The impact of organisational culture on internal branding and employees' job satisfaction : a study of Hainan's international branded hotels

Abstract

This research investigates the concept of internal branding through a study of employees in international branded hotels in Hainan, China. This study sheds light on their perceptions of organisational culture and job satisfaction while engaged in an internal branding strategy. Amid a lack of previous research this study contributes a solid foundation for internal branding by arguing that the interaction between brand knowledge, brand experience, and brand image form the basis of internal branding. In order to successfully implement internal branding in international branded hotels in Hainan, China, managers should consider the influence of organisational culture and the potential consequences for job satisfaction. This study develops hypotheses about relationships between internal branding, organisational culture, brand knowledge, brand experience, brand image, and job satisfaction. A total of 496 hotel front-line employees completed a survey and structural equation modelling was used to analyse relationships between the discussed constructs. Of the 11 hypotheses, eight were supported, two were partially supported, and one was rejected. The results confirmed that internal branding consists of brand knowledge, brand experience, and brand image. Organisational culture has a strong relationship with internal branding, and internal branding is positively related to employee job satisfaction. The results offer suggestions for practitioners to improve their human resource approaches so that they are in line with their local employees' perceptions of brand knowledge and brand experience. The findings also offer valuable insight into the future brand development of state-owned hotels. This study fills the identified research gaps and recommends that future studies develop specific measurement scales for the constructs to be used in service industries.