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The Influence of Company Rules, Ethical Climate, and Individual Characteristics on Sales Representative's Honesty

Steven L Grover
Department of Management, University of Otago, Dunedin, New Zealand

Cathy A Enz
School of Hospitality, Cornell University, Ithaca, New York, United States of America

Abstract

This study examined the impact of situational and individual characteristics on sales representatives' propensity to lie or tell the truth. The situational elements were the honesty of the organization climate and its formal rules about lying to customers. The individual elements were the participants' degree of Machiavellianism and tolerance for ambiguity.

The results indicated that more Machiavellian people were more likely to lie and that they were less guided by the rules than people who were low in this trait. In addition, rules and climate work together for people with a high tolerance for ambiguity in a complex manner.


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