The Role of Competitive Strategies in the Effect of Entrepreneurial Mindset and the Entrepreneurial Leadership on Business Performance

Abstract

The main purpose of this study is to examine the role of cost leadership and differentiation strategies in the relationships among entrepreneurial leadership, entrepreneurial mindset, and business performance. The sample of the study consists of 443 managers working in 8 sectors affiliated to the Erzurum Chamber of Commerce and Industry. The data were collected with the help of a survey consisting of Entrepreneurial Leadership Scale developed by Renko et al. (2015), Entrepreneurial Mindset Scale developed by Mathisen and Arnulf (2014), Competitive Strategies Scale developed by Espino-Rodríguez and Lai (2014), and Business Performance Scale adapted to Turkish by Zehir (2016). The data were analyzed by structural equation modeling. According to the research findings, while entrepreneurial mindset has a positive effect on entrepreneurial leadership and business performance; it has been determined that it has no significant effect on cost leadership and differentiation strategies. However, entrepreneurial leadership has a positive effect on business performance, cost leadership, and differentiation strategies. Also, it was concluded that cost leadership and differentiation strategies should not be used together..

Keywords

• Entrepreneurial Leadership
• Entrepreneurial Mindset
• Cost Leadership Strategy
• Differentiation Strategy
• and Business Performance

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