Lead Me to Socio-economic Freedom: Examining Leadership Roles in Entrepreneurial Self-efficacy for Refugee TVET Programme with Human Resource Development as Mediator

Abstract Entrepreneurial self-efficacy (ESE) is people’s belief in their ability and capability to perform entrepreneurial tasks for income generation and socio-economic freedom. However, studies on ESE drivers in general and teachers’ and mentors’ leadership styles particularly are lacking. This study borrows ideas from four theories to examine the impact of mentors’ and teachers’ ethical and supportive leadership within technical and vocational education and training (TVET) programmes on ESE of refugee trainees in South Sudan. The study also examines the mediating role of human resources development (HRD). A cross-sectional research design was adopted with quantitative data collected from 121 refugee trainees under a UNHCR-supported TVET programme. Data was analysed with partial least squares structural equation modelling (PLS-SEM). The results show that for direct relationships, five dimensions of ESE studied (i.e. developing new products and market opportunities (NPD), building an innovative environment (BIE), initiating investor relationships (IIR), defining core purpose (DCP), and coping with unexpected challenges (CUC)) were all significantly impacted by HRD and teachers’ ethical leadership. Mentors’ ethical leadership (MEL) impacted only the CUC dimension. Although both mentors’ ethical and teachers’ supportive leadership (TSL) styles did not directly impact all ESE dimensions, except BIE, MEL and TSL significantly impacted all ESE dimensions through HRD. This means that HRD performed some strong mediating roles and highlights its importance in ESE. HRD is driven by mentors’ ethical and teachers’ supportive leadership styles. Considering the hurdles confronting refugees, it is unsurprising that HRD and ethical leadership emphasising interpersonal relationships and two-way communications are key direct ESE drivers.