A Matter of Reputation and Pride: Associations between Perceived External Reputation, Pride in Membership, Job Satisfaction and Turnover Intentions

Abstract

This study investigates how job satisfaction and turnover intentions are related to external reputation as perceived by employees and their pride in membership. Based on a cross‐sectional survey including 439 employees, it also provides insights into external reputation as a possible source of collective pride. Study results indicate that, in agreement with social identity theory, outsiders' views of the organization are closely associated with employees' pride in organizational membership as well as job satisfaction. Both pride and job satisfaction mediate the relationship between perceived external reputation and turnover intentions. Hence, a favourable reputation matters in managing turnover intentions and is closely related to employee pride and satisfaction. Tenure of employees is positively associated with pride while intensive customer contact is negatively related to perceived external reputation and pride. Implications pinpoint the need for alignment of reputation management and human resources management. Furthermore, managers need to focus on new staff and employees with frequent customer contact and should implement pride‐building strategies according to the tenure of employees and intensity of customer contact.