Transformational Leadership and Sustainable Entrepreneurial Growth in Asian SMEs: The Role of Intrinsic Motivation and Trust
DOI:
https://doi.org/10.69980/rphq7c16Keywords:
Sustainable entrepreneurship, Transformational leadership, Asian SMEs, Intrinsic motivation, Interpersonal trustAbstract
Sustainable entrepreneurship in emerging Asian economies requires leadership approaches that promote innovation, employee engagement, and long-term organizational resilience. This study investigates the relationship between leadership style, intrinsic motivation, and interpersonal trust within small and medium enterprises (SMEs). Grounded in Self-Determination Theory and sustainable entrepreneurship perspectives, the research examines how leadership-driven psychological and relational mechanisms contribute to sustainable enterprise growth. A quantitative cross-sectional survey was conducted among employees working in Asian SMEs (N = 23). Data were collected using a 5-point Likert scale measuring leadership influence on intrinsic motivation and team trust. Descriptive statistics, confidence intervals, bootstrap resampling (1,000 samples), and correlation analyses (Pearson, Kendall, and Spearman) were applied to ensure analytical robustness. The findings reveal positive perceptions of leadership impact on intrinsic motivation (M = 3.65) and interpersonal trust (M = 3.91). A statistically significant moderate-to-strong positive relationship was identified between intrinsic motivation and trust (r = .562, p = .005). Bootstrap results confirmed the stability of these estimates. The results suggest that leadership behaviors fostering autonomy, engagement, and psychological safety strengthen relational trust and innovation capability, thereby supporting sustainable SME performance. This study contributes empirically to sustainable entrepreneurship literature by demonstrating that intrinsic motivation and trust function as reinforcing mechanisms linking leadership to long-term competitive advantage in Asian SMEs.
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