The influence of transformational leadership on Malaysian students’ entrepreneurial behaviour

Objective: The objective of the article is to understand entrepreneurial abilities of students in Malaysian higher education system. Hence, the role of transformational leadership, psychological empowerment, and knowledge sharing in inducing this behaviour are imperative to ensure that students are inclined to and familiar with entrepreneurial activities during their studies. Research Design & Methods: This research focused on Malaysian undergraduate students’ entrepreneurial behaviour and related antecedents. A group of 177 undergraduate students from various engineering programs was collected. A partial least square structural equation modelling (PLS-SEM) was conducted to analyse the relationship between entrepreneurial behaviour and related antecedents. Findings: The results show that among the four transformational factors, inspirational motivation is deemed to be the strongest predictor of both knowledge sharing and entrepreneurial behaviour. This is followed by an individualised consideration which tracks full significant impact and partial impact on knowledge sharing and entrepreneurial behaviour. On the other hand, idealised influence and intellectual stimulation show no effect, while psychological empowerment and knowledge sharing show a significant impact on entrepreneurial behaviour. Implications & Recommendations: The outcomes of this study would benefit stakeholders in implementing entrepreneurial activities and foster successful implementation in the curriculum of the Malaysian higher education system. Contribution & Value Added: This study contributes to the body of knowledge in the relationship of knowledge sharing, transformational leadership style, and entrepreneurial behaviour of students in Malaysian higher education institutions.