The existing literature provides conflicting evidence of whether a collectivistic value orientation is associated with ethical or unethical behavior. To address this confusion, we integrate collectivism theory and research with prior work on social identity, moral boundedness, group morality, and moral identity to develop a model of the double-edged effects of collectivism on employee conduct. We argue that collectivism is morally bounded depending on who the other is, and thus it inhibits employees’ motivation to engage in unethical pro-self behavior, yet strengthens their motivation to engage in unethical pro-organization behavior. We further predict that these effects are mediated by the psychological mechanism of organizational goal commitment and moderated by a person’s strength of moral identity. Results of three studies conducted in China and the United States and involving both field and experimental data offer strong support for our hypotheses. Theoretical and practical implications of the research are discussed.
