Factors affecting turnover rates of sme ecommerce company

Abstract

This study explores the factors affecting turnover rates within small and medium-sized (SME) eCommerce companies through the lens of Maslow's Hierarchy of Needs framework. Employee turnover is a significant challenge for eCommerce businesses, particularly within the SME sector, where resources are often limited, and employee retention is crucial for sustainable growth. By applying Maslow's theory, which categorizes human needs from basic physiological needs to higher-order self-actualization, this paper examines how fulfilling different levels of employee needs correlates with retention rates. The study highlights key factors affecting turnover, such as job satisfaction, work-life balance, career growth, and organizational culture. It also explores how SMEs can use Maslow's Hierarchy to address these factors, enhancing employee engagement and retention. The findings emphasize that fulfilling both basic needs and fostering a sense of belonging and self-fulfillment are crucial for reducing turnover in the eCommerce sector.