CEO’s Science and Engineering Background and Green Innovation: Evidence From China

Abstract

This study examines whether a CEO with a science and engineering background (CEOSEB hereafter) affects green innovation. Data of A-listed industrial firms registered on the Shanghai and Shenzhen Stock Exchanges are analyzed from 2008 to 2018. Findings indicate that CEOSEB has a significant positive impact on green innovation. This research also tests the moderating effect of the firm’s resources, CEO compensation, and media coverage on the CEOSEB and green innovation nexus. Results show that the firm’s resources and media coverage are positive, whereas compensation negatively affects the CEOSEB and green innovation association. Finally, our results depict that the impact is more pronounced in state-owned firms than in private-owned enterprises. Results remain robust to a battery of econometric techniques. These findings offer novel insights into the clean and sustainable development literature from the perspective of the CEO’s educational background.