IDEAS home Printed from https://ideas.repec.org/a/eee/jobhdp/v155y2019icp42-54.html
   My bibliography  Save this article

Paradoxical leader behavior in long-term corporate development: Antecedents and consequences

Author

Listed:
  • Zhang, Yan
  • Han, Yu-Lan

Abstract

We analyze paradoxes embedded in long-term corporate development and conceptualize a new leadership approach: paradoxical leader behavior in long-term corporate development (PLB-CD). Paradoxical leader behaviors are characterized as seemingly both competing and interrelated. We posit that paradoxical leaders employ such behaviors to meet competing demands simultaneously and over time in the process of (a) maintaining both short-term efficiency and long-term development, (b) maintaining both organizational stability and flexibility, (d) focusing on both shareholders and stakeholder communities, and (d) conforming to and shaping collective forces in the environment. We conduct two studies with multiple samples to develop a measurement of PLB-CD. Our results demonstrate that long-term orientation is positively associated with paradoxical leader behavior, which in turn positively affects the increase of R&D investment, market share, and corporate reputation.

Suggested Citation

  • Zhang, Yan & Han, Yu-Lan, 2019. "Paradoxical leader behavior in long-term corporate development: Antecedents and consequences," Organizational Behavior and Human Decision Processes, Elsevier, vol. 155(C), pages 42-54.
  • Handle: RePEc:eee:jobhdp:v:155:y:2019:i:c:p:42-54
    DOI: 10.1016/j.obhdp.2019.03.007
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0749597818301663
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.obhdp.2019.03.007?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Jing, Runtian & Van de Ven, Andrew H., 2014. "A Yin-Yang Model of Organizational Change: The Case of Chengdu Bus Group," Management and Organization Review, Cambridge University Press, vol. 10(1), pages 29-54, March.
    2. Mario Minoja, 2012. "Stakeholder Management Theory, Firm Strategy, and Ambidexterity," Journal of Business Ethics, Springer, vol. 109(1), pages 67-82, August.
    3. Andreas Georg Scherer & Guido Palazzo & David Seidl, 2013. "Managing Legitimacy in Complex and Heterogeneous Environments: Sustainable Development in a Globalized World," Journal of Management Studies, Wiley Blackwell, vol. 50(2), pages 259-284, March.
    4. Danny Miller, 1991. "Stale in the Saddle: CEO Tenure and the Match Between Organization and Environment," Management Science, INFORMS, vol. 37(1), pages 34-52, January.
    5. Tony Fang, 2012. "Yin Yang: A New Perspective on Culture," Management and Organization Review, The International Association for Chinese Management Research, vol. 8(1), pages 25-50, March.
    6. Jijun Gao & Pratima Bansal, 2013. "Instrumental and Integrative Logics in Business Sustainability," Journal of Business Ethics, Springer, vol. 112(2), pages 241-255, January.
    7. Alokparna (Sonia) Basu Monga & Deborah Roedder John, 2008. "WHEN DOES NEGATIVE BRAND PUBLICITY HURT? The Moderating Influence of Analytic Versus Holistic Thinking," Working Papers 0044, College of Business, University of Texas at San Antonio.
    8. Justin J. P. Jansen & Frans A. J. Van Den Bosch & Henk W. Volberda, 2006. "Exploratory Innovation, Exploitative Innovation, and Performance: Effects of Organizational Antecedents and Environmental Moderators," Management Science, INFORMS, vol. 52(11), pages 1661-1674, November.
    9. Gerbing, David W & Anderson, James C, 1984. "On the Meaning of Within-Factor Correlated Measurement Errors," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 11(1), pages 572-580, June.
    10. Zheng, Wei & Yang, Baiyin & McLean, Gary N., 2010. "Linking organizational culture, structure, strategy, and organizational effectiveness: Mediating role of knowledge management," Journal of Business Research, Elsevier, vol. 63(7), pages 763-771, July.
    11. Paula Jarzabkowski, 2003. "Strategic Practices: An Activity Theory Perspective on Continuity and Change," Journal of Management Studies, Wiley Blackwell, vol. 40(1), pages 23-55, January.
