Leadership Theories in Rapidly Changing Markets. Business & Marketing Essay

LEADERSHIP THEORIES
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Leadership Theories in Rapidly Changing Markets
1.0 Introduction
The increasingly globalized world has led to new demands and challenges for leaders. Traditional leadership styles are proving to be less effective in this modern world. For organizations to stay competitive, their leaders need to adapt to styles that conform to current market trends. The form of leadership will determine whether an organization will be successful. In many cases, the collapse of many businesses has been blamed on poor leadership. Leadership theories attempt to explain the characteristics that make a person an effective leader. These theories explain how people can modify their behaviors and become better leaders in their organizations. An effective leader can persuade and motivate his followers to achieve a common objective. So, leaders need to adopt contemporary styles to cope with the demands of the ever-changing market environment. It is essential to understand the various forms of leadership to help create better leaders who can build successful enterprises (Northouse, 2019). This paper seeks to analyze traditional and contemporary leadership theories. Then, it aims to describe an effective leadership approach for today’s disruptive marketplace.
2.0 Traditional theories of leadership
2.1 Trait leadership
This theory is based on the belief that leadership is innate. Leaders are born with natural characteristics or qualities. The presence of these traits is what determines the success or failure of any leader. So, to identify a potential leader, one needs to look at a set of traits common to great leaders. Then, a person can hone these traits and grow to become a leader. Thomas Carlyle formulated this theory in the 19th century. He promoted the idea that leadership comes naturally. He disputed the view that leaders could be trained. Some of the leadership traits include honesty, self-confidence, integrity, perseverance, knowledgeable, charisma, self-motivated, creative, decisive, and flexible (Penney, Kelloway & O’Keefe 2015, p. 33). Trait leadership entails the great man theory. The great man theory advances the idea that great leaders in history, such as Alexander the Great, Abraham Lincoln, and Mahatma Gandhi, were born with the innate ability to lead. They exhibited superior intellect and talents that set them apart from everyone. They assume power and authority despite unfavorable circumstances at the time. This exceptional ability endears them to many people. However, a major criticism about this theory is that many people who have inborn leadership qualities don’t end up being leaders. Opponents further argue that there are many complex factors involved in becoming a leader and not simply having innate traits (Chand, 2015). They argue that it is the society that creates leaders.
2.2 Behavioral leadership
This theory focuses on the actions and reactions of leaders in specific situations. Their response in particular environments determines whether they can be an effective leader. The behavioral theory doesn't promote the assumption that leaders are born. Rather, it extends the belief t...