Role of Entrepreneurial Leadership in Developing People & Teams

This report critically evaluates entrepreneurial leadership, defining it as a leadership style that integrates entrepreneurial skills to drive organizational success. It examines the significant role of entrepreneurial leadership in developing individuals by fostering risk-taking, decision-making, innovation, and communication skills. It further explores how entrepreneurial leaders build effective and ethical teams, differentiating between effective and ineffective team dynamics. The report highlights the importance of ethical leadership in creating organizations where stakeholders act with integrity, and it references existing literature that emphasizes qualities such as future-oriented thinking, self-confidence, adaptability, and passion as crucial components of entrepreneurial leadership. The report concludes by reiterating the importance of these qualities in navigating the challenges of the modern business environment.

Entrepreneurial
leadership
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Contents
Introduction......................................................................................................................................3
Task..................................................................................................................................................3
Role of entrepreneurial leadership in development of people, teams and ethical organisation...3
Literature review develop knowledge and learning for the topic................................................6
Theories of leadership..................................................................................................................7
conclusion........................................................................................................................................8
REFERENCES................................................................................................................................9
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Introduction
Entrepreneurial leadership refers to those types of leadership under which the leaders approach
their followers towards the establishment of their organization and conduct commercial activity
so that they become a success in their life and career. In this dynamic world, only simple types of
leadership are not sufficient to fulfill the needs of the market but it is very important for the
leader that they become dynamic and used innovative and attractive approaches in their work. It
becomes important for the leaders that they develop various entrepreneurial leadership in their
personalities so that these can be used by them to influence their followers towards the business.
There are many entrepreneurial skills are present which should be present in the leader such as
risk-taking, innovation, decision-making, and many more. Risk-taking skills are one of the most
important skills of the entrepreneur which enables the managers to take risks in their work and
makes them the opportunity for their followers because risk-taking abilities are the core need to
set any business in the market. Today there are many changes are seen in the market due to many
factors such as technological advancement, competition, pandemics, and many more only the
leadership is not sufficient to face these factors but also required entrepreneurial abilities along
with the leadership approach. This report is based on the critical evaluation of entrepreneurial
abilities. It provides a description related to the role of enterer leadership in the development of
people teams and ethical organizations. It also provided a description related to various theories
and concepts promoting the concept.
Task
Role of entrepreneurial leadership in the development of people, teams, and ethical organization.
Entrepreneurial leadership refers to those concepts of the modern-day business under which the
leaders have used various entrepreneurial skills and abilities along with their leadership approach
to influence their followers towards the establishment of their own business which makes them
more competitive and productive in the market (Bagheri, Newman, and Eva, 2020). Entrepreneurial
leaders help their followers to develop various skills and abilities in their personality so that they
become able to peruse their functions of the development clearly in their life. Entrepreneurial
leadership has played important role in the development of people teams and organization and a
brief discussion related to the same are given below:
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Role of Entrepreneurial leadership in the development of people
There are different types of people present who have diverse needs and desires in the market.
these peoples have the potential and abilities to do something for their future and nation but due
to the lack of support and proper direction, their needs become unfulfilled. Entrepreneurial
leaders are the people who have analysed the needs and potential of the people and used them in
their development process. Entrepreneurial leaders have provided support and direction to these
people which helps them to become able to achieve growth in the market (Fatoki, 2021)
(Harrison, Leitch, and McAdam, 2018). no people can become successful without the presence of
related skills in their personality so Entrepreneurial leaders have developed various skills in their
personality which makes them able to peruse their careers and development. These skills have
played important role in the development of the people.it helps people to analyze the market
from different dimensions and also makes them able to react effectively. This skill enables the
persona to develop effective strategies in their life which reflects their growth. Brief discussion
related to the same are given below:
Risk-taking skills
It is one of the most important and valuable skills Entrepreneurial leaders have developed in the
personality of their followers. Risk-taking skill is very important for the establishment of new
business in the market. Entrepreneurial leaders have provided them with training related to
analyzing various situations of the market and foreseeing the future condition of the market
which helps them to decide on the present. Only the risk-taking abilities are not sufficient for the
person but also the calculation of risk is important for the growth and development of the people.
Decision-making skills
It refers to those skills of the individual which is required to take critical decision in the diverse
situations of the market. Decision-making skills are one of the core needs of any person if they
want to achieve personal as well as professional growth in their life. Entrepreneurial leaders have
taught them many lessons concerning take good decisions in the market. the person needs to
know the different dimensions of the situation so that effective decisions can be made in the
organization which is a great need of the time.
