Effect of leadership styles on organizational commitment and performance in small- and medium-sized enterprises in Iraqi Kurdistan

Karwan Hamasalih Qadir1, Mehmet Yeşiltaş1
1Department of Business Administration, Faculty of Economics and Administrative Sciences, Cyprus International University, Turkey
Cite this article:  Qadir, K. H., & Yeşiltaş, M. (2020). Effect of leadership styles on organizational commitment and performance in small- and medium-sized enterprises in Iraqi Kurdistan. Social Behavior and Personality: An international journal, 48(9), e9197.

Volume 48 Issue 9 | e9197 | Published: September 2020 | DOI: https://doi.org/10.2224/sbp.9197

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Since 2003 the number of small- and medium-sized enterprises (SMEs) has increased exponentially in Iraqi Kurdistan. To facilitate further growth the owners and chief executive officers of these enterprises have sought to improve their leadership skills. This study examined the effect of transactional and transformational leadership styles on organizational commitment and performance in Iraqi Kurdistan SMEs, and the mediating effect of organizational commitment in these relationships. We distributed 530 questionnaires and collected 400 valid responses (75% response rate) from 115 SME owners/chief executive officers and 285 employees. The results demonstrate there were positive effects of both types of leadership style on organizational performance. Further, the significant mediating effect of organizational commitment in both relationships shows the importance of this variable for leader effectiveness among entrepreneurs in Iraqi Kurdistan, and foreign entrepreneurs engaging in new businesses in the region.

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