Striking the Balance: Unueiling Interpersonal Consequences of Leader Ouerconfidence and the Potential Moderating Effect of Gender

Abstract

Scholars hold contrasting views regarding the interpersonal consequences of overconfidence – some claim that overconfidence yields social advantages, whereas others contend that it results in adverse social outcomes. We examine the interpersonal effects of overconfidence in the context of high-level leadership and whether gender moderates the relationship between confidence level and interpersonal evaluations. A total of 454 participants, primarily recruited from two large and renowned companies in Norway, were randomly assigned to experimental conditions, wherein they watched an audio clip of either an (1) overconfident male CEO, (2) well-calibrated male CEO, (3) overconfident female CEO, or (4) well-calibrated female CEO. They were then asked to evaluate the CEO in terms of perceived competence and warmth before and after objective performance feedback was provided. The findings suggest that it is more beneficial for leaders to be well-calibrated than overconfident when performance is revealed to others. Contrary to conventional theories on gender stereotypes, the results suggest that female leaders are not subjected to harsher punishment when revealed as overconfident compared to male leaders. These findings offer valuable insight into the interpersonal consequences of overconfidence among high-level leaders and shed light on the influence of gender.