Abstract
Executive optimism (or pessimism) about the business environment has broad and vital strategic implications. Departing from previous research centered mainly on CEOs, we developed a model explaining when and how TMT optimism shapes new product introduction. We examined the TMT optimism diversity and argued that CEO visionary leadership plays the critical moderating role, in which TMT optimism diversity is positively related to TMT behavioral integrate and ultimately to the new product introduction when CEO has high visionary leadership, whereas it yielded negative effect when CEO has low visionary leadership. Results based on multi-wave and multi-sources data from 83 Chinese small and medium enterprises support the model and associated hypotheses. Our study offers a nuanced theoretical account of the strategic implications of TMT optimism.
Published Version
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