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Borneo International Journal eISSN 2636-9826
Articles
Submitted: 2026-10-19
Published: 2026-10-19

SME Innovative Performance via Influence of Empowering Leadership and Organisational Learning on Night Market Sellers in Sarawak with Mediating Role of Innovative Work Behaviour

Universiti Teknologi MARA, Sarawak Branch, Malaysia
i-CATS University College, Sarawak, Malaysia
i-CATS University College, Sarawak, Malaysia
Empowering Leadership, Organisational Learning, Innovative Work Behaviour, SME Innovation Performance, Night Market Sellers, Sarawak

Abstract

Small and Medium Enterprises (SMEs) in Sarawak, particularly night market sellers, face significant challenges in remaining competitive in an increasingly digital economy. This study examines the influence of empowering leadership and organisational learning on SME innovation performance, with innovative work behaviour serving as a mediating mechanism. A quantitative, cross-sectional research design was employed, utilizing simple random sampling to collect data from 30-night market sellers in Metrocity, Kuching, Sarawak. Data were analysed using Partial Least Squares Structural Equation Modelling (PLS-SEM) via SmartPLS. The findings reveal that organisational learning is strongly and positively related to innovative work behaviour (? = 0.891, p < 0.05), whereas empowering leadership shows a more modest effect (? = 0.025, p = 0.804). Furthermore, innovative work behaviour significantly mediates the relationship between both empowering leadership and organisational learning and SME innovation performance. The model explains 81.1% of the variance in SME innovation performance when examining the empowering leadership plus Innovative Work Behaviour and SME innovation performance pathway, and 56.6% when examining the organisational learning plus Innovative Work Behaviour and SME innovation performance pathway. These findings underscore the critical importance of fostering learning-oriented cultures and encouraging innovative behaviours among employees to enhance the competitive position of night market sellers in Sarawak's evolving digital landscape.

Keywords: Empowering Leadership, Organisational Learning, Innovative Work Behaviour, SME Innovation Performance, Night Market Sellers, Sarawak

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How to Cite

Mahdi, A. F., Md Isa, A. H., & Mohamed, N. N. (2026). SME Innovative Performance via Influence of Empowering Leadership and Organisational Learning on Night Market Sellers in Sarawak with Mediating Role of Innovative Work Behaviour. Borneo International Journal EISSN 2636-9826, 9(3), 7–15. Retrieved from https://majmuah.com/journal/index.php/bij/article/view/1200