The Impact Of Environmental Regulation On Manufacturing Enterprises’ Innovation Input

Since the reform and opening up,China has achieved economic growth while bringing about a heavy environmental cost.In order to change the current extensive mode of economic development,the government has issued a series of laws and regulations to restrict corporate pollution of enterprises.In addition,the public has gradually participated in the regulation of enterprises environmental pollution,which has caused great pressure on enterprises.How to achieve effective environmental protection while economic development has become an urgent problem for enterprises.Because innovation can reduce the cost of environmental compliance and the damage to the environment by upgrading the products,processes and processes of enterprises,it is generally considered as an effective measure for enterprises to achieve environmental protection and improve economic performance.However,due to the large amount of resources required for innovation investment,the investment cycle is relatively long,there are still great risks and uncertainties,and some enterprises are reluctant to innovate,even under strong institutional pressure.Therefore,the external environmental regulation pressure needs to be further studied for the driving role of enterprise innovation,especially the boundary conditions affecting the relationship between them need to be further explored.This paper takes 104 A-share listed manufacturing companies in China from 2011 to 2017 as the research sample,makes a theoretical and empirical study on the internal relationship among dual environmental regulation pressure and enterprise innovation behaviors,and further explores the moderating mechanism of innovation openness.The results show that: Firstly,the pressure of coercive environmental regulation has a significant positive impact on enterprises’ innovation input,that is,the greater the pressure of coercive environmental regulation is,the greater the probability of enterprises increasing innovation input is;the positive relationship between the pressure of normative environmental regulation and enterprises’ innovation input is not significantly,the public attention in China at this stage is not enough to promote the increase of innovation input.Secondly,The breadth of open innovation has a significant moderating role in the relationship between the pressure of coercive environmental regulation and enterprises’ innovation input,as well as the relationship between the pressure of normative environmental regulation and enterprises’ innovation input,the greater the breadth of open innovation,the stronger the positive role between them.However,the depth of open innovation has no significant moderating effect on the relationship between the pressure of coercive environmental regulation and enterprises’ innovation input,as well as the relationship between the pressure of normative environmental regulation and enterprises’ innovation input.Thirdly,according to the sample of the East and Central West,the results of the study in the eastern region are consistent with the results of the whole sample study,while the roles in the western region are not significant,that is to say,the Porter hypothesis has only been verified in the eastern region.Based on the above research results,this paper proposes corresponding policy recommendations from the government,the public and enterprises: Firstly,the government should appropriately improve the intensity of environmental regulation,establish and improve the mechanism of environmental information disclosure and the interaction mechanism between the public and the Ministry of National Environmental Protection and the local environmental protection bureau.Secondly,the public should continuously improve their awareness of environmental protection and actively participate in environmental supervision.Thirdly,enterprises should actively build an open innovation network,especially to increase the scope of external innovation.The breadth of cooperation helps enterprises to accelerate the innovation process of enterprises by fully mobilizing internal and external resources under the pressure of environmental regulation.Finally,the future research prospects are proposed for the lack of research in this paper.The findings of this study will help to provide theoretical support and decision-making reference for the government and the public in environmental management and supervision,as well as for enterprises how to effectively integrate internal and external resources to cope with external environmental regulation and encourage enterprise innovation,thus helping to achieve the goal of energy saving,emission reduction and innovation-driven development in China.