what a nightmare - ZOPA is here again.

Bandy wants to buy a branded  Mochi handbag. The recommended retail price of the handbag is $1,800.
Bandy has $500 saved from winning a lucky draw earlier this year, and she has been working part-time on 4 weekends, earning $250 each weekend.
After collecting her salary, Bandy went to RobinHood, a shop selling branded bags, as she heard that Robinhood is selling branded bags at 15% off retail prices. She was dismayed when she learnt from the salesgirl that the bag was $1,700.
The cost price of the bag to Robinhood is $1,500. However, Mademoiselle  Mochi dictated that the bag must not be sold at more than 10% discount off its recommended retail price.
Bandy and the salesgirl at Robin Hood want to negotiate the price of the bag.

L13 : LEADERSHIP

Key concepts :

a) Leadership style depending on situations.

=============================
Major categories of leadership theories :

Leader centered theory :

a) traits theory - a leader is someone who display a group of traitss/characters.
b) behavourial theory - a leader is someone who behave in certain manners.


FOLLOWER CENTERED/SITUATION CENTERED THEORY.
ie believe the leader should focus on their follower needs/behaviour rather than upon the leader.


===================================

CONTINGENCY LEADERSHIP THEORY :

A manager can be an effective leader by choosing the style depending/contingent on the type of employees/situations.

PATH GOAL THEORY is build on expectancy theory.

A manager is considered an effective leader when his/her followers are motivated (to do things that achieve the organisational goals.)

The manager can get the staff motivated by using the appropriate leadership style, depending on :

a) employees

- skill/experience (low skill/highly skill)
- locus of control (ie external or internal)

Internal : employees believe they have control over the work
external : employees beleive they have no control over their work.

b) environment :
- tasks/jobs to be done by employee (routine/non routine, simple/complex)
- the team dynamic. (cohesive/non cohesive/performing.)

ENVIRONMENT

Appropriate Leadership style -------------------------> Employees - motivated

EMPLOYEES.

=========================


LEADERSHIP STYLE:
1. Supportive leadership (People oriented)
2. Directive leadership (task oriented)

3. Achievement Orientated leadership (goal oriented)
4. Participative leadership (people oriented)

================================


The appropriate leadership style :

(see 6P table)

Achievement-oriented High Internal				Achievement-oriented
				High
				Internal