WOMEN’S LEADERSHIP STYLE: A COMPETITIVE ADVANTAGE IN FAMILY FIRMS?
Cathleen
A. Folker, University of St. Thomas
Ritch L. Sorenson, Texas Tech University
Principal Topic
A recent study of family businesses derived five approaches to leadership and tested these leadership styles for their relationship to family and business outcomes (Sorenson, 1999). Of the five leadership styles, participative and referent leadership were positively associated with either and/or both family and business outcomes.
This study argues that women have a natural tendency toward participative and referent leadership. Although leadership studies are inconsistent, recent studies in brain research suggest that men and women are “wired differently” in ways that might sustain a participative and/or referent approach to leadership. Such leadership emphases may position women well for the nature of business in the 21st century. This study tests whether women differ from men in their approach to leadership. In addition, the study tests whether the leadership styles of men and women differentially affect their ability to obtain desired business, family, and quality of life outcomes.
Method
The database for the study (The Survey of Family Business, a 199-item questionnaire obtained by the Center for Entrepreneurship and Family Business at Texas Tech University) consists of female and male family business owners. Family business owners have the opportunity to create the norms and use their leadership style preference, which allows for a good test of female-male differences. We use MANOVA tests to evaluate the gender differences and the impact on family and business outcomes.
Results and Implications
MANOVA test results indicate that women and men do not differ significantly in their use of the four styles of leadership: participative, referent, mission, or dominant. A significant interaction indicated a significant and positive relationship between participative leadership and business outcomes for men (r = .39), but not for women (r = -.12). For men, adding participation may help broaden perspective and inform decisions. However, previous research indicates that women prefer to organize through a network of relationships. For women, adding participation to a broad network may be cumbersome and result in lack of focus. Another significant interaction indicated a significant and negative relationship between dominant leadership and family outcomes for men (r = -.28), but a positive relationship for women (r = .23). Previous research suggests that women have a more caring orientation than men. It may be that caring plus some dominant leadership produces positive family outcomes for women and a less caring plus dominant leadership results in negative outcomes for men.
CONTACT: Cathleen A. Folker, Department of Entrepreneurship, University of St. Thomas, MNC #6019, 2115 Summit Avenue, St. Paul, MN 55105; (T) 651-962-5083; (F) 651-962-5093; cafolker@stthomas.edu
2002 Babson College. All Rights Reserved. Last Updated March 2003.