1.

Take a good leader for you in Ethiopia and discuss whether she/he is charismatic,
transactional, or transformational leader with justification.
Talk about entrepreneurship leaders in Ethiopia. You might name only a few people who
succeeded. One of these few is Ermias Amlega.

Ermias Amlega is an Ethiopian economist and entrepreneur. He is a visionary who tried his
hardest to bring advanced innovations to Ethiopia’s motherland. His vision was to use his
knowledge/ experience to launch groundbreaking businesses that could impact the economy.

What makes him well known?

It’s challenging to convey a difference in an underdeveloped country with a strong cultural and
social tie. The extreme conservatism had tried to block his way as an entrepreneur. Nonetheless,
this didn’t stopover Ermias Amlega.

He arose by working as an investment banker for 12 years in the United States. Then he returned
to Ethiopia in 1996. After his return to Ethiopia, he opened different manufacturing companies.

He founded

Highland spring water,

Zemen bank,

Access real estate,

Access capital,

Advisor to the government about the economic issues of the country even represents Africa on
international economic forums.

The 66-Year-old man Ermias Amlega was born in 1955. His father was a traveler who moved to
different countries for his work. This had influenced Ermias’s life since he had to change schools
occasionally. This is how mobile his family was. After Ermias was born, his parents had to
transfer to Egypt and start a life. They stayed in Egypt for four years and returned to Ethiopia.
Amlega began school in Ethiopia right away. When he reached the second grade, his parents
moved to Nairobi. Luckily, he learned British English in Nairobi. Then he continued and
completed his secondary education at International Community School in Nairobi.

Afterward, Ermias Amlega moved to the United States in 1976, where he stayed for 22 years. He
undertook different research and studies for eight years. He pursued his MBA degree in finance
from Boston University and MA degree in International Economics and Political Science from
Amherst College in 1980.

Since Ermias was relocated to Egypt right after he was born, his mother tongue turned out
Arabic. This only makes him a unique Ethiopian native. Moreover, before moving to America,
Ermias had to go to Bedeno, Harar, to serve in the Derg Regime’s version of Peace Corps.
During his stay in Bedeno, he reminisces about one Arab who used to be the only one owning a
Truck in Bedeno town. He drove through plain fields every week to pass on essential utilities for
the resident.

Accomplishments and Achievements

Ermias Amlega’s preparation unintentionally had started from birth. His diplomatic father, who
moved around, facilitated the start of his success journey. He resided in different places and had
advanced his education in foreign countries. Moreover, He could speak additional languages
such as Arabic, British English, Amharic, and Afan Oromo. Furthermore, even though he had
failed many times through his expedition and many charges were laid against him, he stood still
to his beliefs and had been a significant influence on many entrepreneurs.

Ermias had suffered a lot in his attempt to show his people his new methods and thoughts. It’s
common to face challenges when one is altered from all. Consequently, Federal investigators
have arrested Ermias Amlega in connection with an ongoing corruption probe on Metals and
Engineering Corporation [MetEC]. He was also suspected of transferring the former Imperial
Hotel to MetEC for 72 million Birr, without a proper procurement. Furthermore, Ermias was
accused of causing severe financial damage to the government. Later he was also in charge of the
customers of access Real Estate. They accused him of breaking his promise to deliver their new
houses on time after receiving payment.

Federal prosecutors who have filed corruption charges have blocked his release from prison and
requested a payment of settlement amounting to 21 million birr. On Jury, he told the presiding
judges that Access Real Estate S.c had bought the hotel for 60 million birr and explained that his
share of the hotel was a mere 5% of what was owed by more than 6000 shareholders. He also
insisted he had cooperated with the police to provide all the necessary information regarding the
transaction. However, he remained in prison for two years. On February 25/2020, the
government announced the criminal charges against him were discontinued. This was launched
by the administration of Prime Minister Abiy Ahmed. This had led to the release of Ermias
Amlega.

