Pusat Pengajian Pengurusan Perniagaan
Kolej Perniagaan, Universiti Utara Malaysia
06010 Sintok, Kedah
Pusat Pengajian Pengurusan Islam
Kolej Perniagaan, Universiti Utara Malaysia
06010 Sintok, Kedah
Abstract
Previous studies show that there is inconsistent relationship between entrepreneurial orientation and business performance. Thus, this empirical study attempts to examine the relationship between entrepreneurial orientation variables and business performance and the influence of transformational leadership style as a moderating variable among SMEs in Malaysia. By using simple random sampling technique, a total of 143 SMEs in Malaysia are used as samples in this study. Correlation analysis, multiple regression and hierarchical regression are used to test the hypothesis. Results of the analysis show that the three independent variables, i.e., innovation, proactive and risk taking have positive significant relationships with business performance. The study also finds that transformational leadership style variable moderates the relationship between innovation and risk taking and business performance. It is hoped that the findings from this study can be utilized by the government, entrepreneurs, researchers and interested parties in the field of entrepreneurial leadership.
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