Internet and information technology are creating a new opportunity for consumers to share their product evaluations online (Avery, Resnick and Zeckhauser 1999). Amazon.com started to offer consumers an option to post their comments on products on its website in 1995. Currently, Amazon.com has about 10 millions consumer reviews on all its product categories, and these reviews are regarded as one of the most popular and successful features of Amazon (New York Times, Feb. 24, 2004). In recent years, an increasing number of online sellers (e.g., BevMo.com, BN.com, cduniverse.com, circuitcity.com, GameStop.com, computer4sure.com, c-source.com, half.com, goodguys.com, wine.com) are adopting the same strategy. These online sellers invite users of their products to post personal product evaluations on the sellers’ websites or provide their customers consumer review information offered by some third-party sources such as Epinions.com and CNET.com. Online consumer reviews are common for many product categories such as apparel, books, electronics, games, videos, music, beverages, games, and wine. Small business is often regarded as entrepreneurship-driven. There are many reasons for this, e.g.: (1) The entrepreneur and leader as a person plays a much more vital role than in large firms and, (2) entrepreneurial and leadership spirit are not weakened by considerable hierarchies and can more easily pervade the firm. Welsh & White's (1981) statement on the differences between small and big business seems to apply. Management research, in particular in the area of small business, is by now not sufficiently linked with entrepreneurship theory. However, entrepreneurship theory offers a lot regarding the evolutionary management of SMEs. It is the intention of this conceptual and theory-based paper to scrutinize this linkage and to identify useful insights for the leadership management of SMEs. Leader itself can be identified as the person who leads or commands a group, organization, or country. Even though defining a leader by the existence of followers has a long tradition, but it is not useful in attempting to improve the leadership of organizations. However, we define “leader” as an ordinary human being with both a commitment to produce a result whose realization would be extraordinary given the current circumstances as seen by the participants, and the integrity to see this commitment through to its realization. In this study, we investigated one mechanism of action, exploring how the consistency of transformational leadership effectiveness across hierarchical levels influenced the implementation of a strategic initiative in organizational change management. The research concludes that a multi-functional approach of transformational leadership that fits the managerial challenges of the small business best.
Read full abstract