Leadership Is A Process Of Social Influence Commerce Essay

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A leader must be true in what he do and what he speaks he must be the same from the outer side and from the inner side he should not be a dual personality person.


A leader must be dedicated towards his work he should not assume his work to be just work to do as he is the one who will set examples for his followers. The leaders should take what it might do to finish its goals.

Planner and coordinator

The leaders are the one who plan the activities that it will be follow in such a way so that the goal will be accomplished and the coordinate to its followers in a systematic way.

Task manager

The leaders are the managers of their task they see every task so that it can be ensured that the task is being moving towards its goals.

Problem solver

A leader must be a problem solver where a problem exist the leaders give a solution in few minutes so that problem get resolved and the project gets moving towards its goal without wasting any time.


The direction or scope of an organization over a long term view which achieves its advantage in a changing environment with the configuration of its resources and competences with the view of fulfilling stakeholder expectation. It sets the way a business would go towards after it has been developed. Strategies are usually developed by the management of a company which after discussion with the stakeholders is implemented into the business. The resources of an organization have to be kept in focus as to what kind of resources does an organization have and how much can it use to implement a strategy. While developing a strategy an organization has to keep in mind that the strategy would be effective in a longer term and will adapt to the changing environment to keep the organization up to date with the environment. There are different levels of an organization where strategies exist the most commonly used strategies used at three different levels of a business are Corporate strategy, Business strategy and operational strategy.

Corporate strategy

Corporate strategy is a strategy to look at whether to leave a business or to enter a new one. This means to improve the existing processes or to enter into a new business by changing the business.

Business strategy

Business strategy is to look at how we can improve our business processes like being cheaper then rivals or being better than rivals by producing quality products or low cost products.

Operational strategy

Operational strategy is to look at how we can improve the business operational processes through looking at how resources are being used in an organization or how areas like processes can be improved.

Strategy is of following types

Rational planning model

Freewheeling opportunism

Rational planning model has three stages in it which are

1 strategy planning

2 strategic choices

3 strategies into action / implementation

Strategy planning is a deep process of planning in which we identify the key stakeholders and their expectations from the organization. Then we develop long term objectives of strategy which will satisfy the stakeholders in the long run. Financial and non financial ratios are then calculated to have a profitability and gearing impact of company whether it will be possible for the organisation to have such change or not. Identifying the culture core beliefs and assumptions of the organization is the next step so that it could be identify that whether the organization is a defender or prospector. The environmental changing factor are than analyse to have a view of impact of external stakeholders on organisation. A corporate appraisal is then done to evaluate the strategy.

Strategy choice is the generation of options and evaluation of options for assessing the merits and feasibility of the strategy. Selection of strategy is being done on basis of following

Possible exit from the existing industry and entering new one

Diversification into new industries

Developing new competitive advantages

Entering into new markets

Development of products

Strategy implementation then has three processes

Organising and structuring is to whether the organisation should be split into divisions or how autonomous the divisions should be.

Enabling an organisation's resources should support the change there must be enough resources so that change can be implemented properly.

Managing the change means to resolve employees problem regarding change so they could accept why the change is necessary for organisation.

Rational planning model is necessary for an organisation as it enables the mangers to justify every act of them regarding change. It allows mangers to be proactive rather than being reactive. In rational planning model mangers considers each stage in isolation.

Freewheeling opportunism they usually do not like planning at all they just grab the opportunity which comes to them as they think planning takes too much time and is too constraining such people are often entrepreneurs who enjoy taking risk and excitement of setting up new ventures. However, once the business are being set up they usually lose interest as the task are repetitive and these kind of entrepreneurs are not used to repetitive tasks.

There are some other strategies also which are as following

Emergent strategies it is the approach of Mintz berg that strategies evolve over time they usually do not arise by a continuous planning process.

Incrementalism is the strategy making process by involving small scale extensions of past practices would be more successful as it involves accommodation and consultation in the process. This is the view by Lindblom.

Strategy lenses were given by Johnson and Scholes according to them there are three ways

Strategy as design which is mostly similar to rational model approach as it is involves continuous planning process.

Strategy as experience is mostly similar to Mintz berg approach that strategies evolve over time rather than an in depth analysis of strategies.

Strategy as ideas is of view that innovation is not mostly thought up by senior managers ideas can also come from the lower level this means that every individual must be involve in a planning process.

Before making a strategy an organisation have to do a corporate analysis of its current position and it external environment. For internal analysis an organisation can use

Resource audit, M's model, knowledge management, porter's value chain, benchmarking and product life cycle.

For external analysis an organisation can use

Pestel analysis, porter's five forces and porter's diamond

Than organisation has to check the SFA of the strategy it mean the strategy must be suitable, feasible and acceptable

Suitability can be checked by having a view whether a it suits to the organisation current culture or not whether it fits within the current strategies or not it gives a competitive advantage or not

Feasibility can be checked by whether organisation has enough resources to pursue it or it has enough competencies to pursue the strategy. There must be enough time for the organisation to follow it.

Acceptability can be checked by whether the reward related with the strategy is more than the risk or not. It will not adversely affect stakeholders. The organisation will be able to pays its interest obligation. The strategy will not have a heavy impact on return on capital employed. The risk associated with the strategy is acceptable to shareholders.

Once all of this is done than organisation has to consider whether it want to be a

Cost leader the one who is known as cost leader in the market who keeps the prices down.


Differentiator means by producing a high quality product and charging more.


Focus is the one who can be a cost leader or differentiator.

Nokia was the one who was the differentiator when mobile phones came into the market its strategy was that it will bring change one by one like one phone will have only one change but Apple was the differentiator in the market in 2000 as it had made a continuous research on its product and has implemented a fundamental change gradually. Apple has considered developing a new product in a new market which was diversification which was the most difficult one as the whole of the industry got redesigned due to Apple which means a continuous strategic planning and change is needed for an organisation to be in a competitive position. For an organisation to be in a competitive position in external environment it must see whether its product is unique and rare. For a product to hold competitive advantage it is necessary that the product must be rare the technology or the methods use for product making is not being also used by its competitors. The product must be robust which means it is hard to imitate and it must be valued by it customers. The product which is not valued by its customers does not hold a competitive advantage for an organisation. Once apple product was launched Apple was the market leader for four to five years but after that competitors like Samsung and Nokia produced similar products like Apple and Apple start losing its gain in market as no new technologies were being incorporated in its new products.