THE INFLUENCE OF SOCIO-COGNITIVE TRAITS ON GREEN INNOVATION ADOPTION: EVIDENCE FROM A SURVEY OF CHINESE MANUFACTURING FIRMS

Abstract

This study investigates the impact of entrepreneurs' socio-cognitive traits (self-efficacy, entrepreneurial alertness, and risk tolerance) on firms' green innovation adoption, specifically the decision to enter an eco-industrial park. Using survey data from 409 manufacturing firms in Jieyang, China, we find that self-efficacy and risk tolerance significantly increase the likelihood of firms entering the eco-industrial parks, while entrepreneurial alertness has no significant effect. Moreover, the positive effects of self-efficacy and risk tolerance are negatively moderated by the degree of decision power dispersion in firms and family ownership. These findings highlight the importance of considering entrepreneurs' individual characteristics and organizational contexts in understanding firms' green innovation strategies. This study contributes to the literature on green innovation adoption and eco-industrial parks by providing new insights into the micro foundations of firms' environmental decisions.