The Role of Entrepreneurial Orientation and Leadership in Enhancing Firm Performance: Insights from Somali Telecommunication Firms

Abstract

The primary aim of this study is to investigate the impact of entrepreneurial attitude on the performance of telecommunication firms in Somalia. This study aims to investigate the intermediary function of leadership style in the correlation between entrepreneurial orientation and business performance. Data was collected from 300 workers of three major telecommunication companies in Mogadishu using a cross-sectional survey design. The study employed SmartPLS software to examine and confirm the structural model. The study revealed that entrepreneurial orientation characteristics (β = 0.270, t = 4.225, P = 0.000) and leadership style (β = 0.588, t = 9.963, P = 0.000) significantly contribute to the improvement of small- and medium- scale firms in Somalia, with leadership style exerting the most significant influence. The study discovered that leadership style had a crucial role in mediating the association between entrepreneurial orientation and business performance. This mediation was shown to be statistically significant, with a beta coefficient of 0.402, a t-value of 8.715, and a P-value of 0.000. The conclusion section of the report further emphasizes the implications and limitations of the study, as well as providing insights into potential future research topics.