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Critical Issues in Business


Leadership style is an important component which leads, guides and direct the organizations' employees so that, they can succeed in the competitive scenario. Leadership is also an effective process for the organization that will help the individual to accomplish the goals and objectives. Leaders adopting leadership style creates an effective environment where the entire individual is empowered to accomplish their higher wants and needs. However, transformational leaders assist the individual in rendering the quality performance with integrity and diversity within the organization.

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The present report mainly focuses on the different leadership styles as the leaders are the one who possess the ability to influence or persuade the individual to do the things that are beneficial for the organization. There are basically three different types of leadership styles which are focused in the report that is autocratic, participative and Laissez-Faire leadership style. All the leadership styles have their own value and importance. The report also concentrates on the Steve Jobs' leadership which has helped in building the image of Apple Inc. in the world market. The report also focuses on the impact of the leadership styles on the corporate culture and their employees.


Leadership is being described as the process in which an individual support and leads the group of members to achieve the common objectives. The selected topic for the project is how leadership style influences the success of the business. In the contemporary scenario, it is considered as the effective process for the organization which assists the employees in guiding and leading in accomplishing the stated objectives. Proper Leadership styles adopted by the organization will also result in gaining the profitability and ensuring the proper work that will help them in succeeding the organization in this competitive scenario. Leaders are the individual who possess the quality and ability to precede the group and direct others so that, they can make optimum utilization of the resources and result in gaining profitability. Leaders may also features the different other qualities like taking spontaneous decisions, dealing with the problem, possess technical and management knowledge etc. today the leadership style mainly impact on working of the employees as it will result in motivating the human resource and ensuring proper commitment of employees towards the organization. Leadership style is the one critical factor which mainly influences the success and failure of the businesses.

The present report stresses on how the different leadership styles within the organization influences the success of business in the market. The report also emphasize on the different leadership styles which can be adopted by the organization to improve their productively and performance in the market. The report will also demonstrate the different impact of the leadership styles on the corporate culture and their employees.


Leadership is one of the important functions within the organization that mainly influences and assists the business to render quality services among their market customers (Northouse, 2012). Leadership is defined as the ability of a superior to impact the attitude and behaviour of their subordinate and also persuade or induce them to follow the course of activity. In the contemporary scenario, leadership is the key business issue which widely influence the organizational culture and their employees. The effective leadership style proposed by the business will result in gaining the success and also affect the organizational activities so that, it should result in the effective and efficient use of resources (Stacey, 2012).

Steve Job is considered as the charismatic leader which has brought the revolutionary change in the technological sector. He is the one that keep developing their new products and update the technology so that, they should attain higher productivity and success. Through adequate leadership, individual can change the minds of their employees and workers and assist the organization to achieve the stated goals and gain success of the companies (Anderson and Anderson, 2010). Apple Inc. is the effective example as the Steve Jobs leadership style assists the company in maintaining the position as the world's most valuable company which has transformed the world of computing.

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There are some other leadership skills that are required by the leader to help in accomplishing organizational objectives and motivating the growth and success of the companies (Eagly, Johannesen-Schmidt and Van Engen, 2003). It includes communication skill which is an important leadership skill that must be required by the leaders so that, it should result in attaining the objectives and goals of the company. These skills and abilities of the corporate executive and leaders should also result in the ensuring the proper corporate culture that will aid in higher productivity of the organization (Sosik and Godshalk, 2000).

According to Egri and Herman (2000) there are different styles of leadership which must be followed by the organization or business to sustain in the competitive environment. For the success of company they should select the appropriate leadership styles that influences and motivate the company to attain success. The different leadership styles are autocratic, participative, laissez-faire, transformational, visionary etc.

Autocratic leadership style is defined as style in which the leader or manager possesses the full control over decisions making process and they rarely take the inputs from the subordinates or employees (Leban and Zulauf, 2004). However, autocratic leaders have full control over the decisions and they make judgement by their own without consulting others. According to Thite (2000) strength of this leadership style is that, it is effective when decisions in the organization need to be made promptly without conferring with the group of people. While, strength of the style is that, it provides clear directions to their subordinate.

