Do green concerns promote corporate green innovation? Evidence from Chinese stock exchange interactive platforms

Abstract How to inspire firms to conduct green innovation is still an under‐explored question. This study finds that the green concerns of minority shareholders can significantly promote firms to conduct green innovation. Mechanism tests reveal that green concerns promote firm green innovation by increasing media attention and reducing financing constraints. Further research shows that the positive effect of green concerns of minority shareholders on green innovation is more significant for companies with high competition, more effective internal controls, and high public involvement at the location. Based on the findings, policy implications of promoting corporate green innovation are discussed.