Entrepreneurial leadership and innovative behavior: Manager perspective

Innovation becomes a keyword for the company to survive in its environmental business. Therefore, the company must establish a suitable leadership style. Based on the previous studies, the entrepreneurial style can be an alternative for managers to lead the company. After applying it, they can innovatively behave. This research investigates and analyzes the association between this leadership and innovative behavior. The population of this study is the managers of a conglomeration firm in Indonesia. Moreover, this study utilizes the required minimum sample of 200 for theory verification, and 216 managers are obtainable as the samples. Hence, this study uses a structural equation model based on covariance to test the hypothesis and concludes that entrepreneurial leadership can effectively enhance the innovative behavior of managers in the workplace.


Introduction
All the companies in their environmental business must compete (Wheelen et al., 2018).Therefore, their leader, taking risks and innovative actions (Azad et al., 2017), must make the led firms sustain and grow (Li et al., 2020).Sustainability and growth are attainable when the employees, including their manager, behave innovatively (Akbari et al., 2021).This behavior stimulates them to create and execute new ideas (Choi et al., 2021), deliver these ideas to the supervisor (Bani-Melhem et al., 2022), seek methods to finish the task (Saeed et al., 2018), and innovatively work by optimizing the available resources (Bani-Melhem et al., 2022).
Furthermore, the company needs to choose and set a suitable leadership style to perform innovative behavior (IB).Unlike the transformational, the entrepreneurial contributes to IB (Irshad et al., 2023).This tendency becomes more formidable when Setiawan et al. (2021) and Udin and Shaikh (2022) demonstrate no relationship between transformational leadership (TL) and organizational innovation, as well as TL and IB, respectively.For another style, Baety and Rojuaniah (2022) declare no association between servant leadership and IB.
Considering two opposite facts, this study examines and analyzes the impact of entrepreneurial leadership on innovative behavior based on the viewpoint of the managers from a conglomeration company having some locations in Indonesia.Academically, this study toughens the research on the association between entrepreneurial leadership and innovative behavior.This study suggests what leaders do to increase this behavior by applying this headship style.

Theoretical framework and hypotheses
Entrepreneurial leadership (EL) functions to organize employees to accomplish the vision of the businessperson and lead the organization to explore, develop, and transform opportunities into value (Lin & Yi, 2020).In their study, Bagheri and Akbari (2018) depict that EL positively affects the innovative behavior (IB) of 273 nurses from public and private hospitals in Iran.From Turkey, Dogru (2018) exhibits a positive association between EL and innovative behavior (IB) of 174 employees in two medium enterprises in the information and technology sector.In their investigation, Li et al. (2020) report a positive propensity of EL on the IB of the 350 supervisor-subordinate dyads in small and medium companies in Jiangsu, China.Similarly, Malik et al. (2020) demonstrate this tendency based on their investigation of 213 employees in Islamabad and Rawalpindi, Pakistan.Also, Sarwoko (2020) exhibits this inclination after studying 209 Astra Honda authorized service station employees in Batu City, Malang City, and Malang Regency in Indonesia.
Through their research on people becoming chief executive officers, owners, and managers in small and medium high-technology companies in Iran, Akbari et al. (2021) document a positive association between EL and IB.Furthermore, Dabić et al. (2021) divide the EL into future orientation (FO) and community creation (CC) as the measurement.After testing the relationship, they illustrate that FO and CC positively affect the innovational behavior of 101 micro and small business-related actors in Serbia.

Methods
This study is quantitatively designed.According to Sugiyono (2019), this design verifies the hypothesis.This study proposes a positive tendency between entrepreneurial leadership and innovative behavior in this context.This study sets entrepreneurial leadership (EL) with its two dimensions, i.e., future orientation and community, and their indicator by mentioning Dabic et al. (2021).From the same source, this study uses innovative behavior with their indicator (see Table 1).The population comes from the managers of a firm with several businesses in Indonesia.Moreover, this study utilizes the required minimum sample of at least 200 for theory verification, as Ghozali (2021) declares.By having an upstanding relationship with the trusted person of the top leader of this company, this research successfully obtained 216 managers as samples in several cities in Indonesia.

Data analysis technique
Because of examining the hypothesis, this study uses a covariance-based structural equation model (CBSEM).This motive denotes Ghozali (2021), whose first equation is below.

