Enhancing green technology innovation through enterprise environmental governance: A life cycle perspective with moderator analysis of dynamic innovation capability

Xianyou Pan, Zhiyang Shen, Malin Song and Yalin Shu
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Xianyou Pan: Shanghai University of Electric Power
Malin Song: chool of Statistics and Applied Mathematics, Anhui University of Finance and Economic
Yalin Shu: Shanghai University of Electric Power

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Abstract: Consolidating the leadership of enterprises in Environmental Governance (EG) and enhancing their Green Technology Innovation (GTI) are vital for fostering global ecological civilization. Previous research has primarily focused on the non-linear relationship between EG and GTI but has overlooked the factors that contribute to varying GTI effects in response to EG constraints across different stages of a business's life cycle. Drawing on data from Chinese A-share listed enterprises, this study investigates the impact of EG on GTI by considering two typical forms of EG: cost-based and voluntary participation. Furthermore, it introduces the concept of dynamic innovation capability (DIC) based on the principles of open innovation paradigm. The findings reveal that, contrary to the positive influence observed during the growth and maturity stages, EG has no significant effect on GTI during the recession stage. One-way ANOVA results demonstrate that enterprises' DIC varies across different life cycle stages, with a declining trend observed during the maturity, growth, and recession stages. Moreover, the study finds that DIC, encompassing absorptive, operational, perceptual, and relational capabilities, positively moderates the impact of EG on GTI. These conclusions shed light on the differentiated effects of EG on enterprises' GTI at various life cycle stages.

Date: 2023-11
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Published in Energy Policy, 2023, 182, pp.113773. ⟨10.1016/j.enpol.2023.113773⟩

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Journal Article: Enhancing green technology innovation through enterprise environmental governance: A life cycle perspective with moderator analysis of dynamic innovation capability (2023)
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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-04277335

DOI: 10.1016/j.enpol.2023.113773

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