We examine the role of strategic cohesion of a firm's top management team (TMT) in competitive dynamics and firm performance. TMT strategic cohesion encompasses cognitive, social, and behavioral integrations among its members, which are consequential in the paradoxical dynamics of competition and cooperation in the marketplace. Results based on a sample of 829 executives in 219 firms show that competitive proactivity is a key mediator that can convert TMT strategic cohesion into advantageous performance outcome, while the mediating effect is weakened when there is high level of rival cooperation. This research contributes to the competitive dynamics and upper echelons theories by proposing the multidimensionality of TMT strategic cohesion and identifying the competition-cooperation tension in the context of a firm's interface with its rivals.
Academy of Management Proceedings, 2017 (Meeting Abstract Supplement) 16076