The effect of executive green human capital on green mergers and acquisitions

Purpose This paper aims to examine the influence of executive green human capital (EGHC) on corporate green mergers and acquisitions in China. Design/methodology/approach This paper utilizes the Python language for textual analysis to identify the main dependent and independent variables and construct the theoretical framework by combining the theories of pro-environmental behavior, resource-based perspectives and social networks. Findings We find that EGHC positively correlates with green mergers and acquisitions under the business environment in China. This correlation can be attributed to an enhancement in executives’ environmental awareness and sense of responsibility and reducing managerial myopia. Further analysis confirms that the green mergers and acquisitions driven by EGHC are sincere green promises to take active responsibility for improving environmental performance. Originality/value First, our research enriches the literature by focusing on endogenous motivations for enterprises to conduct green mergers and acquisitions. Second, we establish a theoretical framework for analyzing the environmental impacts of EGHC, differing from previous literature using imprinting theory or upper echelon theory. Third, our research has refined the different EGHC into several categories, enhancing the practical implications of our findings.