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Reference : Designing ODBC Applications for Performance Optimization : Managing Connections and Updates : Choosing the Right Transaction Model

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Choosing the Right Transaction Model
Many systems support distributed transactions; that is, transactions that span multiple connections. Distributed transactions are at least four times slower than normal transactions due to the logging and network round trips necessary to communicate between all the components involved in the distributed transaction. Unless distributed transactions are required, avoid using them. Instead, use local transactions when possible.