What is Incumbent?
“Incumbent” refers to someone currently holding a specific business or government agency position. If someone holds an office or position, they have responsibilities to that office or position. A candidacy document lists all the people currently holding company positions, like directors and officers. When you use the word “incumbent,” you can also mean the duty or the sense of duty that comes with completing a job or goal.
How to Understand Incumbents
The word “incumbent” can mean several different things based on the situation. It usually refers to someone who holds a specific job, whether they work for a company or are an elected official. As part of their job, this person is responsible for certain things. In business, people already in charge, like chief executive officers (CEOs), are called insiders. In politics, a senator is an incumbent.
“Incumbent” can also mean the duties or obligations a person is expected to fulfill. This word can also mean a big, strong company with much market share in its field. Also, “incumbent” can mean several different business positions and ties.
As was already said, companies list their leaders on an “incumbency certificate.” Current directors, officers, and significant shareholders may also be among these leaders. Like a yearly report, this document is an official act of the company. This means that outsiders, like owners, can trust that it is correct.
Some Examples of Incumbent
For Business
Usually, an “incumbent” in business means the group’s leader. It might usually mean a person, but that’s not always true. It can also be used to talk about a business or a product. For example, a company might have the most significant share of the market or more power in its business.
Market-leading companies should have the “incumbent’s advantage,” which means they know more about their customers’ needs and how to meet them in a way that makes money. This knowledge is more complex for competitors to copy than the uniqueness of their product or service.1
Because of this, companies already in a business may change as the market does. For example, Research in Motion, the company that makes the Blackberry, used to be considered a market leader in smartphones until Apple’s iPhone took that spot based on sales worldwide.
Being an incumbent can also mean a business link, like when a supplier gives materials to another business. The provider currently being used is considered incumbent because of the supplier’s connections. If a new supplier wants to do the work of the current supplier, that new supplier is competing with the current supplier to be the best.
In Government
To talk about a political position, the “incumbent” is the person who currently holds that office or post. It can be used for the person currently holding the position, but it is more often used during elections to tell the current post holder from other candidates running for a second term. The person going against the current leader is often called the challenger.
Depending on how the people in that area feel now, holding the present position may be seen as a good thing. If the people in the district think things are fine as they are, they may be more likely to vote for the present leader. People may be less likely to vote for a leader if they don’t like how their policies or actions have made things worse in their community.
People who are already in office don’t have to try to keep their jobs, but they do keep the title until the day they leave office. If a new position is made and no one has filled it before the first election, there is no incumbent for the job.
Unique Things to Think About Incumbent
In some parts of the U.S. government, people holding certain positions must run for re-election after several years. Some have life term limits, meaning a person can’t run for that office again after serving the total terms.
The president of the United States can be re-elected for another four years after their first term ends. A president can only be in office for eight years at a time.
The 22nd Amendment to the U.S. Constitution was added in 1951 after it was passed in 1947. It says that the president can only serve two terms, for a total of eight years.
There are senators and members of the House of Representatives in Congress. Sens. are elected for six years and can run again, while House members are elected for two years and can run again. People can serve in the Senate and the House for life, which means they can do so many times.
Limiting presidential terms is meant to keep one person from having too much power over a country for too long. It also gives the people the freedom to choose a new leader if they are unhappy with the current one. In the United States, democracy is based on this fundamental idea.
Many people who don’t like government representatives have said that they spend a lot of time on re-election campaigns and trying to get re-elected instead of doing their job or that their time on campaigns takes away from their job duties. There are many reasons why term limits, how elections work, and how politicians get money have changed.
Who were the presidents who lost their second terms?
Trump, Herbert Hoover, Jimmy Carter, George Bush Sr., Benjamin Harrison, Martin Van Buren, John Quincy Adams, and Herbert Hoover were all leaders who lost their second terms.3
What are the pros of the current candidate?
One of the benefits of being an established candidate is that they are a known quantity. Their name is known, as well as their personality, views, and opinions. They also have the experience to run a successful campaign, a reputation for success, donors who have given them money before, voters who don’t want to take risks, and power over some parts of the government.
Do incumbents have a better chance of winning again?
Yes, people who are already in office win more often. In 2020, nationwide general elections returned 93% of lawmakers to office. The leader won 90% of the races or more in all but California, New Hampshire, Ohio, and West Virginia.
Conclusion
There are a lot of different meanings for the word “incumbent,” but most of the time, it means someone who currently has duties in a business or government agency.
- A business leader, especially a company or company leader with a lot of market share in its field, is also called an occupant.
- In politics, an incumbent is the person who currently holds office. The word “incumbent” can also describe a business relationship.
- On an “incumbency certificate,” a company lists its leaders. Current directors, officers, and significant shareholders may also be among these leaders.
- Politicians already in office usually win re-election instead of the person running against them.
