The Impact of Leadership Styles and Motivation on Entrepreneurial Inclinations Among Higher Education Students: Implications for Policy Development in Malaysia

Abstract

Objective: The aim of this study is to investigate the impact of leadership style and motivation on the entrepreneurial propensity of students in a public higher education institution. The research seeks to comprehend the relationship between these elements and their impact on students' inclination towards entrepreneurship.   Theoretical Framework: Based on recent research, the theoretical framework highlights the importance of transformational and transactional leadership styles, as well as intrinsic and extrinsic motivation, in influencing students' entrepreneurial tendencies. Additionally, it integrates discoveries from prior research on the correlation among motivation, leadership style, and entrepreneurial inclinations.   Method: The study used a quantitative survey approach to gather data from undergraduate students at a public higher education institution, using a questionnaire as the data collection instrument. The data is examined using SPSS software, specifically using inferential analysis, notably Multiple Regression analysis, to explore the influence of leadership style and motivation on students' predisposition towards entrepreneurship.   Results and Discussion: The findings demonstrate a notable and favourable correlation between leadership style, motivation, and students' tendency towards entrepreneurship. The study reveals that motivation is the primary element that accounts for 63 percent of the variation in entrepreneurial inclinations among students. On the other hand, while leadership style also has an influence, its effect is less significant in contrast. These results emphasise the need to incorporate motivating tactics and efficient leadership techniques into educational programmes to cultivate entrepreneurial inclinations among students.   Research Implications: The research offers valuable insights for educational institutions and policymakers who seek to foster an entrepreneurial mindset in students. It highlights the importance of creating educational programmes and activities that not only teach entrepreneurial knowledge but also actively increase student enthusiasm and expose them to transformational and transactional leadership styles. These endeavours have the potential to provide a nurturing atmosphere that fosters innovation and creativity.   Originality/Value: This study enhances the current knowledge by providing empirical evidence on the relationship between leadership style, motivation, and students' inclination towards entrepreneurship in higher education institution. It offers valuable insights into the effectiveness of different leadership styles and motivational factors in promoting entrepreneurial behaviours among students.