Advances in Consumer Research
Issue:6 : 638-648
Original Article
Leadership Styles and Organizational Performance in Social Enterprises: Insights from a Tunisian Case Study
1
Management Department, Economics and Management of Jendouba, University of Manouba, Tunisia
Abstract

Social companies, established to address local issues, are crucial for local development due to their performance. By aligning leadership styles with the unique needs of social enterprises, organizations can foster an environment that promotes innovation and effectiveness, ultimately driving their success in addressing community challenges. This targeted approach helps ensure that the leadership is well-equipped to navigate the specific dynamics of social impact work. Effective leadership can inspire teams, foster collaboration, and drive innovation, ultimately leading to greater impact within the community. By adopting adaptive and inclusive leadership approaches, these enterprises can better navigate challenges and optimize their contributions to societal well-being. Despite significant interest in social enterprises in recent decades, no definitive conclusion has been reached concerning the suitable leadership style for these organizations. Further research is needed to explore the nuances of leadership in this sector, as different contexts may require varying approaches. Understanding these dynamics can empower leaders to tailor their strategies, ensuring they meet the unique needs of their communities while maximizing their social impact. This study analyzed the influence of the three predominant leadership styles in commercial organizations on satisfaction and performance in social enterprises. The findings suggest that while each leadership style has its merits, a hybrid approach may yield the best results. By combining elements of transformational, transactional, and servant leadership, social enterprises can enhance both employee engagement and community impact, paving the way for more sustainable practices. The sample population for the study was made up of Tunisian social enterprises. Information was collected by correspondence from social enterprise owners,including founders and managers. These results help to confirm that the focus on leadership styles in commercial enterprises can also work effectively in social enterprises and that leadership effectiveness can vary according to desired outcomes.

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