    12. Ajai S. Gaur & Debmalya Mukherjee & Sanjaya S. Gaur & Florian Schmid, 2011. "Environmental and Firm Level Influences on Inter‐Organizational Trust and SME Performance," Journal of Management Studies, Wiley Blackwell, vol. 48(8), pages 1752-1781, December.
    13. Bruce R. Barringer & Allen C. Bluedorn, 1999. "The relationship between corporate entrepreneurship and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 20(5), pages 421-444, May.
    14. Jarvis, Cheryl Burke & MacKenzie, Scott B & Podsakoff, Philip M, 2003. "A Critical Review of Construct Indicators and Measurement Model Misspecification in Marketing and Consumer Research," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 30(2), pages 199-218, September.
    15. Patricia Phillips McDougall & Jeffrey G. Covin & Richard B. Robinson & Lanny Herron, 1994. "The effects of industry growth and strategic breadth on new venture performance and strategy content," Strategic Management Journal, Wiley Blackwell, vol. 15(7), pages 537-554, September.
    16. Runtian Jing & Andrew H. Van de Ven, 2014. "A Yin-Yang Model of Organizational Change: The Case of Chengdu Bus Group. 中国阴阳文化视角的组织变革模型: 基于CBG的案例研究," Management and Organization Review, The International Association for Chinese Management Research, vol. 10(1), pages 29-54, March.
    17. Johnson, Devon & Grayson, Kent, 2005. "Cognitive and affective trust in service relationships," Journal of Business Research, Elsevier, vol. 58(4), pages 500-507, April.
    18. J. Justin Tan & Robert J. Litsschert, 1994. "Environment‐strategy relationship and its performance implications: An empirical study of the chinese electronics industry," Strategic Management Journal, Wiley Blackwell, vol. 15(1), pages 1-20, January.
    19. Wendy K. Smith & Michael L. Tushman, 2005. "Managing Strategic Contradictions: A Top Management Model for Managing Innovation Streams," Organization Science, INFORMS, vol. 16(5), pages 522-536, October.
    20. R. Edward Freeman & Andrew C. Wicks & Bidhan Parmar, 2004. "Stakeholder Theory and “The Corporate Objective Revisited”," Organization Science, INFORMS, vol. 15(3), pages 364-369, June.
    21. M. López & Arminda Garcia & Lazaro Rodriguez, 2007. "Sustainable Development and Corporate Performance: A Study Based on the Dow Jones Sustainability Index," Journal of Business Ethics, Springer, vol. 75(3), pages 285-300, October.
    22. William D. Rowe, 1994. "Understanding Uncertainty," Risk Analysis, John Wiley & Sons, vol. 14(5), pages 743-750, October.
    23. Magali Delmas & Michael W. Toffel, 2004. "Stakeholders and environmental management practices: an institutional framework," Business Strategy and the Environment, Wiley Blackwell, vol. 13(4), pages 209-222, July.
    24. Faucheux, Sylvie & Froger, Geraldine, 1995. "Decision-making under environmental uncertainty," Ecological Economics, Elsevier, vol. 15(1), pages 29-42, October.
    25. Nicole Darnall & Irene Henriques & Perry Sadorsky, 2010. "Adopting Proactive Environmental Strategy: The Influence of Stakeholders and Firm Size," Journal of Management Studies, Wiley Blackwell, vol. 47(6), pages 1072-1094, September.
    26. Fang, Tony, 2012. "Yin Yang: A New Perspective on Culture," Management and Organization Review, Cambridge University Press, vol. 8(1), pages 25-50, March.
    27. G.T. Lumpkin & Keith H. Brigham & Todd W. Moss, 2010. "Long-term orientation: Implications for the entrepreneurial orientation and performance of family businesses," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 22(3-4), pages 241-264, May.
    28. Natalie Slawinski & Pratima Bansal, 2015. "Short on Time: Intertemporal Tensions in Business Sustainability," Organization Science, INFORMS, vol. 26(2), pages 531-549, April.
    29. Ryu, Sungmin & Park, Jeong Eun & Min, Soonhong, 2007. "Factors of determining long-term orientation in interfirm relationships," Journal of Business Research, Elsevier, vol. 60(12), pages 1225-1233, December.
