Ethnocentric HRM practices: evidence from Western MNEs in Ghana

Abstract

PurposeThis paper examines Western multinational enterprises’ (MNEs) application of ethnocentrism in human resource management (HRM) practices utilised in their subsidiaries in Ghana. The practices examined include recruitment and selection, training and development, performance management and rewards management.Design/methodologyThe paper draws on interviews with 13 managers and 24 employees as well as documentary analysis in 8 British, European and US MNEs in Ghana.FindingsThe findings indicate that weak institutions in the local context, coupled with the technologically and economically advanced nature of Western countries compared to Ghana, account for ethnocentric HRM practices in MNEs’ Ghanaian subsidiaries.Practical implicationsThe paper highlights that Ghanaian companies might learn from, and adapt, selected Western HRM practices to improve their competitiveness.Originality/valueUtilising institutional theory, the paper extends extant research on ethnocentrism in HRM practices of Western MNE subsidiaries in other developing economies to Ghana; one of the fastest growing African economies.

Evaluating a job search strategy model of fit perceptions: a construct validation amongst unemployed job seekers

“…In 2018, the economy of Ghana was listed as second largest destination of foreign direct investment in West Africa, the seventh in the whole of sub-Sahara Africa (Ernst and Young, 2019). Although Ghana's economy was considered as one of the fastest growing economies in the world between 2017 and 2019 (World Bank 2018; Musah et al , 2019; Azungah et al , 2020), less progress has been made in terms of creation of jobs for the citizenry (World Bank, 2016). Given that the Ghanaian government does not provide unemployment benefits, finding employment has become more critical, especially for young adults who are starting their careers.…”

Performance outcome of entrepreneurial behavior of SMEs in a developing economy: the role of international mindset

“…Indeed, Ghana placed the second-largest recipient of foreign direct investment (FDI) in West Africa and seventh in Sub-Sahara Africa. Additionally, the IMF projected Ghana's economy as among the fastest-growing economies in 2019 (Musah et al , 2019; Azungah et al , 2020). The booming economic circumstance has sparked private businesses' growth primarily in the informal sector, in SMEs.…”

Effect of corporate social responsibility on eco-citizenship behaviour in luxury hotels: eco-lifestyle as a moderator

“…With a relatively stable but progressive political environment, Ghana has made some significant strides in its development agenda and has been touted as a beacon of democracy and a gateway to Africa (Kwarteng, 2014;Amankwah-Amoah and Sarpong, 2016). As at 2018, Ernst andYoung (2018) listed Ghana as the second largest recipient of foreign direct investment in West Africa, the seventh largest in Sub-Sahara Africa, and the International Monetary Fund projected it as among the world's fastest growing economies in 2019 (Musah et al, 2019;Azungah et al, 2020). Again, the recent discovery and production of oil and gas in commercial quantities have resulted in massive infrastructural development making the country attractive to foreign investors, particularly in the hospitality sector (Agyapong et al, 2018).…”