Using social exchange theory to predict the effects of high-performance human resource practices on corporate entrepreneurship: Evidence from China

Abstract

Using the foundation of social exchange theory, we examined underlying mechanisms linking the relationship of high-performance human resource practices and corporate entrepreneurship (CE). Specifically, we explore why and under what conditions these two concepts are related. A multilevel analysis of data from biotechnology pharmaceutical enterprises in the People's Republic of China revealed that employees' perceived organizational support (POS) mediated the relationship between high-performance human resource practices and CE. Further, organizational culture moderates the relationship between high-performance human resource practices and employees' POS. The implications of these findings for both management theory and practice are discussed. © 2010 Wiley Periodicals, Inc.