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Web of Proceedings - Francis Academic Press
Web of Proceedings - Francis Academic Press

An Empirical Study on the Relationship between Leadership Style and Business Performance of Chinese SMEs

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DOI: 10.25236/iciss.2019.001


Pingping Song, and Khaled Mohammed Alqahtani

Corresponding Author

Pingping Song


In today's enterprise management model, leadership style has an important impact on business management. To solve this problem, the academic community starts with the relationship between leadership style, economic capital and business performance, and proposes transactional leadership style and transformational leadership style, which influences the conceptual model and research hypothesis of business performance through leadership style. Through the empirical analysis of 2150 questionnaires in Nanchang City, Jiangxi Province, it is found that the contingency incentives and active exception management in the transactional leadership style have a positive impact on business performance. Economics and incentives in a transformative leadership style also have a positive influence on business performance. Economic capital plays a full intermediary role between the two leadership styles and business performance. Finally, the importance of the interaction between business management and future research prospects based on these two leadership styles is presented.


Leadership style, Business performance, Impact mechanism