IDEAS home Printed from https://ideas.repec.org/a/eee/streco/v70y2024icp245-256.html
   My bibliography  Save this article

Internationalisation and digitalisation as drivers for eco-innovation in the European Union

Author

Listed:
  • Vasconcelos-Garcia, Madalena
  • Carrilho-Nunes, Inês

Abstract

This article analyses the influence of internationalisation and digitalisation on eco-innovation. Advanced panel data estimation techniques are employed using data from the 27 EU Member States between 2013 and 2022. The dynamic behaviour of internationalisation, more specifically Foreign Direct Investment (FDI), is tested, accounting for the endogeneity between innovation and international economic competition. Results reveal that the relationship between eco-innovation and FDI changes over time. At first, FDI has a negative impact on eco-innovation, but this effect becomes positive after two years. However, when analysing the data for eco-innovation at a disaggregated level, a potential delay in the influence of internationalisation on investments related to green research capabilities and resource efficiency outcomes is revealed. Results also consistently demonstrate a positive influence of digitalisation on eco-innovation, supporting the twin transition proposition of the digital shift complementing the transition towards low-carbon practices. Recommendations for policymakers and managers are provided at the end.

Suggested Citation

  • Vasconcelos-Garcia, Madalena & Carrilho-Nunes, Inês, 2024. "Internationalisation and digitalisation as drivers for eco-innovation in the European Union," Structural Change and Economic Dynamics, Elsevier, vol. 70(C), pages 245-256.
    • Handle: RePEc:eee:streco:v:70:y:2024:i:c:p:245-256
    DOI: 10.1016/j.strueco.2024.02.010
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0954349X24000328
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.strueco.2024.02.010?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:streco:v:70:y:2024:i:c:p:245-256. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/525148 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.