HD FS 102 Lecture Notes - Lecture 1: Charismatic Authority, Planned Economy
22 Dec 2017
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Document Summary
Coercive power uses threats and punishments to gain compliance. Although usually the least effective kind of power for a leader, it is often the most used. Many would-be leaders believe it to be the key to authority. Studies indicate that the threat of punishment induces greater conformity than punishment itself. More recently, re- searchers have discovered that leaders" perceived legitimacy reduces resistance to conformity and makes punishment more acceptable to the punished. If a leader is generally admired, followers more readily accept the implied use of penalties. Through reward power, a leader accomplishes desired outcomes by distributing favors, recognition, or rewards to group members. In our predominantly capitalist economy, rewards (especially financial ones) allocate resources, influence behavior, and send messages about what is deemed to be significant. Only a confirmed and astigmatic utopian would deny the influence of financial rewards on human behavior. The demise of soviet- style planned economies in recent years underlines this point.
