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There are many reasons why emotional intelligence (EQ) is good for business, most significantly because it helps leaders inspire discretionary effort. Discretionary effort is the extent to which employees will go ‘above and beyond the call of duty’ for their employer.

For instance, employees will be more amenable to working overtime when the leader has created goodwill amongst them. This goodwill is created by the leader demonstrating EQ, in the ways described in the next section. If employees don’t respect and admire their leader because of poor EQ, that leader will have much less to draw on when making requests.



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