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CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Corporate business service is a form of business operation that declares the company as a separate legal entity directed by a cluster of officers known as the Board of Directors. A corporate structure is perhaps the most advantageous way to start a business because the company exists as a separate entity. Nigeria got freedom from Britain on 1 October 1960. Nigeria seen as a new created nation, the growth has become the main concern of its leadership in order to improve the level of population (Asia, 2000, p.12) living. However, has been the key difficulty that has always barred the dignified development objectives in the various sectors of the Nigerian economy since its achievement of the nation is leadership (Asia 2000, p.13). Poor leadership was cited as responsible for the bad management of resources, which in turn results in widespread poverty among citizens and deprivation of basic needs of life (Agweda, 2007, p.176). In addition, studies in Nigeria showed that the financial institutions (banks) are also facilitators of development in project financing matters. Ebong (2006, p.2) observed that the banking sector promotes economic growth through its role of mediator between economic units that have surplus funds and those who need these funds to support their investment. He emphasizes that "by amalgamating these financial forethought, banks are able to achieve economies of scale with beneficial effects for their borrowing customers" (Ebong, 2006, p. 5).
Moreover, the banking sector plays a dynamic role in the insight of the development of the economy in expressions of its input to gross domestic product (GDP), which Central Bank of Nigeria said was 5.51 percentage of 2005 and 2008 (CBN 2008). Furthermore, the sector is a valuable source for the employment of labour (and OloyedeAdeyeye, 2006, pp.1-2; Gberevbie, 2010, p 212). And to further support the unique role of banks as a facilitator of development, Khan (2010) postulates that the policy of the CBN to give banks an incentive to lend, and change their perception of the likely risks involved in this type of loan, the real economy and employment growth benefit greatly.
The scale of the event of any nation within the world is usually determined by the standard and altruistic nature of its leaders. However, once there's a culture of freedom in any organization of the corporate or a business and there is a wide distribution of a lack of leadership by example to enthrone transparent and qualitative public bureaucracy, the one symptom degenerated underdevelopment continues to manifest as evidenced by the Nigerian government.
Leadership is the ability of the company management to make informed decisions and to inspire others to perform well. Effective leaders are able to set and achieve ambitious targets to take swift and decisive action, even in troublesome things, to surpass their competitors, take calculated risks and to hang in within the face of failure. Strong communication skills, assurance, the power to manage others and a disposition to just accept modification additionally characterize smart leaders. According Jaques and Clement (1994, p.4) leadership is the process in which a person sets the purpose or direction of one or more other people and causes them to move along with him and with each other in that direction competently and total commitment. Leadership is repeatedly ignored by investors. This may be because it is grim to put a value on the qualitative aspects of a business (leadership being one) with respect to quantitative measures, which are generally followed and much easier to compare between companies. People with leadership skills in the business world often go top posts. Therefore, political leadership is a central concept for understanding political processes and results that's elusive. Several disciplines have contributed to the study of leadership, as well as orientation, history, scientific discipline and management studies.
1.2 STATEMENT OF THE PROBLEM
However, the Nigerian banking sector to play its essential role of development in the economy, the need for effective leadership that supports the appropriate business ethics is fundamental. According to UNDP (2001), there is currently bigger awareness of the requirement for ethics, responsibility and transparency of publicly life, because the impact of unethical practices in the public sector is unbearable in developing nations, resulting in a loss of confidence in public institutions. In addition, it was also found that good governance and sound public administration free from practices unethical supportof the sustainable development and progress of any nation (UNDP, 2001). For its part, Olayiwola (2009, pp. 53-55) postulates that in the Nigerian banking sector, for example, poor governance (practices unethical) is identified as a major factor in cases virtually all known the distress of a financial institution in the country. This implies that the absence of appropriate ethical standards in the public or private sector organizations is detrimental to the development of a nation.
Therefore, this study is carried out on the fact that effective leadership that endorses the practice appropriate ethics is more likely to bring good management of financial institutions and thus facilitate the role of banks in the development of drive Nigerian economy.
1.3 AIMS/OBJECTIVES OF THE STUDY
The main aim of this dissertation is to examine the effect of political leadership on Nigerian corporate businesses. Specific objectives are to fine out the following:
1. To research various leadership theories and their influence in the corporate business.
2. To identify the most critical theories or models that have been effectively used by successful multi-national companies.
3. Critically evaluate to what extent leadership is used in companies corporate businesses.
4. To evaluate how leadership models are used by organizations in Sky Bank Plc to gain competitive edge in their industry.
5. To identify the critical issues of the leadership models that can be applied in banking sector.
1.4 RESEARCH QUESTIONS
The following research questions were generated to guide this study?
1. What are the research various leadership theories and their influence in the corporate business?
1.5 SIGNIFICANCE OF THE STUDY
The work will be of immense benefits to Nigerian leaders, intending leaders, politicians, government and the public as well as other stakeholders who will appreciate the need to lead (embark) on sustained good governance in Nigeria.
The study shall conjointly projects the damaging consequences of leadership impotence on the country’s national development with a read to determinant measures of mitigating and eliminating the threat within the company sectors and nation’s leadership. Finally, this study will also help to serve as literature (reference source) to students, individuals and corporate bodies into what to carry out on further research on political leadership on Nigerian corporate businesses.
1.6 SCOPE OF THE STUDY
The study concerns about the effect of political leadership on Nigerian corporate businesses with a particular reference to Skye Bank Plc.The study will cover theoretical framework, conceptual clarifications, empirical study and other areas relevant to the study.
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