Variations in the Effects of Performance Above Aspirations: Empirical Artifact or Theoretical Gap?

Blettner, Daniela; Kotiloglu, Serhan; Lechler, Thomas

doi:10.5465/ambpp.2019.12248abstract

Cited by 7 publications

(10 citation statements)

References 0 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Generally, the prediction of the PFT is that responses are intensified when feedback falls below aspirations and response intensity is reduced when performance exceeds aspirations. However, recent meta-analysis and reviews show that the empirical results are much more ambiguous (Kotiloglu et al, 2021;Verver et al, 2018), especially for performance above aspirations (Blettner et al, 2019). Our results resonate with Kim et al (2015)'s finding that social comparison has a stronger effect for performance above aspirations than below.…”

Section: Generic Strategy In Aspiration Adaptationsupporting

confidence: 77%

See 1 more Smart Citation

What role does generic strategy play in how managers adapt their aspirations in response to performance feedback?

Ruckman

Blettner

2022

JSMA

Self Cite

View full text Add to dashboard Cite

PurposeWhen managers set aspirations for their firms, they typically compare their own firms' performance to past aspirations as well as to the performance of social reference groups. The authors explore how firm generic strategy affects managers' adaptation of firm aspirations in response to feedback from three social reference groups that vary in terms of breadth (population average, strategic group, and one direct rival).Design/methodology/approachThe authors propose that firm generic strategy (low-cost or differentiation) functions as an organizational information filter through with managers interpret performance feedback. The authors test for whether generic strategy has a moderating effect on the influence of performance feedback from social reference groups.FindingsBased on a longitudinal sample of US airlines, the study shows that all firms are influenced most strongly by their strategic groups. Low-cost and differentiation generic strategies differ in terms of which social reference group motivates a larger reaction when overperforming: low-cost firms are more influenced by the population average which is contributed to by the entire industry than are differentiating firms, while differentiating firms are more swayed by the narrow focus of their direct rivals than are low-cost firms.Originality/valueAlthough firm strategy represents a core decision at the firm level, to the best of the authors’ knowledge, performance feedback research, surprisingly, has not yet integrated generic strategy into its models.

show abstract

Section: Generic Strategy In Aspiration Adaptationsupporting

confidence: 77%

“…, 2021; Verver et al. , 2018), especially for performance above aspirations (Blettner et al. , 2019).…”

Section: Resultsmentioning

confidence: 99%

What role does generic strategy play in how managers adapt their aspirations in response to performance feedback?

Ruckman

Blettner

2022

JSMA

Self Cite

View full text Add to dashboard Cite

show abstract

“…In contrast, other work (Baum et al, 2005;Greve, 2003b;Salvato and Rerup, 2018) has found organizations innovate more if performance is positive, suggesting that organizations are not subject to risk aversion and inertia as predicted by the PFT. Despite the heterogeneity of empirical results for performance above aspirations (Blettner et al, 2019;Posen et al, 2018), we state our baseline hypothesis in line with received PFT as outlined by Greve (2003a):…”

Section: Baseline Hypothesis For Positive Objective Performance Feedbackmentioning

confidence: 64%

“…Our results for problemistic search are generally in line with Verver et al’s (2018) meta-analysis where the authors found a significant effect for problemistic search only for historical performance feedback but not for social. Many factors such as the specificity or, more generally speaking, operationalization, of the social reference group (Blettner et al, 2019) can influence the effect of social reference group. While we carefully selected an empirically valid social reference group, it is difficult to directly compare results for social performance feedback across different studies due to the varying levels of specificity/different definitions of social reference groups across studies that affect the results (Hu et al, 2017).…”

Section: Resultsmentioning

confidence: 99%

“…The evidence of organizational responses to performance above aspirations (henceforth, positive performance feedback) is even more ambiguous (Blettner et al, 2019; Ref and Shapira, 2017). While some papers suggest that managers decrease search when performance feedback is positive (Chen and Miller, 2007), others show that managers continue or even increase search in response to positive performance feedback (Greve, 2003a).…”

Section: Theory Developmentmentioning

confidence: 99%

See 1 more Smart Citation

How do managerial perceptions of performance feedback affect innovation?

Saraf

Dasgupta

Blettner

2021

Strategic Organization

View full text Add to dashboard Cite

Although managers’ perceptions are core to the Performance Feedback Theory, few empirical studies measure managerial perceptions of their organization’s performance and theorize on the (in)consistency between perceptual and objective performance feedback. Based on longitudinal survey data of Canadian organizations, we examine how this (in)consistency affects the propensity for innovation in organizations. Our analysis broadly validates that inconsistency between the two types of feedback it dampens innovation. Second, positive perceptions strengthen the relationship between positive objective performance feedback and innovation, leading to increased innovation, whereas negative perceptions strengthen the relationship between negative performance feedback and innovation, echoing the problemistic search hypothesis. We also find that perceptions moderate the effect of objective performance feedback differently in the social and historical dimensions as well above and below the aspiration thresholds.

show abstract

Aspiration performance gap, second generation involvement in management, and family Firms' environmental responsibility

Wang,

Sun

2024

Bus Strat Env

View full text Add to dashboard Cite

How does the aspiration performance gap affect environmental responsibility of family firms? Using the theory of performance feedback theory and panel data from 6268 Chinese A‐share listed manufacturing family firms from 2011 to 2021, the study shows that (1) The positive aspiration performance gap negatively affects environmental responsibility, while the absolute negative aspiration performance gap shows an inverted U‐shaped relationship. (2) Second generation involvement in management has varying moderating effects on the relationship between different aspiration performance gaps and environmental responsibility. These results enhance the understanding of the heterogeneity in family firms' strategic behaviors and provide valuable insights for family firms' strategic decision‐making regarding environmental responsibility.

show abstract

Variations in the Effects of Performance Above Aspirations: Empirical Artifact or Theoretical Gap?

Cited by 7 publications

References 0 publications

What role does generic strategy play in how managers adapt their aspirations in response to performance feedback?

What role does generic strategy play in how managers adapt their aspirations in response to performance feedback?

How do managerial perceptions of performance feedback affect innovation?

Aspiration performance gap, second generation involvement in management, and family Firms' environmental responsibility

Contact Info

Product

Resources

About