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The dual mechanism of sales capabilities in influencing organizational performance

Author

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  • Guenzi, Paolo
  • Sajtos, Laszlo
  • Troilo, Gabriele

Abstract

In most companies, sales organizations play an increasingly strategic role in creating a competitive advantage for the firm. In contrast to marketing capabilities, sales capabilities are not well-defined and are therefore overlooked both conceptually and empirically. This study distinguishes between sales force management capabilities and personal selling capability, examines their interplay, and ultimately analyzes their impact on the firm's performance. The findings indicate that sales capabilities have a dual mechanism in enhancing performance: directly through a well-structured sales force and indirectly by leveraging personal selling capability through nurturing sales talent and targeting customers. By developing, identifying, and validating sales force management and personal selling capability empirically, this research contributes to the literature on sales as well as to the literature on capabilities, in general, and to the connection between sales capabilities and performance.

Suggested Citation

  • Guenzi, Paolo & Sajtos, Laszlo & Troilo, Gabriele, 2016. "The dual mechanism of sales capabilities in influencing organizational performance," Journal of Business Research, Elsevier, vol. 69(9), pages 3707-3713.
    • Handle: RePEc:eee:jbrese:v:69:y:2016:i:9:p:3707-3713
    DOI: 10.1016/j.jbusres.2016.03.033
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    References listed on IDEAS

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    Citations

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    Cited by:

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    2. Ho-Taek Yi & Young-Bong Cha & Fortune Edem Amenuvor, 2021. "Effects of Sales-Related Capabilities of Personal Selling Organizations on Individual Sales Capability, Sales Behaviors and Sales Performance in Cosmetics Personal Selling Channels," Sustainability, MDPI, vol. 13(7), pages 1-21, April.
    3. Hinterhuber, Andreas, 2017. "Value quantification capabilities in industrial markets," Journal of Business Research, Elsevier, vol. 76(C), pages 163-178.
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    5. Locander, David A. & Darrat, Mahmoud A. & Babin, Barry J., 2023. "Examining the impact of salesperson orientation on creative selling, passive deviance, and organizational outcomes," Journal of Business Research, Elsevier, vol. 154(C).
    6. Micevski, Milena & Kadic-Maglajlic, Selma & Banerjee, Sourindra & Cadogan, John & Lee, Nick, 2017. "Is it better to be both nice and nasty? Investigating the co-occurrence of sales manager aggressiveness and caring," Journal of Business Research, Elsevier, vol. 80(C), pages 266-276.
    7. Manis, K.T. & Madhavaram, Sreedhar, 2023. "AI-Enabled marketing capabilities and the hierarchy of capabilities: Conceptualization, proposition development, and research avenues," Journal of Business Research, Elsevier, vol. 157(C).
    8. Burström, Thommie & Wilson, Timothy L. & Wincent, Joakim, 2020. "Dynamics of after-sales managers’ strategizing work: What, why and how," Journal of Business Research, Elsevier, vol. 110(C), pages 119-131.
    9. Ala'aldin Alrowwad & Bader Yousef Obeidat & Ali Tarhini & Noor Aqqad, 2017. "The Impact of Transformational Leadership on Organizational Performance via the Mediating Role of Corporate Social Responsibility: A Structural Equation Modeling Approach," International Business Research, Canadian Center of Science and Education, vol. 10(1), pages 199-221, January.

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