The transaction model of communication is a dynamic and interactive communication model that emphasizes the simultaneous exchange of information between a sender and a receiver within social, relational, and cultural contexts. Unlike other communication models that describe communication between a sender and a receiver who alternate roles, the transactional model defines each person as a communicator who embodies both roles simultaneously. The transactional model of communication includes the following key elements:

• Sender: The individual or entity initiating the communication.
• Message: The information, ideas, or thoughts being conveyed.
• Channel: The medium through which the message is being sent.
• Receiver: The individual or entity receiving the message.
• Feedback: The response or reaction to the message that the receiver sends back to the sender.

The transactional model of communication is effective because it allows communicators to adapt their communication in response to the non-verbal message they are simultaneously receiving from their communication partner. The model also considers how social, relational, and cultural contexts frame and influence communication encounters. The transactional model of communication is used in various real-life situations, such as job interviews, negotiation processes, marketing campaigns, and healthcare interactions.