Research on the policy synergy of supply-side and demand-side environmental policies: an analysis based on green value chain of manufacturing enterprises.

Abstract

An enterprise's green value chain comprises a multitude of factors and links for a successful green transformation, and relevant environmental policies are multi-dimensional and multi-sectional. Environmental policies can affect the enterprise's green development through stimulating the supply of green services or by increasing the demand for green products. Based on 346 policy statements issued by various government departments from 2000 to 2020, this paper matches the "type" of environmental policy with the "dimension" of value chain of manufacturing companies, establishing a coordination model and a co-existing network to measure how both elements interact. The results indicate a notable phenomenon with the Chinese government's enterprise environmental policies, which can be described as "heavy supply-driven, light demand-pull." A strong emphasis is put on the supply side of policies, in particular for the technology innovation sector, but the demand end of policies is comparatively minimal. The synergy between the policies and the links in the green value chain is divergent, which replicates the "heavy end-treatment, light front-prevention" seen with existing policies. Policy synergy at the end of the value chain such as the green production process is more mature and well-integrated, while the synergy for green product development lacks policies on both ends. The mismatch and imbalance of policies limits the overall level of green transformation for manufacturing enterprises.