The Role of Political Leadership Achieving Economic Growth and Project Success Through the Mediating Role of Political Stability: Investigation from Mega Project

Abstract

This paper aims to understand the interdependency of political leadership, political stability, economic growth, and project success by applying the concept from the intuitional theory and Resource Based View - (RBV). This study addresses the relationship between political leadership in determining economic growth and the success of projects, arguing that leadership leads to stability of the political system that enhances economic growth and development and a conducive environment for construction projects. It also explores the mediating effect of political stability by proposing that the impact of political leadership on growth and project success is more strongly positive if the political system is stable. The data were collected from 240 professional’s team member working in a mega project in Pakistan. The research employed partial least squares structural equation modelling to confirm the direct and mediated effects. The findings demonstrated that PL exerts a favorable and substantial influence on economic growth and project success.  Moreover, the results further validated that political stability mediates the relationship between political leadership, economic growth and project success. Thus, this paper extends the current literature review by offering empirical findings on the importance of political stability in mediating between political leadership, economic development, and project success. The current study also supports development of an integrated model that integrates political, economic and management strategies in politically unstable context to enhance the sustainable marketing system towards sustainable development goals. This paper has developed the theoretical framework and hypotheses that point out the importance of policymakers, project managers, and researchers adopting and implementing a comprehensive framework of integrated political, economic, and management to solve challenges of sustainable development and project performance. The proposed findings of this study are most beneficial to those countries with unstable political systems, highlighting that investment in political stability results in substantial economic and project-related returns.