Review of Herzberg's Two‐Factor Theory: Limitations and Improvements

ABSTRACT Herzberg's two‐factor theory, while a classic in management, has been critiqued for its limited applicability, particularly in nonideal social and economic contexts. Scholars highlight that individual differences in needs among study subjects further restrict the theory's universality. This study reviews the relevant literature, analyses the challenges encountered in applying the theory and summarizes its limitations. Additionally, it proposes enhancements by integrating insights from human capital theory and conservation of resources theory. The research findings can provide valuable insights for human resource managers on how to enhance employee satisfaction and motivation.