Based upon theories of environmental psychology and knowledge management, 57venture firms were surveyed about the interactive process between firms` emotional and intelligent capitals. Structural equation modeling with maximum likelihood estimation sh...
Based upon theories of environmental psychology and knowledge management, 57venture firms were surveyed about the interactive process between firms` emotional and intelligent capitals. Structural equation modeling with maximum likelihood estimation shows that nine of twelve hypotheses were accepted. Also a reverse model were derived to robustly test interactions among constructs and reinforcement effects shown in the research model. Key features of findings were, (1) employees` positive emotional responses to working environments(PAD) create favourable working partnerships and communication climates among employees via an emotional solidarity behavior(attachment behavior), (2) the higher level of knowledge sharing as a result of emotional solidarity positively influences the new product innovativeness, (3) the higher level of new product innovativeness reinforces employees` positive emotion through a feedback process. These findings suggest that firms` emotional and intelligent capitals are positively related to each other. The theoretical and managerial implications of these research results are discussed.