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Purpose

This study aims to explore how responsible leadership (RL) determines the type and effectiveness of entrepreneurial marketing (EM) activities and identify key intra-organizational capabilities that facilitate this relationship, which means moving from the intra- to the extra-organizational environment. This study also examines the moderating role of person–organization fit (P-O fit) on the impact of ethical climate (EC) and effective knowledge transfer (EKT) on EM.

Design/methodology/approach

Using a cross-sectional survey, data were collected from 100 small and medium-sized enterprises in Iran, focusing on scientific and research sectors. Structural equation modeling was used to analyze the mediation effects of EC and EKT on the RL–EM relationship, alongside the moderating influence of P-O fit.

Findings

The results of this study demonstrate that RL significantly promotes EM, mediated by an EC and EKT. The results also confirm the significant positive effect of EC on EKT. Furthermore, P-O fit enhances the effects of both EC and EKT on EM, suggesting that RL fosters an environment conducive to ethical practices and knowledge sharing, which in turn drives marketing innovation.

Research limitations/implications

The diversity in size, resources and organizational structures among small and medium-sized enterprises studied may enhance the generalizability of the findings; however, it may also complicate the categorization of data and increase the number of outlier data points. Future research should explore various industries and use longitudinal designs to better understand the evolving dynamics of these relationships.

Practical implications

This study shows that RL is crucial for EM, knowledge transfer and a positive EC. Organizations should focus on employees’ perceptions of ethics and foster an environment that promotes commitment, trust, communication and dedication. This approach aids knowledge transfer, helping identify market opportunities, innovate customer-oriented solutions and co-create value, ultimately boosting market share. Furthermore, aligning individuals with organizational values enhances knowledge transfer and ethical practices, driving marketing innovation and increasing customer satisfaction.

Originality/value

In turbulent markets, companies must introduce quality, reliable products. However, shortened product life cycles and faster new product introductions can lead to supply failures without new marketing methods. This research aims to identify factors influencing EM as an innovative approach through organizational capabilities. This study contributes to the literature by integrating RL, EC, knowledge transfer and P-O fit within the EM framework, offering insights into how leadership can shape effective marketing strategies.

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