The interaction between industry-talent integration and two-phase green innovation in pharmaceutical manufacturing companies: Moderating effects of corporate financing constraints and executive short-term compensation incentives

Abstract

In the era of green economy, the synchronous resonance of industry-talent integration and green innovation is crucial for the high-quality development of pharmaceutical manufacturing companies, but few studies have explored the interaction between the two factors and its situational conditions. To fill this gap, this study decomposes green innovation into green technology research and development (R&D) and achievements commercialization phases based on the two-phase value chain. Meanwhile, a sample of 99 listed Chinese A-share pharmaceutical manufacturing companies from 2013 to 2022 is examined to demonstrate the interaction between industry-talent integration and two-phase green innovation. The results show: (1) There is a reciprocal effect between industry-talent integration and two-phase green innovation efficiency; green technology R&D efficiency has a greater enabling effect on industry-talent integration, and industry-talent integration has a stronger driving effect on green achievements commercialization efficiency. (2) Midwestern and non-state-owned companies have yet to realize a mutually reinforcing response to industry-talent integration and green achievements commercialization efficiency; state-owned companies have not formed a positive interaction between industry-talent integration and green technology R&D efficiency. (3) Enhanced corporate financing constraints can weaken the driving effect of industry-talent integration on two-phase green innovation efficiency; increased short-term compensation incentives for executives will also weaken the facilitating effect of two-phase green innovation on industry-talent integration. In future, pharmaceutical manufacturing companies should alleviate financing constraints and dynamically adjust executive incentive mechanism, so as to promote the mutual response of industry-talent integration and two-phase green innovation through precise measures.

Keywords: Executive short-term compensation incentives; Financing constraints; Industry-talent integration; Pharmaceutical manufacturing companies; Two-phase green innovation efficiency.