How Does an Environmental Information Disclosure of a Buyer’s Enterprise Affect Green Technological Innovations of Sellers’ Enterprise?

With rapid economic development, green technological innovations are playing an important role in the sustainable development of enterprise. When the public is concerned about the environment and values environmental information disclosures, it makes enterprise fulfill their environmental responsibilities. In a supply chain, buyer enterprise’ environmental information disclosures have a spillover effect on seller enterprise’ investment decisions. This study investigates the relationship between environmental information disclosures by buyers and green technological innovations of sellers, furthermore, it analyzes the mechanism of this relationship. For this purpose, this study conducts a fixed regression analysis using the data pertaining to A-share listed companies in China from 2009 to 2019. The results show that buyer firms’ environmental information disclosures can significantly promote the green technological innovations of seller enterprise. Furthermore, financing constraints, public concern, and internal control play a mediating role between buyer firms’ environmental information disclosures and seller firms’ green technological innovations. This study reveals several paths through which environmental information disclosures of buyers influence sellers’ green technological innovations in supply chains.