The Effect of Innovative Leadership on Innovative Behavior of Community Business Groups

Abstract

This research aims to study the innovation leadership of community enterprises and the relationship between innovative leadership and employee creativity development. The study was conducted on a sample group of 352 community enterprises and cloth and apparel entrepreneurs who received the 5-star rating criteria calculated from the formula of Yamane (1973). The allowable error was set at 0.05, and data was collected using a questionnaire.

        The result of the study showed the opinions of the sample group about the innovation leadership of community business leaders. Collateral was at the highest level (=4.56), followed by risk determination (=4.56) and learning adaptation (=4.45), which were at high levels, respectively. The results of the hypothesis testing revealed that the innovation leadership adaptation for learning the ability to be creatively self-reliant on taking advantage of opportunities and risk management has a statistically significant positive impact on the innovation behavior of the community business group. Moreover, the results of this study can be used as guidelines for developing the competitiveness of community businesses by selecting leaders who can drive innovation development as serve as being a guideline for entrepreneurs to develop and elevate their own capabilities for the competitiveness of community businesses.