How Entrepreneurial Competencies Influence the Leadership Style: A Study of Saudi Female Entrepreneurs

Abstract This study examines a group of women entrepreneurs of small and micro businesses in Hail, Riyadh and Eastern regions of Kingdom of Saudi Arabia. The study aims to identify the particular style of leadership displayed by these women entrepreneurs; and whether all their competencies have the same or different influence on their task-oriented or people-oriented leadership styles. The respondents were initially identified through various organizations such as Wa’ed (Aramco’s entrepreneurship centre), MISK Foundation and Monsha’at. Subsequently, we finalized female-owned small businesses that are operating for minimum two years in their respective business area as our target respondents. The survey questionnaire was sent to 310 women entrepreneurs after obtaining their approval. A total of 211 filled surveys were received. The responses having repetition or missing data were deleted which resulted in 174 surveys which were analyzed using SPSS. Surprisingly, the results indicate that our respondents exhibit a higher score of task-oriented leadership style. The female entrepreneurs who possess high degrees of business and management, relationship, entrepreneurial and human relation skills are found to incline towards task-oriented leadership style. The relationship and entrepreneurial competencies show a positive influence on the people-oriented leadership style. On the other hand, business and management, as well as entrepreneurial and human interactions, show a positive influence on task-oriented style of leadership.