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Purpose: The purpose of the present study is to review and specifically examine the untested but common recommendation that leaders should give more effective positive feedback that is specific and mindful of nonverbal delivery. Study Design/Methodology/Approach: We used a dyadic interaction study where designated “leaders” interact with a “subordinate” in an idea generation and evaluation task. Leaders (n = 90) first received brief training in delivering positive feedback, and their subsequent feedback behavior during the dyadic interaction was coded for frequency, specificity, and both verbal and nonverbal affective delivery. Key dependent variables were subordinate affective reactions, perceptions of the leader, and subsequent task motivation. Findings: Frequency of leader positive feedback had significant positive impact on subordinate perceptions of the leader, but no impact on subordinate positive affect or task motivation. Positive feedback specificity and affective delivery, however, had no impact on subordinate affect, perceptions of the leader, or task motivation. Training effects were also observed – leaders were able to increase the specificity of their feedback, but were not able to modulate their affective delivery. Originality/Value: The design of the study allowed us to identify the leader positive feedback behaviors that were trainable and had the most impact on subordinates in terms of positive affect, perceptions of the leader, and subsequent task effort. We discuss the implications of these effects for positive feedback theory and application and commonly assumed “best practices.”

The rapid, yet low-profit, expansion of the production capacity of state-owned enterprises (SOEs) represents a remarkable phenomenon. However, the motivation behind this key operational decision remains underexplored, especially concerning the prioritization of sociopolitical and financial goals in operations management. Drawing on the multiple-goal model in the behavioral theory of the firm (BTOF), the authors' study aims to examine how SOE capacity expansion is driven by performance feedback regarding the sociopolitical goal of employment provision and how SOEs differently prioritize sociopolitical and financial goals based on negative versus positive feedback on the sociopolitical goal.

The authors' study uses panel data on 826 Chinese SOEs in manufacturing industries from 2011 to 2019. The authors employ the fixed-effects model with Driscoll–Kraay standard errors, which are robust to heteroscedasticity, autocorrelation and cross-sectional dependence.

The authors find that SOEs increase capacity expansion as sociopolitical feedback becomes more negative, but they may not increase capacity expansion in response to positive sociopolitical feedback. Moreover, negative profitability feedback strengthens SOEs' capacity expansion in response to negative sociopolitical feedback. In contrast, negative profitability feedback weakens their response to positive sociopolitical feedback.

The authors' study offers a novel behavioral explanation of SOEs' operational decisions regarding capacity expansion. While the literature has traditionally assumed multiple goals as either hierarchical or compatible, the authors extend the BTOF's multiple-goal model to illuminate when firms pursue sociopolitical and financial goals as compatible (i.e. the activation rule) versus hierarchical (i.e. the sequential rule), thereby reconciling their tension in distinct performance situations. Practically, the authors provide fine-grained insights into how operations managers can prioritize multiple goals when making operational decisions. The authors' study also shows how policymakers can influence SOE operations to pursue sociopolitical goals for public benefit.

Adopting the transformative service research (TSR) perspective, the purpose of this paper is to investigate the impact of positive customer feedback on the well-being of front-line employees, companies, and society. Using a multidisciplinary approach, the overlooked area of “positive feedback” is explored resulting in the development of the “Positive Feedback Model” (PFM). The study also compares managers’ and employees’ perceptions of positive customer feedback.

Two exploratory qualitative studies were conducted: Study 1 consisted of 22 semi-structured interviews with managers working in the service industry and Study 2 consisted of seven focus groups with front-line service employees. The extensive literature review and the results of these two studies contributed to the development of the PFM.

Positive customer feedback is an overlooked area of service research which offers potential for improving the well-being of the service entities. Front-line employees are the main recipients and topics of positive customer feedback. The developed PFM describes various forms, channels, and times of administration of positive customer feedback and its multitude of impacts on the well-being of service entities.

This study contributes to the literature on TSR and customer feedback management. The developed model presents possible positive feedback categories, their various outcomes and the outcomes for the concerned parties involved. By developing PFM and encouraging a multidisciplinary approach combined with advanced research methodologies, the researchers propose an agenda for further research insights within the TSR and customer feedback areas. The comparison of the managers’ and employees’ perceptions of positive customer feedback presents novel managerial implications and directions for future research.