Innovation skills
Today there is cut-throat competition in the market and each customer in the market becomes
dynamic and demands new products from the entrepreneurs. No entrepreneur can develop new
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products regularly. Innovation is the key that can solve this problem in the market because it
enables the entrepreneur to make changes in the existing product and reintroduced them into the
market with extra features (Lin and Yi, 2021). This helps the person to achieve the dynamic needs
of the customers and make their customers loyal to them. There is a large number of situations
arising in the market under which the people are required innovative thinking to solve them so
that it becomes effective for their growth and development.
Communication skill
It refers to those skills of the entrepreneur which are used by them to interact with different types
of people in the world. It is one of the important skills which should be present in the personality
of the individual to become more attractive to others and influence others towards them.
Communication skills not only help the person to attract but also helps them to establish
effective relationships in the market which is the need of any business.
Role of Entrepreneurial leadership in the development of the team
The development of the team is one of the critical functions of the leaders in the organization to
achieve their goals and objectives. There are many tasks and projects present in the organization
which required an effective team to complete the specific task because it requires accuracy.
Leaders have played important in the development of the team in the organization. they analyze
different employees of the organization and develop a team of some members (Offermann, L.R.
and Coats, M.R., 2018)
. There are two types of teams present in the organization and a brief discussion related to the
same is given below;
Effective team
It refers to those team of the organization which is developed by the leaders under which only
those employees included who are having a similar mindset and thinking about any specific topic
or area. The chances of failure and misconceptions are very less in these types of teams because
all the member has a similar mindset. The chances of success in these types of teams are very
high because of the presence of an accurate and effective level of team spirit in the individuals.
All the objectives and goals of the task are satisfied with great accuracy with these type of teams
in the organization which has a great role in the development of the people and team.
Ineffective team
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An ineffective team refers to a team of the organization under which all the members of the team
have a different mindset and thinking about the project or the task. There is a large number of
disputes and misconceptions have happened in this type of team because all the member has
diverse ideas and suggestions on the topic which is not possible for the achievement of
organizational goals and objectives.
Role of Entrepreneurial leadership in the development of an ethical organization
Ethical organization refers to those organizations under which all the stakeholder of the business
has played their roles and duties with honesty. There are many stakeholders are present in the
organization such as management, employees, board of directors, customers, creditors, debtors,
and many more (Mehmood, Jian, and Waheed, 2019). All these stakeholders are very important for
the integrity of the organization because the failure of any stakeholder can lead to a great
problem for the organization. all the stakeholders need to complete their duties in the
organization.
Entrepreneurial leaders influence the behavior and attitude of all stakeholders of the
business so that they act with honesty in the organization so that the concept of ethics can be
promoted in the organization. Entrepreneurial leaders have developed different types of
principles and ethical policies in the organization which has to be followed by the employees and
management so that their organization becomes ethical (Turner, J.R. and Baker, R., 2018). It is very
important for the management that they treat all their employees with equality and honesty which
reflects the ethics of the organization. Entrepreneurial leaders influence the employees to work in
the organization with their strength and ethics which is a part of business ethics.
Literature review develops knowledge and learning for the topic
There are different types of research present related to the topic of Entrepreneurial leadership
because it is one of the emerging aspects of the market and also the demand of modern-day
business. As per Larry Alton, there are different types of roles and responsibilities performed by
the leaders in the organization such as motivation management and many more. In this paper it is
stated that there are many qualities present in Entrepreneurial leaders which are given below:
An eye toward the future
It is one of the most important qualities which should be present in the personality of the
individual that they have the quality to foresee the future. There are different types of threats and
opportunities present in the future which can be hit by the organization. if the leaders of the
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organization have evaluated these threats and opportunities in advance then they have a chance
to develop a base in the present so that the threat can be minimized and opportunities can be
grabbed in the future ( Newman and Cooper, 2019). The leaders need to analyze different types of
market indicators and trends which helps them to develop effective returns in the market.
Self-confidence
Self-confidence is the key to success for the leader because it is one of the most important and
valuable aspects of the leader which helps them to become diverse in the market. There is a large
number of situations are present in the organization and market which required quick and
effective decisions from the leader. The level of self-confidence of the leaders helps the
individual to make critical and effective decisions in the market and organization. the skills of
self-confidence also enable the leader to attract their followers and inspire them.
Adaptability
It is related to those skills of the leader which help them to adapt to the changes occurred in the
environment and market. it is one of the valuable qualities under which the leader has to analyze
the changes that happen in the market and then implement them in their organization. some
changes can develop difficulties for the organization but it depends upon the adaptabilities of the
leaders that how they adapt to these changes and what are their counter strategies to deal with the
changes.