His leadership styles: -

Leadership can be described as an important quality of a person, a vital attribute for an

organization or a key source for an effective team towards attaining success. In these ways,
leadership occupies its space in different fields and proves to be important in several aspects. The
role of a leader is very important in a management field in terms of taking the organization
towards success or failure

Ermias Amlega was a charismatic leader who used powerful oratory, an engaging personality,
and unwavering commitment to positive change in the lives of people.

• Sensitivity to their environment and the needs of their employees or followers

• Articulate and visionary

• Inclined toward personal risk taking

• Adept at using unconventional behavior

Because of all this ability he is a charismatic leader.

Ermias Amlega skills that make a strong leader his:

Patience Empathy

Active listening Reliability

 Dependability Creativity

Positivity Effective feedback

Timely communication Team building

Flexibility Risk-taking

Ability to teach and mentor

A transactional leader is someone who follows a routine or set of rules. They focus more on
sticking to the procedure to achieve results, rather than trying new ideas or innovating. The term
“transactional” comes from the fact that these types of leaders are looking to motivate by
exchanging performance for rewards or discipline. A transactional leader will set a list of criteria
for their employees or team members to meet, then judge them based on how well they meet
those criteria.

Transactional leadership is advantageous in a few scenarios such as:

 You have a team full of self-interested or self-motivated people.

 You need a clear structure for systems that require repetitive tasks, specifically in larger
organizations or groups.
 You want to achieve short-term goals quickly
Ermias Amlega A great example of a transactional leader. His company has a specific
way of doing things and every member is expected to follow these guidelines.
Ermias Amelega will have a set of goals for their trainees and to his office worker to
reach—for example, how fast they can run company’s and projects—and reward or
discipline their subordinates based on how they perform.

Transactional leaders do well in the company, but they also exist in civilian life. You can find
them at the head of major corporations as well as within small teams inside smaller companies.
Some examples of transactional leaders include:

 First Responders
 Coaches
 CEOs
  Sales Team Leaders

Ermias Amelega a good transformational leader will do a few things, such as:

 Encourage employee growth and development

 Train subordinates to become leaders themselves
 Move employees away from self-interest and into a mindset of communal success
 Provide subordinates enough space to make their own decisions
 Encourage team building and improve communication among team members

A great example of a transformational leader is an entrepreneur starting their own business.

Since there are no current guidelines in place, and the entrepreneur doesn’t know the best way
forward, they will encourage their new hires to innovate. They’ll also want their new hires to
stay for the long-term, requiring that they foster an environment of unity.

A transformational leader wants each team member to be their best so that they can ultimately
help the organization improve. They do this by motivating the team member not through money
or punishments, but by getting them to see themselves as a part of something bigger.

So Ermias Amelega is a good transformational leader

Conclusion

Ermias gave up his successful life in the US to change his country, where he went on to open a
myriad of companies, including Highland spring’s mineral water, Zemen Bank, Access Real
Estate, and some of his high-scored initiatives.

One of the most successful activities in his carrier as a business innovator was his business
venture with the widely known billionaire Alibaba. The e-commerce company, which is nearing
implementation, is birthed from the partnership between Alibaba, china’s e-commerce giant, and
Ermias Amlega.

The e-commerce company was stated to join Ethiopia’s economy six months after the agreement.
The new e-commerce platform, on which all items in Ethiopian shops will have a digital
presence, is expected to place Ethiopia on a new digital economic trajectory, with end-to-end
online ordering, e-payment, and delivery systems. This was an excellent turnout for the growth
of the Ethiopian economy.
Ermias Amlega’s life struggle mainly affects Entrepreneurs who are citizens and have a heartily
desire to bring radical change to their country. Especially for young entrepreneurs, it helps to

be aware of the business climate in Ethiopia. His dedication and persistence against all the odds
would be an excellent motivation for the new generation of Ethiopians.