IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v15y2023i7p5776-d1107944.html
   My bibliography  Save this article

Entrepreneurial Leadership and Entrepreneurial Success: The Mediating Role of Entrepreneurial Opportunity Recognition and Innovation Capability

Author

Listed:
  • Taleb S. T. Taleb

    (School of Business Management, College of Business, Universiti Utara Malaysia UUM, Kedah 06010, Malaysia)

  • Norashidah Hashim

    (School of Business Management, College of Business, Universiti Utara Malaysia UUM, Kedah 06010, Malaysia)

  • Norria Zakaria

    (School of Business Management, College of Business, Universiti Utara Malaysia UUM, Kedah 06010, Malaysia)

Abstract

Micro-, small, and medium enterprises (MSMEs) play a crucial role in the economic growth of emerging markets. This study examines the effect of entrepreneurial leadership (EL) on the entrepreneurial success (ES) of MSMEs in Malaysia through the mediating effect of entrepreneurial opportunity recognition (EOR) and innovation capability (IC). To examine the proposed mediation model, we utilized a structured questionnaire to collect data for this quantitative research. Partial least square-structural equation modeling (SEM) was used to test the hypothesis on a sample of 401 micro-business owners/managers in Malaysia. The findings reveal that an EL has a significant positive effect on ES but is conditional on the mediating role of EOR and IC. However, the results show that EOR and IC partially mediate the link between EL and ES. Additionally, EOR and IC serially mediated the relationship between EL and ES. This research has valuable contributions to MSMEs by explaining EL, EOR, and IC’s critical role in gaining competitive advantage and achieving success. This research develops a theory-based mediation model to demonstrate how the EL and ES of MSMEs are related. Further, the model in this study adds to the body of knowledge by examining whether or not serial mediation occurs through EOR and IC. Hence, this research sheds new light on the relationship between EL and ES.

