Emotional dynamics and knowledge spillover in collaborative innovation

Abstract

This study examines the impact of emotional factors and knowledge spillover on the behavioral tendencies of firms, universities, and research institutions within dynamic collaborative innovation environments. Drawing on Rank-Dependent Expected Utility (RDEU) theory with integrated emotional functions, we develop a collaborative innovation model to investigate how knowledge spillovers and emotions shape cooperative dynamics. The results show that players’ emotional states exert a nonlinear influence on strategic decisions, with outcomes determined not by optimism or pessimism alone, but by the intensity of emotions and mutual expectations. Furthermore, knowledge spillovers condition these dynamics by weakening cooperative incentives among optimistic players, while strengthening the willingness of more cautious players to sustain collaboration, with cooperative stability evolving across different stages of interaction. These findings provide new insights into the strategic processes of collaborative innovation from both emotional and knowledge spillover perspectives, offering governance implications for enhancing cooperation among industry, universities, and research institutions.