When Does It Pay to Be Good? A Meta-Analysis of the Relationship Between Green Innovation and Financial Performance
Document Type
Article
Publication Date
9-1-2023
Abstract
A rapid increase in environmental concerns has prompted firms to engage in green innovation. However, previous studies have found contradictory results for the relationship between green innovation and financial performance, thus offering us an opportunity to revisit the relationship using a meta-analysis method. By analyzing a sample size of 20 503 observations from 80 studies, in this article, we find a positive relationship between green innovation and financial performance. Moreover, the relationship is stronger in fast-clockspeed and close-to-consumer industries than in others and stronger in countries with a strong control of corruption and a long-term cultural orientation than in others. This article advances the understanding of the green innovation-financial performance relationship as well as of the role of research context as a moderator of that relationship.
Publication Source (Journal or Book title)
IEEE Transactions on Engineering Management
First Page
3260
Last Page
3270
Recommended Citation
Yi, Y., Zeng, S., Chen, H., & Shi, J. (2023). When Does It Pay to Be Good? A Meta-Analysis of the Relationship Between Green Innovation and Financial Performance. IEEE Transactions on Engineering Management, 70 (9), 3260-3270. https://doi.org/10.1109/TEM.2021.3079098