BUILDING LOYALTY AMONG NON-FAMILY EMPLOYEES IN FAMILY OWNED BUSINESS IN SAUDI ARABIA

Abstract

The degree of employees’ loyalty among non-family employees working in family owned businesses was related to employee and subsequently company’s performance. Several factors have been identified as being related to the loyalty of non-family employees in a family owned business included perceptions of fair and equal treatment, fair and equal opportunities for recognition and advancement, fair and equal development opportunities, fair and equal compensation.This study comprised of quantitative research through a survey of close-ended questions. Primary research was data collected directly in form of an experiment, interviews and questionnaires. Secondary research is conducted through critical evaluation of current related literature generated by research conducted by other. A survey was conducted among 151 non-family employees in Saudi family owned businesses to determine non-family member employee’s perceptions of company policies related to treatment, recognition, advancement, development and compensation of non-family members employees. The result showed that all factors, non-family member employee perceptions were mixed with approximately 50% had positive perceptions and approximately 50% had negative perceptions.