Weathering the storm: How does firm oil price uncertainty exposure impact green innovation in times of geopolitical tensions
研究了中国上市公司对油价不确定性的暴露如何促进绿色创新，并发现地缘政治紧张会强化这一关系，尤其当紧张来自客户国时。
This study examines the impact of oil price uncertainty sensitivity on corporate green innovation, in times of geopolitical tensions. Using manually collected import and export data at the destination country-firm level from China Customs Dataset, we construct the unique measure of firm-level geopolitical tensions of Chinese listed companies received from foreign supply chain partners. Our results reveal that firms with higher exposure to oil price uncertainty are more likely to engage in green innovation. Importantly, geopolitical tensions significantly and positively moderate the relationship between corporate oil price uncertainty exposure and green innovation efforts, with the effect being particularly pronounced in the context of geopolitical tensions originating from customer countries. Further analysis reveals that domestic supply chain alliances and supply chain efficiency mitigate firms' urgency for green innovation. Finally, we find that the effects of oil price uncertainty and geopolitical tensions on green innovation are more pronounced in firms with higher international exposure, and greater competitive pressures.