Managerial Ideologies as Rationalizers: How Managerial Ideologies Moderate the Relationship Between Change in Profitability and Downsizing

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Moderated regression analysis shows managerial ideologies influence link between profitability changes and downsizing decisions.

Managerial ideologies enhance the willingness to downsize during profit declines, affecting organizational decisions.
Key findings indicate that belief in these ideologies strengthens the negative relationship with profitability changes.
Using moderated regression analysis, the study assesses the influence of ideologies on profitability and downsizing.
Implications suggest the potential for ideologies to serve as rationalizing mechanisms for management's decisions in response to profits.

Rust et al. (2016) studied this question.

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