Assignment

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Banking Industry Revolution

Karl Marx Socialist Theory

Karl Marx was an economist, theorist as well as a philosopher who resided in Germany for the better part of the 19th Century. He is best recognized for his famous communist manifesto that had a significant influence on the political, intellectual, and also philosophical concepts. In his theory, Marxist theory, illustrated that communities develop only through struggles of the existing classes in the society (Lee, 2020). According to this theory, there should be no classes in the society which will initiate some transitions like converting the already existing private businesses to cooperative entities over time. In the 19th Century, there were many social concerns that most people were undergoing to see to it that they live.

It was an era that was punctuated by religious denominations where people identified themselves with a religious group with the notion that their needs would be met. The banking sector in this era would face the challenge of spiritual suffering. Many people transcended religion so that they could give up a day to day living conditions at the expense of illusions. This would translate to an uninspired society (Lee, 2020). The other challenge that the banker would encounter is the challenge of exploitation in the process of achieving capitalistic transitions. According to the capitalistic theory, every community depends on economic production to thrive. However, this production is attributed to exploiting human labor for returns. The capitalists will each and every moment take advantage of the labor market.

The other concern that Marx would face is the concept of international relations. While the capitalistic west and the communist East did not integrate at any chance, United Soviet Socialist Republic was undergoing transformations that were directed towards achieving better international relations (Lee, 2020). Therefore, the banker needed to be prepared for this change. Nevertheless, if he existed in the 21st Century, everything would be different. At first, banking has transformed into online platforms through technology. Secondly, the services are accessible to everyone in the world at any time since the world has become a global village. Thirdly, the rules and regulations governing the banking system have converged in many regions to incorporate the technological changes that are still ongoing.

Jeff Bezos Leadership Theory

Jeff Preston Bezos is the founder and the Chief Executive Officer of Amazon Incorporation that was started in 1994. Even though the company began as a small book store, it has grown over the years to include almost every household item that customers need. In its diversification strategies, it has acquired several other online businesses that have expanded the industry of operations over time (Howell & Wanasika, 2018). There are several factors that have been included over time and the overall aspect of the business culture in the short run, as well as in the long term. He has redefined the styles of management in companies, and it is through these changes that the company has grown to the firm it is today.

Technology oriented leaders and mangers are increasing on a daily basis. Jeff Bezos is a renowned technology leader who has gone far above the bar to include all the factors that are needed in this Century. In addition to initiating and influencing his employees and managers towards rapid innovation, he also directs them to the industries that will give huge returns both in the long run as well as in the short run (Howell & Wanasika, 2018). There are also other variables that Jeff Bezos considers like creativity and constant improvement so that every person can be of value to the company. The other theory that Jeff uses is the theory of up to date business information. His company operates on the concept of customer obsession and also innovating on behalf of the customers. This illustrates that every stakeholder, Jeff included, have to continually study the market and think as a team to bring future ideas.

For better progress, Jeff believes that they need to depend on the future occurrences and not the present situations. It can be said that teamwork is also contributing to many other success factors (Howell & Wanasika, 2018). Thinking as a team is increases g the accuracy of the factors to a great extent. Among the issues that banking industries are facing in the 21st Century are the dynamic market forces that are determined by the customer preferences and also the undergoing constant technological revolution, different points of view of distinct managers, leadership competencies, and even digital educational procedures.

A comparison between the two theories

While in the 19th Century, the number of managers who took part in decision making was few due to the capitalistic and socialist approach, in the 21st Century, they are not limited to any macro-economic variables. In fact, they are influenced by the existing better international relations among residents in the world (Rafiki, 2020). While in the 19th Century, many people were exploited economically at the expense of production in the economy by capitalists, today, people are enlightened, and no exploitation is taking place. In fact, people are being compensated for the results they get from the market. Bankers are working in a skill economy where labour force is composed of skilled people. Religious denominations were far much persuasive in the 19th Century than they are now.

While by then, people believed that doing what is right and following the principles would somehow relieve the pains. In the 21st Century, people are far much educated. They recognize the difference between existence and belief (Rafiki, 2020). Lastly, the means of doing business in the 19th Century was limited to externalities, like poor communication and poor governance. In the 21st Century, people are educated, and with the innovations in information technology, many barriers have become extinct. It is now possible to do business with anyone at any place in the world and at any time just through a phone or a personal computer.

References

Howell, J. P., & Wanasika, I. (2018). Jeff Bezos. Snapshots of Great Leadership, 50–54. doi: 10.4324/9781315110066-3

Lee, W. L. (2020). Socialist/Marxist Feminism. Literary and Critical Theory. doi: 10.1093/obo/9780190221911-0088

Rafiki, A. (2020). Islamic Leadership: Comparisons and Qualities. Digital Leadership - A New Leadership Style for the 21st Century. doi: 10.5772/intechopen.90151