The Impact of Green Innovation on Enterprise Green Economic Efficiency

Abstract

In the process of China’s transformation from high-speed to high-quality development, the role of green innovation has gradually begun to receive attention. Using 2163 observations of 687 listed companies from 2016 to 2020, this paper examined whether green innovation can improve green economic efficiency. The study found that green innovation significantly reduces the green economic efficiency of enterprises. In the case of insufficient protection of innovation achievements, limited knowledge and technology accumulation, and the absence of enterprise engagement in heavily polluting production and operation activities, the negative impact of green innovation on their green economic efficiency is more significant. Moreover, upgraded production processes, a high degree of freedom of technology selection and high market competition can help alleviate the negative impact of green innovation on enterprises’ green economic efficiency, and when the above three conditions are simultaneously met, green innovation significantly promotes the green economic efficiency of enterprises. The above findings are contradictory to the assumption of most literature intuitively. However, after a series of tests, this paper found that green innovation can still stimulate overall environmental and economic performance in some conditions. Starting from the microenterprise level and based on actual emissions data, this paper examines whether and how green innovation affects high-quality development. The findings are of great significance to academic research, policy formulation, and enterprise production and operation.

The ambiguous effects of eco-innovations: a systematic literature review

“…For instance, Ghisetti and Rennings (2014) have noted that the costs of implementing eco-innovations to cut externalities may outweigh potential improvements; as a result, eco-innovations can generate perilous financial consequences. In agreement with this finding, Li et al (2022) demonstrated that green innovation significantly reduces companies' economic efficiency. According to García-Sánchez et al (2019), implementing environmental innovation strategies entails high costs that will harm both production and distribution in these companies.…”

Demoeconomics: the interconnection of water resources and demoethical values

“…In recent decades, ethical research of an applied nature has become increasingly relevant, which requires a normative and philosophical view to interpret phenomena, in the context of the medical field Plöckinger & Auga, 2022), education (Shutaleva et al, 2020) existence information in the media space (Wang, 2020;Podara et al, 2022), political field (Nicholson, 1985;Loginov, 2019), environmental protection (Li et al, 2022;Xu et al, 2022). Also, other studies are conducted in the direction of the influence of ethical leadership on employees' intention to leave the organization (Athanasiadou et al, 2023), the impact of technology on ethics (Shakib & Layton, 2014).…”

Artificial Intelligence and Carbon Emissions in Manufacturing Firms: The Moderating Role of Green Innovation

“…Green technological innovation is the core of green innovation and is one way for enterprises to realize the dual goals of environmental protection and economic performance improvement. Considering that it takes time from patent application to authorization, based on previous research, this study used the ratio of green invention patent applications to total invention patent applications as a measure of the level of green technological innovation in enterprises [66][67][68]. Patent data for enterprises in the current year were obtained from the CNRDS.…”