This study is the first to explore customer feedback from a TSR perspective. It examines the overlooked area of positive customer feedback. The well-being of service entities is prioritized as services have been extensively criticized for ignoring human well-being.

In services, customers’ successful performance of expected roles is critical to ensuring successful service outcomes. To help customers perform their roles better, service providers offer them feedback on their performance. To improve the design of customer feedback that contains both positive and negative messages, the purpose of this paper is to examine the order and the repetition effect of feedback message types on customer feedback satisfaction, motivation, and compliance intention, focusing on the moderating effect of customer involvement level. This paper also examines whether feedback satisfaction and motivation mediate the moderation effect of the order or repetition of feedback message type and customer involvement level on compliance intention.

This study employs two between-subject quasi-experimental designs: 2 (feedback message order: positive message first vs negative message first) × 2 (involvement level: high vs low) and a 2 (repeated feedback type: positive vs negative) × 2 (involvement level: high vs low). Data collection occurred through an online survey using eight health checkup scenarios. Hypotheses were tested by using MANOVA and PROCESS.

The customer involvement level moderated the effect of the presentation order of feedback message type on customer responses. With highly involved customers, offering positive feedback initially produced responses that were more favorable. With customers with low involvement, the order did not matter. The effects of feedback satisfaction and motivation as mediators in the effect of order on compliance intention were significant only with highly involved customers. The mediation effect of motivation was much stronger than that of feedback satisfaction. The repetition of a particular feedback type took effect only with customers with low-involvement level. Compared to the no-repetition condition (positive-negative), when positive feedback was repeated (positive-negative-positive), motivation increased. Compared to the no-repetition condition (negative-positive), when negative feedback was repeated (negative-positive-negative), feedback satisfaction and compliance intention decreased. In terms of mediating effect, only feedback satisfaction was a meaningful mediator and only when negative feedback was repeated to low-involvement customers.

This study contributes to research by extending feedback studies in services to include a consideration of the order and repetition of feedback message types as design variables; it contributes practically by suggesting how to design feedback for better customer responses such as feedback satisfaction, motivation, and compliance intention.

The paper aims to examine, first, how performance feedback influences positive and negative affect within individuals across negative and positive feedback range, and secondly, whether self‐esteem moderates individuals' affective reactions to feedback.

A sample of 197 undergraduate students completed an 8‐trial experiment. For each trial, participants performed a task, received performance feedback, and were subsequently asked to report their affective state. Hierarchical linear modeling was used to test the hypothesized within‐ individual effects and the cross‐level moderating role of self‐esteem.

Performance feedback did influence both positive and negative affect within individuals and feedback indicating goal non‐attainment (i.e. negative feedback) increased negative affect more than it reduced positive affect. The data offered some support for the prediction with respect to the moderating role of self‐esteem derived from self‐enhancement theory.

The laboratory design and student sample are limitations with the study. However, the nature of our research question justifies an initial examination in a controlled, laboratory setting. Our findings may stimulate researchers to further investigate the role of affect and emotions in behavioral self‐regulation.

This study furthers research on reactions to feedback by examining the feedback‐affect process within individuals across time. Multiple dimensions of affect were considered and positive and negative feedback continua were examined separately.

Front-line employee (FLE) well-being is an under-researched field. Contrasting the prevailing view that Positive Customer Feedback (PCF) can only have ‘positive’ impacts, this study aims to answer the counterintuitive question: Could the apparently positive construct ‘Positive Customer Feedback’ have a negative impact on the well-being of front-line employees? Consequently, working within the Transformative Service Research (TSR) framework, we investigate whether PCF can negatively affect the eudaimonic and hedonic well-being dimensions of FLEs, thus decreasing their overall psychological well-being level.

A multidisciplinary literature review was conducted, particularly in the social psychology, human resources and organizational behavior fields, to examine the potential negative impacts of PCF. Subsequently, an exploratory qualitative study consisting of seven focus groups with 45 FLEs and 22 in-depth interviews with managers working across various service industries were performed. All the transcripts were analyzed via an iterative hermeneutical process.

A model describing ten negative impacts and six key contingencies of PCF was developed. The identified impacts can negatively affect the eudaimonic and hedonic well-being dimensions of FLEs. PCF can have a negative impact on the eudaimonic dimensions such as harmony, respect and support. Moreover, PCF appears to increase the negative affect by creating tension, fear, strain and stress, thus, negatively affecting the happiness level of FLEs (hedonic well-being). The identified contingencies play a crucial role in determining the direction and intensity of the negative impact of PCF. Therefore, the overall psychological well-being level of FLEs can suffer as a result of PCF. This study also discusses managerial challenges associated with PCF management.

