IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v15y2023i14p11066-d1194584.html
   My bibliography  Save this article

The Effects of System Pressure on Low-Carbon Innovation in Firms: A Case Study from China

Author

Listed:
  • Yuguo Jiang

    (School of Business, Sichuan Normal University, Chengdu 610101, China)

  • Enock Mintah Ampaw

    (Applied Mathematics Department, Koforidua Technical University, Koforidua P.O. Box KF 981, Ghana)

  • Hongyan Wu

    (College of Finance and Accounting, Lijiang Culture and Tourism College, Lijiang 674199, China)

  • Lan Zhao

    (College of Movie and Media, Sichuan Normal University, Chengdu 610066, China)

Abstract

With the signing and implementation of the Paris Agreement, low-carbon models have become the general trend for future development. In this context, many countries have successively introduced relevant low-carbon systems within their companies. These systems bring a lot of pressure on traditional manufacturing enterprises. This study deeply explores the influential mechanism of system pressure on the theory of low-carbon innovation of enterprises. It analyzed 328 questionnaires from 107 enterprises in China by using theoretical models based on the upper echelons theory and the dynamic capability theory. The results of the study indicate that (1) system pressure significantly promotes enterprises’ low-carbon innovation; (2) low-carbon dynamic capability mediates between system pressure and enterprise low-carbon innovation; (3) executives’ low-carbon awareness positively moderates the relationship between system pressure and low-carbon dynamic capability; (4) executive low-carbon awareness moderates the intermediary role of low-carbon dynamic capability between system pressure and enterprise low-carbon innovation. Theoretically, this study deepens empirical studies on system pressure and enterprise low-carbon innovation. This study contributes to the application of the upper echelons theory, dynamic ability theory and enterprise behavior theory in the field of low-carbon research. In view of this, this study intends to serve as a reference material for future low-carbon innovation-related research and a guide for the low-carbon management of enterprises.

