Does green innovation promote financial performance of Chinese listed companies?

IF 15.5 1区管理学 Q1 BUSINESS

Journal of Innovation & Knowledge Pub Date : 2025-06-09 DOI:10.1016/j.jik.2025.100740

Chanjuan Zhang , Ying Ma , Enming Zhang

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Abstract

This study explored the impact of green innovations on a firm’s financial performance over time, considering the short-term, transitional and long-term effects. Using data from 4291 Chinese A-share listed companies between 2004 and 2021, we applied a novel long-difference multi-level fixed-effects approach to gain new insights. The findings suggest that the impact of green innovation on return on assets (ROA) is contingent upon the type of innovation, time frame and market conditions. During the transitional phase, the overall level of green innovation and its quality positively influence ROA. However, in the long run, the quantity of green innovation may adversely affect ROA. In addition, leverage emerges as a significant determinant of ROA across firms. Quantile analysis further revealed that green innovation benefits firms with lower ROA but may negatively impact those with higher ROA. These results offer valuable guidance for policymakers and corporate strategists seeking to optimise green innovation strategies for sustainable financial performance.

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绿色创新是否促进了中国上市公司的财务绩效？

本研究从短期、过渡和长期三个方面探讨了绿色创新对企业财务绩效的长期影响。利用2004年至2021年4291家中国a股上市公司的数据，我们采用了一种新颖的长差多层次固定效应方法来获得新的见解。研究结果表明，绿色创新对资产收益率的影响取决于创新类型、时间框架和市场条件。在转型阶段，绿色创新的整体水平和质量正向影响企业的总资产收益率。然而，从长期来看，绿色创新的数量可能会对资产收益率产生不利影响。此外，杠杆成为公司总资产回报率的重要决定因素。分位数分析进一步表明，绿色创新对低ROA企业有利，对高ROA企业有负向影响。这些结果为寻求优化绿色创新战略以实现可持续财务绩效的政策制定者和企业战略家提供了有价值的指导。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Journal of Innovation & Knowledge Multiple-

CiteScore

16.10

自引率

12.70%

发文量

118

审稿时长

37 days

期刊介绍： The Journal of Innovation and Knowledge (JIK) explores how innovation drives knowledge creation and vice versa, emphasizing that not all innovation leads to knowledge, but enduring innovation across diverse fields fosters theory and knowledge. JIK invites papers on innovations enhancing or generating knowledge, covering innovation processes, structures, outcomes, and behaviors at various levels. Articles in JIK examine knowledge-related changes promoting innovation for societal best practices. JIK serves as a platform for high-quality studies undergoing double-blind peer review, ensuring global dissemination to scholars, practitioners, and policymakers who recognize innovation and knowledge as economic drivers. It publishes theoretical articles, empirical studies, case studies, reviews, and other content, addressing current trends and emerging topics in innovation and knowledge. The journal welcomes suggestions for special issues and encourages articles to showcase contextual differences and lessons for a broad audience. In essence, JIK is an interdisciplinary journal dedicated to advancing theoretical and practical innovations and knowledge across multiple fields, including Economics, Business and Management, Engineering, Science, and Education.