Trait theory is developed under some critical assumptions. a leader, not a ‘normal’ person. He /she is distinct in intelligence, personality, ambition, and perseverance. It supports the ideology of inherent traits at birth. It also assumes the superiority of some leadership traits over the others. Moreover, leaders are actually persons who portray the right combination of these traits (Anon, 2009, 11 of 49).
The leadership relationship in transaction-based type is put to thrive in the exchange scenario where the subordinate continuously serves the leader in exchange for what is offered in return. The bargain in context reveals that though there may lack the favorable conditions and environment for the followers or subordinates to deliver under normal circumstances, the leader goes further to provide the required conditions necessary to deliver. The leader, therefore, defines the criteria to be followed at the exchange of benefits to the subordinates (Hartog, Muijen and Koopman, 1997, 20). Transformational leadership, on the other hand, refers to the leadership style that offers emotional attachment instead of the award entitlement. Transformational leaders inspire their subordinates towards the course of achieving the set goals and objectives (Pastor and Mayo, 2006, 2). The leader’s behavior through which the followers easily identify with drive the leadership.
Transactional and transformational leadership are seen to ascribe to the trait theory in that in cases, personality as well as intelligence that they exhibit distinct them from the common person’s traits. In the two cases, ambitions drive their course of action.
However, at times transactional leadership is preferred to transformational leadership in that people are always driven by rational gratification. Rewards encourage subordinates to work as compared to voluntary service. It is best suited in an industrial setup where for optimality in results, workers need motivation through proper remuneration. On the other hand, transformational leadership is preferred whenever the leader is required to be part of the team. Transformational type is better depicted at family.nbsp.