Does the Collaboration of Digitalization Foster Regional Green Development?

Abstract

The collaboration of digitalization refers to a comprehensive digital governance system that achieves cross-regional digital industrialization and deep integration of industrial digitization through the construction of digital infrastructure, which paves the way toward regional sustainability. However, little is known about whether and to what extent regional digital collaboration contributes to green development. Furthermore, the specific role of digital collaboration in greening the regional economy and society remains unexplored. Thus, this paper tests the relationship between digital collaboration, business environment, and regional green development by using data from 285 prefecture-level cities in China from 2008 to 2022. The findings suggest that: (1) the hysteresis phenomenon of the “green dividend effect” response to regional digital collaboration is present; (2) digital collaboration in eastern cities positively impacted (but lagged) the greening of the economy and society, but cities in central and western regions negatively impact this process; (3) the business environment mediates the relationship between the lagged digital collaboration and regional green development, and it positively moderates the relationship between both the current and lagged digital collaboration and regional green development. By elucidating the relationship between digital collaboration, business environment, and regional green development, contributions have been made to previous digital innovation literature, and management insights have been provided for how regions can promote green development in the digital age.