How ICT capability affects the environmental performance of manufacturing firms? – Evidence from the World Bank Enterprise Survey in China

Abstract

PurposeThe objective of this paper is to empirically test and verify the influence of information and communication technology (ICT) capability on environmental performance (EP) of manufacturing, as well as the moderating effect of heterogenous factors and the mediating effect of ambidextrous innovation in the context of the Chinese manufacturing firms.Design/methodology/approachThe data come from the World Bank Enterprise Survey of China conducted from December 2011 to February 2013. The logistic regression is applied with Stata 15, and the robustness test by three methods is employed to verify the reliability of the results in this paper.FindingsThe research results suggest that the positive relationship between ICT capability and EP is moderated by two heterogenous factors, including main market and industry attributes. Meanwhile, the positive relationship between ICT capability and EP is mediated by ambidextrous innovation.Originality/valueThis work highlights ICT capability as an important, yet underexplored antecedent in improving the EP of manufacturing firms. This research further uncovers the moderating role of main market and industry attributes, as well as the mediating mechanism by introducing ambidextrous innovation in the relationship between ICT capability and EP.