What Drives the Top Management Team's Sentiment and Perception of Future Risk and Uncertainty? A Selling-Capability Based View
Purpose This study postulates that a firm’s level of value appropriation capability (viz. selling capability) plays a pivotal role in influencing a firm’s top management team’s (TMT) sentiment and its perception of future risk and uncertainty. Further, the current study posits that the nexus betw...
| Main Authors: | , , |
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| Format: | Journal Article |
| Published: |
Taylor & Francis
2024
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| Online Access: | http://hdl.handle.net/20.500.11937/96547 |
| _version_ | 1848766168631869440 |
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| author | Rahman, Mahabubur Shimul, Anwar Sadat Sun, Wenbin |
| author_facet | Rahman, Mahabubur Shimul, Anwar Sadat Sun, Wenbin |
| author_sort | Rahman, Mahabubur |
| building | Curtin Institutional Repository |
| collection | Online Access |
| description | Purpose
This study postulates that a firm’s level of value appropriation capability (viz. selling capability) plays a pivotal role in influencing a firm’s top management team’s (TMT) sentiment and its perception of future risk and uncertainty. Further, the current study posits that the nexus between firm-level selling capability and the TMT’s sentiment and future risk perception is contingent upon the firm’s industry growth.
Design/methodology/approach
This research employs a textual analysis-based measure of TMT’s sentiment and perception of future risk and uncertainty and data envelopment analysis (DEA)-based measure of firm-level selling capability, using a sample of 243 USA-based firms during the period 2014 to 2020 and employing an endogeneity-robust econometric modeling technique.
Findings
The current study demonstrates that selling capability positively affects a firm’s TMT’s sentiment and negatively impacts the TMT’s perception of future risk and uncertainty. Furthermore, the association between selling capability and TMT’s sentiment and future risk perception are accentuated by industry growth.
Research limitations/implications
Future studies are warranted to unearth how the association between the focal variables changes depending on the effect of other firm-specific internal boundary conditions.
Practical implications
The results demonstrate sales and marketing managers should develop efficient sales organization and management techniques to bolster the overall firm-level selling capability. Managers should focus on enhancing their firm-level selling capability to maximize the positive impact on the TMT’s sentiment.
Originality/value
Although studies have shown the effect of managerial sentiment on firm behavior, there is no empirical evidence, to our knowledge, as to what drives TMT’s sentiment and perception of risk and uncertainty. The present treatise shows that a firm’s selling capability and industry growth affect the TMT’s sentiment and the perception of future risk and uncertainty. |
| first_indexed | 2025-11-14T11:46:52Z |
| format | Journal Article |
| id | curtin-20.500.11937-96547 |
| institution | Curtin University Malaysia |
| institution_category | Local University |
| last_indexed | 2025-11-14T11:46:52Z |
| publishDate | 2024 |
| publisher | Taylor & Francis |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | curtin-20.500.11937-965472025-01-17T03:04:27Z What Drives the Top Management Team's Sentiment and Perception of Future Risk and Uncertainty? A Selling-Capability Based View Rahman, Mahabubur Shimul, Anwar Sadat Sun, Wenbin Purpose This study postulates that a firm’s level of value appropriation capability (viz. selling capability) plays a pivotal role in influencing a firm’s top management team’s (TMT) sentiment and its perception of future risk and uncertainty. Further, the current study posits that the nexus between firm-level selling capability and the TMT’s sentiment and future risk perception is contingent upon the firm’s industry growth. Design/methodology/approach This research employs a textual analysis-based measure of TMT’s sentiment and perception of future risk and uncertainty and data envelopment analysis (DEA)-based measure of firm-level selling capability, using a sample of 243 USA-based firms during the period 2014 to 2020 and employing an endogeneity-robust econometric modeling technique. Findings The current study demonstrates that selling capability positively affects a firm’s TMT’s sentiment and negatively impacts the TMT’s perception of future risk and uncertainty. Furthermore, the association between selling capability and TMT’s sentiment and future risk perception are accentuated by industry growth. Research limitations/implications Future studies are warranted to unearth how the association between the focal variables changes depending on the effect of other firm-specific internal boundary conditions. Practical implications The results demonstrate sales and marketing managers should develop efficient sales organization and management techniques to bolster the overall firm-level selling capability. Managers should focus on enhancing their firm-level selling capability to maximize the positive impact on the TMT’s sentiment. Originality/value Although studies have shown the effect of managerial sentiment on firm behavior, there is no empirical evidence, to our knowledge, as to what drives TMT’s sentiment and perception of risk and uncertainty. The present treatise shows that a firm’s selling capability and industry growth affect the TMT’s sentiment and the perception of future risk and uncertainty. 2024 Journal Article http://hdl.handle.net/20.500.11937/96547 10.1080/1051712X.2024.2425942 Taylor & Francis restricted |
| spellingShingle | Rahman, Mahabubur Shimul, Anwar Sadat Sun, Wenbin What Drives the Top Management Team's Sentiment and Perception of Future Risk and Uncertainty? A Selling-Capability Based View |
| title | What Drives the Top Management Team's Sentiment and Perception of Future Risk and Uncertainty? A Selling-Capability Based View |
| title_full | What Drives the Top Management Team's Sentiment and Perception of Future Risk and Uncertainty? A Selling-Capability Based View |
| title_fullStr | What Drives the Top Management Team's Sentiment and Perception of Future Risk and Uncertainty? A Selling-Capability Based View |
| title_full_unstemmed | What Drives the Top Management Team's Sentiment and Perception of Future Risk and Uncertainty? A Selling-Capability Based View |
| title_short | What Drives the Top Management Team's Sentiment and Perception of Future Risk and Uncertainty? A Selling-Capability Based View |
| title_sort | what drives the top management team's sentiment and perception of future risk and uncertainty? a selling-capability based view |
| url | http://hdl.handle.net/20.500.11937/96547 |