The Influence of Digital Transformation on Green Innovation Efficiency: Is It a Catalyst or a Barrier?

Purpose: This study aims to investigate the dual impact of digital transformation on green innovation efficiency, analyzing its specific effects across varying levels of managerial capabilities and different types of firms. Design/methodology/approach: This study takes A-share manufacturing companies listed in China from January 1, 2007 to December 31, 2021 as the target companies, and adopts an ordinary least squares analysis on the mechanism of the impact of digital transformation on green innovation efficiency. Findings: The results of the analysis show that digital transformation significantly improves the green innovation efficiency of manufacturing firms. However, excessive intervention in management capabilities may reduce the green innovation efficiency of firms, especially in highly innovative firms. Research limitations/implications: This study has several limitations. From a higher-level theoretical perspective, the influencing factors are not limited to managerial capabilities. CEO's green experience, education background, and overconfidence among other leadership-related factors, also play a role. Additionally, exploring policy regulations, human resources, and competitive pressures could provide a more comprehensive and accurate understanding of how various key factors in corporate management impact the mechanisms of digital transformation and green innovation efficiency. Originality/value: Using micro data and textual analysis methods, this study sheds new light on the economic impact of digital transformation and examines the impact of different managerial capabilities on digital transformation and green innovation efficiency. This, in turn, may lead to promoting high-quality development of manufacturing enterprises and improving the innovation environment.