Influence of Network Embeddedness and Network Diversity on Green Innovation: The Mediation Effect of Green Social Capital

Due to the current rise in concern about the challenge of global warming, stakeholders are now more conscious than in the past regarding environmental concerns. Stakeholders are more likely than ever before to support companies that are environmentally friendly. Simultaneously, companies seek to develop their social networks in such a way as to enhance their green innovation. This study investigates the influences of network embeddedness and network diversity on green innovation. In addition, this research discusses the mediation effects of green social capital. We adopt structural equation modeling for testing the research framework. A total of 330 valid questionnaires are collected. The results demonstrate that network embeddedness positively affects green social capital and green innovation performance. However, although network diversity positively affects green innovation performance, it does not significantly influence green social capital. Furthermore, the study indicates that green social capital partially mediates the relationship between network embeddedness and green innovation performance.