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Corporate green innovation in an aging population: Evidence from Chinese listed companies

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  • Sheng, Jichuan
  • Ding, Rui
  • Yang, Hongqiang

Abstract

The labor shortage triggered by the deepening population aging poses an ongoing challenge to corporate green innovation activities. However, population aging may also force companies to improve corporate governance, benefiting green innovation activities. However, existing literature on the influences of population aging on corporate green innovation activities is extremely limited. To respond to the research gaps, this study develops a theoretical framework of population aging-green innovation (PA-GI) that considers the role of Environmental, Social, and Governance (ESG) and changes in the industrial structure. After that, this study scrutinizes how population aging affects corporate green innovation activities through the case of Chinese listed companies. This study argues that population aging boosts corporate ESG performance, and such pro-environmental ESG initiatives support corporate green innovation activities. Moreover, population aging also promotes changes in the industrial structure, which can encourage corporate green innovation activities. Finally, companies in regions with high environmental regulation intensity and a high degree of digitization are most likely to experience the benefits of population aging in green innovation activities.

Suggested Citation

  • Sheng, Jichuan & Ding, Rui & Yang, Hongqiang, 2024. "Corporate green innovation in an aging population: Evidence from Chinese listed companies," Technological Forecasting and Social Change, Elsevier, vol. 202(C).
    • Handle: RePEc:eee:tefoso:v:202:y:2024:i:c:s0040162524001033
    DOI: 10.1016/j.techfore.2024.123307
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