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Home/Practice questions/Business Studies
Business StudiesDirecting

Ms. Sonia is running her own boutique in a posh locality of Delhi on…

Ms. Sonia is running her own boutique in a posh locality of Delhi on a large scale. She respects the opinions of her hired designers and supports them to perform their duties and accomplish organizational objectives. The type of leadership style adopted by her is:

Answer & explanation+

Correct answer: option 4

The correct answer is Option (4) → Participative

  • Option (1) Paternalistic — Incorrect. This is not a leadership style. The three styles are: autocratic, democratic (participative) and laissez-faire (free-rein).

  • Option (2) Authoritarian — Incorrect. An authoritarian leader gives orders and expects people to obey. Sonia does not do this; she respects the designers’ opinions.

  • Option (3) Free-rein — Incorrect. A free-rein leader leaves the workers to set their own goals and work on their own. Sonia is still guiding and supporting her team.

  • Option (4) Participative — Correct. A participative (democratic) leader takes decisions with the team. Such leaders respect the other’s opinion and support subordinates to perform their duties and accomplish organisational objectives. The case uses almost the same words for Sonia.

NCERT (2026-27 Edition): “Autocratic or Authoritarian leader An autocratic leader gives orders and expects his subordinates to obey those orders. If a manager is following this style, then communication is only one-way with the subordinate only acting according to the command given by the manager.”

“Democratic or Participative … A democratic leader will develop action plans and makes decisions in consultation with his subordinates. He will encourage them to participate in decision-making. This kind of leadership style is more common now-a-days, since leaders also recognise that people perform best if they have set their own objectives. They also need to respect the other’s opinion and support subordinates to perform their duties and accomplish organisational objectives. They exercise more control by using forces within the group.”

“Laissez faire or Free-rein leader Such a leader does not believe in the use of power unless it is absolutely essential. The followers are given a high degree of independence to formulate their own objectives and ways to achieve them. …”

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