Entrepreneurial Leadership and Employee Engagement: A Longitudinal Analysis Within the Framework of Bangladeshi SMEs’ Culture

Abstract

The influence of entrepreneurial leadership on employee engagement within the cultural framework of Bangladeshi small and medium-sized enterprises (SMEs) was investigated. The objective was to examine how various leadership characteristics, such as decisiveness, empathy, transparency, and the ability to in-spire, affect employee perceptions and behaviors. Qualitative interviews were conducted with leaders and employees from five distinct SMEs to gather data. The analysis identified four main themes: Valued Leader-ship Characteristics, Influence on Employee Perceptions and Behaviors, Innovation Encouragement, and Cultural Integration and Employee Engagement. It was found that leadership styles emphasizing inclusivity, open communication, and cultural alignment significantly enhanced employee engagement. Leadership practices that encouraged risk-taking and creativity were also crucial in fostering a motivated and commit-ted workforce. Additionally, integrating cultural values into business practices emerged as a pivotal factor in improving employee satisfaction and organizational loyalty. These findings provide a nuanced under-standing of the dynamics between leadership and employee engagement in Bangladeshi SMEs, offering in-sights for leaders aiming to foster an environment that maximizes employee potential and aligns with local cultural values. This research contributes to the literature on leadership and organizational behavior by highlighting the importance of culturally informed leadership practices. Practical recommendations were provided for SME leaders to enhance employee engagement through targeted leadership strategies, emphasizing the need for cultural competency in leadership development.