Short-Term Wins, Long-Term Risks: A Conceptual Review of the Strategic Costs of Managerial Myopia

In an increasingly performance-driven business environment, managers are often pressured to deliver immediate results, sometimes at the expense of long-term organizational health. This phenomenon, commonly referred to as managerial myopia, reflects a strategic bias toward short-term gains while neglecting long-term risks and sustainability. This conceptual review synthesizes literature from strategic management, behavioral strategy, and organizational theory to examine the antecedents, manifestations, and consequences of managerial myopia. The paper argues that short-termism, while offering temporary performance benefits, can erode innovation capability, stakeholder trust, and strategic resilience over time. A conceptual framework is proposed to illustrate how managerial time orientation influences strategic decision-making and organizational outcomes, with governance mechanisms and organizational learning acting as moderating factors. The study contributes to strategy literature by clarifying the strategic costs of managerial myopia and offers actionable insights for leaders seeking to balance short-term performance pressures with long-term value creation.