    30. Daniel R. Denison & Robert Hooijberg & Robert E. Quinn, 1995. "Paradox and Performance: Toward a Theory of Behavioral Complexity in Managerial Leadership," Organization Science, INFORMS, vol. 6(5), pages 524-540, October.
    31. Jeffrey G. Covin & Dennis P. Slevin, 1989. "Strategic management of small firms in hostile and benign environments," Strategic Management Journal, Wiley Blackwell, vol. 10(1), pages 75-87, January.
    32. Noam Wasserman, 2003. "Founder-CEO Succession and the Paradox of Entrepreneurial Success," Organization Science, INFORMS, vol. 14(2), pages 149-172, April.
    33. Tobias Hahn & Jonatan Pinkse & Lutz Preuss & Frank Figge, 2015. "Tensions in Corporate Sustainability: Towards an Integrative Framework," Journal of Business Ethics, Springer, vol. 127(2), pages 297-316, March.
    34. Daniel F. Jennings & Samuel L. Seaman, 1994. "High and low levels of organizational adaptation: An empirical analysis of strategy, structure, and performance," Strategic Management Journal, Wiley Blackwell, vol. 15(6), pages 459-475, July.
    35. Taiyuan Wang & Pratima Bansal, 2012. "Social responsibility in new ventures: profiting from a long‐term orientation," Strategic Management Journal, Wiley Blackwell, vol. 33(10), pages 1135-1153, October.
    36. Julie Battilana & Bernard Leca & Eva Boxenbaum, 2009. "How actors change institutions : Towards a theory of institutional entrepreneurship," Post-Print hal-00576509, HAL.
    37. Thomas Dyllick & Kai Hockerts, 2002. "Beyond the business case for corporate sustainability," Business Strategy and the Environment, Wiley Blackwell, vol. 11(2), pages 130-141, March.
    38. Miron-Spektor, Ella & Gino, Francesca & Argote, Linda, 2011. "Paradoxical frames and creative sparks: Enhancing individual creativity through conflict and integration," Organizational Behavior and Human Decision Processes, Elsevier, vol. 116(2), pages 229-240.
    39. Amy J. Hillman & Gerald D. Keim, 2001. "Shareholder value, stakeholder management, and social issues: what's the bottom line?," Strategic Management Journal, Wiley Blackwell, vol. 22(2), pages 125-139, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Mafico, Nkosana & Krzeminska, Anna & Härtel, Charmine & Keller, Josh, 2021. "The mirroring of intercultural and hybridity experiences: A study of African immigrant social entrepreneurs," Journal of Business Venturing, Elsevier, vol. 36(3).
    2. Jeon, Euiju & Maula, Markku, 2022. "Progress toward understanding tensions in corporate venture capital: A systematic review," Journal of Business Venturing, Elsevier, vol. 37(4).
    3. Waldman, David A. & Putnam, Linda L. & Miron-Spektor, Ella & Siegel, Donald, 2019. "The role of paradox theory in decision making and management research," Organizational Behavior and Human Decision Processes, Elsevier, vol. 155(C), pages 1-6.
    4. Wei, Wu & Zhou, Ying & Wang, Danni, 2023. "Learning to integrate conflicts: Paradoxical leadership fosters team innovation," Journal of Business Research, Elsevier, vol. 165(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tobias Hahn & Frank Figge & Jonatan Pinkse & Lutz Preuss, 2018. "A Paradox Perspective on Corporate Sustainability: Descriptive, Instrumental, and Normative Aspects," Journal of Business Ethics, Springer, vol. 148(2), pages 235-248, March.
    2. Lin Wu & Nachiappan Subramanian & Angappa Gunasekaran & Muhammad Dan‐Asabe Abdulrahman & Kulwant Singh Pawar & Des Doran, 2018. "A two‐dimensional, two‐level framework for achieving corporate sustainable development: Assessing the return on sustainability initiatives," Business Strategy and the Environment, Wiley Blackwell, vol. 27(8), pages 1117-1130, December.
    3. Feifei Jiang & Donghan Wang & Zelong Wei, 2022. "How Yin-Yang cognition affects organizational ambidexterity: the mediating role of strategic flexibility," Asia Pacific Journal of Management, Springer, vol. 39(4), pages 1187-1214, December.
