PERCEPTION OF JUSTICE AND FAIRNESS IN ALLOCATION OF ORGANIZATIONAL RESOURCES: EXAMINING CULTURAL DIFFERENCES

Abstract

The study proposed to examine perceived norms (need, equality, merit) of resource distribution and fairness using student samples representing the same religion (i.e., Islam) but different cultural backgrounds (Malays and Internationals). The design also included gender and type of resource (money and favor) as variables. The data were collected using vignettes that described an allocation scenario involving an allocator and two recipients - one needy and the other meritorious. Overall, the results indicated that International students endorsed need, whereas Malays considered equality and merit. The fairness ratings yielded significant main effects of culture in two conditions, one each involving money and favor. In one resource condition involving money, both Malay and International students emphasized equality, yet the former considered it less fair than the latter. In another resource condition involving favor, International students gave higher rating to need but viewed it less fair compared to Malay students.

JEL classification: J29, M12, M14

Key words: Justice, Resource allocation, Cultural differences