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Store Manager–Store Performance Relationship: A Research Note

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  • Arnold, Todd J.
  • Grewal, Dhruv
  • Motyka, Scott
  • Kim, Namwoon
  • Sharma, Arun
  • Srivastava, Rajendra

Abstract

Despite the critical role that store managers play in linking top management teams and service/retail employees, as well as in fulfilling corporate strategy within chain store environments, service management research infrequently addresses the factors that may promote store managers’ effective exchange relationships within the firm and subsequent effects on store operations and profitability. This study focuses on how store managers’ performance orientation, trust of a regional manager’s capabilities, and organizational commitment affect a manager’s relationships relative to regional managers and frontline employees. The direct effect of store managers’ relationship capacity on store performance is also examined. The results, based on survey data from managers of stores of a retail and service chain and company financial reports, generally support the suggested hypotheses. Specifically, a store manager’s relationship with his/her supervisor has a strong influence on how the manager views the supervisor’s leadership support and leadership style, which ultimately influence store performance (primary goods/service sales and store profits).

Suggested Citation

  • Arnold, Todd J. & Grewal, Dhruv & Motyka, Scott & Kim, Namwoon & Sharma, Arun & Srivastava, Rajendra, 2019. "Store Manager–Store Performance Relationship: A Research Note," Journal of Retailing, Elsevier, vol. 95(2), pages 144-155.
    • Handle: RePEc:eee:jouret:v:95:y:2019:i:2:p:144-155
    DOI: 10.1016/j.jretai.2019.03.002
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    References listed on IDEAS

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    1. Arnold, Todd J. & Palmatier, Robert W. & Grewal, Dhruv & Sharma, Arun, 2009. "Understanding Retail Managers’ Role in the Sales of Products and Services," Journal of Retailing, Elsevier, vol. 85(2), pages 129-144.
    2. Gauri, Dinesh K., 2013. "Benchmarking Retail Productivity Considering Retail Pricing and Format Strategy," Journal of Retailing, Elsevier, vol. 89(1), pages 1-14.
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    4. Lichtenstein, Donald R. & Netemeyer, Richard G. & Maxham, James G., 2010. "The Relationships Among Manager-, Employee-, and Customer-Company Identification: Implications For Retail Store Financial Performance," Journal of Retailing, Elsevier, vol. 86(1), pages 85-93.
    5. James G. Maxham, III & Richard G. Netemeyer & Donald R. Lichtenstein, 2008. "The Retail Value Chain: Linking Employee Perceptions to Employee Performance, Customer Evaluations, and Store Performance," Marketing Science, INFORMS, vol. 27(2), pages 147-167, 03-04.
    6. David G. Sirmon & Michael A. Hitt, 2009. "Contingencies within dynamic managerial capabilities: interdependent effects of resource investment and deployment on firm performance," Strategic Management Journal, Wiley Blackwell, vol. 30(13), pages 1375-1394, December.
    7. Seevers, Matthew T. & Skinner, Steven J. & Dahlstrom, Robert, 2010. "Performance Implications of a Retail Purchasing Network: The Role of Social Capital," Journal of Retailing, Elsevier, vol. 86(4), pages 310-321.
    8. Spralls, Samuel A. & Hunt, Shelby D. & Wilcox, James B., 2011. "Extranet Use and Building Relationship Capital in Interfirm Distribution Networks: The Role of Extranet Capability," Journal of Retailing, Elsevier, vol. 87(1), pages 59-74.
    9. Puccinelli, Nancy M. & Goodstein, Ronald C. & Grewal, Dhruv & Price, Robert & Raghubir, Priya & Stewart, David, 2009. "Customer Experience Management in Retailing: Understanding the Buying Process," Journal of Retailing, Elsevier, vol. 85(1), pages 15-30.
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    2. Meyer, Jan-Hinrich & González, Eva M. & Lopez-Lomelí, Miguel A., 2022. "Better support for supportive jobs. How to improve brand performance through better compensation and training for in-store merchandisers," Journal of Retailing and Consumer Services, Elsevier, vol. 64(C).
    3. Zhang, Ying & Xu, Nan & Frost, Mark & Zhou, Wei & Li, Yuran, 2021. "Modeling team efficiency for international production assignments in Chinese manufacturing multinationals," International Journal of Production Economics, Elsevier, vol. 235(C).
    4. Eleftherios Aggelopoulos & Ioannis Lampropoulos & Elen Paraskevi Paraschi, 2023. "An empirical analysis of evaluating the operational and economic efficiency of retail stores under an adverse operating environment," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 44(5), pages 2713-2741, July.
    5. Fabel, Oliver & Mináriková, Dana & Hopp, Christian, 2022. "Differences and similarities in executive hiring decisions of family and non-family firms," Journal of Family Business Strategy, Elsevier, vol. 13(2).
    6. Lessassy, Léopold, 2023. "Investigating a three-way interaction of manufacturer control, retail control and dependence on salesforce performance. Does the role of frontline employees matters ?," Journal of Retailing and Consumer Services, Elsevier, vol. 74(C).
    7. Sánchez-Gómez, Roberto & Vázquez-Suárez, Luis, 2024. "Organizational structure and store performance in the grocery retail industry: The moderating role of narcissistic leadership," Journal of Retailing and Consumer Services, Elsevier, vol. 79(C).
    8. Dhruv Grewal & Stephanie M. Noble & Anne L. Roggeveen & Jens Nordfalt, 2020. "The future of in-store technology," Journal of the Academy of Marketing Science, Springer, vol. 48(1), pages 96-113, January.
    9. Mayr, Kathrin & Teller, Christoph, 2023. "Customer deviance in retailing: Managers’ emotional support and employees’ affective wellbeing," Journal of Retailing and Consumer Services, Elsevier, vol. 72(C).
    10. Kim, Woo Bin & Kim, Changju & Kurata, Karin, 2025. "Relationships among consumer innovativeness, learning, and global product purchases: Store manager perspectives in retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 82(C).
    11. Vieira, Valter Afonso & Fernandes de Negreiros, Leticia & Agnihotri, Raj & Bakeshloo, Khashayar Afshar, 2021. "Perceptual differences regarding leadership between the store manager and employees and its impact on frontline sales performance: A research note," Journal of Retailing, Elsevier, vol. 97(3), pages 347-358.

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