The role of the digital economy in enhancing green innovation: Evidence from Chinese A-share listed enterprises

Zhiang Chen and Wenlong Xu

Finance Research Letters, 2025, vol. 71, issue C

Abstract: The rapid growth of the digital economy presents both challenges and opportunities for enterprises aiming to innovate sustainably. This study investigates how the digital economy influences green innovation in enterprises, addressing a significant gap in existing research. Utilizing data from A-share listed enterprises from 2007 to 2022, we apply fixed effect and mediation models to examine this relationship. Our findings reveal that the digital economy substantially enhances green innovation by alleviating financing constraints and fostering digital transformation. This effect is especially significant in state-owned enterprises and high-pollution industries. These results underscore the potential of digital advancements to drive sustainable practices, offering practical insights for policymakers and business leaders. Future research could further explore the long-term impacts of digital economy integration on various industry sectors.

Keywords: Green innovation; Digital economy; Financing constraints; Digital transformation (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1544612324014107
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:finlet:v:71:y:2025:i:c:s1544612324014107

DOI: 10.1016/j.frl.2024.106381

Access Statistics for this article

Finance Research Letters is currently edited by R. Gençay

More articles in Finance Research Letters from Elsevier
Bibliographic data for series maintained by Catherine Liu ().