Abstract

Using a social exchange perspective of narcissism as the foundation for study hypotheses, this study explored the relationship between leaders’ narcissism and the well-being of both leaders and subordinates at the individual and group levels. Results from a sample of 1017 subordinates working under 424 leaders generally support the hypothesized models finding leaders’ narcissism negatively relates to leader-member exchange, and that LMX subsequently relates to subordinates’ job satisfaction and emotional exhaustion. At the group level, leaders’ narcissism also negatively relates to three forms of leaders’ personal well-being but these relationships go through average LMX. Elaboration on theoretical and empirical implications for business ethics is offered to provide a clearer direction for future research in this area.