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Navigating Green Innovation and Key Determinants of Small and Medium-Sized Enterprises in Pakistan

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  • Fizza Ishaq

    (Southwest Jiaotong University)

  • Xiangsheng Dou

    (Southwest Jiaotong University)

  • Muhammad Qasim

    (University of International Business and Economics)

  • Ansar Abbass

    (Dongbei University of Finance and Economics)

Abstract

Due to change in climate and environment, firms are actively seeking to bring solutions through adopting green innovation. This paper investigates the impact of digital transformation, responsible leadership, and corporate social responsibilities on green innovation and tests how knowledge sharing mediates the above relationship. The resource-based theory is used as the underlying framework for modeling our conceptualized arguments. Moreover, a moderated mediation analysis is performed based on collected data from 458 hierarchy-level employees from manufacturing small and medium-sized enterprises (SMEs) in Pakistan with a cross-sectional and random sampling method. The study finds the positive relationships between digital transformation, responsible leadership, corporate social responsibility, and green innovation where knowledge sharing significantly mediates the above relationship. Further, organizational culture moderates the path between knowledge sharing and green innovation. The paper recommends to encourage the value of digitalization and corporate social responsibility in SMEs to form green innovation.

Suggested Citation

  • Fizza Ishaq & Xiangsheng Dou & Muhammad Qasim & Ansar Abbass, 2025. "Navigating Green Innovation and Key Determinants of Small and Medium-Sized Enterprises in Pakistan," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 16(3), pages 11979-12010, September.
    • Handle: RePEc:spr:jknowl:v:16:y:2025:i:3:d:10.1007_s13132-024-02338-5
    DOI: 10.1007/s13132-024-02338-5
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