The effect of leadership type on follower performance in Asian technology industries: the moderating effects of narcissism

ABSTRACT

Many researchers are interested in the relationship between leaders and their followers, whether in the technology or nontechnology sector. However, the moderating factors of the relationship between leadership types and followers’ performance have been underexplored. This study investigates the moderating role of a leader’s narcissism in the relationship between leadership types (transformational and transactional) and follower performance in technology and nontechnology industries. We analyze the results of a survey of 46 chief executive officers and 205 followers at 46 large companies in Korea, of which 30 are in the technology sector and 16 are in nontechnology industries. The results show that a leader’s narcissism mitigates the positive relationship between transformational leadership and followers’ performance. Moreover, a leader’s narcissism strengthens the negative relationship between transactional leadership and followers’ performance. When industry type is considered, this effect remains evident only in the technology sector. These findings suggest that the moderating role of narcissism in the relationship between leadership and follower outcomes can be industry-specific. The results contribute to theoretical discussions about the relationship between leadership types and followers’ performance and its moderating factors.

KEYWORDS:

• Innovation
• narcissism
• technology industry
• transactional leadership
• transformational leadership

Disclosure statement

No potential conflict of interest was reported by the author(s).

Notes

1 Among various standards, such as technological intensity (Eurostat), research and development intensity (OECD), and the percentage of workers in science, technology, engineering, and mathematics (US Bureau of Labor Statistics), we adopted the OECD standard (Eurostat, 2007; Hölzl, 2014).

Additional information

Funding

This work was supported by National Research Foundation of Korea [grant number 2021R1A6A1A14045741].

Notes on contributors

Hee Chul Moon

Hee Chul Moon is a doctoral student of Moon Soul Graduate School of Future Strategy in Korea Advanced Institute of Science and Technology (KAIST). He has achieved his master's degree in the same school in 2014. He involved in Innovation Strategy and Policy Lab at KAIST. His research interests include leadership, management, organizational behaviour, and industrial management. Email: [email protected].

Wonjoon Kim

Wonjoon Kim is the Head of the Graduate School of Innovation and Entrepreneurship, a Professor at the School of Business and Technology Management, KAIST. He is also the Director of KAIST Innovation Strategy and Policy Institute. He has been publishing numerous researches on the strategic management of innovation of firms, industry, and governments centering on emerging innovation paradigms. His current research interest also covers the changing nature of innovation, including AI (Artificial Intelligence) and industrial and social change, convergence of technology and industry, mobile innovation, big data as well as the changing nature of the process of entrepreneurship. Email: [email protected]