Friday, February 14, 2020

Entrepreneurial Leadership Essay Example | Topics and Well Written Essays - 1000 words

Entrepreneurial Leadership - Essay Example Case (2010) identifies three P’s (people, passion and perseverance) as the key ingredients of a successful entrepreneurship. He said that the presence or absence of the three P’s in the right mix can lead to success or failure as an entrepreneur. His successful steering of AOL has been contributed to these 3 P’s by him (Case, 2010). However, the failure of merger of AOL with Time Warner was a result of incorrect focus on the 3 P’s. The merger resulted in cultural clash of employees and hence they were focused on their personal issues rather than the innovations. The passion that was earlier present in AOL employees was lost in the huge merged enterprise and finally perseverance was hit hard because people lost their belief in internet and they stopped investing in innovation. Another thing lacking in the deal was â€Å"vision execution†. A great idea rebounded because the 3 P’s were not rightly focused on â€Å"executing† the vision (C ase, 2010). Kouzes (2008) talks about five leadership practices which help in motivating people to perform at their best. Thus, he also focused on people and showed how great leaders inspire them to arouse perseverance and passion in them. The five principles are – having a clear vision of what is required so that the employees understand what is expected of them and they move accordingly, setting example by doing what is being preached, challenging the current state of affairs as status quo never inspires people to perform at their best, enabling others to act in line with the vision by understanding the motivation factors of a team or individual and encouraging the heart by rewarding exemplary performance (Kouzes, 2008). Drucker (2007) distinguishes between entrepreneurial strategies and entrepreneurial management. The first strategy is that of being seen as the undisputed leader in the market. Strategies are for external markets and can be used alone or in combination with others. It is the riskiest but pays the most if successful. This is what AOL tried to do by merging with Time Warner. Other strategies involve â€Å"creative imitation†, â€Å"entrepreneurial judo† and finding a specialized â€Å"ecological niche† (Drucker, 2007). This gives rise to entrepreneurial leadership where leaders operate in dynamic market conditions and transform the inconsistency and dynamic character of the market into opportunities (Tarabishy, Fernald and Solomon,). He is capable of using different strategies or a combination of them to establish his product/ service or company in the current environment. The entrepreneurial leader should have a clear vision, communicate it well and then help his people execute it. Types of organizations and leadership styles Organizations can be classified into different types depending on their size, culture, decision making authority and design etc. An organization which follows top-down communication, has very rigid rules, is bureaucratic in authority and has very narrowly defined tasks is called a â€Å"Mechanist Organization† (Kinicki, 2007). On the other hand an â€Å"Organic Organization† is flexible, with open communication networks, flat hierarchical structure and employees who perform variety of tasks and not just the specific ones (Kinicki, 2007). Decision making in such organizations is de-centralized and middle and lower level managers have more control over various decisions. For transformational leaders, an organic organization is best

Saturday, February 1, 2020

The case Sons of Gwalia Ltd v Margaretic ( business law ) Research Paper

The case Sons of Gwalia Ltd v Margaretic ( business law ) - Research Paper Example First corporate legislation was created in 1862, since then corporate legislation has undergone and is undergoing through some dramatic, and other changes which are less dramatic but do bring effect over the corporate practices. Thus, social, legal and economic climate has since the first private corporation legislation, has been changed. Now, it has become different and Australian Securities and Investments Commission has recognized the requirement and need for the consumers’ confidence in the market, so that they could more informed and confident about the investment decision they would be undertaking. This change in ASIC commission behavior did not occurred by itself, the main cause and event behind this changing of character and care for the investors became when Australian Government started the active campaign for improving business opportunities and business investment in the country. Luka Margaretic, shareholder of â€Å"Sons of Gwalia Ltd† which is publicly lis ted company on Australian Stock Exchange, filed a legal process against the company demanding claims for damages caused by loss of the stock values of â€Å"Sons of Gwalia Ltd† gold mining company. ... This false claim of company gold reserves was making it problematic and challenging for the company to supply gold to their customers with whom they hard contractual agreement of the then fixed gold prices. Due to rise in gold prices and insufficient availability of gold stock in company reserves caused share price to drop substantially, thus providing reason to Luka Margaretic to file a lawsuit claiming damages. In order for capital markets to operate efficiently, market investors are required to possess accurate information and detail about the companies which are offering trade on the market. Therefore, Australian corporate laws have generated a surplus of corporate disclosure requirements which ensure that price-sensitive information, information which can have effect over the prices of the stock values of the company. These obligations include. Continuous Disclosure Transaction-specific disclosure obligation These rules are formulated by disclosure laws which are enforceable by a range of public and private preparations. However, this creation of private preparations to avoid the problems often can result the tension between prioritizing the parties involved. Though, the law has set off systems which favor, unsecured creditors over the members of the company, thus undermining the investment of the shareholder. Numerous decisions have been examined and the scope of the rules which are subordinated claims to become insolvency. The pinnacle of the development has been the sculptures misrepresentation which induced the purchase of the shares which had occurred in the secondary market; these were then forbidden and not allowed over the secondary market. Protections in Corporate Law for Creditors Corporate law provides numerous