Organizational cynicism in multinational corporations in China
Marina Anna Schmitz,
Fabian Jintae Froese and
Anna Katharina Bader
Asia Pacific Business Review, 2018, vol. 24, issue 5, 620-637
Organizational cynicism is a pejorative attitude toward the employing organization induced by mistrust, disillusion, and various negative experiences. Based on cognitive dissonance theory we develop and test a theoretical model of how perceived cultural differences lead to organizational cynicism which in turn results in greater turnover intentions among host country nationals (HCN) employed in foreign subsidiaries of multinational corporations. Furthermore, we argue that the negative effect of perceived cultural differences can be mitigated by localization, i.e. replacement of expatriates by local staff. Survey results from HCN employees in foreign subsidiaries in China confirm the expected relationships.
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Persistent link: https://EconPapers.repec.org/RePEc:taf:apbizr:v:24:y:2018:i:5:p:620-637
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