Green innovation in emerging economies: The role of managerial ties and market learning

Abstract

AbstractThis study adopts the social capital and organizational learning perspectives to examine (i) how managerial business and political ties drive green product and process innovation, respectively, and (ii) the roles that explorative and exploitative market learning play in moderating the effects of managerial business and political ties on green product and process innovation. Findings from a survey of 283 Chinese firms show that managerial business and political ties distinctively drive green product and process innovation. Explorative and exploitative market learning strengthens the positive effects of managerial business and political ties on green product and process innovation for sustainable development. These findings advance the green innovation literature by clarifying how firms convert top‐level managers' network ties and market‐learning capabilities to strengthen corporate green innovation practices.