Define power distance and its impact on leadership within organizations.

• A. It is the degree to which power is distributed equally; high power distance promotes participative leadership.
• B. It is the extent to which power is distributed unequally; high power distance supports centralized authority; low power distance supports participative leadership.
• C. It is a measure of how trust is distributed in teams; high distance leads to more trust.
• D. It refers to geographic distance between offices and has no impact on leadership.

Answer: (B)

Power distance is about how much people accept that power is distributed unequally within an organization. When this distance is high, authority is centralized, decisions come from the top, and subordinates tend to defer to leaders. When the distance is low, power is distributed more evenly, leaders invite input, and decision-making is more participative. That’s why the best description states that power distance measures unequal power distribution and that high power distance supports centralized authority while low power distance supports participative leadership. The other options mischaracterize the concept—they’re not about how power is distributed, relate to trust in teams, or refer to geographic distance, none of which define power distance or its leadership impact.