The significant role of Chinese employees' organizational commitment: Implications for managing employees in Chinese societies

The high rate of turnover has been a substantial problem in managing Chines e employees in joint ventures in the People's Republic of China. Organizati ons operating in the PRC face a dilemma of whether it is worthwhile to inve st in better compensation packages and training and development programs if their employees will leave the organizations anyway. This study argues tha t because traditional Chinese culture values loyalty, guanxi and pao, organ izations will benefit in the long run if they cultivate employees' organiza tional commitment. Data from two samples from the PRC and Hong Kong were an alyzed to understand the role of organizational commitment in affecting oth er attitudinal antecedents (i.e., job satisfaction and turnover intention) to turnover. Results indicate that organizational commitment among Chinese employees has a much stronger effect on job satisfaction and turnover inten tion than results from studies conducted in the Vest. Our analysis provides strong support for the effect of Chinese traditional values in the modern Chinese work place. Practical implications for organizations operating in C hina are discussed.