How coaching leadership works: affective vs. cognitive mechanisms in Chinese internet SMEs

Introduction: This study draws upon the cognitive-affective systems theory of personality to explore the dual-mediated mechanisms linking coaching leadership to employees' incremental innovation and job performance. Specifically, we investigated the mediating roles of psychological safety (as a cognitive factor) and group positive affect (as an emotional factor) within this process. Methods: We collected data from 445 participants distributed across 92 startup teams in China and analyzed the data using multilevel analytical techniques. Results: The analysis indicated that coaching leadership is positively associated with incremental innovation and group positive affect. Furthermore, the results revealed differentiated cognitive-affective pathways: group positive affect serves as a salient affective mechanism linking coaching leadership to employee outcomes, whereas psychological safety operates in a more context-dependent manner. Discussion: These findings suggest that the influence of coaching leadership on cognitive and affective mechanisms varies across high-pressure organizational contexts. This highlights the importance of considering environmental and structural conditions when examining leadership processes to foster employee innovation and performance.