Suggested Citation

  • Taleb S. T. Taleb & Norashidah Hashim & Norria Zakaria, 2023. "Entrepreneurial Leadership and Entrepreneurial Success: The Mediating Role of Entrepreneurial Opportunity Recognition and Innovation Capability," Sustainability, MDPI, vol. 15(7), pages 1-17, March.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:7:p:5776-:d:1107944
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/15/7/5776/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/15/7/5776/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Isotilia Costa Melo & Paulo Nocera Alves Junior & Geandra Alves Queiroz & Wilfredo Yushimito & Jordi Pereira, 2023. "Do We Consider Sustainability When We Measure Small and Medium Enterprises’ (SMEs’) Performance Passing through Digital Transformation?," Sustainability, MDPI, vol. 15(6), pages 1-30, March.
    2. Murtaza Haider & Randall Shannon & George P. Moschis & Erkko Autio, 2023. "How Has the COVID-19 Crisis Transformed Entrepreneurs into Sustainable Leaders?," Sustainability, MDPI, vol. 15(6), pages 1-20, March.
    3. Tajana Guberina & Ai Min Wang, 2021. "Entrepreneurial Leadership Impact on Job security and Psychological Well-being during the COVID-19 Pandemic: A conceptual review," International Journal of Innovation and Economic Development, Inovatus Services Ltd., vol. 6(6), pages 7-18, February.
    4. Henseler, Jörg & Schuberth, Florian, 2020. "Using confirmatory composite analysis to assess emergent variables in business research," Journal of Business Research, Elsevier, vol. 120(C), pages 147-156.
    5. Juliana Kurek & Luciana Londero Brandli & Marcos Antonio Leite Frandoloso & Amanda Lange Salvia & Janaina Mazutti, 2023. "Sustainable Business Models Innovation and Design Thinking: A Bibliometric Analysis and Systematic Review of Literature," Sustainability, MDPI, vol. 15(2), pages 1-22, January.
    6. Indra Utoyo & Avanti Fontana & Aryana Satrya, 2020. "The Role Of Entrepreneurial Leadership And Configuring Core Innovation Capabilities To Enhance Innovation Performance In A Disruptive Environment," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 24(06), pages 1-40, August.
    7. Javier Martínez-Falcó & Bartolomé Marco-Lajara & Eduardo Sánchez-García & Luis A. Millan-Tudela, 2023. "Sustainable Development Goals in the Business Sphere: A Bibliometric Review," Sustainability, MDPI, vol. 15(6), pages 1-20, March.
    8. Gautam Ray & Jay B. Barney & Waleed A. Muhanna, 2004. "Capabilities, business processes, and competitive advantage: choosing the dependent variable in empirical tests of the resource‐based view," Strategic Management Journal, Wiley Blackwell, vol. 25(1), pages 23-37, January.
    9. Mariana Antunes & Álvaro Dias & Francisco Gonçalves & Bruno Sousa & Leandro Pereira, 2023. "Measuring Sustainable Tourism Lifestyle Entrepreneurship Orientation to Improve Tourist Experience," Sustainability, MDPI, vol. 15(2), pages 1-14, January.
    10. Hussain Zaid H Alsharif & Tong Shu & Bojan Obrenovic & Danijela Godinic & Ashraf Alhujailli & Alisher Makhmudovich Abdullaev, 2021. "Impact of Entrepreneurial Leadership and Bricolage on Job Security and Sustainable Economic Performance: An Empirical Study of Croatian Companies during COVID-19 Pandemic," Sustainability, MDPI, vol. 13(21), pages 1-19, October.
    11. Gupta, Vipin & MacMillan, Ian C. & Surie, Gita, 2004. "Entrepreneurial leadership: developing and measuring a cross-cultural construct," Journal of Business Venturing, Elsevier, vol. 19(2), pages 241-260, March.
    12. Hassan Nor-Aishah & Noor Hazlina Ahmad & Ramayah Thurasamy, 2020. "Entrepreneurial Leadership and Sustainable Performance of Manufacturing SMEs in Malaysia: The Contingent Role of Entrepreneurial Bricolage," Sustainability, MDPI, vol. 12(8), pages 1-21, April.
    13. Qining Deng & K. Noorliza, 2023. "Integration, Resilience, and Innovation Capability Enhance LSPs’ Operational Performance," Sustainability, MDPI, vol. 15(2), pages 1-22, January.
    14. Kabir Shamudeen & Kabir Shamudeen & Ooi Yeng Keat & Hazlinda Hassan, 2017. "Entrepreneurial Success within the Process of Opportunity Recognition and Exploitation: An Expansion of Entrepreneurial Opportunity Recognition Model," International Review of Management and Marketing, Econjournals, vol. 7(1), pages 107-111.
    15. Carl Allwood, 2012. "The distinction between qualitative and quantitative research methods is problematic," Quality & Quantity: International Journal of Methodology, Springer, vol. 46(5), pages 1417-1429, August.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Happiness Ozioma Obi-Anike & Ogohi Cross Daniel & Ifeoma Joanes Onodugo & Ikechukwu Joseph Attamah & Benedict Ogbemudia Imhanrenialena, 2023. "The Role of Financial Information Literacy in Strategic Decision-Making Effectiveness and Sustainable Performance among Agribusiness Entrepreneurs in Nigeria," Sustainability, MDPI, vol. 15(13), pages 1-17, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ruixin Su & Bojan Obrenovic & Jianguo Du & Danijela Godinic & Akmal Khudaykulov, 2022. "COVID-19 Pandemic Implications for Corporate Sustainability and Society: A Literature Review," IJERPH, MDPI, vol. 19(3), pages 1-23, January.
