Document Type

Conference Proceeding

Publication Date

1-1-2022

Abstract

The common logic for competition in sales organizations is simple: as salespeople compete with one another, the sales performance of the entire group should increase. Some prior research has supported this notion, while other studies suggested that competition may adversely affect employees. Our research finds both positions have merit, as a salesperson's perceptions of a competitive psychological climate (CPC) increase sales performance and turnover intentions. To explain this countervailing effect, we turn to cognitive appraisal theory to demonstrate that salesperson appraisal of the environment motivates their behavior. Specifically, salesperson threat appraisals act as a mediator between CPC to performance and turnover, identifying an underlying mechanism and negative relationships for both. We further uncover learning orientation as a moderator of the competitive psychological climate – threat relationship, thus identifying a variable that enables the benefits while minimizing the drawbacks of utilizing competition in the sales force.

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Marketing Commons

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