The Impact of IT Capability on Corporate Green Technological Innovation: Evidence from Manufacturing Companies in China

Abstract

In this paper, we theoretically discuss and empirically show how IT capability spurs companies towards greener strategies. Based on the data of listed Chinese manufacturing companies from 2008 to 2018, using a panel regression model, the results show that: (1) corporate IT capability can promote green technological innovation. (2) Compared with state-owned enterprises (SOEs), the IT effect is more significant for non-state-owned enterprises (non-SOEs); compared with regions with weak environmental regulation, the IT effect is more significant in regions with strong environmental regulation. (3) Additionally, we found that the promotion of IT software capability is stronger than IT hardware capability, and they have a synergistic effect on green technological innovation. Overall, our findings offer a new point view for a deeper understanding of green technological innovation, and provide microscopic evidence for the objective evaluation of corporate IT capability.