The Causal Relationship Between Transformational Leadership, Members’ Participation and Product Innovation Effecting on Community Enterprises Performance After COVID-19 Pandemic of Andaman Coast in Southern Region
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Abstract
The purposes of this article are to (1) study the levels of transformational leadership, members’ participation, product innovation, and their effects on the performance of community enterprises in the Andaman Coast in the Southern Region, and (2) investigate the causal relationship between transformational leadership, member participation, product innovation, and their influence on the performance of community enterprises in the region. The mixed-method study employed a questionnaire as the quantitative research instrument, collecting data from 302 respondents from community enterprises that met the criteria of medium and high-performance levels, selected through stratified random sampling. The statistical analyses were conducted using 1) descriptive statistics, including percentages, arithmetic means, and standard deviations; and 2) inferential statistics, namely structural equation modeling and path analysis. The qualitative method utilized in-depth interviews with a purposive sample of 8 individuals involved with community enterprises in the Andaman Coast in the Southern Region, analyzed through content analysis. The research results were revealed as follows: 1) The overall levels of transformational leadership, members' participation, product innovation, and performance of community enterprises on the Andaman Coast were found to be high, with mean scores of 4.20, 4.05, 3.94, and 3.92, respectively. 2) Transformational leadership exerted a direct influence on the performance of community enterprises, product innovation, and members' participation. Notably, while members' participation did not directly impact product innovation, it did have a significant effect on the performance of community enterprises. Product innovation was found to directly influence the performance of community enterprises; however, transformational leadership exhibited an indirect effect on the performance of community enterprises through product innovation and members' participation.
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