Successful CEOs are noted for having a clear strategic vision, a strong passion for their company, and an ability to communicate with others. They are often perceived to be dynamic and charismatic leaders—which is especially important for high firm performance and investor confidence in uncertain environments. They have many of the characteristics of transformational leaders—that is, leaders who provide change and movement in an organization by providing a vision for that change. For instance, the positive attitude characterizing many well known industrial leaders—such as Bill Gates at Microsoft, Anita Roddick at the Body Shop, Richard Branson at Virgin, Steve Jobs at Apple Computer, Phil Knight at Nike, Bob Lutz at General Motors, and Louis Gerstner at IBM—has energized their respective corporations.
These transformational leaders have been able to command respect and to influence strategy for mulation and implementation because they tend to have three key characteristics: