QUESTION
How can transformational leadership practices affect organizations undergoing mergers?
What will be an ideal response?
ANSWER:
Nemanich and Keller (2007) examined the impact of transformational leadership on 447 employees from a large multinational firm who were going through a merger and being integrated into a new organization. Research findings: Transformational leadership behaviors such as idealized influence, inspirational motivation, individualized consideration, and intellectual stimulation, were positively related to acquisition acceptance, job satisfaction, and performance. In major acquisition integration, transformational leadership can have a positive impact.
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