Coopetition With Innovation Ecosystem Partners and Environmental and Social Solutions: Evidence From Multinational Subsidiaries in China

Sustainability challenges increasingly require firms to work with diverse innovation ecosystem actors, yet how these interactions relate to environmental and social (ES) solutions remains unclear. Using two‐wave survey data from 270 multinational enterprise (MNE) subsidiaries in China, this study examines how subsidiaries' perceived cooperation and rule‐governed competition with innovation ecosystem partners are associated with ES solutions, directly and indirectly through ambidextrous open innovation, and whether digitalization capabilities moderate these associations. Competition was positively associated with ES solutions, whereas cooperation showed no direct association. Ambidextrous open innovation accounted for significant indirect associations, consistent with complementary mediation for competition and indirect‐only mediation for cooperation. Digitalization capabilities strengthened the cooperation–ambidextrous open innovation association but did not significantly moderate the competition pathway. By distinguishing rule‐governed competitive conduct toward partners from market competitive intensity, this study clarifies distinct subsidiary‐level pathways linking coopetition to ES solutions through inbound and outbound knowledge flows. It also identifies digitalization capabilities as a boundary condition for the cooperation pathway when subsidiaries manage knowledge‐protection concerns.