Abstract

We examined the mediating effects of optimism and self-efficacy in the relationship between transformational leadership and knowledge sharing in a Chinese context. Survey data were collected from 365 participants employed by 80 Chinese firms. The findings indicated that self-efficacy and optimism—2 dimensions of an individual's psychological capital—mediated the relationship between transformational leadership and knowledge sharing highlighting the importance of practicing transformational leadership to influence employees' positive psychological capital so that they engage in knowledge collecting and knowledge donating. We discuss theoretical and managerial initiatives in the fields of psychology and organizational behavior, to help managers of firms promote knowledge sharing among employees in their organization.

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