Knowledge-based HRM practices and innovation performance: Role of social capital and knowledge sharing

Drawing upon resource-based theory (RBT) and social capital theory (SCT), this study examines how do multinational enterprises (MNEs) in the emerging markets (EMs) utilize strategic resources to drive innovation performance. We used a survey questionnaire to collect data from 352 supervisor-subordinate dyadic samples in the MNEs in the EMs. The data collected was analyzed using structural equation modeling (SEM) to examine the study's hypotheses. We found that knowledge-based HRM practices directly and indirectly through social capital influence knowledge sharing behaviors in the MNEs. Furthermore, the study's findings suggest that knowledge sharing mediates the influence of social capital on innovation performance. Moreover, this study empirically suggests how knowledge-based HRM practices through the mediating role of social capital and knowledge sharing on innovation performance. This study's essential contribution is to extend and enrich the RBT, SCT, HRM, knowledge, and innovation literature in the field.