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Organizational Commitment in Time of War: Assessing the Impact and Attenuation of Employee Sensitivity to Ethnopolitical Conflict

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  • Reade, Carol
  • Lee, Hyun-Jung
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    Abstract

    We examine organizational commitment in foreign-invested and indigenous firms located in an operating environment characterized by ethnopolitical conflict and its violent manifestations of civil war and terrorism. Drawing on the management, psychology, and political science literature streams, we investigate whether employee sensitivity to ethnopolitical conflict contributes to explaining organizational commitment in a violent operating environment. The results of hierarchical regression analysis reveal that employee sensitivity to ethnopolitical conflict is inversely related to organizational commitment and has explanatory power beyond the traditional predictors of organizational commitment. Further, perceived organizational support is found to attenuate the negative relationship between employee sensitivity to ethnopolitical conflict and organizational commitment in foreign-invested firms but not in indigenous firms. The data suggest that an operating environment beset with violent ethnopolitical conflict may exact an indirect cost on the firm through lowered employee commitment, and that foreign-invested firms through a ‘foreignness advantage’ can manage this potential cost by maintaining a high level of perceived organizational support among their employees. Implications for research and practice are discussed.

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    Bibliographic Info

    Article provided by Elsevier in its journal Journal of International Management.

    Volume (Year): 18 (2012)
    Issue (Month): 1 ()
    Pages: 85-101

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    Handle: RePEc:eee:intman:v:18:y:2012:i:1:p:85-101

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    Related research

    Keywords: Organizational commitment; Perceived organizational support; Liability of foreignness; Ethnopolitical conflict; Psychology of terrorism; Sri Lanka;

    References

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    1. James A Piazza, 2011. "Poverty, Minority Economic Discrimination, and Domestic Terrorism," Journal of Peace Research, Peace Research Institute Oslo, vol. 48(3), pages 339-353, May.
    2. Mary Yoko Brannen & Mark F Peterson, 2009. "Merging without alienating: interventions promoting cross-cultural organizational integration and their limitations," Journal of International Business Studies, Palgrave Macmillan, vol. 40(3), pages 468-489, April.
    3. House, Robert & Javidan, Mansour & Hanges, Paul & Dorfman, Peter, 2002. "Understanding cultures and implicit leadership theories across the globe: an introduction to project GLOBE," Journal of World Business, Elsevier, vol. 37(1), pages 3-10, April.
    4. Czinkota, Michael R. & Knight, Gary A. & Liesch, Peter W. & Steen, John, 2005. "Positioning terrorism in management and marketing: Research propositions," Journal of International Management, Elsevier, vol. 11(4), pages 581-604, December.
    5. William Newburry & Naomi A Gardberg & Liuba Y Belkin, 2006. "Organizational attractiveness is in the eye of the beholder: the interaction of demographic characteristics with foreignness," Journal of International Business Studies, Palgrave Macmillan, vol. 37(5), pages 666-686, September.
    6. Pl mper, Thomas & Neumayer, Eric, 2006. "The Unequal Burden of War: The Effect of Armed Conflict on the Gender Gap in Life Expectancy," International Organization, Cambridge University Press, vol. 60(03), pages 723-754, July.
    7. Michael R Czinkota & Gary Knight & Peter W Liesch & John Steen, 2010. "Terrorism and international business: A research agenda," Journal of International Business Studies, Palgrave Macmillan, vol. 41(5), pages 826-843, June.
    8. Humberto Lopez & Quentin Wodon, 2005. "The Economic Impact of Armed Conflict in Rwanda," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 14(4), pages 586-602, December.
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    Cited by:
    1. Bader, Benjamin & Berg, Nicola, 2013. "An Empirical Investigation of Terrorism-induced Stress on Expatriate Attitudes and Performance," Journal of International Management, Elsevier, vol. 19(2), pages 163-175.

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