Aim of this study is to provide a perspective on the literature of leadership, which keeps an essential place in business research, from the standpoint of more recent approaches that developed after classical views such as the trait approach, behavioral approach and contingency approach. After contingency perspective, researchers came to realize that leaders and their followers establish a one-to-one relationship. In this leader and follower relationship, the leadership style of the leader influence the motivation, job satisfaction and performance of the followers. Those indicators are important due to their link with organizational profitability.

 In this respect, the first part includes transformational leadership, second part transactional leadership and the last part is leader-member exchange theory. Main point in transformational leadership is the leaders’ change agent role in transforming followers’ to their more developed version. Main point in transactional leadership is the role of the leader in making followers execute their tasks, by using classical methods such as reward and punishment.  Full range of leadership model brigns those two theories together and explain leadership effectiveness by fociusing on the dimensional nature of transformational and transactional leadership. Main point in leader-member exchange theory is the in-group and out-group phenomena. The in-group refers to followers that build a strong relationship with the leader. In the out-group, relationship between followers and leader is more formal. Performance results differe between in and out groups, drwaing a conclusion that performance indicators are more positive in in-groups.

In this study, every theory is presented ron the same flow; definition, dimensions of leadership and research results.  The research results are chosen on the criteria of performance variables. Those variables are grouped under the category of leadership traits and the motivaston, job satisfaction and performance of followers. Keywordsrelated search on correlational studies lead to a summary,  focusing on the reflections of related theories to practice.