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Digital Transformation and Green Innovation: The Roles of ESG Performance and R&D Intensity

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  • Yifan Tao

    (Sun Yat-Sen University, International School of Business & Finance)

Abstract

As the digital economy continues to evolve alongside China’s “dual-carbon” agenda, digital transformation has gradually emerged as a fundamental catalyst for enhancing firms’ green innovation activities. Based on Chinese A-share listed firms over 2010–2023, this study constructs a regional digitalization index using data on commercial bank digital transformation and evaluates its impact on green innovation. Empirical results indicate a significant positive effect that is robust to multiple specifications. Mechanism analysis shows that this effect is driven by improvements in ESG performance and increased R&D investment. The impact is more pronounced among state-owned enterprises, non-manufacturing firms, and heavily polluting industries, suggesting that firm characteristics and regulatory environments matter. This study thus provides micro-level evidence on the role of digitalization in promoting corporate green transformation.

Suggested Citation

  • Yifan Tao, 2026. "Digital Transformation and Green Innovation: The Roles of ESG Performance and R&D Intensity," Advances in Economics, Business and Management Research,, Springer.
    • Handle: RePEc:spr:advbcp:978-94-6239-699-9_28
    DOI: 10.2991/978-94-6239-699-9_28
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