ENTREPRENEUR TRANSFORMATIONAL LEADERSHIP FOR SMES BUSINESS SUSTAINABILITY
Ardika Sulaeman, Ernie Tisnawatisule, Hilmiana, Martha Fani Cahyandito

Universitas Padjadjaran

Abstract

The soybean-based industry in West Java had proven as business that can survive in the long term with high demand which continues to increase by the time. But at present the number of business unit was declining and entrepreneurs are constrained by internal and external factors that will ultimately threaten their business sustainability. Solving these problems, its need the role of entrepreneurs as the main control holder with transformational leadership. Therefore, this study aims to determine the effect of transformational leadership on business sustainability. The theory used in this study is Bernard Bass (2010). This research was conducted with survey of CFA confirmed questionnaire instrument to 100 entrepreneurs of SMEs based on West Java soybean. The data obtained were processed by Structural Equation Modeling analysis. The result of research reveal, there is significant influence of transformational leadership toward business sustainability. Government regulation and stakeholder were moderating variable of transformational leadership influence on business sustainabilily UMKM. It is expected, that this research will contribute to the development of UMKM leadership, regulatory support and stakeholders.
Keywords: transformational, leadership. Business, sustainability.

Keywords: transformational, leadership, Business, sustainability

Topic: Organizational Behavior, Leadership and Human Resources Management