Problem-Solving or Self-Enhancement? A Power Perspective on How CEOs Affect R&D Search in the Face of Inconsistent Feedback

Firms consider multiple reference points simultaneously to assess performance; however, these referents may be inconsistent in signaling success or failure. Consequently, decision makers use one of two contrasting decision rules when responding to inconsistent feedback: problem solving or self-enhancement. So far, disparate theoretical logics and mixed evidence has limited our understanding about when decision makers shift their attention from...