How Digital Transformation Affects Ambidextrous Green Innovation in Heavily Polluting Firms: The Moderating Roles of Executive and Investor Environmental Attention

ABSTRACT This study investigates the heterogeneous impact of digital transformation on ambidextrous green innovation using a sample of Chinese A‐share listed firms in heavily polluting industries from 2010 to 2023. From the environmental attention perspective, two moderators are identified: internal executive environmental cognition and external investor environmental concern. The results indicate that digital transformation promotes exploratory green innovation but exhibits an inverted U ‐shaped relationship with exploitative green innovation. Moreover, executive environmental cognition positively affects the relationship between digital transformation and ambidextrous green innovation. Notably, investor environmental concern strengthens the positive moderating effect of executive environmental cognition. These findings extend the understanding of the digital‐green synergy through the lens of environmental attention and offer valuable insights for the low‐carbon transition of heavily polluting firms.