Impact of Hybrid Working Models on Entrepreneurial Mindset: The Moderating Role of Leadership Styles in TRNC

Abstract

This study examines the impact of hybrid working models on the entrepreneurial mindset of employees in the private sector of the Turkish Republic of Northern Cyprus (TRNC), focusing on the moderating role of different leadership styles (transformational, transactional, and laissez-faire). The primary research question investigates how hybrid working models influence the entrepreneurial mindset and how leadership styles moderate this relationship. Data were collected from 103 employees via a structured survey and analysed using Principal Component Analysis (PCA), Exploratory Factor Analysis (EFA), and regression models. The main finding reveals that hybrid working models significantly enhance entrepreneurial behaviors such as innovation, adaptability, and proactivity. However, the interaction with leadership styles presents a nuanced picture: transformational leadership reduces the positive effect when combined with hybrid models, transactional leadership diminishes the entrepreneurial benefits, and laissez-faire leadership shows no significant moderation. These insights suggest that while hybrid work models foster an entrepreneurial mindset, leadership styles must be carefully balanced to optimize outcomes, providing practical guidance for organizational management and policy development.