Organisational Climate and Employee Turnover Intention within a Franchise System

Natasha Johnston; Wendy Spinks

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Organisational Climate and Employee Turnover Intention within a Franchise System

Journal article

Open access

Peer reviewed

Organisational Climate and Employee Turnover Intention within a Franchise System

Natasha Johnston and Wendy Spinks

Journal of New Business Ideas and Trends, Vol.11(1), pp.20-41

2013

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Abstract

Business and Management

franchise system

organisational climate

employee turnover intention

global financial crisis

Purpose - This research addresses the relationship between organisational climate and employee turnover intention in a service sector franchise system operating throughout New Zealand. Design/methodology/approach - Employees of the 19 units of one food and beverage franchise system provided data by way of a mail survey. A single hypothesis derived from the literature was tested at the individual level of analysis using Multiple Linear Regression. Findings - In contrast to results commonly reported, no significant relationship was found between organisational climate and employee turnover intention. Research limitations/implications - The study employed a cross-sectional design and was limited to one franchise group's activities in one country. In the absence of any alternative, the climate scale used was one originally designed for and used in large businesses operating within the service sector; however, the franchise system participating in the present research comprised a number of what are in fact, small business establishments. Of likely significance in regard to the study's finding is the fact that the research was conducted amidst the onset of the Global Financial Crisis when much was being made of the decline in job security, in, amongst others, the sector under scrutiny in this undertaking.

Details

Title: Organisational Climate and Employee Turnover Intention within a Franchise System
Authors: Natasha Johnston (Author) - University of the Sunshine Coast - Faculty of Arts and Business
Wendy Spinks (Author) - University of the Sunshine Coast - Faculty of Arts and Business
Publication details: Journal of New Business Ideas and Trends, Vol.11(1), pp.20-41
Publisher: U B P Consulting and Publishing
Date published: 2013
ISSN: 1446-8719
Organisation Unit: University of the Sunshine Coast, Queensland; USC Business School - Legacy
Language: English
Record Identifier: 99448960902621
Output Type: Journal article

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