Abstract
Avolio and Bass's Full Range Leadership Theory, which had been popular for more than 30 years in English-speaking countries, has also been studied in Japan. However, Transaction Leadership has rarely been studied. This paper presents an empirical research on Transactional Leadership conducted in a Japanese electric-industry company with 105 participants. Data collected from the sample were analyzed firstly by Confirmatory Factor Analysis to confirm whether transactional leadership has two-factor structure of Contingent Reward and Management by Exception （active）. Secondly, correlation analysis was employed to examine the relationships between Contingent Reward and Management by Exception （active） and three leadership effectiveness variables. Thirdly, Multiple regression analysis was employed to examine the influence of Contingent Reward and Management by Exception （active） on three effectiveness variables. Results show that firstly two-factor structure of Transactional leadership was confirmed as predicted, that secondly Contingent Reward strongly influenced on leadership effectiveness over Management by Exception（active）and that thirdly Contingent Reward had more influence on three effectiveness variables than Management by Exception （active）. Discussions of results shall be given in the middle of this paper.