Suggested Citation

  • Yuguo Jiang & Enock Mintah Ampaw & Hongyan Wu & Lan Zhao, 2023. "The Effects of System Pressure on Low-Carbon Innovation in Firms: A Case Study from China," Sustainability, MDPI, vol. 15(14), pages 1-20, July.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:14:p:11066-:d:1194584
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/15/14/11066/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/15/14/11066/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Shao-Zhou Qi & Chao-Bo Zhou & Kai Li & Si-Yan Tang, 2021. "Influence of a pilot carbon trading policy on enterprises’ low-carbon innovation in China," Climate Policy, Taylor & Francis Journals, vol. 21(3), pages 318-336, March.
    2. Carla Henriques & Clara Viseu & António Trigo & Maria Gouveia & Ana Amaro, 2022. "How Efficient Is the Cohesion Policy in Supporting Small and Mid-Sized Enterprises in the Transition to a Low-Carbon Economy?," Sustainability, MDPI, vol. 14(9), pages 1-55, April.
    3. Kannan, R., 2009. "Uncertainties in key low carbon power generation technologies - Implication for UK decarbonisation targets," Applied Energy, Elsevier, vol. 86(10), pages 1873-1886, October.
    4. Veselov, Fedor & Pankrushina, Tatiana & Khorshev, Andrey, 2021. "Comparative economic analysis of technological priorities for low-carbon transformation of electric power industry in Russia and the EU," Energy Policy, Elsevier, vol. 156(C).
    5. Suyun Chen & Yu Ji, 2022. "Do Corporate Social Responsibility Categories Distinctly Influence Innovation? A Resource-Based Theory Perspective," Sustainability, MDPI, vol. 14(6), pages 1-25, March.
    6. Uyarra, Elvira & Shapira, Philip & Harding, Alan, 2016. "Low carbon innovation and enterprise growth in the UK: Challenges of a place-blind policy mix," Technological Forecasting and Social Change, Elsevier, vol. 103(C), pages 264-272.
    7. Hillman, Joanne & Axon, Stephen & Morrissey, John, 2018. "Social enterprise as a potential niche innovation breakout for low carbon transition," Energy Policy, Elsevier, vol. 117(C), pages 445-456.
    8. Arkadiusz Świadek & Jadwiga Gorączkowska & Karolina Godzisz, 2021. "Conditions Driving Low-Carbon Innovation in a Medium-Sized European Country That Is Catching Up–Case Study of Poland," Energies, MDPI, vol. 14(7), pages 1-17, April.
    9. Jintao Ma & Qiuguang Hu & Weiteng Shen & Xinyi Wei, 2021. "Does the Low-Carbon City Pilot Policy Promote Green Technology Innovation? Based on Green Patent Data of Chinese A-Share Listed Companies," IJERPH, MDPI, vol. 18(7), pages 1-18, April.
    10. Yu-Hsien Lin & Yu-Shan Chen, 2017. "Determinants of green competitive advantage: the roles of green knowledge sharing, green dynamic capabilities, and green service innovation," Quality & Quantity: International Journal of Methodology, Springer, vol. 51(4), pages 1663-1685, July.
    11. Yuguo Jiang & Weide Chun & Ye Yang, 2018. "The Effects of External Relations Network on Low-Carbon Technology Innovation: Based on the Study of Knowledge Absorptive Capacity," Sustainability, MDPI, vol. 10(1), pages 1-14, January.
    12. Yu-Shan Chen & Ching-Hsun Chang, 2013. "The Determinants of Green Product Development Performance: Green Dynamic Capabilities, Green Transformational Leadership, and Green Creativity," Journal of Business Ethics, Springer, vol. 116(1), pages 107-119, August.
    13. Chowdhury, Md Maruf H. & Quaddus, Mohammed, 2017. "Supply chain resilience: Conceptualization and scale development using dynamic capability theory," International Journal of Production Economics, Elsevier, vol. 188(C), pages 185-204.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zhou, Bihua & Huang, Yun & Zhao, Yihang, 2024. "Research on the incentive effect of the policy combination of carbon-reduction pilot cities," International Review of Economics & Finance, Elsevier, vol. 91(C), pages 456-475.
    2. Ying Guo, 2023. "External Knowledge Acquisition and Green Innovation in Chinese Firms: Unveiling the Impact of Green Dynamic Capabilities," SAGE Open, , vol. 13(3), pages 21582440231, July.
    3. Achi, Awele & Adeola, Ogechi & Achi, Francis Chukwuedo, 2022. "CSR and green process innovation as antecedents of micro, small, and medium enterprise performance: Moderating role of perceived environmental volatility," Journal of Business Research, Elsevier, vol. 139(C), pages 771-781.
    4. Tu Thanh Hoai & Nha Nguyen Minh & Hien Vo Van & Nguyen Phong Nguyen, 2023. "Accounting going green: The move toward environmental sustainability in Vietnamese manufacturing firms," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 30(4), pages 1928-1941, July.
