A taxonomy of supervisor–subordinate exchanges across cultures

Major concerns, both theoretical and methodological, have been raised about the adequacy of the leader-member exchange (LMX) theory, the existing model on supervisor–subordinate exchanges. This paper seeks to overcome three main theoretical shortcomings of the LMX theory as documented in past research. First, that the LMX theory does not describe the exchange process sufficiently, and second, that it does not capture the cross-cultural influences on supervisor–subordinate exchanges. This paper deals with these weaknesses by providing a comprehensive description of supervisor–subordinate exchanges across cultures using two theoretical frameworks, Fiske’s relational theory and Triandis’s cultural syndromes. A third problem with the LMX theory is that it assumes all close relationships between supervisors and subordinates to be beneficial for the organisation. However, a stream of research has emerged that documents the downside of close relationships between supervisors and their subordinates. Utilising a recent cross-cultural framework on cronyism, this paper sheds light on the dysfunctional organisational consequences of close relationships between supervisors and their subordinates across cultures.