Green Innovation Decision Of Enterprises Considering Consumers’ Environmental Awareness Under Import Competition

Since reform and opening up,The Chinese market has been increasingly open to the outside world,and more and more foreign enterprises have entered the Chinese market to compete.Facing the fierce competition of similar products,improving independent innovation ability has become an important measure for domestic enterprises to adjust their development mode and improve their core competitiveness.At present,green development has become the goal of China’s industrial transformation and upgrading.With the introduction of a series of relevant government policies and the improvement of residents’ awareness of environmental protection,green innovation is favored by more enterprises.Based on this,this paper takes import competition as the background to explore how domestic enterprises make green innovation decisions under the influence of consumers’ environmental awareness.On the basis of relevant literature review,this paper constructs the competition model of domestic and foreign enterprises based on Hotelling model,uses backward induction method to solve the game equilibrium,analyzes the influence of consumers’ environmental awareness on enterprises’ green innovation achievements and enterprises’ innovation mode selection when there is import competition.At the same time,through numerical simulation,By comparing the product price,market share and balanced profit of domestic enterprises after green innovation under the three conditions of leader,follower and competition with foreign enterprises at the same time,relevant conclusions are drawn.On this basis,it further analyzes the domestic new energy vehicle industry pattern under import competition,and makes a case study of BYD’s innovative decision.Finally,some suggestions are put forward for domestic enterprises to make green innovation decisions considering consumers’ environmental awareness when facing the pressure of foreign products competition.The main research conclusions of this paper are as follows :(1)without green innovation,the increase of consumers’ environmental awareness has a positive impact on the price,market share and corporate profit of foreign products with high green degree,while the price,market share and corporate profit of domestic products with low green degree change in the opposite direction.Higher tariffs will reduce the profits of foreign companies and boost the profits of domestic companies.(2)After green innovation,the price,market share and equilibrium profit of domestic products are larger than those without green innovation,and the degree of change increases with the improvement of consumers’ environmental awareness.With the increase of tariffs,the positive impact of consumers’ environmental awareness on enterprises’ green innovation has been enhanced.(3)The choice of enterprise innovation mode depends on consumer environmental awareness,enterprise green innovation R&D efficiency and process innovation R&D efficiency.Under the condition of fixed r&d efficiency of green innovation and process innovation,enterprises choose green innovation when consumers’ environmental awareness meets certain conditions.(4)Numerical simulation analysis shows that under low tariff conditions,when domestic enterprises are in a leading position in the market,their profits after green innovation are the highest.Under the condition of high tariff,when consumers’ environmental awareness is low,domestic enterprises have the highest profit after green innovation when both domestic and foreign enterprises compete at the same time.When consumers’ environmental awareness is high,domestic enterprises in a leading position have the highest profit after green innovation.