Effect of Despotic Leadership on Creativity: Mediating Role of Psychological Distress and Moderating Role of Neuroticism in the Hospitality Sector
DOI:
https://doi.org/10.64060/IJPSSDV2i14Keywords:
Despotic Leadership, Employee Creativity, Psychological Distress, Neuroticism, Hospitality SectorAbstract
This study examines the effect of despotic leadership on employee creativity in the hospitality sector, with a particular focus on the mediating role of psychological distress and the moderating role of neuroticism. In service-oriented industries such as hospitality, employee creativity is essential for delivering innovative services and enhancing customer satisfaction. However, destructive leadership styles, particularly despotic leadership, may undermine employees’ ability to perform creatively. Drawing on the Componential Theory of Creativity and Situational Stress Theory, this study proposes a moderated mediation model to explain the underlying mechanisms influencing creativity. A quantitative research design was adopted, and data were collected from 250 employees working in the hospitality sector. The data were analyzed using SPSS and structural equation modeling techniques. The findings reveal that despotic leadership has a significant negative effect on employee creativity and a positive effect on psychological distress. Psychological distress was found to partially mediate the relationship between despotic leadership and creativity, indicating that employees experiencing higher levels of distress are less likely to engage in creative behaviors. Furthermore, neuroticism significantly moderates the relationship between despotic leadership and psychological distress, such that employees with higher levels of neuroticism experience stronger negative effects. The moderated mediation analysis further confirms that the indirect effect of despotic leadership on creativity is stronger at higher levels of neuroticism. This study contributes to the literature by integrating leadership, psychological, and personality factors into a comprehensive framework and offers practical implications for improving leadership practices and employee well-being in the hospitality sector.
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Copyright (c) 2026 Khadija Dawood Rizwan (Author)
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