This paper investigates the rational and emotional functions of symbols in organizational change and how collective sensemaking and acceptance of organizational changes are facilitated by the emotional functioning of executive symbolism. Evidence from archived data, news reports, reviews, and case studies are used to support our theoretical analysis. Our opinion is that the CEO can incorporate symbols into not only the rational calculation process to convey the benefits and losses of organizational changes but also the emotional identification process to create new emotional connections and reduce the resistance of the members to organizational changes. We describe why and when the implementation of symbolism will gain the acceptance of members toward organizational change and explain the scenarios that apply for the two functions.

Existing studies relate the puzzling low average returns on out-of-the-money (OTM) index call and put options to nonstandard preferences. We argue the low option returns are primarily due to the pricing of market volatility risk. When volatility risk is priced, expected option returns match the realized average option returns. Moreover, consistent with its theoretical effect on expected option returns, the volatility risk premium is positively related to future index option returns and this relationship is stronger for OTM options and at-the-money straddles. Finally, we find the jump risk premium contributes to some portion of OTM put option returns.

Drawing on conservation of resources and signaling theories, this research aims to develop a cross-level serial mediation model of branch-level predictors of frontline employees' service performance. Specifically, we examined whether the service-oriented human resource practices bundle (SO-HRP bundle) affects frontline employees' service performance via person–environment fit (P–E fit) and work engagement. Based on a sample of 327 employees and their supervisors across 70 branches of two service corporations in Taiwan, it was found, first, that the SO-HRP bundle and work engagement have a significant positive relationship; second, that person–organization fit and person–job fit was each positively linked with work engagement; and finally, that the SO-HRP bundle sequentially formed a positive link with frontline employee service performance through P–E fit and work engagement. The findings shine new light on the cross-level serial mediation processes whereby employee service performance is enhanced owing to the SO-HRP bundle.

The concept of socioemotional wealth (SEW) has become a dominant perspective in family business studies. In this article, we review the SEW literature, the explanatory power of SEW in family firm behavior, and the heterogeneity of family firms. Although we find that SEW distinguishes the behavior of family firms from that of nonfamily firms, the concept has been used and operationalized differently across studies. The few studies that measure SEW directly do not find clear and consistent explanatory power of the construct. Moreover, not many studies are conducted in Asian countries such as Japan, Korea, and China, raising the question as to whether the concept applies equally across institutional and cultural contexts. This article takes a pragmatic perspective on SEW by discussing and distinguishing between key dimensions of social wealth and emotional wealth, which we believe can enhance understanding of the behavior and heterogeneity of family businesses. Based on our deconstruction of the SEW concept, we propose various directions of future research.

In light of inconclusive findings on the effect of political connections, this study explores conditions that affect the effectiveness of political connections on firm performance in democratic systems. First, using a resource dependence rationale, this study stresses the importance of variation in political connections and classifies direct and indirect political connections based on sources of power and the mechanisms for developing connections. Second, this study recognizes that influencing political outcomes is an entire political process in which political power matters. Furthermore, as power is central to the resource dependence rationale unlike exchange in transaction cost economics, this study explores how the effectiveness of political connections is contingent on the dynamics of de jure political power. We find that the effect of direct political connections is susceptible to changes in de jure political power due to its dyadic relationship with de jure power, while indirect political connections are more robust to such changes due to their connections with informal networks holding de facto political power. Further, the positive effects of political connections on firm performance are mediated by operational capability.

This study explores the impact of socially responsible human resource management (SR-HRM) on the turnover intention by exploring the effects of psychological contract violation (PCV) and moral identity. Using a sample of 284 employees in China, we found that PCV mediated the negative relationship between SR-HRM and turnover intention. Moral identity moderated the direct effect of PCV on turnover intention as well as the indirect effect of SR-HRM on turnover intention via PCV, such that both the direct and indirect effects were stronger for employees with a low level of moral identity compared to those with the high level of moral identity. Findings from this study provide a greater understanding of the internal mechanisms and boundary conditions of SR-HRM that affect turnover intentions. Study findings also provide guidance to organizations seeking to reduce employee turnover.