<p>This study investigates the impact of executives’ environmental awareness (EA) on driving corporate green innovation (GI) in Chinese A-share manufacturing enterprises. The study utilizes a sample of 1,052 firms for the period from 2012 to 2022. This study draws on the Upper Echelons Theory and Operational Efficiency Theory to provide a basis for constructing a moderated mediation framework that addresses the objectives. The study employs various econometric techniques for analysis, including Ordinary least squares regressions, Heckman two-stage estimation, robustness checks with Tobit, and bootstrapping. The outcomes show that EA directly enhances GI and indirectly does so through improvements in operational efficiency (OE). Heterogeneity findings indicate that this effect is especially prominent among small-scale businesses, including non-state-owned enterprises, and those located in eastern regions, particularly in the post-COVID-19 period. Furthermore, market openness (MO) significantly moderates this relationship, thereby enhancing the impact of awareness on innovation results. The moderated mediation analysis indicates that the indirect effect of EA on GI through OE is enhanced at elevated levels of MO. The recent work is a fresh theoretical contribution to how managerial thinking interacts with both internal competencies and external environments to achieve sustainability-related innovation. It provides practical implications for policymakers and enterprises seeking to promote green development amid globalization and environmental regulation.</p> Graphical abstract <p></p>

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The green executive: driving innovation through market openness and efficiency

  • Jiatian Zhang,
  • Songhe Xu,
  • Zhaoyu Gao,
  • Javier Cifuentes-Faura

摘要

This study investigates the impact of executives’ environmental awareness (EA) on driving corporate green innovation (GI) in Chinese A-share manufacturing enterprises. The study utilizes a sample of 1,052 firms for the period from 2012 to 2022. This study draws on the Upper Echelons Theory and Operational Efficiency Theory to provide a basis for constructing a moderated mediation framework that addresses the objectives. The study employs various econometric techniques for analysis, including Ordinary least squares regressions, Heckman two-stage estimation, robustness checks with Tobit, and bootstrapping. The outcomes show that EA directly enhances GI and indirectly does so through improvements in operational efficiency (OE). Heterogeneity findings indicate that this effect is especially prominent among small-scale businesses, including non-state-owned enterprises, and those located in eastern regions, particularly in the post-COVID-19 period. Furthermore, market openness (MO) significantly moderates this relationship, thereby enhancing the impact of awareness on innovation results. The moderated mediation analysis indicates that the indirect effect of EA on GI through OE is enhanced at elevated levels of MO. The recent work is a fresh theoretical contribution to how managerial thinking interacts with both internal competencies and external environments to achieve sustainability-related innovation. It provides practical implications for policymakers and enterprises seeking to promote green development amid globalization and environmental regulation.

Graphical abstract