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This study aims to contribute to the knowledge of leadership styles and entrepreneurial orientation at small and medium enterprises as well as their effects on business performance. This study examines how leadership style can affect the development and implementation of entrepreneurial orientation in small and medium enterprises in Taiwan. It is also designed to examine the effects of leadership styles and entrepreneurial orientation on business performance. Significant conclusions from this study are that different leadership styles may affect business performance; that transformational leadership is significantly more correlated to the business performance than is transactional leadership.
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