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| Sample characteristics The sample consisted of 252 graduate students of which 54 percent were males with a mean age of 29 (ranging from23 to 44). All participants were in their last year of anMBA program and 98 percent were working. Their main specialization area in the MBA program was: finance (41 percent), marketing (23 percent), information systems (23 percent), and management and organizational behavior (13 percent). The family status of the participants was: 42 percent single, 56 percent married, and 2 percent divorced. Research procedure The research was performed using the Intopia business simulation (Thorelli et al., 1995) with updated business scenarios. The business simulation ran during a full academic year. Its main objectives were to develop the managerial and strategic skills, by practicing the abilities to manage a virtual global firm, operating in several international markets. The students were divided into teams of about six students each. A team represented the management of one firm that competed with other firms who operate in the dynamic hi-tech PC and chips industry. The business position is influenced by the industry (other firms in the simulation), by the macro environmental conditions in the different areas, and by global economy conditions. Each management team is responsible for improving the firm’s short-term and long-term performance, to create a competitive advantage in the fiercely cut-throat and dynamic arena in which it operates. The team performance score was based on team assignments grades and on the firm performance rating. Measures The study included three sources of data. The first was a written questionnaire that the team members were asked to fill in. The second consisted of exam results from each respondent. The third was the team performance score composed of the team assignments grades, and on the firm performance rating. The following variables were included in the questionnaire. Leadership style. in order to reduce the possible confusion inherent in asking questions about leaders in a team setting, we asked the participants to focus on one central characteristic of each leadership style: task orientation for the transactional leader and charisma for the transformational one. Specifically, they were asked, “was the leadership style of the dominant team member: ð1Þ ¼ Transactional: task oriented, where failure to reach goals is often followed by sanctions, or ð2Þ ¼ Charismatic: a leader who employs intellectual stimulation and individualized consideration for reaching his/her goals?” As leaders were not officially chosen or assigned, members of a team may have had different individuals in mind when responding to the question. Team cohesiveness. This consisted of the following three social/motivational items: |
