What is a characteristic of the Leader Member Exchange theory?

Prepare for the ETS Major Field Test Business Exam. Use comprehensive flashcards and multiple choice questions, each with detailed explanations. Ensure your success!

Leader Member Exchange (LMX) theory emphasizes the unique relationships that develop between leaders and individual followers. This approach acknowledges that leaders do not interact with all followers in the same way but instead form unique dyadic relationships. These relationships can lead to different levels of trust, respect, and obligation between leaders and followers, which can impact various outcomes such as performance, job satisfaction, and organizational commitment.

In contrast, the other options highlight misconceptions about LMX theory. The emphasis on collective team performance overlooks the individual-focused nature of LMX. The assumption that all employees are treated equally by leaders contradicts the fundamental premise of LMX, which is built on the idea that leaders cultivate different relationships with different team members. Moreover, the notion that LMX does not consider follower motivation doesn't align with the theory, as the quality of the leader-follower relationship can directly influence and enhance follower motivation and engagement.

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