Behavior decision of top management team and enterprise green technology innovation

Abstract

The behavioral decision-making characteristics of top management team (TMT) are the most direct factors affecting enterprise decision-making and team management style. Using the panel data of A-share listed manufacturing companies scanning from 2010 to 2019, this paper empirically tests the relationships between the four irrational variables of TMT and green technology innovation (GTI). The results show that: ① On the whole, social responsibility, innovation spirit and risk-taking spirit are significantly positively correlated with GTI, environmental protection consciousness is significantly negatively correlated with GTI, and the compound effect of the four subjective variables also shows these relationships. ② Heterogeneity analysis shows that the effect of TMT irrational characteristics is different in different types of enterprises. In large-scale enterprises and state-owned enterprises, the regression results are basically consistent with the full sample; in small-scale enterprises and non-state-owned enterprises, risk-taking spirit is still a significant force affecting enterprise GTI, while other irrational variables are no longer significant. ③ Further research shows that the unabsorbed slack resources of enterprises and marketization level can adjust the relationships between the irrational characteristics of TMT and GTI. On the whole, the role of irrational variables is more obvious when reducing the unabsorbed slack resources; the higher the level of marketization, the more the spirit of adventure can stimulate innovation; increasing enterprise R&D investment can significantly promote the improvement of GTI. The research results provide important reference for the formulation and implementation of GTI strategy.