Leadership is considered as an important factor that influences product innovation performance.Contemporary global economies continuously strive to foster innovation and improvisation in their production is the demand of today’s global economy that organizations continuously bring innovation and improve their products. The purpose of present research is to find out that how how transformational leadership linked to product innovation. Moreover, the study hypothesized that corporate entrepreneurship and human resource practices mediate the relationship of transformational leadership and product innovation performance. Present research is based on quantitative research design and 150 survey questionnaires were employed to collect data from Textile sector of Pakistan. To analyze data,WarPLSwas used. The findings confirmed the hypotheses that the study contributes toward the theory of leadership by uncovering the impact of human resource practices in innovation. Moreover, the findings of our study show that transformational leadership positively influence product innovation performance. It implies that managers should improve their leadership style in order to encourage employees to take part in innovative activities. Other variables such as learning orientation and supervisory commitment can be investigated in future studies .