CMA Final · Entrepreneurship and Startup · Leadership
Meera, founder of a Pune agritech startup, communicates a compelling vision of transforming rural supply chains, inspires staff to look beyond personal interest, and encourages them to question old methods. Which leadership theory best fits her behaviour?
Her behaviour reflects transformational leadership. Such leaders communicate an inspiring vision, motivate followers to rise above self-interest and encourage them to challenge existing methods. Transactional leadership, by contrast, rests on exchanging rewards or penalties for performance and does not stress vision or intellectual stimulation.
- ATransformational leadershipCorrect
- BTransactional leadership
- CAutocratic leadership
- DContingency leadership based on task structure only
Explanation
Transformational leaders articulate an inspiring vision, stimulate intellectual questioning and move followers beyond self-interest. Transactional leadership instead works through exchange of rewards for performance, which is not the focus here. Autocratic leadership is about centralised control.
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