International Journal of Economics and Business Administration
Articles Information
International Journal of Economics and Business Administration, Vol.6, No.3, Sep. 2020, Pub. Date: Aug. 31, 2020
Role of Emotional Intelligence in Corporate Decline and Successful Turnaround Strategy in This Changing World
Pages: 116-126 Views: 60 Downloads: 26
Authors
[01] John Nkeobuna Nnah Ugoani, Department of Management Sciences, College of Management and Social Sciences, Rhema University, Aba, Nigeria.
Abstract
In this changing world many corporations descend into decline for a variety of reasons including poor management, empire building mentality of dominant autocratic CEOs, weak financial management, high expenditure profile, cut-throat competition, and others like the Icarus Paradox and organizational inertia. These factors become possible in most cases due to the absence of effective leadership, and resilience that would provide the team spirit to navigate the corporation towards the paths of sustainability. This study examines the relationship between emotional intelligence and corporate decline because the former as the ability to manage emotions in oneself, in others, and in groups is one of the most accepted ideas in recent business history to suggest important ways to lead effectively. This suggests that emotional intelligence leads to positive behaviours and results to successful turnaround strategy. Using survey research design the result shows positive correlation between emotional intelligence and successful turnaround strategy. Due to limitations further study could examine the relationship between CEOs management style and corporate failure. The principle of win-lose approachshould be recognized in business negotiations regarding corporate restructuring
Keywords
Icarus Paradox, Empire Building Mentality, Weak Financial Management, Poor Management, Corporate Failure, Restructuring, Successful Leadership, Successful Intelligence
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