Final answer:
An out-group exchange in leader-member exchange theory is characterized by a lack of communication and cooperation, distinguishing it from in-group exchanges which involve mutual trust and respect.
Step-by-step explanation:
In the context of leader-member exchange theory, an out-group exchange is characterized by a lack of communication and cooperation. This concept contrasts markedly with in-group exchanges where there is mutual trust, respect, and a sense of common fates. Out-group exchanges typically lack the close, trusting relationships found in in-groups, often resulting in minimal cooperation, and minimal effort from the leader to nurture the relationship, and may lead to a formal, professional relationship characterized by standard procedures rather than a personalized approach.
The notion of in-groups and out-groups was conceptualized by sociologist William Sumner to describe how individuals relate to groups that they either feel a part of or excluded from. This dynamic is observable in various social structures, including workplaces where leader-member dynamics play a significant role. In professional settings, leaders may establish closer relationships with some members (in-group), while others may not enjoy the same level of interaction or support (out-group).