The effects of leadership behaviors on employee loyalty through the mediation of job satisfaction

Target population of this research was employees of tourism sector in HCMC. This target population is the entire set of units for which the research data to be used. It can also be inference involving in research work. The goal of using a target population is to conduct a high percentage to sum up exactly result. The online structured questionnaires were conveniently delivered to 748 employees who are working in hotels, restaurants, bars, clubs, travel agencies, tourist transportation companies, and tourist attractions.

The Effects of Leadership Behaviors on Employee Loyalty through the Mediation of Job Satisfaction – An Empirical Study of Tourism Sector in Ho Chi Minh City, Vietnam The Conceptual Research Model Task Oriented Leadership Relation Oriented Leadership Change Oriented Leadership Ethics Oriented Leadership H1 Employee Job Satisfaction Employee Loyalty H2 Participative Leadership Autocratic Leadership In order to obtain all the objectives and further analyses, this study hypothesizes that: H1.1: Task-oriented leadership directly affects employee job satisfaction H1.2: Relation-oriented leadership directly affects employee job satisfaction H1.3: Change-oriented leadership directly affects employee job satisfaction H1.4: Ethical leadership directly affects employee job satisfaction H1.5: Participative leadership directly affects employee job satisfaction H1.6: Autocratic leadership directly affects employee job satisfaction H2.1: The effect of task-oriented leadership on employee loyalty is mediated by job satisfaction H2.2: The effect of relation-oriented leadership on employee loyalty is mediated by job satisfaction H2.3: The effect of change-oriented leadership on employee loyalty is mediated by job satisfaction H2.4: The effect of ethics-oriented leadership on employee loyalty is mediated by job satisfaction H2.5: The effect of participative leadership on employee loyalty is mediated by job satisfaction H2.6: The effect of Autocratic leadership on employee loyalty is mediated by job satisfaction METHODOLOGY Target population of this research was employees of tourism sector in HCMC This target population is the entire set of units for which the research data to be used It can also be inference involving in research work The goal of using a target population is to conduct a high percentage to sum up exactly result The online structured questionnaires were conveniently delivered to 748 employees who are working in hotels, restaurants, bars, clubs, travel agencies, tourist transportation companies, and tourist attractions According to Gorsuch (1983), a minimum subject to item ratio of at least 5:1 in Exploration Factors Analysis (EFA), but they also have stringent guidelines for when this ratio is acceptable, and they both noted that higher ratios are generally better Based on the number of items used to measure dependent variables: employee loyalty (6 items) and employee job satisfaction (10 items) and independent variables of ethical leadership, autocratic leadership, task-oriented leadership, change-oriented leadership, relation-oriented leadership, and participative leadership (42 items) of the research model of this study, the ratio applied for EFA of dependent variables was 47:1 and the ratio for EFA of independent variables was 18:1 Statistically, these ratios promise a better reliability and validity of variables of this research Questionnaire design and data collection The online structured questionnaire design was basing on measured variables derived from the literature reviews for six independent variables and two dependent variables Most questions were set as statements with five-point Likert scale, ranging from is “strongly disagreed” to is “strongly agreed” The final questionnaire was completed and sent directly to employees who are working in tourism sector in HCMC with directions and precise contents to help them provide answers correctly Factor Analysis and Reliability Factor analysis is used to decrease a large number of variables to minimize set of underlying factors that summarize the essential information contained in the variables (Coakes, Steed, and Ong, 2008) In this study, this technique is used to identify the relationship among item and factor to find out what factor of leasership behavior affect employee loyalty through case of tourism industry in Ho Chi Minh city, Viet Nam In statistics, research has several different reliability coefficients to investigate degree of confident of collected data Shortly, it measures the consistency of scores over time or across testers The most popular one is Cronbach’s alpha, which is based on the average correlation of items within a test (standardized items) and average covariance among the items (not standardized items) Since Cronbach’s alpha can be interpreted as a correlation coefficient, it ranges in value from to (Coakes, Steed, and Ong, 2008) According to Zikmund (2010), coefficient Cronbach’s alpha interprets the value of scales Two exploratory factory analyses, which used the principal component extraction method and Varimax rotation of 16 items of the dependent variables of employee loyalty and employee job satisfactionand 42 items of the independent variables of leadership styles Prior to conducting the factor analysis with the SPSS, the data was screened by examining the descriptive statistics on each item, inter-item correlations, and possible univariate and multivariate assumption violations From this initial assessment, all variables found to be continuous, variable pairs appeared to be bivariate normally distributed, and all cases were independent of one another For this study, the exploratory factor analysis (EFA) procedure was applied twice; once for the dependent variables and again for the group of six independent variables The Kaiser-Meyer-Olkin measure of sampling adequacy was 945 for the dependent variables and 960 for the independent variables (according to Pallant, 2005, to be significant, the value has to be 60 or above), indicating that the present data was suitable for principal components analysis Similarly, Bartlett’s test of sphericity (Bartlett, 1954) was significant (p