Abstract: Based on the social information processing theory, an analytical framework of “the social information processing process of leaders-team interaction process” is established to elucidate the mechanism of leaders’ tenacity empowering team innovation. Through a survey conducted on leaders from 643 micro, small and medium-sized enterprises (MSMEs), it is found that leaders’ tenacity has a direct positive impact on the team’s  innovation performance. Compared to outcome innovation (i.e. product innovation and market innovation) performance, leaders’ tenacity is more likely to affect potential innovation (i.e. strategic innovation, behavioral innovation, process innovation) performance. Mechanism testing reveals that team behavioral intention plays a mediating role between leaders’ tenacity and innovation performance, while vision communication serves as a mediator between leaders’ tenacity and team behavioral intention. In terms of organizational environment, both trust adversity and objective consistency adversity strengthen the link between leaders’ tenacity and vision communication. The findings reveal the social information processing and emotional stimulation processes that leaders’ tenacity can empower team innovation, and this inherent motivation mechanism is of significant importance in promoting the innovative development of MSMEs.

Key words: leaders’ tenacity, micro, small and medium-sized enterprises, innovation performance, vision communication, team behavioral intention