2025 DECA Human Resources Management Complete Practice Test

Leadership style significantly influences employee performance primarily through its effect on motivation and the overall work environment. A positive leadership style, such as transformational leadership, can inspire and motivate employees, leading to increased engagement, productivity, and satisfaction. When leaders foster a supportive and collaborative atmosphere, employees are more likely to feel valued and invested in their work, which directly enhances their performance.

In contrast, a more authoritarian or disengaged leadership style can create a negative work environment, resulting in decreased motivation and lower performance levels. Leaders who communicate effectively, recognize achievements, and provide constructive feedback help cultivate a culture where employees thrive.

The other choices relate to aspects of a workplace but do not capture the direct relationship between leadership and employee performance as clearly. For instance, salary negotiations and job responsibilities are influenced by various factors and are not inherently tied to leadership style. Similarly, while technological tools can be chosen by leaders, they do not directly relate to how leadership style impacts employee performance. Thus, the most central connection lies in the way leadership style affects motivation and the work environment.