The Effects of the Social Responsibility of the Multinational Corporation(MNC)’s on the Management Performance - Focusing on German, France, Netherlands, and British Subsidiaries in Korea -

Chang, Sug-In

doi:10.19032/zkdgs.2013.09.23.3.61

Cited by 2 publications

(2 citation statements)

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“…These countries were chosen for two primary reasons. First, both the United States and Germany have had representatively long and closely cooperative economic relationships with South Korea, thus substantially contributing to its economic progress and advancement (Chang, 2011). Many US- and Germany-based MNCs operate in the country, accounting for 19.2% of 8,695 foreign subsidiaries in Korea as of 2020 (TASIS, 2022).…”

Section: Introductionmentioning

confidence: 99%

“…Many US- and Germany-based MNCs operate in the country, accounting for 19.2% of 8,695 foreign subsidiaries in Korea as of 2020 (TASIS, 2022). Second, although they have commonalities in terms of their economic relationships with South Korea as Western-based MNCs, they differ considerably in terms of prevailing national cultures, which are rooted in their specific contextual, historical, and cultural heritages (Chang, 2011; Ferner, 1997; Kuchinke, 1999). This pronounced cultural difference provides an appropriate context for comparing variances in expected leadership effectiveness that are attributable to country of origin and organizational culture of subsidiaries in a local context.…”

Section: Introductionmentioning

confidence: 99%

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Effective Leadership Differs Between Organizations: A Comparative Study of US and German Multinational Corporations in South Korea

Kim

Shin

2022

Sage Open

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Effectively implementing leadership is critical for organizational success. In consideration of this issue, this study investigated effective leadership in US- and Germany-based multinational companies (MNCs) operating in South Korea. Drawing on transformational leadership (TL) theory and leadership contingency theory, the study clarified the contextual dependency of TL effectiveness. A survey was administered to 258 employees of the target MNCs, during which the participants were asked to rate their supervisors’ transformational leadership behaviors. The responses were empirically analyzed on the basis of the research framework. The findings showed that a leader’s group-focused TL behaviors indirectly influenced organizational commitment and that this relationship was mediated by psychological empowerment in the US-based MNCs. Conversely, a leader’s individual-focused TL behaviors demonstrated a pronounced effect on organizational commitment and that this association was also mediated by psychological empowerment in the Germany-based MNCs. The leadership behaviors that effectively empowered employees and increased their organizational commitment differed depending on the cultures prevalent in the organizations’ countries of origin. Adopting the two-dimensional model of TL, this study confirmed the contextual dependency of TL behaviors and suggested the need to incorporate an organization’s cultural context into predictions regarding the effects of certain leadership behaviors.

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Section: Introductionmentioning

confidence: 99%