Firms often utilize salesperson intelligence in marketing strategies to improve sales performance. However, this approach is problematic if the information is based on inaccurate perceptions. In light of this, the authors introduce a theoretical model to study the antecedents and profit impact of salesperson perceptions of customer relationship quality. Dyadic analyses using matched survey responses from salesperson–customer dyads and secondary performance data reveal several insightful findings. Results show that self-efficacious salespeople are upwardly biased, whereas customer-oriented salespeople are downwardly biased in their perceptions of customer relationship quality. However, managers can correct these inaccuracies using a behavior-based control system. Response surface analyses illustrate that the effects of salesperson accuracy and inaccuracy are distinct and curvilinear. During later relationship phases, salespeople profit more from salesperson accuracy in high- and low-quality relationships (i.e., a U-shaped effect). Yet the increasingly harmful impact of salesperson inaccuracy on profit is more severe during earlier relationship phases. Together, these findings highlight the benefits of measuring salesperson perceptions and how to manage them.

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This article investigates the sales force socialization process, wherein newly hired salespeople often face failureprone environments. Drawing from the learned helplessness paradigm, the authors hypothesize that cumulative periods of sales performance failure are associated with sales-oriented behavior intentions. In addition, the authors examine the influence of leadership, expecting core transformational leadership to have a diminishing effect as unmet sales goals accumulate. Study 1 finds support for these hypotheses using panel survey data from 221 new hires during six months of a furniture retailer's sales force socialization process. Then, aiming to uncover the underlying mechanism driving salesperson helplessness and a managerial approach that has a sustained impact, the authors conduct Study 2, a scenario-based experiment focused on the business-to-business insurance industry. The authors find that perceived task difficulty mediates the focal relationship and that error management enables core transformational leadership to have a lasting effect such that new hires have the lowest sales-oriented behavior intentions when transformational sales managers encourage them to make errors during their interactions with customers and to actively learn from their failures.

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We surveyed 1,638 sales executives across 40 countries regarding their companies’ likelihood of asking sales to perform real earnings management (REM) actions when earnings pressure exists. Using this information, which we refer to as companies’ REM propensities, we study how company characteristics and environmental conditions relate to the responses received. The use of cash‐flow incentives for sales personnel and the distribution of interfunctional power in favor of finance rather than sales are both associated with companies’ REM propensities. In addition, we show that sales executives preemptively change their behaviors in anticipation of top management's REM requests. Sales executives working for public companies and companies in the United States reported higher levels of REM propensity. The data also support an association between REM propensity and finance–sales conflict. These findings and others are compared and contrasted with existing empirical and survey‐based research on REM throughout the paper.