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Scientific Article details

Title Environmental regulations, supply chain relationships, and green technological innovation
ID_Doc 31076
Authors Lin, J; Cao, XY; Dong, XQ; An, YB
Title Environmental regulations, supply chain relationships, and green technological innovation
Year 2024
Published
DOI 10.1016/j.jcorpfin.2024.102645
Abstract This paper examines the spillover effect of environmental regulatory pressure on firms' green technological innovation, from the perspective of supply chain relationships. Analyzing data from Chinese listed companies, we find that the average environmental regulatory pressure faced by the customer firms of a supplier firm enhances the green patent applications filed by the supplier firm. When the industry of the supplier is more competitive or the proportion of the supplier's sales from its largest customer is higher, the supplier feels more pressured to pursue green innovation, resulting in more green patent filings. Thus, via their negotiation power, customer firms can prompt the supplier firm to innovate to meet their demand for green technologies. Finally, we show that this effect is particularly pronounced when the supplier firm has a strong financial position, is located in a highly marketized region, receives low R&D government subsidies, or enjoys a high ESG rating.
Author Keywords Green technological innovation; Environmental regulation; Supply chain relationship; Green technological innovation; Environmental regulation; Supply chain relationship
Index Keywords Index Keywords
Document Type Other
Open Access Open Access
Source Social Science Citation Index (SSCI)
EID WOS:001293018100001
WoS Category Business, Finance
Research Area Business & Economics
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