Does competitive action intensity influence team performance via leader bottom-line mentality? A social information processing perspective.

Leader bottom-line mentality (LBLM) exists when leaders solely focus on securing bottom-line outcomes to the exclusion of alternative considerations. Our research examines why leaders adopt LBLMs and the implications of this focused leadership strategy on team sales performance and pro-environmental behavior. Utilizing social information processing theory, we examine LBLM as a mediator and contend that competitive action intensity in the work environment provokes LBLM, which then signals to teams the importance of raising sales performance and reducing pro-environmental behavior. We also suggest that leader performance reward expectancy (i.e., perceptions that rewards are directly tied to high performance) serves as a first-stage moderator and team performance reward expectancy serves as a second-stage moderator, with higher (vs. lower) levels of each strengthening the indirect effects of competitive action intensity, through LBLM, onto team sales performance and pro-environmental behavior. Utilizing field data from a large pharmaceutical company (Study 1) as well as an experimental causal chain design (Studies 2a and 2b), we found support for our theoretical model. (PsycInfo Database Record (c) 2024 APA, all rights reserved).