Impacts of leadership styles on new venture performance

Leadership styles and induced conflicts are essential to an enterprise and its performance; therefore, it is of paramount significance to study the impacting mechanism of leadership and conflicts on new ventures´ performance. By building an intermediation model with three variables of conflicts, leadership styles and new venture performance, a study was conducted on the intermediation of different conflicts (i.e. task conflict and relational conflict) between leadership styles (i.e. transformational and transactional leadership) and new venture performance. Confirmatory factor analysis, regression analysis, and intermediate test are adopted to demonstrate the intermediation of task conflicts between leadership styles and new venture performance. Both transformational and transactional leadership have a positive effect on the new venture performance, and the former has a more striking effect; there is a remarkable positive correlation between task conflict and the new venture performance. Recommendations are made for new ventures in their management.