    2. Hussain Zaid H Alsharif & Tong Shu & Bojan Obrenovic & Danijela Godinic & Ashraf Alhujailli & Alisher Makhmudovich Abdullaev, 2021. "Impact of Entrepreneurial Leadership and Bricolage on Job Security and Sustainable Economic Performance: An Empirical Study of Croatian Companies during COVID-19 Pandemic," Sustainability, MDPI, vol. 13(21), pages 1-19, October.
    3. Pietro Evangelista & Aino Kianto & Henri Hussinki & Mika Vanhala & Anna-Maija Nisula, 2023. "Knowledge-Based Human Resource Management, Logistics Capability, and Organizational Performance in Small Finnish Logistics Service Providers," Logistics, MDPI, vol. 7(1), pages 1-21, February.
    4. Moses Waiganjo & Danijela Godinic & Bojan Obrenovic, 2021. "Strategic Planning and Sustainable Innovation During the COVID-19 Pandemic: A Literature Review," International Journal of Innovation and Economic Development, Inovatus Services Ltd., vol. 7(5), pages 52-59, December.
    5. Atzmon, Morane Batya & Vanderstraeten, Johanna & Albers, Sascha, 2022. "Small-firm growth-enabling capabilities: A framework for young technology-based firms," Technovation, Elsevier, vol. 117(C).
    6. Prommer, Lisa & Tiberius, Victor & Kraus, Sascha, 2020. "Exploring the future of startup leadership development," Journal of Business Venturing Insights, Elsevier, vol. 14(C).
    7. Hornyák, Miklós & Kruzslicz, Ferenc & Lányi, Beatrix, 2023. "A kis- és középvállalatok digitális transzformációja - az online jelenlét és a versenyképesség összefüggései [The relationships between the online presence of SMEs and competitiveness]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(5), pages 517-543.
    8. Leonidou, Leonidas C. & Leonidou, Constantinos N. & Fotiadis, Thomas A. & Zeriti, Athina, 2013. "Resources and capabilities as drivers of hotel environmental marketing strategy: Implications for competitive advantage and performance," Tourism Management, Elsevier, vol. 35(C), pages 94-110.
    9. Rafael Martínez-Peláez & Alberto Ochoa-Brust & Solange Rivera & Vanessa G. Félix & Rodolfo Ostos & Héctor Brito & Ramón A. Félix & Luis J. Mena, 2023. "Role of Digital Transformation for Achieving Sustainability: Mediated Role of Stakeholders, Key Capabilities, and Technology," Sustainability, MDPI, vol. 15(14), pages 1-27, July.
    10. Jim Andersén, 2023. "Green resource orchestration: A critical appraisal of the use of resource orchestration in environmental management research, and a research agenda for future study," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 5506-5520, December.
    11. Firican Diana Andreea, 2022. "The Influence of Hofstede’s Cultural Dimensions on Attitude Towards Change and Innovation in Oganizations," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 16(1), pages 509-518, August.
    12. Sujit Sur & Carol-Ann Sirsly, 2013. "What’s in a name? Decomposing corporate reputation to assess the relative impact of temporal, firm and industry level factors," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 17(4), pages 1047-1072, November.
    13. Shazia Hassan & Yasmeen Muhammad Javed Iqbal & Wajeeha Ghias, 2017. "Organizational Learning and Competitive Advantage in Banking Sector of Pakistan," Global Social Sciences Review, Humanity Only, vol. 2(1), pages 79-90, June.
    14. David Audretsch & Jagannadha Pawan Tamvada, 2023. "From entrepreneurship to leadership," The Journal of Technology Transfer, Springer, vol. 48(2), pages 814-820, April.
    15. Witell, Lars & Gebauer, Heiko & Jaakkola, Elina & Hammedi, Wafa & Patricio, Lia & Perks, Helen, 2017. "A bricolage perspective on service innovation," Journal of Business Research, Elsevier, vol. 79(C), pages 290-298.
    16. Eugenio De Gregorio & Ivana Tagliafico & Alfredo Verde, 2018. "A comparison of qualitatively and quantitatively driven analytic procedures of psychotherapeutic group sessions with deviant adolescents," Quality & Quantity: International Journal of Methodology, Springer, vol. 52(4), pages 1731-1760, July.
    17. Barnes, James N. & James, Harvey S., Jr. & Kalaitzandonakes, Nicholas G., 2004. "The Coase Theorem, or the Coasian Lens? An Application to GMO Regulation," 2004 Annual Meeting, February 14-18, 2004, Tulsa, Oklahoma 34640, Southern Agricultural Economics Association.
    18. Yan, Ruihe & Gong, Xiang, 2022. "Peer-to-peer accommodation platform affordance: Scale development and empirical investigation," Journal of Business Research, Elsevier, vol. 144(C), pages 922-938.
    19. Lyons, Andrew Charles & Um, Juneho & Sharifi, Hossein, 2020. "Product variety, customisation and business process performance: A mixed-methods approach to understanding their relationships," International Journal of Production Economics, Elsevier, vol. 221(C).
    20. Garcia-Perez, Alexeis & Cegarra-Navarro, Juan Gabriel & Sallos, Mark Paul & Martinez-Caro, Eva & Chinnaswamy, Anitha, 2023. "Resilience in healthcare systems: Cyber security and digital transformation," Technovation, Elsevier, vol. 121(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:15:y:2023:i:7:p:5776-:d:1107944. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.