Team cohesion: A double-edged sword in the relationship between rival estimation and escalation of commitment

Abstract

We investigated whether rival estimation leads to team cohesion in a competitive situation, and examined the mediating role of team cohesion in the relationship between rival estimation and escalation of commitment. We used a semiexperimental design with a sample of 336 university students and conducted structural equation modeling with partial least squares. Results showed that escalation of commitment increased as rival estimation increased, but this increase was much lower than enhancement through team cohesion. In addition, overestimation of rivals enhanced team cohesion and greatly increased escalation of commitment. Thus, we have introduced novel predictors for team cohesion and escalation of commitment in a competitive situation. Our results provide a tool for leaders responsible for team performance to make significant adjustments in cohesion and rival estimation. Leaders should also be aware of the negative effect of strong team cohesion on the tendency to think in a way that can lead to systematic deviation from good judgment/rationality.