for the same workload and same environment we are implimenting snapshot replication and transactional replication at diffrent locations over produdction servers. Both standby servers we are using for adhoc report generation and for end user interface. Which performs better?
Depends how often the replication will occur and often the data in the production database are modified and also the amount of data being replicated.
Generally the transaction replication will give you a better performance as only the changes are propagated to the subscribers periodically. During the snapshot replication the whole snapshots needs to be redistributed. Also transactional replication will put less locks on the source system.
See: http://msdn.microsoft.com/en-us/library/ms151734.aspx and http://msdn.microsoft.com/en-us/library/aa179423%28SQL.80%29.aspx
I started to write a long answer but realized you need to define 'performs' before anyone can give an answer shorter than a book. What, and be very specific, do you expect this replica to do for you?
