Abstract
ABSTRACT Maintaining competitiveness is crucial for firms to survive with increasing global competition. One of the key elements for maintaining competitiveness is the development of innovative leadership. The dynamic business operations of firms require leadership capabilities in general, and innovative leadership capabilities in particular, for achieving long-term survivability. This research adopts a holistic approach to investigate multiple factors that influence firm innovation through the effective practice of innovative leadership with constant changes in social and cultural norms in China. We have based our research on observations of three case studies in China and in-depth interviews conducted with key informants. This study contributes to redefining innovative leaders and innovative leadership. We illustrate the contextual factors that influence the adoption and practices of innovative leadership. We also identify crucial aspects of the quality of leaders and the engagement between leaders and subordinates that determine the outcomes of implementing innovative leadership. These aspects influence firms’ innovative capabilities and the effective practice of innovative leadership in the transitional economy of contemporary China.
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