International Journal of Economic, Business, Accounting, Agriculture Management and Sharia Administration (IJEBAS)
Vol. 6 No. 4 (2026): August

ENTREPRENEURIAL LEADERSHIP AS A STRATEGY FOR IMPROVING MSME EMPLOYEE PERFORMANCE IN TEBING TINGGI CITY

Rizki Wulanita Batubara (Sekolah Tinggi Ilmu Ekonomi Bina Karya)
Suci Etri Jayanti (Sekolah Tinggi Ilmu Ekonomi Bina Karya)
Rapat Piter (Sekolah Tinggi Ilmu Ekonomi Bina Karya)



Article Info

Publish Date
28 Jul 2026

Abstract

This study examines entrepreneurial leadership as a strategy for improving employee performance in micro, small, and medium enterprises (MSMEs) in Tebing Tinggi City. The research was designed as a quantitative explanatory survey involving 150 employees from culinary, trade, service, and creative-industry MSMEs. Entrepreneurial leadership was measured through opportunity recognition, vision articulation, risk management, creativity encouragement, and employee empowerment, while employee performance was assessed through work quality, quantity, timeliness, adaptability, and responsibility. Data were analyzed using descriptive statistics, validity and reliability tests, and simple linear regression. The illustrative findings indicate that entrepreneurial leadership has a positive and significant effect on employee performance (β = 0.624; t = 9.708; p < 0.001), explaining 39.0% of performance variance. Leaders who communicate growth opportunities, encourage initiative, tolerate calculated experimentation, and provide rapid feedback tend to create more adaptive and productive employees. The study contributes by shifting the focus from MSME owners’ business performance to employee-level outcomes in a secondary Indonesian city. Practically, MSME owners should institutionalize brief performance dialogues, idea-generation routines, delegated decision making, and learning-oriented evaluation to strengthen employee performance and business resilience.

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Journal Info

Abbrev

IJEBAS

Publisher

Subject

Economics, Econometrics & Finance

Description

This journal aims to examine new breakthroughs and current issues regarding advances in science and technology in the fields of Economics, Business, Sharia Administration, Accounting and Agriculture ...