Role of green financing and corporate social responsibility (CSR) in technological innovation and corporate environmental performance: a COVID-19 perspective

Abstract

Purpose

The aim of this study is to estimate the relationship between technological innovation and corporate environmental performance among energy companies working in Egypt.

Design/methodology/approach

The study extended the aim with the intention to assess the role of green financing in enhancing corporate environmental performance. Partial least squares (PLS)-based structural equation modeling (SEM) is applied to estimate the nexus among study variables.

Findings

The results indicated that technological innovation influenced environmental performance and has a positive impact on company performance. The role of green financing for environmental performance is also significant and positive. Moreover, corporate social responsibility (CSR) has insignificant role in environmental performance of the energy companies in the study context.

Research limitations/implications

The study offers a valuable model for general managers of manufacturing organizations and policymakers to manage CSR, environmental strategy and green innovation in examining environmental performance. It can help to assist general managers of large manufacturing organizations to strengthen their internal resources like CSR, environmental strategy and green innovation to enhance environmental performance.

Practical implications

The findings of this article will help the practitioners to design policies regarding sustainable energy systems and green finance in the presence of any natural calamity.

Originality/value

This study primarily complements the existing literature by establishing how green financing and CSR can augment and/or interact between technological innovation and corporate environmental performance under COVID-19 crises, in a developing country.

Citation

Awawdeh, A.E., Ananzeh, M., El-khateeb, A.I. and Aljumah, A. (2022), "Role of green financing and corporate social responsibility (CSR) in technological innovation and corporate environmental performance: a COVID-19 perspective", China Finance Review International, Vol. 12 No. 2, pp. 297-316. https://doi.org/10.1108/CFRI-03-2021-0048