Understanding the Change–Cynicism Cycle: The Role of HR

Employee change cynicism is an unintended consequence of organizational change, which can undermine the effectiveness of change initiatives. Based on social information processing theory, we examine the impact of two human resource roles (administrative expert and strategic change agent) on the relationship between the quantity of organizational change and employee change cynicism. Using multilevel data from 1,831 employees in 70 organizations, we find employees who are exposed to more organizational change report higher levels of change cynicism. However, the strength of the organizational change–cynicism relationship is affected by the role of HR in the employees’ organizations. When HR undertakes an administrative expert role, change is more likely to generate change cynicism. When HR undertakes a strategic change agent role, change is less likely to generate change cynicism. Our results suggest that organizations need to think carefully about the role of HR during organizational change and encourage HR to adopt a strategic change agent role. © 2015 Wiley Periodicals, Inc.     

Applying a third party access model for China’s gas pipeline network: an independent pipeline operator and congestion rent transfer

This paper investigates third party access regulatory issues in China’s natural gas industry. We study the development of China’s gas market-oriented reform and how third party access becomes a pressing issue in that context. This paper aims to report stakeholders’ benefit and distributional effects during a hypothetical third party access process. To that end, we apply an oligopolistic equilibrium model, based on the mixed complementarity problem, to China’s gas pipeline network. We compare two scenarios: a scenario without third party access and the other scenario where an independent pipeline operator optimizes flows. This latter scenario aims to guarantee that the maximum social benefit is achieved. In addition, the latter scenario transfers the congestion rent to former integrated gas companies to compensate their actual loss control of the pipeline operation, in order to minimize the adverse distributional effects for pipeline companies. The solution of the model indicates that operational separation is feasible with Pareto improvement in China’s context. Moreover, it merits particular attention from policy makers in China that pipeline capacity scarcity should be properly evaluated and managed.     

The effect of the liberalization of the Chinese stock market on returns

We examine the short-term effects of the liberalization of the Chinese stock market on returns. We find a positive and significant abnormal return associated with the announcement of the liberalization of the Shanghai Stock Exchange. Exploiting features of the reform, we are able to compare stocks directly and indirectly affected by the liberalization. We find that all stock prices reflect this announcement premium equally, suggesting that the premium does not reflect an increase in expected liquidity. We further find that observed liquidity, as measured by volume and price impact, did not increase following the liberalization. We conclude that the observed premium reflects a diversification benefit for Chinese investors.     

Organizational and environmental factors related to HRM practices in Hong Kong: a cross-cultural expanded replication

Data were collected from 151 Hong Kong organizations to determine the relationship between culture, firm size, level of unionization and presence of an HRM department, and human resource management (HR) practices. Culture was a relatively weak predictor of HR practices. Existence of an HRM department and level of unionization were moderate predictors while firm size and the existence of a specialized training unit within the HRM department were the strongest predictors of HR practices.     

Unequal Pay,Unequal Responses? Pay Referents and their Implications for Pay Level Satisfaction

Pay referents are those with whom workers make pay comparisons. The five referents used in this study are: market, organizational, financial, social and historical. Of particular interest is the importance attached to each of these referents and the implications of inequity (under and over) for pay level satisfaction. The study also examines reactions to pay inequity on the basis of union status. The data for the study derive from a survey of 2867 public sector research workers. The study finds that the market referent is the most important to all workers, irrespective of union status; type of inequity (over or under) with this referent has the greatest impact on pay level satisfaction. The paper concludes with an examination of the implications for management, unions and the design of pay systems.     

Foreign-made Apparel

With the use of a congruity theory approach, consumers were asked to evaluate the quality of apparel for three brand types (name, designer, store), four store types (department, discount, national chain, off-price) and imported versus US-made apparel. They were then asked to evaluate the quality of each store type in association with either US-made or imported merchandise. Subjects were also asked to evaluate the quality of brand types in association with US-made or imported goods. Results revealed that a brand or store association with imported or US-made apparel may significantly increase or decrease the perception of apparel quality. The implications for advertisers, manufacturers and retailers are discussed.