Emotional Contagion and its Relevance to Individual Behavior and Organizational Processes: A Position Paper V. Vijayalakshmi • Sanghamitra Bhattacharyya Ó Springer Science+Business Media, LLC 2011 Abstract Purpose Emotions and emotional contagion are being increasingly recognized as crucial variables influencing individual behavior and organizational functioning. This position paper serves the function as a ready reckoner by reviewing and consolidating existing literature in the field of emotional contagion. The review is categorized into three broad headings: (a) individual, (b) interpersonal, and (c) contextual factors, based on their relationship with emotional contagion. Design/Methodology/Approach The article focuses on analyzing and critiquing studies of emotional contagion conducted in several streams such as psychological pro- cesses, personality, organizational behavior, marketing, and consumer behavior. A conceptual framework of emo- tional contagion is presented, supplemented with research propositions. Findings The phenomenon of emotional contagion in workplace and its effects on personal and group outcomes has emerged as a critical area of research. It has been firmly established in literature that spread of emotions, if not properly managed, is bound to influence work effec- tiveness. Implications Importance of understanding the effects of transfer of emotions, for both academicians and practicing managers is one of the critical take-aways of this article. Suitable interventions are the need of the hour in order to ensure proper management of emotions. Originality/Value The contribution of the article is expected to be fourfold, in terms of: (a) presenting a structured and comprehensive review of literature on emotional contagion, (b) identifying gaps in the existing literature, (c) proposing a conceptual framework, and (d) developing propositions for future research. Keywords Emotional contagion Á Individual factors Á Interpersonal factors Á Contextual factors Á Individual behavior Á Organizational processes We are used to contrasting the intellect with our passions. The mistake is in thinking of the passions merely as occasional contents of life. They are the defining structures of our existence. Solomon 1983 Emotions in Organizations Emotions are an integral part of everyday life. The concept of emotions in the workplace has been receiving greater focus in organizational behavior and human resources lit- erature, owing to the influence of several studies on emo- tions in a variety of contexts such as marketing and Received and reviewed by former editor George Neuman. V. Vijayalakshmi Department of Management Studies, Indian Institute of Technology Madras, Chennai 600036, India V. Vijayalakshmi (&) 11/7, Kasturibai Nagar, 6th Main Road, Chennai 600020, India e-mail: vijivenkatraman@yahoo.com; vijivenkatraman@gmail.com S. Bhattacharyya Feedback Foundation, New Delhi, India e-mail: sangha@iitm.ac.in 123 J Bus Psychol DOI 10.1007/s10869-011-9243-4