Organizational cynicism in multinational corporations in China

Marina Anna Schmitz, Fabian Jintae Froese, Anna Katharina Bader

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1 Citation (Scopus)

Abstract

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.

Original languageEnglish
Pages (from-to)620-637
Number of pages18
JournalAsia Pacific Business Review
Volume24
Issue number5
DOIs
Publication statusPublished - 2018 Oct 20

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All Science Journal Classification (ASJC) codes

  • Business and International Management

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