Firms’ eco-innovation and Industry 4.0 technologies in urban and rural areas

Luca Cattani, Sandro Montresor and Antonio Vezzani

Regional Studies, 2025, vol. 59, issue 1, 2243984

Abstract: We investigate the extent to which firms’ propensity to eco-innovate, adopt Industry 4.0 (I4.0) technologies and leverage them to eco-innovate varies with their location. We maintain that urban firms should be more prone to eco-innovate and adopt I4.0 technologies than rural ones, and more capable to make the latter functional to the former. Using a large sample of European firms, we test and confirm these hypotheses only partially. Firms in rural areas display a higher capacity to eco-innovate notwithstanding their lower digital propensity. However, an urban location reinforces the eco-innovative impact of digital technologies, irrespectively from its size.

Date: 2025
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DOI: 10.1080/00343404.2023.2243984

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