    4. Laura F. Sasse-Werhahn & Claudius Bachmann & André Habisch, 2020. "Managing Tensions in Corporate Sustainability Through a Practical Wisdom Lens," Journal of Business Ethics, Springer, vol. 163(1), pages 53-66, April.
    5. Karen LaPierre & Naomi Wakayama & Toshiro Wakayama, 2016. "Creating Shared Value In The Presence Of Conflicts And Tradeoffs: A Paradox Perspective On Business And Society," Working Papers EMS_2016_11, Research Institute, International University of Japan.
    6. Mario Vaupel & David Bendig & Denise Fischer-Kreer & Malte Brettel, 2023. "The Role of Share Repurchases for Firms’ Social and Environmental Sustainability," Journal of Business Ethics, Springer, vol. 183(2), pages 401-428, March.
    7. Simone Carmine & Valentina De Marchi, 2023. "Reviewing Paradox Theory in Corporate Sustainability Toward a Systems Perspective," Journal of Business Ethics, Springer, vol. 184(1), pages 139-158, April.
    8. Christof Miska & Mark E. Mendenhall, 2018. "Responsible Leadership: A Mapping of Extant Research and Future Directions," Journal of Business Ethics, Springer, vol. 148(1), pages 117-134, March.
    9. Myriam Ertz & Myung-Soo Jo & Fahri Karakas & Emine Sarigöllü, 2021. "Message Sidedness Effects in Advertising: The Role of Yin-Yang Balancing Theory," Social Sciences, MDPI, vol. 10(6), pages 1-26, June.
    10. Xin Li & Li Ma, 2020. "Chinese management research needs self-confidence but not over-confidence," Asia Pacific Journal of Management, Springer, vol. 37(2), pages 481-498, June.
    11. Jay Joseph & Helen Borland & Marc Orlitzky & Adam Lindgreen, 2020. "Seeing Versus Doing: How Businesses Manage Tensions in Pursuit of Sustainability," Journal of Business Ethics, Springer, vol. 164(2), pages 349-370, June.
    12. Su Jin Yang & Seyoon Jang, 2020. "How Does Corporate Sustainability Increase Financial Performance for Small- and Medium-Sized Fashion Companies: Roles of Organizational Values and Business Model Innovation," Sustainability, MDPI, vol. 12(24), pages 1-21, December.
    13. Xin Li, 2019. "Is “Yin-Yang balancing” superior to ambidexterity as an approach to paradox management?," Asia Pacific Journal of Management, Springer, vol. 36(1), pages 17-32, March.
    14. Cubie L.L. Lau & Zinette Bergman & Manfred Max Bergman, 2019. "Environmental Protection and Corporate Responsibility: The Perspectives of Senior Managers and CxOs in China," Sustainability, MDPI, vol. 11(13), pages 1-17, July.
    15. Maria Vincenza Ciasullo & Raffaella Montera & Nicola Cucari & Francesco Polese, 2020. "How an international ambidexterity strategy can address the paradox perspective on corporate sustainability: Evidence from Chinese emerging market multinationals," Business Strategy and the Environment, Wiley Blackwell, vol. 29(5), pages 2110-2129, July.
    16. Addisu A. Lashitew & Lydia Bals & Rob Tulder, 2020. "Inclusive Business at the Base of the Pyramid: The Role of Embeddedness for Enabling Social Innovations," Journal of Business Ethics, Springer, vol. 162(2), pages 421-448, March.
    17. Sarah Birrell Ivory & Simon Bentley Brooks, 2018. "Managing Corporate Sustainability with a Paradoxical Lens: Lessons from Strategic Agility," Journal of Business Ethics, Springer, vol. 148(2), pages 347-361, March.
    18. Shu, Ei (Emily), 2022. "Paradoxical framing and coping process on sustainable new product development," Technovation, Elsevier, vol. 111(C).
    19. Arjan Kozica & Ina Ehnert, 2014. "Lernen von Nachhaltigkeit: Exploration und Exploitation als Lernmodi einer vollständig ambidextren Organisation," Schmalenbach Journal of Business Research, Springer, vol. 66(68), pages 147-167, January.
    20. Erik Andreas Saether & Ann Elida Eide & Øyvind Bjørgum, 2021. "Sustainability among Norwegian maritime firms: Green strategy and innovation as mediators of long‐term orientation and emission reduction," Business Strategy and the Environment, Wiley Blackwell, vol. 30(5), pages 2382-2395, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jobhdp:v:155:y:2019:i:c:p:42-54. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/obhdp .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.