DOES EXECUTIVE GREEN COGNITION DRIVE CORPORATE GREEN DEVELOPMENT?

Executive green cognition (GRC) refers to the environmental awareness and actions of top managers toward green transformation. This study investigates the relationship between GRC and green transformation in 446 enterprises in China, focusing on heterogeneity and mechanisms of action. The findings reveal that GRC significantly enhances green transformation, particularly in enterprises located in the eastern region, those with high labor intensity, and high-pollution industries. GRC promotes green transitions by driving digitalization and fostering green technology innovation. Additionally, the study highlights the importance of geographical and industry-specific factors, demonstrating that the effectiveness of GRC varies by context. These insights emphasize the need for tailored approaches to encourage green practices across different enterprise types. Based on these findings, the study proposes targeted policy measures to support enterprise green transformation, aiming to improve environmental sustainability and align businesses with broader ecological goals.