Paternalistic leadership and knowledge sharing with outsiders in emerging economies

Purpose The purpose of this paper is to examine knowledge sharing with external partners within the China context, demonstrating that paternalistic leadership combined with the resulting reciprocal relations between leaders and employees are accountable for knowledge transfer with external partners based on social exchange. Design/methodology/approach This study collected data at two time-points and obtained 391 usable observations for hypothesis testing using questionnaire surveys administered to the managers of major Chinese companies. Findings Empirical analysis of employees at major Chinese firms shows that paternalistic leadership may encourage perceived reciprocal support from employees that results in smooth knowledge sharing with outsiders in the form of voluntary helping behaviors. Originality/value This study expects that both scholars and practitioners will gain answers on how to best encourage employees into contributing toward relationships with external stakeholders within the China context. One valuable point in this study is demonstrating that Chinese firms’ benevolent leadership promotes human relationships and thereby long-term relationships with alliance partners, while their moral leadership promotes ethical trust between alliance partners. These factors may accordingly further increase knowledge sharing opportunities with external partners.