The theory of exchange between leadership – lower level (LMX): Developed to describe two types of relationships that occur between leaders and lower levels, how these relationships affect the types of power that the leader uses. Each relationship is characterized by a high degree of influence and mutual attraction between the leader and some of the lower levels. These levels belong to the internal group and are distinguished from the other levels thanks to the high level of loyalty, responsibility and reliability they feel from the leadership. Other lower levels belong to and outside the group, and leaders use different forms of power and influence to interact with the lower levels of internal groupings and outside-group levels.
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