At it's core, leadership means setting goals, lighting a path and persuading others to follow. But the responsibility entails much more. Great leaders must inflect their inspiration by being able to make the most of their limited time, and build roads to precious resources. They must negotiate alliances, improve the relationship with their colleagues and align their goals with the organization's needs. .
Knowing this the most sufficient leadership style for a young entrepreneur to have is a democratic style. It persuades others to follow by encouraging employees to participate in the decision-making process. "Great leaders possess inward qualities such as confidence and focus, also an outward presence, including charm and compassion, and being able to create a vision and convince other to commit to it." (Laura Pratt). A successful entrepreneur has to be a team leader, a figure head in the organization. A successful entrepreneur, implements strategic and operational decisions and detects potential problems, identify opportunities for improvement and turn those opportunities into action so that the whole organization becomes more competitive and more profitable. This is most resembled by a democratic leadership style.
Trust is the most important aspect of any relationship. In the business world, when the entrepreneur can trust his employees, they can now delegate them more responsibilities. The entrepreneur can give employees more input on major decisions, and even delegate full decisional responsibility on smaller matters. This in turn frees up the business leader to concentrate on more important issues. When employees feel that they are trusted by executives the work they are producing is going to be higher quality. They are more easily motivated when they feel as a part of the team. Executives must frequently give praise for a job well done but also, privately constructively criticize, to let the employee know that even though he/she has been delegated a larger responsibility they must perform to the standards expected by the entrepreneur (executive, boss).
