The Model of Transactional Leadership Market Orientation and Innovation that Affect Food Products SMEs Success.
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Abstract
This study aimed to test the causal relationship model of transactional leadership, market orientation and innovation that affect the success of small food product enterprises’ businesses. The representative sample consisted of 365 small food product entrepreneurs with a Department of Industrial Works database. The data were collected by distributing the questionnaire. The analysis’s results showed that the model was concordant with empirical data and passed all criteria for consideration. The research findings indicated that transactional leadership positively affected success at a path coefficient of 0.420 at a .01 statistically significant level. Transactional leadership positively affected market orientation at the path coefficient of 0.578 at a .01 statistically significant level. Transactional leadership positively affected innovation at a path coefficient of 0.166 at a 0.05 statistically significant level. Market orientation negatively affected success at a path coefficient of -0.039 with no statistical significance. Market orientation positively affected innovation at a path coefficient of 0.764 at a .01 statistically significant level. Innovation positively affected success at a path coefficient of 0.689 at a .05 statistically significant level.
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