Shackles or motivation? Environmental certification on smart manufacturers’ green innovation performance: green value co-creation and green knowledge spillover

Purpose A low-carbon economy is a common choice for future socioeconomic development, even in the smart era. Therefore, governments have proposed environmental certification (EC) systems. However, from a knowledge-based perspective, how EC drives the generation, transformation and diffusion of green ideas in manufacturing enterprises, ultimately enhancing green innovation performance (GIP), has not been explained systematically. This study aims to explore how EC enhances GIP by triggering green value co-creation (GVCO) (internal knowledge integration and transformation) and green knowledge spillover (external knowledge diffusion). Design/methodology/approach The authors test the validity of the constructed theoretical model of the green innovation value chain (GIVC) using a hybrid methodology that integrates evolutionary game and empirical evidence. The authors use survey data from 322 smart manufacturing firms in Jiangsu Province that have a strong foundation and an urgent demand for green innovation. Findings EC is a key driver in building GIVC in smart manufacturing enterprises, which ultimately improves GIP significantly. EC realizes an improvement in GIP through a serial mediation effect comprising two key green knowledge transfer paths: GVCO and green knowledge spillover (GKS). Specifically, EC first promotes GVCO effectively within the firm and with external partners (e.g. suppliers and customers); it realizes the deep integration and application of green knowledge. This process forms the foundation for improving innovation performance. Subsequently, green knowledge formed based on the GVCO can be diffused and shared in a wider network through the GKS effect (external diffusion). This diffusion process further amplifies the positive EC impact. The empirical results clearly confirm that GVCO and GKS are significant as serial mediators in the mechanism through which EC affects GIP. This implies that GVCO is a key hub in the initial knowledge transformation generated by EC. GKS is a necessary extension pathway for scaling up this internal transformation effect and achieving wider value creation. Originality/value First, drawing on a knowledge-based view, the authors expand the theoretical framework of GIVC. Second, they extend the traditional innovation value chain to the green context and explicitly state that GIVC is a dynamic interaction process between multiple stakeholders and the environment, with external policy guidance serving as a key triggering mechanism. Finally, they propose that GVCO and GKS are core paths for transforming knowledge resources into green value. The authors reveal a dual transmission mechanism whereby conscious value co-creation can trigger unconscious knowledge spillover, thus providing a new interpretation of the knowledge-based view.