impact on innovation input. Further, we find that the higher the levels of trust in society, trust in organizational decisions, and trust in co-workers are, the stronger is the role of employee treatment in family business innovation.

Keywords: Employee treatment; Family business innovation; Informal institution; Trust level (search for similar items in EconPapers)
JEL-codes: G34 M14 M21 O31 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:riibaf:v:58:y:2021:i:c:s0275531921001240

DOI: 10.1016/j.ribaf.2021.101503

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