5 (a) Analyse why a business needs to be accountable to its stakeholders. [8] (b) Discuss how there could be conflict between the stakeholders of a fast food retailer. [12] Question Answer Marks 5(a) Analyse the difference between autocratic and laissez-faire leadership. 8 Level Description Marks 4 7-8 Good analysis of the difference between autocratic and laissez-faire leadership. 3 5-6 Some analysis of the difference between autocratic and laissez-faire leadership. 2 3-4 Some application of the difference between autocratic and laissez-faire leadership. 1 1-2 Some understanding of autocratic/laissez-faire leadership 0 No creditable content. 0 Answers could include: An autocratic leader has complete command over employees. Leader takes all major decisions. Views / ideas / suggestions are discouraged. Criticism not allowed. Can lead to speedy decision making and high productivity. Can lead to poor employee motivation and high labour turnover. Works best with unskilled, monotonous, routine work where leader is best performer. A laissez-faire leader is one who trusts employees / team to perform the job themselves. Arm's length management. Views are shared and suggestions welcomed. Works best when employees are highly skilled, loyal, and experienced. Works best with employees who are subject area specialists - capable of accepting responsibility. Should not be used to mask managerial incompetence. Question Answer Marks 5(b) 12 'A democratic style of leadership is the most effective leadership style for a manufacturing business in a very competitive industry'. Discuss this view. Level Description Marks 4 9-12 Effective evaluation of the view that a democratic style of leadership is the most effective leadership style for a manufacturing business in a very competitive industry. 3 7-8 Limited evaluation of the view that a democratic style of leadership is the most effective leadership style for a manufacturing business in a very competitive industry. Analysis and some application of the view that a democratic style of leadership is effective in a business. 2 3-6 1 1-2 Understanding of democratic style of leadership / manufacturing business / competitive industry. 0 No creditable content 0 Answers could include: An initial definition of democratic leadership style might be given - key features References to the competitive business environment may include a discussion of the requirement for a business to be a brand leader, or innovative/different, or flexible, or efficient and effective - to compete. Such a competitive position may need to be built on a motivated workforce - sound operational management decisions - perhaps stimulated by a democratic distinctive senior management leadership. However, could lead to slow decision making and business falls behind the competition. Could lead to more mistakes being made. Evaluation could include: Strong candidates may well refer to the manufacturing business context and question the importance of democratic leadership with possibly unskilled/routine work and where capital investment might be more important than leadership styles. Candidates may well refer to the importance of leadership (democratic leadership) in a very competitive industry. Discussion might be advanced in relation to what is meant by 'the most effective leadership style