Purpose The study aims to explore the differences in transformational leadership’s (TL’s) influences on each aspect of innovation capability, namely, product innovation and process innovation. It also deepens understanding of the pathways and conditions to improve specific aspects of innovation capability by assessing the mediating role of knowledge sharing (KS) and moderating mechanism of perceived organizational support (POS). Design/methodology/approach The paper utilized structural equation modeling and cross-sectional design to test hypotheses in the proposed research model based on using data collected from 394 participants at 88 Chinese firms. Findings The findings indicate that KS mediates TL’s effects on innovation capabilities. In addition, the influences of TL and KS on specific aspects of innovation capability are different and depend on the extent of employees’ POS. Research limitations/implications Future studies should test mediating roles of knowledge management’s constituents and/or investigate the moderating roles of firm ownership form to increase the understanding of potential factors or key conditions that may have significant influences on a firm’s innovation capability. Practical implications The paper significantly contributes to increasing the understanding of the link between TL and specific aspects of innovation capability by highlighting the important role of stimulating KS and enhancing POS. Originality/value The paper provides useful information and valuable initiatives to increase leadership outcomes and firm’s capability for innovation.

Purpose This paper aims to investigate the correlation between collaborative culture, knowledge sharing and innovation capabilities in Chinese firms. Design/methodology/approach This paper used structural equation modeling to examine the level of how collaborative culture and knowledge sharing impact on two types of innovation capabilities (product innovation and process innovation) based on using data collected from 77 Chinese firms. Findings The research findings show that knowledge sharing plays a mediating role between collaborative culture and two specific types of innovation, namely, product innovation and process innovation. The paper first confirms the moderating role of ownership form in the relationships between knowledge sharing and innovation capabilities. The results underline the necessity of building a collaborative culture to stimulate employees’ knowledge sharing behavior, which in turn positively promotes innovation capabilities in an organization. Research limitations/implications The paper has not evaluated the relationship between latent variables under the condition of moderating variables of individual characteristics (such as optimism and self-efficacy) or firm characteristics (such as industry type, firm size and firm age). Further research should examine the moderating effects of these variables to have clearer relationship between the constructs. Practical implications This paper offers leaders a deeper understanding of the effects of ownership forms and potential factors to promote innovation capabilities in their firms. Originality/value The paper has contributed to theoretical and practical initiatives on the theory of innovation management which enable firms to identify the necessary factors and mechanism to enhance firm capabilities for innovation.

Purpose Given the important role of frugal innovation for firms in the developing and emerging countries, the purpose of this paper is to investigate the effect of transformational leadership (TL) on frugal innovation through the mediating roles of tacit and explicit knowledge sharing. Design/methodology/approach The paper used a quantitative research method and structural equation modeling to test the relationship among the latent factors based on a sample of 339 participants from 120 Vietnamese firms. Findings Findings reveal the significant impacts of TL on aspects of frugal innovation, namely, frugal functionality, frugal cost and frugal ecosystem. Moreover, the paper highlights the mediating roles of tacit and explicit knowledge sharing (KS) in the relationship between TL and frugal innovation in terms of frugal functionality and frugal cost. Research limitations/implications To bring a deeper understanding of the benefits and important role of knowledge resources, future research should investigate the potential mediating mechanisms of knowledge management processes in the relationship between specific leadership styles and frugal innovation. Practical implications The paper provides a valuable understanding and novel approach for managers and directors of firms in developing and emerging countries to improve their firms’ frugal innovation capability through leadership practice and knowledge resources. Originality/value This study contributes to bridging research gaps in the literature and advances the insights of how TL directly and indirectly fosters frugal innovation via mediating roles of tacit and explicit KS.