The smartphone industry has undergone profound changes driven by technological advancements and strategic leadership decisions. This systematic literature review (SLR) explores the role of innovative leadership in the success and failure of four major smartphone companies: Apple, Samsung, Nokia, and Huawei. The study follows the PRISMA guidelines and applies a thematic synthesis approach to assess leadership style, strategic innovation, market adaptability, and competitive positioning. The results show that Apple and Samsung’s dominance is attributed to their visionary leadership, ecosystem-driven strategies, and continuous innovation. Apple’s closed ecosystem and Samsung’s fast follower approach have enabled both companies to maintain their competitive advantage. On the other hand, the demise of Nokia and BlackBerry was caused by rigid leadership, poor strategic decisions, and failure to adapt to industry changes, especially the transition to software ecosystems and touchscreen technology. In contrast, Huawei overcame its late entry with aggressive R&D investments, strategic adaptability, and competitive pricing strategies, enabling it to challenge industry incumbents. The study highlights the key role of leadership adaptability, ecosystem integration, and strategic risk-taking in maintaining long-term competitiveness in the smartphone industry. The findings of this study offer valuable insights for industry leaders, policymakers, and companies, highlighting the importance of innovation-driven decision-making and organizational agility in maintaining market leadership.