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Virtue in small business in small places: Organisational factors associated with employee dishonest behaviour in the retail sector
Institution:1. University of Tartu, School of Economics and Business Administration, Narva Rd. 4, 51009 Tartu, Estonia;2. University of Latvia, Faculty of Economics and Management, Aspazijas b. 5, Riga LV-1050, Latvia;1. School of Business, University of the Sunshine Coast, Sippy Downs, Australia;2. Department of Marketing, Faculty of Management, Bournemouth University, Executive Business Centre, 89 Holdenhurst Road, Bournemouth BH23 2EL, United Kingdom;1. Department of Economics and Business, Faculty of Business and Economics, University of Almería, Agrifood Campus of International Excellence ceiA3, Ctra. Sacramento, s/n, Almería E-04120, Spain;2. Department of Business Administration, University of Granada and Marketing Group, Department of Economics and Business, Open University of Catalonia, Barcelona, Campus Universitario de Cartuja, Granada E-18071, Spain;3. Marketing Group, Department of Economics and Business, Open University of Catalonia, Avenida Tibidabo, 39, Barcelona E-08035, Spain;1. Department of Finance and Marketing, Eastern Washington University, Bellevue Campus, 3000 Lander Holm Circle Se, Bellevue, WA 98007, USA;2. Department of Information Systems and Business Analytics, 668 N. Riverpoint Blvd Suite A, Spokane, WA 99202, USA;1. Université Laval/American University in Dubai, 2325 Rue de l''Université, Quebec City, Quebec, Canada G1V 0A6;2. Université Laval/Kedge Business School (Marseille), 2325 Rue de l''Université, Quebec City, Quebec, Canada G1V 0A6;1. School of International Business Administration, Shanghai University of Finance and Economics, Shanghai 200433, China;2. Monash Business School, Monash University, Caulfield East, VIC 3145, Australia;1. Polytechnic Institute of Cavado and Ave (School of Management), Portugal;2. School of Economics and Management of the University of Porto, Portugal
Abstract:The organisational factors associated with employee dishonest behaviour are understudied because dishonesty is sensitive topic and organisations are not willing to reveal misbehaviour to the wider public. This paper addresses this research gap by providing an empirical study on reporting of dishonest behaviour of retail employees in Estonia and Latvia. The aim of the paper is to find out how organisational factors affect the reporting of dishonest behaviour in retail sector. Local vs international retailers and rural vs capital city stores characterise organisational factors and these are analysed in different hypothetical scenarios: low wage, perceived injustice and boredom. The sample consists of 781 retail employees from six retail organisations. The study employed a survey with manipulated questionnaires. Some of the main findings are the following: employees in international retail chains and in stores located in capital cities deem dishonesty more prevalent compared to domestically owned shops and stores situated outside metropoles. However, employees outside capital cities were more sensitive to the motives, especially perceived injustice. Implications for retailers are discussed at the end of the paper.
Keywords:Employee dishonesty  Estonia  Latvia  Retail  Workplace deviance  Location
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