Publication Type

Journal Article

Version

submittedVersion

Publication Date

6-2023

Abstract

We propose a novel process through which status shocks may enhance performance. Specifically, we theorize that when status shocks include a ritualistic conferment of social prestige – such as in the case of “tournament rituals” – participating in that ritual enactment may increase tournament winners’ productivity and improve the inputs they receive, thereby improving their overall performance. We also consider the duration of that performance improvement, finding a decay that is consistent with our theorized mechanisms that are based on emotional energy. Our study shows that status shocks carry not only informational value, as signals of quality, but also symbolic and social value that change the behavior of individuals who receive these shocks and of the input providers with whom they interact. We employ difference-in-differences and regression discontinuity designs on game-level data from the National Basketball Association (NBA) to provide causal evidence for our hypotheses.

Keywords

status shocks, performance enhancement, social prestige, tournament rituals, productivity, inputs, performance improvement, emotional energy, informational value, symbolic value, social value, behavior change, difference-in-differences, regression discontinuity, National Basketball Association (NBA), causal evidence

Discipline

Sports Management | Strategic Management Policy

Research Areas

Strategy and Organisation

Publication

Academy of Management Journal

Volume

66

Issue

3

First Page

926

Last Page

952

ISSN

0001-4273

Identifier

10.5465/amj.2020.0585

Publisher

Academy of Management

Embargo Period

4-5-2022

Copyright Owner and License

Authors

Additional URL

https://doi.org/10.5465/amj.2020.0585

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