The article discusses important managerial implications in the field of FLE well-being and PCF management and suggests directions for future research aiming to expand the boundaries of the current TSR agenda and service human resources.

This study is the first to explore the negative side of PCF from a TSR perspective. It extends the understanding of the overlooked area of PCF and FLE well-being.

The purpose of this paper is to conceptualize, understand, and measure positive and negative aspects of supervisor developmental feedback (SDF) and investigate their relationships with task performance.

In Study 1, common themes in SDF were identified and a set of SDF items were developed to capture the positive and negative SDF domain. Study 2 entailed the administration of the items to respondents to examine the dimensionality of the items through exploratory factor analysis. In Study 3, using confirmatory factor analysis we further examined the extent to which positive and negative developmental feedback (PSDF and NSDF) were conceptually distinct from each other and different from an existing general measure of supervisor feedback.

Study 1 and Study 2 yielded evidence that positive and negative SDF are distinct yet related constructs. Positive SDF predicted employee task performance. The positive SDF by negative SDF interaction predicted task performance.

The authors provide criterion-related validity evidence by examining the predictive validity of positive and negative SDF on subordinate task performance (reported by supervisors). Future research should examine the role of positive and negative SDF in predicting job performance in other samples and cultural contexts and for other outcomes, including organizational citizenship.

This research refines the SDF domain by identifying positive and negative domains of the SDF construct. The authors propose and test the joint influence of positive and negative SDF. The novel findings point to the importance of supervisors providing both positive and negative feedback to enhance performance.

Expectations play a crucial role in finance, macroeconomics, monetary economics, and fiscal policy. In the last decade a rapidly increasing number of laboratory experiments have been performed to study individual expectation formation, the interactions of individual forecasting rules, and the aggregate macro behavior they co-create. The aim of this article is to provide a comprehensive literature survey on laboratory experiments on expectations in macroeconomics and finance. In particular, we discuss the extent to which expectations are rational or may be described by simple forecasting heuristics, at the individual as well as the aggregate level.

Relying on the theories of substitutes for leadership and psychological empowerment, this study aims to explore how perceptions of customer positive feedback can substitute for managers’ transformational leadership in driving frontline employees’ psychological empowerment and, in turn, task performance.

The authors tested the research hypotheses with frontline employees working in 17 equipment rental stores. Employees completed a questionnaire about customer positive feedback, transformational leadership and psychological empowerment, and supervisors completed a separate questionnaire about employees’ task performance. A total of 178 employee-supervisor dyads formed the final sample of the study.

The results provided support for our hypotheses. Psychological empowerment fully mediated the relationship between transformational leadership and task performance. Moreover, customer positive feedback moderated the indirect relationship between transformational leadership and task performance such that it was significant and positive only when customer feedback was low.

This paper contributes to the service marketing literature by showing that customer positive feedback can substitute for managers’ leadership in helping frontline employees feeling more in control of their work and psychologically empowered. Another useful contribution for practitioners is that customers may have a positive impact on frontline employees’ motivation state, which past research has little explored.

The purpose of this paper is to research and analyze the influence of institutional investors in the present securities market due to behavior alienation with “running after rising and falling” and “herd behavior”.

A DeLong, Shleifer, Summers, and Waldmann (DSSW) model with positive feedback trading is established first to show the trading process, and these securities prices are calculated considering the investors' emotion. Through numerical analysis, the influence of institutional investors on securities price fluctuation is simulated. Further, the analysis of institutional investors' incomes is processed based on this model.

Through these analyses, the following conclusions are drawn: it lies on the scale of positive feedback traders and their sensitivity to past market performances whether the institutional investors can stabilize the market, and it is not necessary for the institutional investors to benefit from manipulating the market due to the existence of noise trader risk, so the positive feedback traders may survive in the security market over the long term.

The DSSW model considering positive feedback trading, presented in the paper, is more effective in analyzing the relation among the behavior of institutional investors, securities pricing and securities price fluctuation. The paper proposes some advice for policy decisions, which is helpful for government and institutions to maintain the stability of securities markets.