In: Economics
Miss Jane owns a football ground. Her sales are not constant throughout the year so she uses price discrimination to increase revenue. She trusts her employees, and she follows democratic leadership style.
now before going for a discussion about her price discrimination process, we should know about the feature, advantages, and disadvantages of democratic leadership style.
What is Democratic Leadership?
The democratic leadership style is essentially a mode of leadership that is found in participative management and human resources theory. This article will seek to explore the essence of democratic leadership and will, among other things, outline the advantages of democratic leadership, the disadvantages of democratic leadership, the function of the democratic leadership council, and provide democratic leadership. The definition of democratic leadership from an organizational standpoint involves the redistribution of authority and power between managers and employees to provide employee involvement in the process of decision making. here the focus point is the power-sharing and decision sharing structure. all the team worker feel their own importance in the company.
Distribution of Responsibility
A democratic leader will delegate responsibility among members of his or her team to facilitate member participation in making decisions.
Importance of Group Members
It is incumbent on leaders to empower their team members in
order that the members will be properly equipped to accomplish
their tasks. Included in the process of empowerment is the
provision of the education and training required for the completion
of delegated tasks.
encouraging the democratic Process of Group Decision
Making
A significant role played by the democratic leader is ensuring that democratic deliberation takes place when group decisions are being made. This indicates that the leader is supposed to serve as a mediator and facilitator between members of the group, make sure that the members are psychologically well and there is a respectful environment at all times.
Advantages of Democratic leadership
he techniques used in democratic leadership play a significant role in creating job satisfaction, since a sense of autonomy, control and participation is fostered within the democratic leadership style. Greater participation from employees during the decision-making process could also result in more creative solutions and greater innovation to address problems and serve the organization better. Below are some specific advantages of democratic leadership:
Easy to solve Complex Problems
Democratic leaders are typically excellent at solving complex issues. They have the ability to work collaboratively, using a consensus of opinions to get things done the right way. The democratic leader often thinks innovatively and encourages others to do the same, so that solutions to complex and strategic problems can be found.
Good for long term business
Solutions that are democratically derived generally last for the longest period of time. The democratic process ensures that the solution is reviewed on a continuous basis. Additionally, engaging team members will enable leaders to maintain effective processes that fit the business well. Democratic leaders ensure that team members work well with other individuals, so that they are suitable to function in large corporate environments in which co-operation and communication are crucial.
Strong Teams management by Democratic Leaders
Team members under democratic leadership tend to be supportive and strong. Honesty flourishes and more collective working is done because the opinions of everyone are taken into consideration. Democratic leaders are usually popular within the organization.
Generate Creative Environments
Democratic leaders effectively foster creative environments since they encourage the input and innovation of team members. Creative designers succeed under democratic leadership because of the support and nurture that is embodied in this leadership approach.
Disadvantages of Democratic Leadership
Indecisive in crisis
Democratic leadership can sometimes come across as being indecisive. In certain situations, especially during a crisis, leaders must be very directive and democratic leaders do not function well in an authoritarian role. In the midst of a crisis, no time is usually available to address everyone concerned.
Time Consuming
The consultation process could result in procrastination. If an organization has a project or issue that is urgent, democratic leaders cannot usually work to the timescales required. It takes time to talk to a number of individuals and collect a variety of opinions and many democratic leaders find it difficult to cut corners.
Become Apologetic
Democratic leaders sometimes build an environment in which individuals expect their idea to be implemented. Where there are a variety of solutions in a particular project, only one can be implemented and democratic leaders will have to invest time in apologizing and smoothing things over with individuals whose ideas were not used.
1)coming to our assigned problem, Miss Jane took advantage of her leadership and convinced her employee to help her to conduct this price discrimination. morally it might be not correct to do price discrimination, but by looking at their accommodation salary and other expenses which they have to bear up throughout the year they are ready to cooperate with her. price discrimination is one of the oldest methods to increase revenue. in this in rush our looking at the customer's emergency and urgency the company can change the price on the spot. it is a kind of auction. so those who really require and the limit of ground will enforce the customer to pay a high price.
2. As the business Jane does is a seasonal business. some season in the year is full and some season are dry. so to run your business price discrimination is one of the profitable methods. when it comes to the employee in this procedure we need more confidential employees due to the secrecy of the company's price discrimination. so only in this democratic style we can bring the confidence of employee and they also feel their importance in the company and they will work more dedicatedly. so Jane hadadopted right process to run her business.