Published on February 2020 | Leadership, Human Resources Management, Performance Management

Effect of Leadership Styles on Performance of Small and Medium Enterprise in Irepodun Ifelodun Local Government of Ekiti State

The study is to examine the examined effect of leadership styles on the performance of small and medium enterprises in Irepodun/Ifelodun Local Government of Ekiti. Specifically, the objectives are transactional leadership styles, transformational leadership styles, laissez faire leadership style on the performance of small and medium enterprises in Irepodun/Ifelodun Local Government of Ekiti. The population for the study comprises 98 SMEs operators from sixteen selected SMEs in Irepodun/Ifelodun local government area. The sample size of the study was 79 respondents. The descriptive statistics were mainly frequency tables while the inferential statistical method was multiple regression analysis. The results showed that inspirational motivation has a positive relationship with the performance of SMEs. It was not found significant; therefore, we accept the null hypothesis and reject the alternative hypothesis. These results showed that Laissez -Faire Leadership has a positive relationship with the performance of SMEs. It was found significant; therefore, we accept alternative hypotheses and reject the null hypothesis. The study concluded that they do not suggest new ways of looking at how to compete with others in the same business, also failed to seeks differing perspectives when solving problem, talks enthusiastically about what needs to be accomplished and articulates a compelling vision of the future, emphasis the important of having a collective sense of mission and also considers the moral and ethical consequences of decisions, the business owners of small and medium scale enterprises in the area do not go beyond self-interest for the good of the business and also don not displays a sense of power and confidence.