The purpose of this study is to find out which conflict resolution strategies are preferred by Theory X (autocratic) and Theory Y (democratic) leaders in conflict situations. A sample of (n = 150) MBA students who work assessed their superiors' conflict resolution behavior by Howat and London's (1980) Conflict Resolution Strategies Instrument which identified five conflict resolution strategies – Confrontation, Withdrawal, Forcing, Smoothing, and Compromise. The students also assessed their superiors' leadership style on a scale as Theory X (autocratic) and Theory Y (democratic) leaders, as well as their effectiveness as leaders. In this study, mostly preferred conflict resolution strategies employed by autocratic and democratic leaders were identified. The findings of the study pointed out that High-X leaders were more confronting and forcing in resolving conflict compared to Low-X managers. Besides, they withdrew less from conflict situations. High-Y leaders, on the other hand, use confrontation, smoothing, and compromising styles in conflict situations significantly more often compared to Low-Y leaders. They use forcing and withdrawal less than Low-Y leaders. The three conflict resolution styles—confronting, compromising and smoothing were found to be good contributors of managerial competence. In addition, as managers were evaluated high on the Theory Y scale, the managerial competence perceptions of employees and their satisfaction with their supervisor increased.
