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Linking Leader-Member Exchange and Employee Work Outcomes: The Mediating Role of Organizational Social and Economic Exchange

Published online by Cambridge University Press:  02 February 2015

Raymond Loi ,
Yina Mao  and
Hang-yue Ngo
Raymond Loi
Affiliation:
University of Macau, Macau
Yina Mao
Affiliation:
The Chinese University of Hong Kong, Hong Kong
Hang-yue Ngo
Affiliation:
The Chinese University of Hong Kong, Hong Kong
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Abstract

This study presents and tests a framework that links leader—member exchange (LMX) with two different forms of employee–organization exchange: organizational social exchange and organizational economic exchange. We propose that these two forms of employee exchange with the organization would be the main mechanisms through which LMX affects employees’ affective commitment and intention to leave. We used structural equation modelling to analyze the data collected from 239 employees in a foreign-invested enterprise in China. Results showed that both organizational social exchange and organizational economic exchange acted as full mediators in the relationships between LMX and the two outcome variables but in different directions. Theoretical and practical implications are discussed.

Keywords

Chinaleader–member exchangeorganizational economic exchangeorganizational social exchangesocial exchange theory中国领导-成员交换组织经济交换组织社会交换社会交换理论
Type
Articles
Information
Management and Organization Review , Volume 5 , Issue 3 , November 2009 , pp. 401 - 422
Copyright
Copyright © International Association for Chinese Management Research 2009

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