IWB = β1EL + ζ1
Note: IWB = innovative working behavior, EL = entrepreneurial leadership Before examining β1, this study needs the validity and reliability testing of the responses.As the benchmark, the response is precise if its loading factor is more extensive than 0.5 (Hair Jr. et al., 2019).Meanwhile, a consistent answer occurs if the composite reliability surpasses 0.7 (Hair Jr. et al., 2019).
Because of CBSEM, the detection of model fit is mandatory by some measurements like Chi-Square (CMIN)/degree of freedom (DF), the goodness of suitable index (GSI), comparative fit index (CFI) (Baharum et al., 2023;Hair Jr. et al., 2019), Tucker Lewis index (TLI) (Dash & Paul, 2021;Hair Jr. et al., 2019), and root mean of squared error approximation (RMSEA) (Hair Jr. et al., 2019).Then, β1 is examined for the first hypothesis by comparing the probability of critical ratio with a 5% significance level.This hypothesis is acceptable if it is smaller than 5% (Hair Jr. et al., 2019).

The profiles of the managers as the samples
The survey period was between July and September 2023.Then, this activity got 216 managers classified based on gender, age, and province, and Table 2 documented the associated results.The leading is male based on gender (66.80%), managers between 41 and 45 years old (44.91%), and managers with bachelor's degrees (85.19%).Furthermore, managers' tenures between 11 and 15 years are foremost (66.67%).Related to the city, most come from Jakarta (75.46%).

The result of the validity and reliability evaluation
Based on the output of IBM SPSS AMOS in Table 3, the loading factor (LF) of FO1, FO2, and FO3 exceeds 0.5: 0.621, 0.783, and 0.744.Equally, the LF of CC1, CC2, and CC3 is more extensive than 0.5: 0.739, 0.636, and 0.747, and so is the LF of IB1, IB2, and IB3 of 0.725, 0.675, and 0.771.Considering this circumstance, accurate answers occur.Also, the two dimensions of entrepreneurial leadership, FO and CC, are valid because of their LF above 0.5: 0.771 and 0.696.In the third table, all composite reliability (CR) for FO, CC, and IB is 0.761, 0.751, and 0.768, greater than 0.5; the answer is consistent.This reliable condition also happens in CR for EL of 0.701, exceeding 0.7.

The goodness-of-fit detection result
Table 4 exhibits the goodness of fit recognition based on the output of IBM SPSS AMOS.CMIN/DF is 1.964, below two as the essential cut-off point; therefore, the model fits the data, confirmed by GSI, CFI, and TLI of 0.954, 0.943, and 0.918, beyond 0.9, and RMSEA of 0.066, in the acceptable range between 0.03 and 0.08.

Table 4. The goodness of fit-detecting result
The measurement Result Essential reference point Description CMIN/DF 1.964 Below 2 (Hair Jr. et al., 2019) The data empirically support the model.GSI 0.954 Beyond 0.90 (Hair Jr. et

Model estimation result
Once the goodness of fit requirements are fulfilled, IBM SPSS AMOS performs the model estimation, and the result is in Table 5: The probability of the critical ratio for the first hypothesis (EL  IB) is 0.002 with a positive mark.Thus, the first hypothesis is acceptable: Entrepreneurial leadership positively affects innovative behavior with the contribution of EL to IB of 0.321.According to Ghozali (2021), this contribution is almost moderate because this value is near the 0.33 cut-off point.

Discussion
This study effectively proves a positive tendency of entrepreneurial leadership towards innovative behavior.According to Bagheri and Akbari (2018), leaders with an entrepreneurial style must formulate an attractive mission.For this strategic reason, Wheelen et al. (2018) explain that they must derive objectives and goals from the mission well and encourage their subordinate to innovate when facing tempestuous and uncertain business environments (Karol, 2015).By having this tendency, the leaders can recognize the market needs and wants and their related trends and solve the problem based on technology (Dabić et al., 2021).
Practically, managers must have orientation based on the formulated missions to lead their business and encourage the employees under their supervision to think ideas optimistically and rationally to behave innovatively.Furthermore, to realize this, top leaders should encourage them to apply this entrepreneurial leadership.

Limitations
As a theoretical limitation, this research only utilizes one determinant of innovative behavior, i.e., entrepreneurial leadership.As a result, the R-square is moderate.Therefore, the following scholars should add other determining factors like self-efficacy, employee commitment, and organizational change to elevate the contribution of the research model to explaining innovative behavior.Besides, this study only uses the managers from one domestic firm in Indonesia as the samples.Hence, subsequent scholars should utilize the managers from multinational firms and treat the countries as the moderating variable.

Conclusion
Facing a stormy business environment stimulates firms to survive through innovation.Hence, a suitable leadership style to support is essential.In this context, this study attempts to prove the influence of entrepreneurial leadership on innovative behavior based on the perspective of 216 managers in a conglomeration firm distributed in several cities in Indonesia.After surveying them from July to September 2023 and analyzing their response statistically, this study concludes that this leadership positively influences innovative behavior.
Figure 1.Research Model

Table 1 .
Entrepreneurial leadership and innovative behavior measurements

Table 5 .
The estimation result of the CBSEM