Environmental labeling certification and corporate environmental innovation: The moderating role of corporate ownership and local government intervention

Shenggang Ren, Duojun He, Ji Yan, Huixiang Zeng and Justin Tan

Journal of Business Research, 2022, vol. 140, issue C, 556-571

Abstract: Although it is well recognized that environmental labeling certification (ELC) is becoming an increasingly important voluntary environmental regulation worldwide, the evidence regarding its role in environmental innovation remains unknown. This study examines the impact of ELC on corporate environmental innovation (CEI) from both external and internal perspectives via the combination of legitimacy theory and the resource management perspective. Based on panel data of listed Chinese manufacturing firms from 2008 to 2014, it is found that ELC improves CEI. However, this relationship is also regulated by two contextual factors: the positive impact of ELC on CEI is found to be stronger for non-state-owned enterprises (non-SOEs) than for state-owned enterprises (SOEs), and it is stronger for firms in regions with a low degree of local government intervention than for firms in regions with a high degree of local government intervention. This study makes important theoretical contributions and has extensive practical value.

Keywords: Environmental labeling certification; Corporate environmental innovation; Corporate ownership; Local government intervention; Voluntary environmental regulation (search for similar items in EconPapers)
Date: 2022
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (18)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:jbrese:v:140:y:2022:i:c:p:556-571

DOI: 10.1016/j.jbusres.2021.11.023

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