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April 19, 2026Chinese Management Studies0 citations

How does network embeddedness drive green innovation in industrial clusters? The role of resource orchestration capability and institutional environment

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RLR H LiuWCWenhao ChangLZLingyu Zhong

Key Points

  • The study aims to explore how different forms of network embeddedness affect ambidextrous green innovation through resource orchestration capability.
  • Analyzed data from 631 surveys of firms in Chinese industrial clusters.
  • Employed structural equation modeling to test a moderated mediation model.
  • Investigated the roles of network routines and normative pressure as moderators.
  • Structural and relational embeddedness enhance resource orchestration capability in firms.
  • Improved resource orchestration capability promotes both exploratory and exploitative green innovation.
  • Network routines positively influence the relationship between embeddedness and resource orchestration capability.
  • Normative pressure strengthens the effect of resource orchestration on ambidextrous green innovation.

Abstract

Purpose Firms pursuing carbon neutrality must engage in both exploratory and exploitative green innovation, yet balancing these two types of innovation poses a significant challenge due to their different resource needs and risk profiles. Network embeddedness within industrial clusters, including structural and relational embeddedness, can help address this challenge by providing access to heterogeneous resources and mitigating innovation risks. However, existing research has paid limited attention to how different types of network embeddedness influence ambidextrous green innovation and under what conditions these effects are shaped. To address this gap, this study aims to examine how structural and relational embeddedness within clusters influence ambidextrous green innovation through resource orchestration capability, and how network routines and normative pressure moderate these relationships. Design/methodology/approach Using data from 631 survey respondents collected from Chinese cluster firms, this study uses structural equation modeling to test a moderated mediation model. Findings The results indicate that both structural and relational embeddedness within industrial clusters enhance firm resource orchestration capability, which in turn promotes exploratory and exploitative green innovation. Furthermore, network routines positively moderate the relationship between cluster firms’ structural and relational embeddedness and resource orchestration capability, while normative pressure strengthens the positive effect of resource orchestration capability on ambidextrous green innovation. Originality/value By unveiling the mediating role of resource orchestration capability and the moderating role of institutional factors, this study extends social network theory in green innovation research and clarifies how cluster-based mechanisms operate under a specific institutional environment.

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Cite This Study

Liu et al. (2026) studied this question.

synapsesocial.com/papers/69e472d8010ef96374d8eb71https://doi.org/10.1108/cms-12-2025-1266
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