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The study reveals a positive and significant relationship between virtual work friendships and team performance. Furthermore, knowledge sharing acts as a mediator between virtual friendships and team performance. Managers should actively promote friendship among employees to enhance virtual work environments. Additionally, when task interdependence is perceived highly, leveraging social resources both virtually and physically can further enhance team performance. This research contributes to the social capital theory by examining the effects of virtual work friendships on team performance in the modern workplace. 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