Abstract
Hierarchical regression is used to empirically investigate the impact of digital capabilities on green innovation performance, as well as the mediating role of organizational agility and the moderating effect of knowledge inertia. Based on the data from a large sample of 383 middle and senior managers from manufacturing companies, the dynamic capability theory is applied to SPSS 27.0. The results show that digital capability contributes to green innovation performance; knowledge inertia moderates the inverted U-shape between digital capability and green innovation performance; and two dimensions of organizational agility, market agility and operational adjustment agility, partially mediate the relationship between digital capability and green innovation performance. This paper contributes new ideas for companies to develop organizational agility, control knowledge inertia, enhance green innovation performance, and finally, sustainably gain a competitive advantage position.
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