Submitted by: Submitted by Heidy1015
Views: 296
Words: 617
Pages: 3
Category: Business and Industry
Date Submitted: 05/07/2013 07:52 PM
A Fight in the Investment Club
Description
This case illustrates the conflict in group members of a traditional structure investment club when David, a new member introduces new ideas, he tries to change the investment approach and questioning the views and conservative investment style of Width, the group’s experienced founder. Width, has led the group using a very strict, conservative investment style. The dynamic of the group is basically determined by Width desires and opinions, his points of view are the only valid argument. The group has recently expressed concern with Width’s lack of interest in their opinions and ideas.
Diagnosis
The main problem is that both Width and David have different investment philosophies, and also different leadership styles. Width, basically is executing tyranny over the group, group members are unhappy with this situation, but still allow Width always do the things in his own way without considering others opinions, controlling even the information the group can access to. David, has approached Width’s autocratic leadership by challenging and confronting all his ideas, instead of using negotiation strategies to convince Width to try new investment options.
Theory
Width’s autocratic leadership style prompts him to make decisions without considering group members points of view. He “makes decision independently with little or no input from the rest of the group”. (Hackman & Johnson, 2009). He doesn’t allow anybody to challenge or question his investment choices, he also pressures on group members to conform and accept his arbitraries decisions. Group members are highly influenced by Width ideas, at to the point that he controls even the information that members can have access to. Width leadership style has been in effect for many years and has a unique dynamic, the control and imposition of the club members.
Short-term Prescription
To solve the problem would be necessary a reorganization of the democracy by...