Leadership style in service enterprises can significantly affect service innovation. This paper takes psychological empowerment and staffsȁ9; satisfaction as intermediary variables to study the relationship between leadership style and service innovation. We find that humane care and knowledge aid in leadership style can affect psychological empowerment and staffsȁ9; satisfaction positively, leadersȁ9; charm can affect staffsȁ9; satisfaction positively, but exception management can reduce staffsȁ9; satisfaction. Both psychological empowerment and satisfaction can have significant predictive power on service innovation. Therefore, the managers in service enterprise should carefully consider their own leadership style, pay attention to use human care and knowledge aid to promote service innovation.
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