Perceived scarcity on workplace ethics: greed, social undermining, cutting corner and psychological entitlement

Burhan, Quratulain; Faisal Malik, Muhammad; Ayub Siddiqui, Muhammad; Khwaja, Muddasar Ghani

Abstract

Purpose
This empirical study is built upon emerging research on ethical fading by investigating the influence of perceived scarcity on ethical fading in the workplace. Drawing on social cognitive theory, the study develops and tests a moderated and sequential mediated model to understand the process through which perceived scarcity triggers dispositional greed, leading to social undermining and cutting corners, resulting in ethical fading. Furthermore, the study examines the role of psychological entitlement in this relationship. It posits that when psychological entitlement is high, perceived scarcity is more likely to incite ethical fading through dispositional greed, social undermining and cutting corners.

Design/methodology/approach
The current study is conducted by using the positivism research philosophy, deductive approach and survey method to test the formulated hypotheses. The suggested theoretical framework is examined utilizing time-lagged data acquired from a subset of 357 individuals employed in small and medium-sized enterprise (SME) establishments.

Findings
The results suggested that perceived scarcity can lead to ethical fading with sequential mediation of dispositional greed, social undermining and cutting corners. Psychological entitlement positively moderates the relationship between perceived scarcity and dispositional greed.

Originality/value
The current study offers an original perspective on the critical nature of perceived scarcity, undermining, entitlement and greed in relation to the strategic importance of effectively managing and controlling ethical fading. The results offer broad backing for the assumptions, presenting repercussions for theory, application, detailed practical implications and potential areas of future research.

Citation

Burhan, Q., Faisal Malik, M., Ayub Siddiqui, M., & Khwaja, M. G. (2025). Perceived scarcity on workplace ethics: greed, social undermining, cutting corner and psychological entitlement. Management Decision, 1-23. https://doi.org/10.1108/MD-11-2023-2121

• Journal Article Type: Article
• Acceptance Date: Jan 9, 2025
• Publication Date: Mar 28, 2025
• Deposit Date: Apr 10, 2025
• Publicly Available Date: Apr 11, 2025
• Journal: Management Decision
• Print ISSN: 0025-1747
• Publisher: Emerald
• Peer Reviewed: Peer Reviewed
• Pages: 1-23
• DOI: https://doi.org/10.1108/MD-11-2023-2121
• Keywords: Perceived scarcity, dispositional greed, social undermining, cutting corners, ethical fading, psychological entitlement
• Public URL: https://keele-repository.worktribe.com/output/1113018
• Publisher URL: https://www.emerald.com/insight/content/doi/10.1108/md-11-2023-2121/full/html