A cross-level relationship between entrepreneurial leadership and followers' entrepreneurial intentions through entrepreneurial self-efficacy and identification with the leader under moderating role of cultural values

Grounded in Social Cognitive Theory, this study examines entrepreneurial self-efficacy and identification with the leader as mediating mechanisms that account for the cross-level relationship between entrepreneurial leadership and entrepreneurial intentions. This study also establishes the moderating role of (a) individualism between entrepreneurial leadership and entrepreneurial intentions, and (b) collectivism between entrepreneurial leadership and personal identification with the leader. We collected data through self-administered questionnaires from IT professionals working in small and medium-sized IT solution provider firms. To enhance the generalizability, samples were selected from China (n = 234) and Pakistan (n = 209). Further, a multi-level research design was used for analysis. The results showed that entrepreneurial leadership has a significant positive relationship with entrepreneurial intentions. The results for the mediating effects showed that entrepreneurial self-efficacy and identification with the leader significantly mediated between entrepreneurial leadership and entrepreneurial intentions. The moderating effects results supported the moderating effects of (a) individualism on entrepreneurial leadership and entrepreneurial self-efficacy, and (b) collectivism on entrepreneurial leadership and personal identification with the leader. The conditional indirect effects of entrepreneurial leadership on entrepreneurial intentions via entrepreneurial self-efficacy and identification with the leader were high at high individualism and high collectivism, respectively. This study, for the first time, establishes relationships between entrepreneurial leadership and entrepreneurial intentions in Asian economies. Our study complements and extends the entrepreneurship and leadership literature in developing countries' contexts.