However the Aldoory and Toth (2004) suggested that, this leadership style also has bad consequence as the decisions are taken by the leader itself which result in non-involvement of the employees. So, they might feel neglected with this kind of leadership style and in future will also not resist any change in the company. Another weaknesses of the autocratic leadership style is that, it blocks the imaginative and creative thinking of their employees as the decision making power is with the top authority of the organization.
Emery and Barker (2007) suggested that, leaders following autocratic leadership style will result in depicting the strict behaviour and attitude to their employees and workers so that, they can make them work in the organization. The corporate culture in the autocratic leadership style is quite rigid as employees and subordinates are not accepting the change due to high control over the management.

According to LÄMSÄ (2010) another leadership styles which might be adopted by the organization include participative leadership style. This style mainly influences the organization to be successful in the market by focusing on the higher productivity. Zaleznik (2001) suggested that, it focuses on accepting the suggestions from their employees so organization should impart the participative role in decision making process. It has being reviewed that, this leadership style is effective for the different organization as it result in the higher productivity because the employees provide their valuable suggestion in the organization. The major strength of this leadership style is that, it encourages the thoughts and ideas of group members or the individual which leads in gaining the creative solution to the different problems (Buble , Juras and Matic, 2014).

According to Bush (2008) the weaknesses of the Participative leadership style is that, it will result in the slow process of decision making as the leaders will consult all their subordinate and group members to provide their ideas and suggestions to the problems. Another weakness of the leadership style include that, this will result in making the slow decision in the organization. For implementing participative leadership style effectively in the premises of the organization, the management should mainly focuses on ensuring the open communication between them and their subordinates so that, any problem or misunderstanding should be overcome in the initial stage. Khuong and Yen (2014) suggested that, by respecting the different perception and ideas of their employees will also assist them in implementing the participative leadership style effectively.

Steve Jobs stressed on the value of teamwork and building cooperation to their employees. Though the final decision regarding the product design or any work will be made by him but he is aware that their employees are the greatest assets of their company which has helped the Apple Inc. to be on top position (Richmond, Wagner and Mccroskey, 2000). One of the examples of Steve Jobs’ charisma at Apple Inc. is that, he often uses his historical tendency to inspire and motivate people. The leaders should build the proper culture and also promote the company's vision and mission so that, employees can devote their activities in the company to enhance their performance.

Another style of leadership is also known as Laissez-faire style in which the organization leader delegates all their powers and duties to their employees and subordinate as with the the help of this, they should take decision by their own (Gosling, Marturano and Dennison, 2003). Leaders allow their followers and subordinate to take decision in the different situation. According to Zumitzavan (2010) this leadership style is not effectual in the organization because without the proper guidance and knowledge, the newly hire employees cannot perform their activities in accomplishing the goals. While, this leadership style is impressive for the organization which possess highly qualified and experienced staff so that, they can take decision which is beneficial for the organization in the future perspective.

Northouse (2012) stated that, leaders adopting this leadership style features the positive attitude towards the organization which is empowering the decision making power to their employees or workers and will positively benefit the company in attaining the success (Stacey, 2012). This leadership style is not effective for the Apple Inc. as more creative and innovative thinking is being required in this type of leadership. The staff or employees should have creative thinking to run the operations of the Apple Inc. among the competitors.
However the Eagly, Johannesen-Schmidt and Van Engen (2003) stated that, the strength of laissez-faire leadership style is that, it results in making the environment more open as all the decisions are taken by the employees and subordinate which requires open or transparent environment. While, strength of the leadership style is by empowering the duties and power to the employees they allow the employees or individual to become more responsible for their work.

Egri and Herman (2000) stated that, with the certain strength there are certain weaknesses of the leadership style as the organization leaders delegate all the powers and responsibility of taking decision to their employees there is less control on the administration which may result in arising problem or issues. Another weakness of the Laissez-faire style is that, there will be less direction and motivation among the different teams in the organization that mainly result in the losses of the firm (Leban and Zulauf, 2004). With the less direction and motivation on the part of the management, employees will not able to take effective decisions.

For implementing the Laissez-faire style effectively within the organization, Emery and Barker (2007) suggested different solution like delegating the appropriate task or work to the competent personnel so that, leadership style can be implemented effectively. . However, for implementing Laissez-faire style, the leaders should mainly reward or provide incentives to the workers for ensuring creativity and innovation in the org

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