The Entrepreneurial Leadership, Innovative Behaviour, and Competitive Advantage Relationship in Manufacturing Companies: A Key to Manufactural Development and Sustainable Business

Kansu Ercantan (), Şerife Z. Eyupoglu and Özlem Ercantan
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Kansu Ercantan: Business Administration Department, Faculty of Economics and Administrative Sciences, Near East University, Nicosia 99010, Cyprus
Şerife Z. Eyupoglu: Business Administration Department, Faculty of Economics and Administrative Sciences, Near East University, Nicosia 99010, Cyprus
Özlem Ercantan: Business Administration Department, Faculty of Economics and Administrative Sciences, Near East University, Nicosia 99010, Cyprus

Sustainability, 2024, vol. 16, issue 6, 1-18

Abstract: The ability of management to influence employee attitudes and behaviours towards organizational goals is pivotal for an organization’s competitiveness, development, and survival. The study’s objective was to investigate the link between entrepreneurial leadership, competitive advantage, and manufacturing development, mediated by employees’ innovative behaviour, via the lens of resource-based view theory. Convenience sampling was used to collect quantitative data from the 378 manufacturing sector employees through the use of a cross-sectional design. There is a lack of research on the underlying mechanisms by which leaders influence organizational processes, such as innovation stimulation. This study explores the psychological mechanisms influencing entrepreneurial leadership and employee innovative behaviour, revealing that entrepreneurial leadership reduces work uncertainty, encourages innovation, and significantly impacts a firm’s competitive advantage in the market. The findings of the study revealed that entrepreneurial leadership fosters an encouraging and supportive environment in the workplace, which in turn leads to a sustainable competitive advantage. Additionally, the findings showed that innovative behaviour significantly mediates the relationship between entrepreneurial leadership and competitive advantage. By expanding the applicability of resource-based view theory, the results of this research also contribute to the comprehension of the interplay between innovative attitudes, manufactural development, competitive advantage, and leadership, specifically in the context of manufacturing sector organizations.

Keywords: entrepreneurial leadership; innovative behaviour; sustainable competitive advantage; manufactural development; sustainable business (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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