Author(s)

Haizhen Yan, Meijuan Zhang, Hao Zhou and Fengqiang Xi

Corresponding Author

Meijuan Zhang

Abstract

Based on counterfactual thinking theory and social exchange theory, this study constructs and tests the interactive effects of new entrants’ initial trust and interactional justice in predicting their rule breaking. Using a sample obtained from 461 new entrants with their archival rule breaking records from a large state-owned service enterprise of China, our empirical analysis finds a significantly interactive effect of new entrants’ initial trust and perceived interactional justice on their rule breaking. Specifically, when the new entrants with higher-level initial trust perceive lower-level interactional justice, they will exhibit more rule breaking; when the new entrants with higher-level initial trust perceive higher-level interactional justice, they will exhibit less rule breaking. Based on these findings, the theoretical contributions and managerial suggestions of this study are also discussed.

Keywords

Initial trust; Interactional justice; Rule breaking; Counterfactual thinking theory