Environmental Regulation and Enterprise Innovation: A Review

Shuai Shao; Zhigao Hu; Jianhua Cao; Dabo Guan

doi:10.1002/bse.2446

journal article Jan 15, 2020

Environmental Regulation and Enterprise Innovation: A Review

Shuai Shao

Zhigao Hu Jianhua Cao Dabo Guan

Business Strategy and the Environment Vol. 29 No. 3 pp. 1465-1478 · Wiley

View at Publisher Save 10.1002/bse.2446

Abstract

AbstractThe impact of environmental regulation on enterprise innovation is closely related to the competitiveness of the enterprise and sustainable development of the regional economy, but existing research does not provide a consistent view. This paper summarizes the impacts of environmental regulation on enterprise innovation from the perspectives of technological innovation, product innovation, system innovation and ecological innovation. We find that the impacts of environmental regulation on enterprise innovation behaviour are complex, and that the impacts can be reflected together by the four aspects above and even by their interaction. Moreover, the impacts are not limited to the creation of new technologies, products, and systems but also include their adoption and application. In particular, whether the Porter hypothesis is true and which versions of the Porter hypothesis environmental regulation causes in enterprise innovation depend on enterprise characteristics, means of environmental regulation, and enterprises' strategic behaviours in an enterprise ecosystem. Finally, we propose five potential research directions: quantifying the degree of enterprise innovation caused by environmental regulation, the impacts of environmental regulation on sustainable economic development from an enterprise ecosystem perspective, the impacts of enterprise innovation on environmental regulation, the role of enterprise initiative in the relationship between environmental regulation and enterprise innovation, and social security issues and the integration of eliminated enterprises resulting from environmental regulation.

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Metrics

457

Citations

104

References

Details

Published: Jan 15, 2020
Vol/Issue: 29(3)
Pages: 1465-1478
License: View

Authors

S

Shuai Shao

School of Urban and Regional Science Shanghai University of Finance and Economics Shanghai 200433 China

Z

Zhigao Hu

School of Urban and Regional Science Shanghai University of Finance and Economics Shanghai 200433 China

J

Jianhua Cao

School of Urban and Regional Science Shanghai University of Finance and Economics Shanghai 200433 China

D

Dabo Guan

Department of Earth System Science Tsinghua University Beijing 100083 China

Funding

National Natural Science Foundation of China Award: 71922015

Royal Academy of Engineering Award: UK‐CIAPP/425

British Academy Award: NAFR2180103

Cite This Article

Shuai Shao, Zhigao Hu, Jianhua Cao, et al. (2020). Environmental Regulation and Enterprise Innovation: A Review. Business Strategy and the Environment, 29(3), 1465-1478. https://doi.org/10.1002/bse.2446

Environmental Regulation and Enterprise Innovation: A Review

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