Internal strife or united strength breaks gold: Sibling co-management and corporate green innovation

Based on data from Chinese A-share listed family firms from 2009 to 2023, this paper examines the impact of sibling co-management on the green innovation. The findings indicated that sibling co-management negatively inhibited the level of green innovation, thereby lending support to the internal strife hypothesis. Mechanism analysis demonstrated that sibling co-management leaded to elevated agency costs and diminished risk-taking propensity, which in turn inhibited the green innovation of enterprises. Further analysis revealed that the inhibitory effect of sibling co-governance on green innovation was more significant in areas with strong Confucian cultural influence, low public attention to the environment, high degree of management conflict, poor family imprint, elder brother authority, and higher family shareholding ratio. This research not only contributes to the literature on sibling co-management but also offers valuable insights into the determinants of green innovation in family firms.