A Two-Stage Model of Cronyism in Organizations: A Cultural View of Governance

Naresh Khatri, James P. Johnson and Zafar U. Ahmed

Chapter 4 in Corruption and Governance in Asia, 2003, pp 61-85 from Palgrave Macmillan

Abstract: Abstract The recent Asian upheaval revealed the macroeconomic risks and damages associated with political cronyism, a type of favoritism shown to associates without regard to their merit/qualifications. Cronyism is a very prevalent phenomenon in societies and organizations with certain cultural values such as paternalism, collectivism, and Confucianism. Despite it being cited as a major factor for Asian economic crisis and mismanagement of the Asian organizations, it is a concept that has not received due attention from management scholars. In order to better our understanding of cronyism in work organizations, we present a two-stage model, grounded in the Chinese/Asian cultural context, of the antecedents to cronyism, and present a number of propositions that follow from it.

Keywords: Personal Relationship; Organizational Context; Uncertainty Avoidance; Desirable Behavior; High Power Distance (search for similar items in EconPapers)
Date: 2003
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Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-0-230-50354-0_4

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DOI: 10.1057/9780230503540_4

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