Passion
Passion is one of the important qualities of leaders which reflects their consistency and
dedication to their work. All the leader has made their functions and works their passion. They
perform all their function as part of life which helps the individual to make the concept more
powerful and competitive. If the work of the leader becomes their passion, then different types of
enthusiasm and energy are developed in their personality which makes all their work effective.
The passion of the leader makes them more dedicated and competitive in the market which helps
them to control the emotions of their followers.
Theories of leadership
The success of the businesses depends on the effective leadership skills of the management.
Entrepreneurial leadership is one of these effective leadership skills (Soomro, Shah, and Mangi,
2018). According to Alvarez and Barney entrepreneurial leadership is a type of leadership that
consists of actions towards the establishment of a business at the individual level, actions
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towards following the innovations at the organizational level, and actions towards benefiting
from the opportunities that are distinguished at the market level. In the past, it is said by many
people that entrepreneurial abilities are developed in the personality of the person due to their
birth. No, the person can develop the traits of leadership in their personality but this statement
proved to be wrong by many leaders when they become successful and attractive leaders without
any leadership background. This can be possible by understanding various theories of leadership
and proper training. There is a large number of leadership theories present in the market which
can be used by the leaders to develop understanding related to the topic and a brief discussion
related to the same is given below:
Transformational leadership
It is one of the important theories of leadership which is also called relationship theory. The main
reason for calling this theory a relationship theory is that it is based on the relationship between
leaders and their followers. This theory states that leaders have done different actions which
influence their followers to become transformed. Motivation is one of the important parts of this
theory which helps the leaders to transform the will and attitude of the employees toward the
achievement of organizational goals and objectives (Ladkin, D., 2020).
Entrepreneurial leadership
It is related to those leaderships under which the leaders have developed different types of
entrepreneurial skills and abilities in their personality and used them in the function along with
the airship approach. It is one of the emerging theories of leadership which becomes important as
the market becomes more competitive and diverse. This theory of leadership focuses on the
abilities of the leader and how they influence their leader towards the achievement of the goals
and objectives in the organization.
Concept of Resonant leadership
Resonant leaders refers to those leaders which inspire the others on the basis of the emotions,
consistency and positive relations in the market. It is one of those leader of the organisation
which follows the approach of effective and positive relation with the employees so that they can
be influence their behaviour towards the achievement of organisational goals and objectives.
Resonant leaders refers to those leaders of the organisation which aware that the actions and the
behaviour which they have reflects in the organisation can be catch by their followers and work
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according to them. There are four types of resonant leaders are present and the brief discussion
related to the same are given below:
Visionary :- It is related to those leaders which foresee the big picture of the organisation in the
market and inspire all the employees to make efforts for the achievement of those goals and
objectives (What is resonant leadership?, 2022).
Coaching :- This type of leadership focuses on the skills and personal development of the
employees and demand the leaders to show effective interest under the individual. It helps to
mould the behaviour and the focus of employees towards the achievement of goals and
objectives.
Affinitative :- This aspect of the leadership enables the leaders to established effective relations
between the employees which helps to enhance the collaboration in the organisation. It is
important for the motivation of employee that their leaders reflects empathy towards them.
Democratic :- It is related to those style of leadership under which the leader invite the
employees to provide their inputs and makes them able to take part in decision making process of
the organisation.
There are different types of characteristics are present in relation to resonant leadership and the
brief discussion related to the same are given below:
Characteristics of resonant leader
Inspire through hope and vision:- It is one of the most important feature of the resonant
leader that they believe to foresee the big picture of the organisation in the future and regularly
work towards this vision. They always motivate and inspire the employee to make efforts so that
the mission and vision of the organisation can be achieved.
Creating positive impact for change :- Changes are the part of the business which is
constantly reminds by the leaders to their followers. The effective leaders analyses the changes
and develop effective strategies to overcome the changes in the organisation.
GROW coaching model
This model of coaching are developed by one of the effective business coach whose name is Sir
John Whitmore with an aim to provide realistic assistance of the coaching to the number of their
business clients. The GROW model of coaching is made up of four parts which is G- goals, R-
reality, O- options and W- will. The brief discussion related to the same are given below:
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Goals :- It is related to those step under which the members of the team is required to develop
number of goals and objectives which are followed by all the team members. All the efforts and
the strategies of the organisation are made in such a way to promote the achievement of
organisational goals and objectives.
