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Green Process Innovation and Financial Performance in Emerging Economies: Moderating Effects of Absorptive Capacity and Green Subsidies

Xuemei Xie, Jiage Huo, Guoyou Qi, Kevin Zhu · 2015 · IEEE Transactions on Engineering Management

Summary. Green process innovation improves financial performance in manufacturing industries, particularly in emerging economies. Using ten years of Chinese industrial data, the study finds that both clean and end-of-pipe technologies boost profitability. Absorptive capacity—a firm's ability to learn and apply knowledge—strengthens this benefit, while government subsidies surprisingly weaken it. Industries gain more from leveraging internal capabilities than relying on external government support.

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Xie, X., Huo, J., Qi, G., & Zhu, K.. (2015). Green Process Innovation and Financial Performance in Emerging Economies: Moderating Effects of Absorptive Capacity and Green Subsidies. IEEE Transactions on Engineering Management. https://doi.org/10.1109/tem.2015.2507585

Details

DOI
10.1109/tem.2015.2507585
Countries
China
Regions
Asia
Categories
climate-and-environment, innovation-theory, policy, general-innovation
Added
2026-04-28