Supplier changes, operational risk and enterprise green innovation: moderation role of market competition

Purpose Previous studies have predominantly examined the influence of supplier relationships on corporate green innovation from a static perspective, treating such relationships as stable over time, and lacked in-depth discussions on the internal mechanisms. This paper aims to focus on the relations from a dynamic perspective. Design/methodology/approach This study analyzes the effect of dynamic supplier changes on green innovation, using empirical data of Chinese A-share listed enterprises and ordinary least squares regression to test the research hypotheses. Findings This study draws the following conclusions: first, supplier changes can jeopardize the green innovation of enterprises. Second, operational risk mediates the relations between supplier change and green innovation. Third, market competition moderates the relations between supplier change and operational risk positively. In addition, further analysis of heterogeneous effects suggests that the effects of supplier changes on green innovation are more significant among non-state-owned firms, small firms and firms with dispersed shareholdings. Originality/value This study expands the current literature and offers guidance for firms to enhance their capacity for green innovation.