The role of manager leadership style in salesperson implementation of sales strategy : a contingency perspective

Purpose: This paper aims to explore the role of leadership in influencing the strategy implementation behaviors of salespeople. This paper also seeks to examine the moderating influence of competitive environment on the leadership style – salesperson implementation of sales strategy relationship. Design/methodology/approach: Data were collected from a sample of 190 business-to-business salespeople in different industries. The study’s hypotheses were tested using partial least squares (PLS). Findings: The results of the study show that a transformational leadership style has stronger effects on the sales strategy implementation behaviors of salespeople when compared to transactional leadership. However, in highly competitive environments, the effects of transactional leadership on the sales strategy implementation behaviors of salespeople become stronger. The results also show when salespeople implement sales strategy, it has a positive impact on their sales performance. Practical implications: Sales managers should adapt their leadership style depending on the competitive environment that operate in. As transformational leadership and transactional leadership are not mutually exclusive, managers should tailor their use of these styles to improve the strategy implementation behaviors of their salespeople. Managers should also train their salespeople on the use of sales strategy. Originality/value: This study contributes to the literature by showing that the effectiveness of a particular leadership style is often contingent on the external environment. This research also demonstrates that when salespeople are strategic in their approach to selling, they will improve their sales performance.