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How Do Firms Promote Green Innovation through International Mergers and Acquisitions: The Moderating Role of Green Image and Green Subsidy

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  • Hang Wu

    (Business School, East China University of Political Science and Law, Shanghai 200042, China)

  • Yiying Qu

    (Business School, East China University of Political Science and Law, Shanghai 200042, China)

Abstract

Carrying out green innovation is beneficial for firms to cope with environmental protection pressure and achieve sustainable development. Existing research has paid enough attention to the driver of green innovation, but still does not reveal how green innovation can be conceived and realized. This paper answers the above question from the perspective of international M&As, examines the relationship between exploratory international M&As, exploitative international M&As and green innovation performance, and further probes into how strategic and environmental factors moderate the green innovation effectiveness of exploratory and exploitative M&As. Results indicate that exploratory and exploitative international M&As both are beneficial for green innovation performance, and to maximize green innovation performance, implementing exploratory M&As is more beneficial for firms pursuing high green image and operating in a high green subsidy environment. By contrast, carrying out exploitative M&As is more effective for firms pursuing low green image and operating in a low green subsidy environment. Theoretical and managerial implications are discussed.

Suggested Citation

  • Hang Wu & Yiying Qu, 2021. "How Do Firms Promote Green Innovation through International Mergers and Acquisitions: The Moderating Role of Green Image and Green Subsidy," IJERPH, MDPI, vol. 18(14), pages 1-16, July.
    • Handle: RePEc:gam:jijerp:v:18:y:2021:i:14:p:7333-:d:591027
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    Cited by:

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    3. Li Ji & Jiaqi Mou, 2023. "The Moderating Role of Host Investment Environments on the Relationship between Enterprises’ OFDI and Green Innovation: Evidence from China," Sustainability, MDPI, vol. 15(2), pages 1-25, January.
    4. Jing Tang & Shilong Li, 2022. "How Do Environmental Regulation and Environmental Decentralization Affect Regional Green Innovation? Empirical Research from China," IJERPH, MDPI, vol. 19(12), pages 1-16, June.
    5. Yang Wang & Chenling Tian & Xia Jiang & Yang Tong, 2023. "Development of Scales for the Measurement of Executive Green Leadership and Exploration of Its Antecedents," Sustainability, MDPI, vol. 15(13), pages 1-17, June.
    6. Lingling Suo & Kezhi Yang & Hao Ji, 2023. "The Impact of Technological Mergers and Acquisitions on Enterprise Innovation: A Review," Sustainability, MDPI, vol. 15(17), pages 1-17, August.
    7. Hossein Tarighi & Zeynab Nourbakhsh Hosseiny & Maryam Akbari & Elaheh Mohammadhosseini, 2023. "The Moderating Effect of the COVID-19 Pandemic on the Relation between Corporate Governance and Firm Performance," JRFM, MDPI, vol. 16(7), pages 1-43, June.
    8. Xiaowei Ding & Lyu Ye & Yueying Yang & Olga Efimova & Alina Steblyanskaya & Junfeng Zhang, 2022. "The Impact Mechanism of Environmental Information Disclosure on Corporate Sustainability Performance—Micro-Evidence from China," Sustainability, MDPI, vol. 14(19), pages 1-22, September.

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