Power is where men think it is. That phrase resonated with me because it captures something I've observed but hadn't thought about in those exact terms.
It implies that sometimes, power isn't associated with force, rules, or resources at all. simply, power is based on what people believe to be true or assume to be true. In terms of perceived power, if enough people act like a person is powerful, then that person is powerful, even if they don't make any decisions that more directly control the power.
This applies in all kinds of situations. a manager might not have legitimate control over hiring or budgets, but if people in the office treat them as though they have control over those areas, they behave consistently with that assumption.
A politician might lose their power over a particular substantive issue if the people simply distrust or no longer see them as effective, even though their formal position has not changed. As such, a title, symbol and/or position only has power to the extent to which people attribute power to it.
This is not to say that all power is fake power. in fact, belief is part of how power operates. in the fullest expression of power, at least in the military sense, the laws, or money, depend on some degree of collective belief. If everyone ceases to recognize a currency as currency or stops obeying a law, the currency or law ceases to have power under that description.
In that manner, power can be understood as social production.