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This study aimed at revealing the impact on transformational and transactional leadership in organizational performance of Pharmaceutical Industry in Yemen. The researchers have used descriptive analytical methods to answer the study questions and test the hypotheses. Questionnaire has been used for collecting quantitative data from the study sample which is a number of 227 middle and executive management in pharmaceutical companies. The study findings show that there is significant effect of all the dimensions of transformational and transactional leadership on organizational performance. Based on the regression analysis applied in the study, results indicated that transformational leadership is of the highest influencing variables on organizational performance. The study concluded that pharmaceutical companies adoption of modern leadership styles leads to distinguished performance.
Keywords: Transformational leadership, Transactional leadership, Organizational performance, Pharmaceutical Industry.
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