    5. Xuan Hung Nguyen & Khanh Linh Nguyen & Thi Van Ha Nguyen & Thi Thanh Huyen Nguyen & Van Loi Ta, 2023. "The Impact of Green Organizational Capabilities on Competitive Advantage of Construction Enterprises in Vietnam: The Mediating Role of Green Innovation," Sustainability, MDPI, vol. 15(16), pages 1-16, August.
    6. Xinpeng Xing & Tiansen Liu & Lin Shen & Jianhua Wang, 2020. "Linking Environmental Regulation and Financial Performance: The Mediating Role of Green Dynamic Capability and Sustainable Innovation," Sustainability, MDPI, vol. 12(3), pages 1-22, January.
    7. Giacomo Buzzao & Francesco Rizzi, 2021. "On the conceptualization and measurement of dynamic capabilities for sustainability: Building theory through a systematic literature review," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 135-175, January.
    8. Yuguo Jiang & Enock Mintah Ampaw & Feifei Xu, 2023. "Unpacking the Mechanisms of Network Embeddedness for Low-Carbon Innovation in Chinese Enterprises: A Dynamic and Cognitive Theory Perspective," Sustainability, MDPI, vol. 15(15), pages 1-17, July.
    9. Abdelmohsen A. Nassani & Asad Javed & Magdalena Radulescu & Zahid Yousaf & Carmen Gabriela Secara & Claudia Tolea, 2022. "Achieving Green Innovation in Energy Industry through Social Networks, Green Dynamic Capabilities, and Green Organizational Culture," Energies, MDPI, vol. 15(16), pages 1-12, August.
    10. Danni Yu & Shen Tao & Abdul Hanan & Tze San Ong & Badar Latif & Mohsin Ali, 2022. "Fostering Green Innovation Adoption through Green Dynamic Capability: The Moderating Role of Environmental Dynamism and Big Data Analytic Capability," IJERPH, MDPI, vol. 19(16), pages 1-20, August.
    11. Junaid Aftab & Nabila Abid & Huma Sarwar & Anam Amin & Mahsa Abedini & Monica Veneziani, 2024. "Does corporate social responsibility drive financial performance? Exploring the significance of green innovation, green dynamic capabilities, and perceived environmental volatility," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(3), pages 1634-1653, May.
    12. Yuan, Baolong & Cao, Xueyun, 2022. "Do corporate social responsibility practices contribute to green innovation? The mediating role of green dynamic capability," Technology in Society, Elsevier, vol. 68(C).
    13. Zhang Xiaoyi & Hailan Yang & Nilesh Kumar & Maqsood H. Bhutto & Wang Kun & Tianyang Hu, 2023. "Assessing Chinese Textile and Apparel Industry Business Sustainability: The Role of Organization Green Culture, Green Dynamic Capabilities, and Green Innovation in Relation to Environmental Orientatio," Sustainability, MDPI, vol. 15(11), pages 1-21, May.
    14. Guangyao Yu & Qinqin Zheng & Xueying Lin & Kaiqi Yuan, 2023. "Sustainability-Oriented Low-Carbon Innovation in SOEs: A Case Study of Shanghai Metro," Sustainability, MDPI, vol. 15(23), pages 1-23, November.
    15. Aziz Barhmi & Omar Hajaji, 2023. "Multidisciplinary Approach to Supply Chain Resilience: Conceptualization and Scale Development," Central European Business Review, Prague University of Economics and Business, vol. 2023(5), pages 43-69.
    16. Serdar Çop & Victor Oluwafemi Olorunsola & Uju Violet Alola, 2021. "Achieving environmental sustainability through green transformational leadership policy: Can green team resilience help?," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 671-682, January.
    17. Ibrahim A. Elshaer & Alaa M. S. Azazz & Yahdih Semlali & Mahmoud A. Mansour & Mohammed N. Elziny & Sameh Fayyad, 2024. "The Nexus between Green Transformational Leadership, Employee Behavior, and Organizational Support in the Hospitality Industry," Administrative Sciences, MDPI, vol. 14(6), pages 1-22, May.
    18. Henderson, Dylan & Roche, Neil, 2018. "From consensus to conflict in the regional policy mix for broadband deployment: examining the role of informal coordination," 29th European Regional ITS Conference, Trento 2018 184944, International Telecommunications Society (ITS).
    19. Yu‐Shan Chen & Xin Yan, 2022. "The small and medium enterprises' green human resource management and green transformational leadership: A sustainable moderated‐mediation practice," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(5), pages 1341-1356, September.
    20. A. E. Rodríguez Salazar & M. A. Domínguez-Crespo & A. M. Torres-Huerta & A. I. Licona-Aguilar & A. Nivón-Pellón & V. N. Orta-Guzmán, 2021. "Analysis of the Dynamical Capabilities into the Public Research Institutes to Their Strategic Decision-Making," Sustainability, MDPI, vol. 13(12), pages 1-22, June.

    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:gam:jsusta:v:15:y:2023:i:14:p:11066-:d:1194584. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    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.