Entrepreneurs creating a corporation need to instill a sense of confidence

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Creating a winning aura that instills confidence and passion among employees is essential for entrepreneurs who are going to create a corporation.

Rajiv Dingra writes in the Wall Street Journal that having a sense of confidence (however much an illusion that might be) helps keep employees focused and feeling positive.

Dingra knows that starting a new company is a process filled with failures, but that doesn’t mean an entrepreneur should inform employees about the details.

“The challenge in this process is that if you fail in front of your employees and seem vulnerable and disturbed, which is a natural reaction to failure, it can affect your team,” Dingra writes. “This impact is further magnified when the team is small and during those early days when the vision of the company is still not clearly defined.”

While everyone likes a boss that is approachable, Dingra recommends creating an intermediary between an entrepreneur and employees to create a sense of authority.

In Bloomberg’s BusinessWeek, University of Virginia business professor Edward Hess notes that as a company grows, entrepreneurs face increased conflicts between employees. Maintaining a sense of authority can help in managing different employee personalities.