Mediating effect of sustainable development practices on the relationship between information management practices and green innovation in China

Abstract

This research examines the role of information management practices termed as knowledge acquisition, knowledge dissemination, and knowledge application towards green innovation among the Small and Medium Enterprises (SMEs) working in China’s region. Moreover, the mediating role of sustainable development practices is also observed in the relationship between knowledge management and green innovation. An online survey questionnaire collected a valid sample of 364 respondents from different SMEs after the COVID-19 period to integrate its aftershocks. Furthermore, structural equation modelling was applied, and the measurement model confirms the reliability, convergent validity, and discriminant validity of latent constructs and selected items’. We confirm a direct and significant relationship between knowledge acquisition, knowledge dissemination, application, and green innovations through PLS-SEM. Besides, sustainable development indicators confirm their mediating role in the relationship between knowledge management and green innovations. This research offers meaningful theoretical and empirical contributions and suggestions for SME industries and policymakers.