ESG and green innovation: nonlinear moderation of public attention

Abstract This study investigates the impact of Environmental, Social, and Governance (ESG) on green innovation performance by analyzing data from China’s A-share listed firms in heavy-polluting industries between 2013 and 2022. We emphasize the moderating role of public attention in shaping the rela...

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Main Authors: Caixia Song, Wenyuan Ma
Format: Article
Language:English
Published: Springer Nature 2025-05-01
Series:Humanities & Social Sciences Communications
Online Access:https://doi.org/10.1057/s41599-025-05002-8
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author Caixia Song
Wenyuan Ma
author_facet Caixia Song
Wenyuan Ma
author_sort Caixia Song
collection DOAJ
description Abstract This study investigates the impact of Environmental, Social, and Governance (ESG) on green innovation performance by analyzing data from China’s A-share listed firms in heavy-polluting industries between 2013 and 2022. We emphasize the moderating role of public attention in shaping the relationship between ESG and corporate green innovation. Key findings include: (1) ESG exhibits a robust positive effect on green innovation, with effect heterogeneity across firm characteristics. (2) Public attention demonstrates a significant inverted U-shaped moderating effect on the ESG–green innovation nexus, where moderate scrutiny enhances innovation but extreme scrutiny diminishes it. (3) Heterogeneity analysis reveals this moderating effect is more pronounced in non-state-owned enterprises, large firms, competitive markets, green patent-holding firms, capital-intensive industries, and growth-stage companies in highly marketized regions. These findings highlight public attention as a dual-edged monitoring mechanism, offering practical implications for fostering synergistic development between ESG adherence and green innovation among heavily polluting firms under “dual carbon goals”. This research also provides empirical insights for policymakers and businesses seeking to advance sustainable innovation in emerging economies.
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spelling doaj-art-7b2dcc7934da4b7a91bbf8255e973c482025-08-20T03:53:58ZengSpringer NatureHumanities & Social Sciences Communications2662-99922025-05-0112111410.1057/s41599-025-05002-8ESG and green innovation: nonlinear moderation of public attentionCaixia Song0Wenyuan Ma1School of Business, Shandong Normal UniversitySchool of Business Administration, Shandong University of Finance and EconomicsAbstract This study investigates the impact of Environmental, Social, and Governance (ESG) on green innovation performance by analyzing data from China’s A-share listed firms in heavy-polluting industries between 2013 and 2022. We emphasize the moderating role of public attention in shaping the relationship between ESG and corporate green innovation. Key findings include: (1) ESG exhibits a robust positive effect on green innovation, with effect heterogeneity across firm characteristics. (2) Public attention demonstrates a significant inverted U-shaped moderating effect on the ESG–green innovation nexus, where moderate scrutiny enhances innovation but extreme scrutiny diminishes it. (3) Heterogeneity analysis reveals this moderating effect is more pronounced in non-state-owned enterprises, large firms, competitive markets, green patent-holding firms, capital-intensive industries, and growth-stage companies in highly marketized regions. These findings highlight public attention as a dual-edged monitoring mechanism, offering practical implications for fostering synergistic development between ESG adherence and green innovation among heavily polluting firms under “dual carbon goals”. This research also provides empirical insights for policymakers and businesses seeking to advance sustainable innovation in emerging economies.https://doi.org/10.1057/s41599-025-05002-8
spellingShingle Caixia Song
Wenyuan Ma
ESG and green innovation: nonlinear moderation of public attention
Humanities & Social Sciences Communications
title ESG and green innovation: nonlinear moderation of public attention
title_full ESG and green innovation: nonlinear moderation of public attention
title_fullStr ESG and green innovation: nonlinear moderation of public attention
title_full_unstemmed ESG and green innovation: nonlinear moderation of public attention
title_short ESG and green innovation: nonlinear moderation of public attention
title_sort esg and green innovation nonlinear moderation of public attention
url https://doi.org/10.1057/s41599-025-05002-8
work_keys_str_mv AT caixiasong esgandgreeninnovationnonlinearmoderationofpublicattention
AT wenyuanma esgandgreeninnovationnonlinearmoderationofpublicattention