A multi-nation study of sales manager effectiveness with global implications

To address the pressing challenge of effectively managing multinational corporations' (MNCs) global sales forces, we offer a theoretical framework and investigate the effects, across cultures, of particular sales manager practices on sales manager effectiveness (SME). Further, we examine whether high SME is associated with salesperson commitment, regardless of national culture. The model is tested on survey responses from 888 salespeople from Canada, Mexico, the United States, China, Australia and New Zealand. The results reveal that national culture moderates most antecedents' relationships to SME. For example, masculinity weakens the positive effect of fixed compensation on SME, supporting the expectation that salespeople in highly masculine countries are more driven to achieve material rewards through greater variable pay. Collectively, study results suggest cultural conditions where managerial practices should be prioritized. SME has a universally positive effect on salesperson commitment, reinforcing the thesis that adapting sales manager practices across countries to optimize SME provides a tangible advantage.

► Relationship building has a stronger effect on sales manager effectiveness (SME) in low power distance countries.
► Frequency working with salespeople has a positive effect on SME only in high uncertainty avoidance countries.
► Monitoring activities have a stronger positive effect on SME in high uncertainty avoidance countries.
► An emphasis on customer relationship quality has a stronger positive effect on SME in high collectivism countries.
► A higher percentage of fixed pay in compensation plan is less appreciated in high masculinity countries.