GenAI, Leadership, and Entrepreneurial Orientation: The Mediating Role of Knowledge Management Capability

Abstract

This study examines how generative artificial intelligence use and knowledge-oriented leadership influence entrepreneurial orientation through the mediating role of knowledge management capability in postsecondary education institutions . Despite the growing interest in artificial intelligence and entrepreneurship, prior research has predominantly focused on individual-level outcomes, while the organizational mechanisms that translate technological and leadership inputs into entrepreneurial behavior remain insufficiently understood. Addressing this gap, the present study adopts a capability-based perspective grounded in the knowledge-based view. A quantitative research design was employed. Data were collected from 387 academic staff members across 25 colleges in Kazakhstan using a structured questionnaire. The proposed model was tested using partial least squares structural equation modeling (PLS-SEM), enabling the assessment of both direct and indirect relationships among the constructs. The results indicate that knowledge-oriented leadership exerts a strong positive effect on knowledge management capability, which in turn significantly enhances entrepreneurial orientation. Generative AI use demonstrates both a direct effect on entrepreneurial orientation and an indirect effect through knowledge management capability, suggesting a complementary mediation mechanism. The findings further reveal that the impact of GenAI is contingent upon its integration into organizational knowledge processes rather than its isolated or ad-hoc use. The study contributes to the literature by providing a capability-based explanation of how technological and leadership factors jointly shape entrepreneurial orientation at the organizational level. It extends prior research by moving beyond individual-level perspectives and highlighting the central role of knowledge management capability as a transformation mechanism. From a practical standpoint, the findings suggest that educational institutions should prioritize the development of structured knowledge processes and leadership practices that support knowledge sharing and application when implementing GenAI initiatives. Such an approach enhances the sustainability and consistency of entrepreneurial behavior within knowledge-intensive environments.