Impact of entrepreneurial leadership on employees’ innovative behavior: A mediation analysis of organizational motivation to innovate and employees’ creativity

The significance of entrepreneurial leadership (EL) in agricultural research institutes has been acknowledged in academic research. However, empirical studies examining the effect of leadership style on employees’ innovative work behavior in this context remain limited. Additionally, our understanding of how leaders in agricultural research institutes influence their employees’ innovative behavior remains limited. The present study explores the impact of EL on employees' innovative behavior (EIB), emphasizing organizational motivation to innovate (OMI) and creativity as key mechanisms through which leaders foster innovation among employees in Ethiopian agricultural research institutions. We drew the sample from the Amhara Agricultural Research Institute (ARARI) using a proportionate systematic random sampling method. The study employed validated questionnaires to examine the hypothesized relationships among EL, EIB, OMI, and employees’ creativity (EC). The findings reveal that OMI serves as a mediator between EL and EIB. Moreover, EC mediates the relationship between OMI and EIB. The insights gained from these results and recommendations for promoting creative behavior among staff in agricultural research institutes are discussed. This research provides an important addition to the existing literature on entrepreneurial leadership and innovative behavior, particularly within agricultural research institutes in Ethiopia’s developing economy. It also extends previous empirical research by examining how EL influences EIB in agricultural research settings, with OMI and individual creativity as key mediators.