Can digital construction policy promote enterprise green innovation? A quasinatural experiment based on broadband China

Xing Li, Guiyang Zhang and Yong Qi

European Journal of Innovation Management, 2024, vol. 28, issue 8, 3344-3372

Abstract: PurposeThe purpose of this study is to explore how digital construction policy (DCP) drives enterprise green innovation (EGI) from an information processing theory (IPT) perspective, including the mediating mechanisms of market information accessibility and operational risk, the moderating role of intellectual property protection (IPP) and product market competition (PMC) and the heterogeneous effects of ownership, Internet development and managerial ability.Design/methodology/approachBased on the matched panel data of A-share listed enterprises from 2011 to 2019 and the Broadband China policy as a quasinatural experiment, this study investigates the impact of DCP on EGI by constructing a multi-time point difference-indifferences (DID) model.FindingsDigital construction policies can significantly promote EGI. DCP works in two fundamental ways, namely by increasing market information accessibility and reducing operational risk. IPP and PMC significantly increased the contribution of digital construction policies to EGI. Heterogeneity analysis found that digital technology has a stronger promotion effect for SOEs, high-managerial-ability enterprises and enterprises in regions with low Internet development levels.Practical implicationsThe study provides new insights about the antecedents of EGI from a DCP perspective. It also enlightens emerging economies to actualize green innovation under the digital wave.Originality/valueFrom the perspective of IPT, this study explains the mechanism of DCP-driven EGI. It enhances understanding of the relationship between DCP and EGI.

Keywords: Digital construction policy; Broadband China; Multi-time point DID model; Enterprise green innovation (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:eme:ejimpp:ejim-06-2023-0473

DOI: 10.1108/EJIM-06-2023-0473

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