Abstract
This paper examines the impact of customer concentration on green innovation in Chinese listed firms between 2006 and 2018 through the dynamic panel generalized method of moments regressions. It is reported that major customers positively impact corporate green innovation, indicating that firms have more incentives to engage in innovative green practices to maintain stable relationships with major customers. In addition, the positive relationship between customer concentration and green innovation is more pronounced in state-owned enterprises, firms located in the provinces with a high level of marketization, and after China's new Environmental Protection Law implementation. Moreover, we observe that the positive impact of customer concentration on corporate green innovation is more significant among industrial firms and firms operating in heavily polluting industries. Furthermore, industrial competition is an essential channel for major customers to affect corporate green innovation.
Original language | English |
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Number of pages | 22 |
Journal | Business Strategy and the Environment |
Early online date | 15 May 2022 |
DOIs | |
Publication status | E-pub ahead of print - 15 May 2022 |
Keywords
- corporate environmental responsibility
- customer concentration
- green innovation
- patents
- sustainable development
ASJC Scopus subject areas
- Geography, Planning and Development
- Business and International Management
- Management, Monitoring, Policy and Law
- Strategy and Management