The impact of green management on green innovation in sustainable technology: moderating roles of executive environmental awareness, regulations, and ownership

Abstract

As China transitions its national economy towards high-quality development, green management within enterprises is becoming a key factor in driving green innovation, especially in sustainable technologies. This study investigates how green management influences green innovation, focusing on the use of carbon-rich materials. It also examines the impact of senior executives’ environmental awareness, environmental regulations, and property rights on this relationship. The study uses data from A-listed enterprises in China, specifically in Shanghai and Shenzhen, from 2010 to 2021, employing a fixed effect model to analyze the effect of green management on green innovation. The study finds that green management significantly boosts green innovation within enterprises, particularly in developing carbon-rich materials for environmental remediation, sustainable energy, and carbon capture and storage (CCS) technologies. The environmental awareness of corporate leaders positively influences this relationship, highlighting the importance of leadership in promoting green strategies. However, strict environmental regulations tend to dampen innovation, suggesting the need for balanced policies. Additionally, state-owned enterprises are more likely to engage in green innovation, partly due to easier access to green development funds. The study recommends that enterprises strengthen their green management and investment strategies and that corporate leaders increase their environmental awareness. It also suggests that the government should refine environmental regulations to balance innovation with protection and improve financial support mechanisms to encourage more enterprises to participate in sustainable technology development, particularly in advancing carbon-rich materials for eco-friendly applications.