Perception of managers’ influence depending on status, power, and company performance

Abstract

This research examines others’perception of the influence of managers working in successful or unsuccessful companies who possess or lack status (to berespected by others) and power (control of valued resources). Study 1 shows that high-status managers were judged as more influential in thefirm thantheir low-status peers, regardless of the company’s situation. Study 2finds that in a context of economic uncertainty, a manager with high status and poweris perceived to be more capable of affecting thefirm. The effect of power seems to be secondary since when a manager has low status, having high powerdoes not significantly benefit the influence attributed to him or her. Furthermore, dominance (assertive behavior), not warmth, mediated the relationshipbetween status and the attributed influence. Overall, thesefindings confirm that status is a very potent source of social influence, status and power aredistinct constructs with different effects, and dominance rather than warmth is a key personal dimension linked to successful leadership.