Path Goal Model

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This paper seeks to investigate, assess, and present a retrospective review of the path goal model of leadership in relation to transactional and transformational leadership styles. The path goal theory, transactional leadership, and transformational leadership styles are briefly described and their concepts summarized. The methodology used to assess the theory is stated and the findings from empirical testing are discussed. The objective of the study is to examine how the application of the path glory model in transactional and transformative leadership styles influences employee satisfaction, and consequently, their performance and commitment.

Keywords: path goal theory, subordinate staff, transactional leadership, transformational
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This influence may be applied to achieve the leaders own goals or the collective goals of the employees although they may or may not align with the organizational goals. Two of the most popular leadership styles are Burns’ (1978) transactional and transformational leadership styles.
Transactional leadership involves the process of exchanging rewards or sanctions by the leader for the performance of the employee. The leader and the employee have an implicit agreement that desired behaviors will be rewarded, while undesired ones will invoke penalties (Bryman, 1992). The rewards may include promotions, and salary increments, while the sanctions may be demotions, pay cuts, or termination. This sort of leadership is not suitable for most situations for it does not seek to motivate employees past the level required to gain rewards or avoid punishment. Adopting this leadership style wholly may diminish performance and lower satisfaction (Peters & Austin,
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The study found that, leader behavior in both transactional and transformational leadership had a significant influence on employee satisfaction. In terms of employee performance, the analysis revealed that both directive and achievement-oriented leader behavior was more convenient in a transactional leadership style setting. It was also demonstrated that participative and supportive leader behaviors were significant and positive in a transformational leadership

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