Reality :- After the development of goals and objectives in the first stage it is required by the
management of the organisation to evaluate their reality. Under this stage, it is required for
leaders of the team to evaluate the strength and weaknesses of the team so that counter strategies
can be developed.
Option :- After the establishment of goals and reflects the reality of the team it is required to see
the number of options which helps them to fill the gap.
Will :- The final stage of the GROW coaching model refers to the will or the way forward. This
is perhaps the most important part of the whole process, as it ensures that you will actually
follow through on the plans you’ve made.
Recommendations that help to convert the requirement into outcomes
 It is recommended to the members of the team that they analyse the strength and
weaknesses ineffective leader which helps to established effective control over the
actions.
 It is important to develop SMART objectives for the group activities which helps the
organisation to follow the goals which are realistic.
 It is important for the management to use effective coaching model for the training and
development of employees.
Areas of development
There are number of skills and areas are present which is lack in my personality. These
areas of development disables me to becomes effective leader which becomes the restrictor of
my personal growth. The brief discussion related to these areas are given below:
Communication skills :- It is related to those skills which helps me to interact different types of
people and develops positive relations. If the communication skills are developed in my
personality then it becomes positive for me to influence the members of team towards the
achievement of goals and objectives.
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Time management skills :- It is related to those skills of the individual which enables them to
manage the time into different aspect of life. It is important for me to develop this skills in my
personality because it helps me to manage different group activities in effective manner.
Decision making skills :- It is related to those skills of the individual which is used by them to
develop effective decision in the organisation. There are number of problems are arises in group
activities under the effective decision making can be useful for the management and solution of
these problems.
conclusion
It is concluded from this report that entrepreneurial leadership is one of the important aspects
which should be present in the organization if they want to achieve its goals and objectives. This
report concluded various types of leadership theories that help leaders to become more
competitive and diverse in the market.
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REFERENCES
Books and journal
Abubakar, L.S., Zainol, F.A. and Daud, W.N.B.W., 2018. Entrepreneurial leadership and performance of
small and medium sized enterprises: a structural equation modelling approach. Journal for
International Business and Entrepreneurship Development, 11(2), pp.163-186.
Bagheri, A., Newman, A. and Eva, N., 2020. Entrepreneurial leadership of CEOs and employees’
innovative behavior in high-technology new ventures. Journal of Small Business Management,
pp.1-23.
Dixit, A.R., Malik, N., Seth, M. and Sethi, D., 2022. The role of social entrepreneurial leadership and
benchmarking in women empowerment. Benchmarking: An International Journal.
Fatoki, O., 2021. ENTREPRENEURIAL LEADERSHIP AND EMPLOYEES'INNOVATIVE WORK
BEHAVIOUR IN SMALL FIRMS: MEDIATING ROLE OF CREATIVE SELF-EFFICACY. Academy
of Strategic Management Journal, 20, pp.1-9.
Harrison, R.T., Leitch, C.M. and McAdam, M., 2018. Breaking glass: Towards a gendered analysis of
entrepreneurial leadership. In Research handbook on entrepreneurship and leadership. Edward
Elgar Publishing.
Lin, Q. and Yi, L., 2021. The multilevel effectiveness of entrepreneurial leadership: A meta-
analysis. Journal of Management & Organization, pp.1-19.
Mehmood, M.S., Jian, Z. and Waheed, A., 2019. The influence of entrepreneurial leadership on
organisational innovation: mediating role of innovation climate. International Journal of
Information Systems and Change Management, 11(1), pp.70-89.
Miao, Q., Eva, N., Newman, A. and Cooper, B., 2019. CEO entrepreneurial leadership and performance
outcomes of top management teams in entrepreneurial ventures: The mediating effects of
psychological safety. Journal of Small Business Management, 57(3), pp.1119-1135.
Soomro, B.A., Shah, N. and Mangi, S., 2018. Factors affecting the entrepreneurial leadership in small-and
medium-sized enterprises (SMEs) of Pakistan: An empirical evidence. World Journal of
Entrepreneurship, Management and Sustainable Development.
Soomro, B.A., Shah, N. and Mangi, S., 2018. Factors affecting the entrepreneurial leadership in small-and
medium-sized enterprises (SMEs) of Pakistan: An empirical evidence. World Journal of
Entrepreneurship, Management and Sustainable Development.
Suswati, E. and Sawitri, D., 2022. ENTREPRENEURIAL LEADERSHIP AND LEARNING
ORGANIZATION ITS INFLUENCE ON MIDWIVES PERFORMANCE MEDIATING BY
ORGANIZATIONAL COMMITMENT. International Journal of Entrepreneurship, 26, pp.1-15.
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