Double-edged sword effect of stretch goal: is stretch goal a burden or boost to employees?

Drawing upon conservation of resources theory, we examine how and when stretch goals affect work effort and cheating behavior. We conduct an online experimental study (Study 1, N = 194) and a three-wave field study (Study 2, N = 298) to test our hypotheses. Results show that trait resilience moderates the relationship between stretch goals and work meaningfulness. When trait resilience of employees is high, stretch goals generate work meaningfulness, which in turn promotes work effort. Meanwhile, stretch goals are indirectly related to cheating behavior through emotional exhaustion. Moreover, trait resilience alleviates the link between stretch goals and emotional exhaustion and the indirect effect of stretch goals on cheating behavior through emotional exhaustion. The present study provides important theoretical and practical implications.