Can digital transformation change a firm's green innovation strategy? Evidence from China's heavily polluting industries

Bibliographic Details
Title: Can digital transformation change a firm's green innovation strategy? Evidence from China's heavily polluting industries
Authors: Hongfei Cheng, Yuxin Li, Yaling Pang, Jing Zhao, Kui Fu
Source: Heliyon, Vol 10, Iss 3, Pp e24676- (2024)
Publisher Information: Elsevier, 2024.
Publication Year: 2024
Collection: LCC:Science (General)
LCC:Social sciences (General)
Subject Terms: Digital transformation, Green technology innovation, Strategy selection, Heavily polluting enterprises, Capability-attitude, External constraint, Science (General), Q1-390, Social sciences (General), H1-99
More Details: Enterprises are facing the superimposed challenges of digitalization and greening. The shift from reactive green technology innovation (RGT) to proactive green technology innovation (PGT) has special significance for sustainable economic development. Which strategies will companies choose? Can digital transformation (DT) motivate companies to transform their green innovation strategies? Enterprises' green innovation strategy choices must be explained with regard to digitalization. The purpose of this paper is to reveal how digitalization affects the choice of green innovation strategies and to provide a realistic basis for the sustainable development of heavily polluting enterprises. We formulated a “DT-capability-strategy'' theoretical framework incorporating external constraints and internal attitudes to empirically test the microdata of 505 heavily polluting enterprises. The results show that: (1) DT can shift the heavily polluting enterprises' green innovation strategies from RGT to PGT. Endogenous tests and robustness tests support this conclusion. (2) A mechanism test shows that environmental regulations cannot significantly regulate a green innovation strategy. Only a company's capabilities and attitudes can influence PGT but their effects on RGT are not statistically significant. (3) The influence of DT on green innovation strategies shows multi-dimensional heterogeneity in the digital infrastructure, scale, and innovation level of the enterprise. The conclusions provide implications for enterprises to integrate their digital and green behaviors.
Document Type: article
File Description: electronic resource
Language: English
ISSN: 2405-8440
94734976
Relation: http://www.sciencedirect.com/science/article/pii/S2405844024007072; https://doaj.org/toc/2405-8440
DOI: 10.1016/j.heliyon.2024.e24676
Access URL: https://doaj.org/article/c6f7bc524ef94734976642a86b472196
Accession Number: edsdoj.6f7bc524ef94734976642a86b472196
Database: Directory of Open Access Journals
More Details
ISSN:24058440
94734976
DOI:10.1016/j.heliyon.2024.e24676
Published in:Heliyon
Language:English