Age diversity and firm performance in an emerging economy: Implications for cross-cultural human resource management

Ji LI, Chris Wai Lung Chu*, Kevin C.K. Lam, Stacy Liao

*Corresponding author for this work

    Research output: Contribution to journalJournal articlepeer-review

    62 Citations (Scopus)

    Abstract

    This study tests the effect of age diversity on firm performance among international firms. Based on the resource-based view of the firm, it argues that age diversity among employees will influence firm performance. Moreover, it argues that two contextual variables-a firm's level of market diversification and its country of origin-influence the relationship between age diversity and firm performance. By testing relevant hypotheses in a major emerging economy, that is, the People's Republic of China, this study finds a significant and positive effect of age diversity and a significant interactive effect between age diversity and firm strategy on profitability. We also find a significant relationship between age diversity and firm profitability for firms from Western societies, but not for firms from East Asian societies. The paper concludes by discussing the implications of this study's findings.

    Original languageEnglish
    Pages (from-to)247-270
    Number of pages24
    JournalHuman Resource Management
    Volume50
    Issue number2
    DOIs
    Publication statusPublished - Mar 2011

    Scopus Subject Areas

    • Applied Psychology
    • Strategy and Management
    • Organizational Behavior and Human Resource Management
    • Management of Technology and Innovation

    User-Defined Keywords

    • Age diversity
    • China
    • Emerging economy
    • Firm performance
    • Human resource management

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