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A threatened strike action by a labour union to force the management to accept their demands is an example of which of the following power?
1. Reward power
2. Legitimate power
3. Coercive power
4. Referent power

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Correct Answer - Option 3 : Coercive power

The correct answer is Coercive power.

  • A threatened strike action by a labour union to force the management to accept their demands is an example of Coercive power.
  • The most commonly recognized form of power that a manager has is positional power.
    • Positional power is a result of a manager's position within the organization.
    • The three main bases of positional power include legitimate power, reward power and coercive power.

  • Legitimate power is the power that comes from one’s organizational role or position.
    • A boss can give you more work than your colleague and it is his right.
  • Reward power is the ability to grant a reward
    • A boss can give a promotion to your colleague, even if you both have done equal work. It is his right to do so.
  • In contrast, coercive power is the ability to take something away or punish someone for noncompliance.
    • It forces people to do something that ordinarily they would not choose to do.
    • When attrition is going on in your organisation, you may want to work extra hours without compensation.
  • A threatened strike action by a labour union to force the management to accept their demands is an example of coercive power too.
    • In normal circumstances, management might not even consider the demands being raised by the labour union. But when the fear of strike is there, they might consider it.

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