Abstract

The concept of leadership is complex and has been studied from multiple approaches, especially from the psychological field and from the field of management. Small businesses created as way of subsistence for the entrepreneur and their family present a limited leadership. The cultural traditions of the forestry industry are based on the culture and indigenous know-how of the territory, especially affecting small timber businesses, the small businesses working in timber activities. This paper analyzed the interrelation between culture and leadership in the process of generating performance from sustainable competitive advantages using partial least squares (PLS) techniques. The results show that culture and leaderships are sources of competitive advantage in subsistence small businesses, but culture does not generate competitiveness directly; an organizational culture needs to act through entrepreneurial leadership.

Highlights

  • To alleviate poverty in the poorest areas of developing countries, people usually create businesses as a means of support for their families [1,2]

  • The results show that culture and leaderships are sources of competitive advantage in subsistence small businesses, but culture does not generate competitiveness directly; an organizational culture needs to act through entrepreneurial leadership

  • Previous studies have opted for a functionalist foundation, that is to say, the premise that leadership conditions culture, in this work, we showed that culture conditions leadership, so it seems more logical to make use of an anthropological vision

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Summary

Introduction

To alleviate poverty in the poorest areas of developing countries, people usually create businesses as a means of support for their families [1,2]. The motivation behind these businesses mixes a need with the search for opportunities [3], and, usually, they are not oriented toward growth, but only to satisfy family needs. The concept of leadership is complex and has been studied from multiple approaches, especially from the psychological field and from the field of management. In no case has leadership has been analyzed from an intellectual capital-based view [11], different authors have included it in their lists of human capital of a company [12,13,14]

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