Future Business Leaders of America (FBLA) Organizational Leadership Practice Test

What is a key aspect of Reward Power?

1. Withholding rewards for compliance

2. Offering something of value for performance

3. Building networks for political influence

4. Utilizing position power to persuade

The correct answer is: Offering something of value for performance

Reward power is fundamentally based on the ability to offer incentives or rewards in exchange for desired behaviors or performance. This form of power is effective in motivating individuals because it taps into their desire for positive outcomes, such as recognition, promotions, bonuses, or other valuable rewards. When leaders or managers utilize reward power, they create an environment where individuals are encouraged to achieve specific goals or exceed performance expectations, knowing that positive reinforcement is associated with their efforts. This principle of rewarding performance fosters a culture of motivation and accountability, as individuals are more likely to engage actively in their tasks when there is something tangible to gain. For instance, a manager might offer a bonus for meeting sales targets, thereby incentivizing the team to work harder. The other choices relate to different forms of power but do not embody the essence of reward power. Withholding rewards suggests a form of coercive power rather than reward power, while building networks and utilizing position power pertain more to connection and authority than to the specific concept of rewarding compliance and performance.