Culture and employee engagement of Thai employees : case study of south Korean multinational corporations in Thailand

Abstract

The objective of this study is to examine the differences between culture in South Korean multinational corporations (MNCs) in Thailand and Korean culture in South Korea companies in South Korea. In addition, this study analyzes the relationship between culture satisfaction and employee engagement of Thai employees in South Korean MNCs in Thailand. This study uses the questionnaire to survey 243 Thai employees who work in South Korean MNCs in Thailand. These three MNCs can be classified into a small MNC, a medium MNC and a large MNC. The result of this study shows that the culture in South Korean MNCs in Thailand has lower uncertainty avoidance than those in South Korean companies in South Korea. This means that the South Korean MNCs in Thailand have more comfortable atmosphere than the South Korean companies in South Korea. While the relationship in the company is in form of leaders and subordinates (power distance), preference to work in group (collectivism), the importance of men in company (masculine), and emphasizing on persistence and thrift (long-term orientation) which are characteristics of Korean MNCs in Thailand are similar to the culture in the South Korean companies in South Korea. Moreover, there is a positive relationship between culture satisfaction and employee engagement of Thai employees in South Korean MNCs in Thailand. Thai workers with higher culture satisfaction tend to have higher employee engagement. Considering in each company’s size, there are difference in degree of this relationship. A small MNC has a positive relationship at medium level, while the medium and large MNCs have positive relationships at high level.