Purpose The purpose of this paper is to adapt research conducted on subclinical psychopaths and Machiavellians to conceptualise false agents in transaction cost economics (TCE). Both opportunism and information asymmetry provide a means to manipulate contractual relationships, pursuing existing loopholes for self-interest, while uncertainty and small-numbers bargaining allow false agents to exploit existing agreements during periods of rapid change, growth, and development. Considering differences in contract length preference may inform our understanding of subclinical psychopaths and Machiavellians. Contextually, the rise of “quasi-governmental” hybrid organisations may produce an ideal prospect for “natural born” opportunists to reap self-interested benefits through contractual loopholes. Design/methodology/approach This theoretical paper addresses social norms and blind trust in contractual relationships. In turn, blind trust may provide clues about the environmental conditions that facilitate manipulation by subclinical psychopaths and Machiavellians during negotiations of contract term length. Findings Williamson’s (1975) TCE framework provides a novel approach to subclinical psychopathic and Machiavellian behaviour by agents. Assumptions about behavioural norms may differ between the contracting party and the agent, leading to positive behavioural expectations of trust such as confidence, reciprocity, and history. The length of the contractual relationship may distinguish subclinical psychopaths from Machiavellians. The subclinical psychopath is more likely to behave opportunistically in short-term contracts, while Machiavellians more likely amass goodwill to behave opportunistically in long-term contracts. The role of uncertainty, small-numbers bargaining, information asymmetry, and opportunism is particularly relevant in quasi-governmental organisations when agents are “natural born” opportunists. Originality/value This theoretical paper adds to discussion of TCE related problems in organisations. “Natural born” opportunistic agents are more likely to take advantage of principals who extend trust as a goodwill gesture in a contractual relationship. Trust often represents a mental shortcut, based on “gut” reactions to save time, especially in dynamic environments. Hybrid organisations represent one such environment, in which contracting of goods and services renders comprehensive monitoring impracticable. Yet, scholarship adheres to legal mechanisms as safeguards against opportunism without acknowledging social norms that guide blind trust. Finally, contrasting motives between principals and false agents creates an inherent relationship asymmetry.

Purpose The purpose of this paper is to adapt the research conducted on subclinical psychopaths in the private sector and applies it to the public sector to build a conceptual frame for further research on subclinical psychopaths in public organisations. General characteristics of entrepreneurs often run counter to democratic values, and are more often aligned with private sector values. Public managers who display one of the dark-triad personalities, i.e., psychopathy, can pose a greater threat to democratic values and the state. Design/methodology/approach The approach of this paper is theoretical with the aim of proposing a conceptual framework that utilises Downs’ five types of officials governing bureaucracies, to illustrate a relationship between public entrepreneurs and subclinical psychopaths. Findings The conceptual framework presented in this paper suggests that psychopathic entrepreneurs can be identified within Downs’ bureaucratic framework specifically as climbers (due to inherent personality traits) and as zealots (heroic and altruistic behaviour for organisational causes, yet motivated by power, domination, and self-interest). The implications of psychopathic public managers who engage in entrepreneurial activities may be escalating public distrust, hostility, and dissatisfaction in government. Originality/value This theoretical paper adds to the growing body of criticism for public entrepreneurship by conceptualising how psychopaths, as climbers and zealots, affect public trust in terms of accountability and democratic values.

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Purpose This paper aims to adapt the medical phenomenon of Munchausen syndrome by proxy (MSBP) to an organisational context. Specifically, MSBP serves as a novel metaphor to describe the tendency for the organisation and the leader to perpetuate cycles of illness and therapy. Design/methodology/approach A conceptual metaphor is proposed based on the clinical description of MSBP. A perpetual feedback model emphasises a constant cycle of illness and therapy among leaders and organisations, often fabricated by a narcissist through destructive management. Findings The metaphor presented suggests that the role of deception is important for understanding why therapeutic approaches are often unnecessary, highly disruptive and administered by a destructive leader who possesses the power to alienate or dismiss non-corroborative organisational members. The implications of continuously passing illness between the leader and the organisation are a state of organisational disequilibrium and the manufacture of depersonalised, ill members. Originality/value This conceptual paper adds to the growing body of literature on behavioural strategy and contributes to the fields of organisational psychology, organisational analysis, management and employee relations.

Purpose This paper aims to examine two underexplored topics in organizations, i.e. vulnerable narcissists in organizational settings and possible effects of territorial infringements among vulnerable narcissistic employees. The movie, Office Space, illustrates prototypical employee behavior mixed with comedically maladaptive personalities in a modern organizational context. However, the arson committed by character, Milton Waddams, suggests that some employees, especially those with disordered personalities, might violently respond to perceived territorial infringements. Design/methodology/approach This conceptual paper combines personality factors with territorial behavior to examine employee reactions to perceived injustices. Theoretical and practical implications are offered, as well as future research directions. Findings The argument presented suggests that the vulnerable narcissists may initiate destructive behavior in organizations with ego threats like territorial infringements. While anger is a natural defensive reaction, vulnerable narcissists are more likely to behave aggressively toward perceived territorial infringements due to their general negative affect. Practical implications Employees may react to infringement over seemingly subjective things; thus, managers must understand the nature of ownership by addressing territorial claims. Managers must remain cognizant that some disordered personalities are prone toward fulfilling threats, including organizational sabotage, deviance and white-collar crime. Environmental conditions can also compound the negative behavior of personalities like vulnerable narcissists in the workplace. Originality/value This conceptual paper adds to the organizational behavior literature and contributes to the fields of psychology and territoriality by exploring vulnerable narcissists in organizational settings and by considering the magnitude of defensive behavior toward perceived infringements.