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Cross-border green patents improve firms’ environmental performance

A hand pointing at a network diagram with interconnected circular nodes displayed on a blue digital interface, suggesting global connectivity and technology in a business context.
Research area:Economics, Econometrics and FinanceEconomics and EconometricsIntellectual Property and Patents

What the study found

Cross-border green patents were associated with better environmental performance in host-country firms. The authors report that the positive relationship was observed in data from Chinese listed firms.

Why the authors say this matters

The study suggests that cross-border green patents can play a role in the environmental governance of host-country firms. The authors conclude that the findings may offer a reference for developing countries like China seeking to balance economic and environmental benefits.

What the researchers tested

The researchers examined the impact of cross-border green patents on environmental performance from an international perspective. They used data from Chinese listed firms and tested possible mechanisms behind the relationship.

What worked and what didn't

The empirical results suggest a positive effect of cross-border green patents on firms’ environmental performance. The mechanism tests indicate that this relationship was primarily mediated by green technological progress, executives’ green cognition, and imported green intermediate goods.

What to keep in mind

The abstract does not describe detailed limitations. The findings are based on Chinese listed firms, and the stronger positive effect was reported for firms in technology-intensive industries, regions with high environmental governance priorities, and firms in maturity stages.

Key points

  • Cross-border green patents were linked to improved environmental performance in host-country firms.
  • The study used data from Chinese listed firms.
  • The reported relationship was mainly mediated by green technological progress, executives’ green cognition, and imported green intermediate goods.
  • The positive effect was stronger for technology-intensive firms, firms in regions with high environmental governance priorities, and firms in maturity stages.
  • The authors say the findings may inform efforts to balance economic and environmental benefits.

Disclosure

Research title:
Cross-border green patents improve firms’ environmental performance
Authors:
Shujie Yao, Zhenya Sun, Jing Fang, Yingjie Li
Institutions:
Liaoning University, Chongqing University, Shandong University of Technology, Hangzhou Normal University, China People's Police University
Publication date:
2026-02-27
OpenAlex record:
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AI provenance: This post was generated by OpenAI. The original authors did not write or review this post.