I have a little confusion whether "smugness" implies a "low opinion of others" in contrast to a "high opinion of oneself"
I have consulted ODO and wiktionary; they showed the meaning of "Smugness" is
Smugness(noun)[ODO]: having or showing an excessive pride in oneself or one's achievements
Smugness(noun)(wiktionary): Irritatingly pleased with oneself; self-satisfied.
However please look at the below excerpt from the novel "2 States- The story of my marriage" from "Chetan Bhagat".
Krish is narrator. He is having chat with his college mate Ananya.
'So where did you stay hostel before?', She said. 'And please don't say IIT, you are doing pretty well so far.'
'What's wrong with IIT?'
'Nothing, are you from there?,' She sipped water.
'Yes, from IIT Delhi. Is that problem?'
'No,' she smiled, 'not yet.'
'Excuse me?' I said. Her smugness had reached irritating levels.
If we observe the context above, seemingly Ananya has a "low opinion" of IITians "rather than a high opinion or self pride in herself". Even though the narrator uses the word "smugness" to describe that quality. So my perticular question is, is the usage valid? Can adjectives like this be used in contrasting situations also?