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Look where they are! Firms’ eco-innovation and Industry 4.0 technologies in urban and rural areas

Author

Listed:
  • Luca Cattani

    (Gran Sasso Science Institute)

  • Sandro Montresor

    (Gran Sasso Science Institute)

  • Antonio Vezzani

    (Rennes School of Business)

Abstract

We investigate the extent to which the firms’ propensity to eco-innovate, adopt Industry 4.0 (I4.0) technologies and leverage them to eco-innovate varies with their location. We maintain that urban firms should be more prone to eco-innovate and adopt I4.0 technologies than rural ones, and more capable to make the latter functional to the former. Using a large sample of European firms, we test and confirm these hypotheses only partially. Firms in rural areas display a higher capacity to eco-innovate notwithstanding their lower digital propensity. However, an urban location reinforces the eco-innovative impact of digital technologies, irrespectively from its size.

Suggested Citation

  • Luca Cattani & Sandro Montresor & Antonio Vezzani, 2022. "Look where they are! Firms’ eco-innovation and Industry 4.0 technologies in urban and rural areas," Discussion Paper series in Regional Science & Economic Geography 2022-06, Gran Sasso Science Institute, Social Sciences, revised Oct 2024.
    • Handle: RePEc:ahy:wpaper:wp32
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    More about this item

    Keywords

    digital technologies; eco-innovation; twin transition; rural and urban areas.;
    All these keywords.

    JEL classification:

    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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