Navigating dual official pressures: State-owned shares and the green innovation trajectory of private enterprises.

Previous research regarding the role of state-owned shares in fostering private enterprises' green innovation has yielded ambiguous findings, sparking intense debate. This study examines this impact and considers the 2013 reform of local officials' promotion assessment mechanism to explore how officials' promotion pressure affects green innovation in private enterprises with expanding administrative boundaries. Examining a research sample of Chinese A-share listed private enterprises covering 2009–2022, the findings uncover an inverted U-shaped relationship between state-owned shares and private enterprises' green innovation. Officials' economic pressure weakens this relationship, while environmental pressure significantly enhances it. Further analyses reveal that the influence of state-owned shares is notably stronger for private enterprises with an entrepreneurial orientation and high level of environmental awareness. Our study makes valuable theoretical and practical contributions in understanding the relationship between officials' dual pressures and private enterprises' green innovation by assessing the influences of the mixed economy on private sector behavior and offering insights for advancing global private enterprises' sustainability. • Nonlinear relationship exists between state-owned shares and green innovation in private enterprises. • The transformation of officials' promotion assessment mechanism moderates state-private green innovation ties. • State-owned share's role varies with private enterprises' origin and environmental awareness. [ABSTRACT FROM AUTHOR]