Research on Digital Effects on SMEs' Carbon - Neutral Models

07 Mar 2025

Recently, Dr Jianwen Zheng, an associate professor in the Department of Strategic Management and Organisation at the International Business School Suzhou (IBSS) at Xi'an Jiaotong-Liverpool University, and his collaborative team published a paper titled "Digital technology integration in business model innovation for carbon neutrality", which has been accepted by Journal of Environmental Management.

With the rapid development of digital technologies, small and medium-sized enterprises (SMEs) have embraced new opportunities in the fields of business model innovation and sustainable development. Digital technologies not only enhance enterprise operational efficiency but also provide effective paths for achieving carbon reduction goals. Recently, the research conducted by Dr Jianwen Zheng and his research team proposed a three - stage model of digital technology - driven business model innovation, revealing how digital technologies gradually evolve from "enablers" to "disruptors" and "leaders", facilitating enterprises to move towards a more sustainable development path.

Through case studies of high - tech SMEs, the research summarized three key stages of digital technologies in business model innovation. In the initial stage, digital technologies act as "enablers", optimizing internal corporate processes, improving efficiency, and reducing energy consumption. For example, through the Internet of Things (IoT) and artificial intelligence (AI) technologies, enterprises can monitor and optimize production processes, thus reducing energy consumption and operational costs. At this stage, enterprises use digital tools to activate traditional business models, optimize supply chain management, and strengthen teamwork through information sharing, promoting the formation of an innovative culture.

In the intermediate stage, digital technologies begin to play the role of "disruptors", deeply reshaping the way enterprises create and deliver value, and driving business model transformation. Enterprises at this stage, by integrating technologies such as blockchain and AI, not only achieve process innovation but also develop new product and service models. For instance, by leveraging data - driven supply chain optimization, enterprises enhance flexibility and sustainability, and at the same time, achieve personalized customer experiences through digital tools, strengthening their market competitiveness.

In the mature stage, digital technologies have become the "leaders" of enterprises, driving continuous innovation and carbon reduction as part of the core strategy. At this stage, enterprises collaborate with partners through intelligent ecosystems to develop green solutions and achieve more efficient resource allocation. For example, enterprises establish green supply chains through digital leadership, optimizing logistics and production processes to further reduce carbon emissions. The focus of this stage is to promote the green transformation of the value chain through co - creation in the ecosystem, laying the foundation for the long - term sustainable development of enterprises.

The research points out that digital technologies contribute significantly to the carbon neutrality process at different stages. In the initial stage, technology applications mainly focus on optimizing internal processes, such as green logistics and energy management. In the intermediate stage, systematic carbon reduction in the value chain is promoted by integrating green supply chains and circular economy practices. In the mature stage, enterprises further reduce their carbon footprint by building intelligent ecosystems. For example, a company in the case uses blockchain to track the life cycle of green products, which not only improves supply chain transparency but also promotes consumer participation in sustainable development. This research provides important theoretical and practical implications for the field of digital technology and business model innovation. Firstly, it reveals the dynamic evolutionary relationship between digital technologies and business model innovation, clarifying how technologies enable enterprises to upgrade from local optimization to systematic transformation at different stages. Secondly, it offers clear practical references for SMEs, helping them flexibly apply digital technologies according to their own development stages and promote the integration of business goals and sustainable development.

Dr Jianwen Zheng is an Associate Professor in the Department of Strategic Management and Organizations at IBSS, Xi’an Jiaotong-Liverpool University. His research focuses on strategy, including firm growth, international strategy, and sustainable strategy, as well as innovation, covering areas such as new product development, green innovation, innovation ecosystems, and digital transformation management. He investigates these topics in entrepreneurial, newly public, and mature firms, as well as in supply chain contexts. His work has been published in leading journals, including Regional Studies, Technovation, International Journal of Operations and Production Management, and Energy Economics.

Journal of Environmental Management is an international interdisciplinary journal that focuses on the theoretical research and practical applications of environmental management. The journal covers fields such as environmental science, resource conservation, pollution control, ecological management, sustainable development, and climate change, aiming to provide scientific support and innovative solutions for environmental management practices and policy - making. The journal is rated as ABDC - A, and is in the second category of the Chinese Academy of Sciences' journal classification. With the latest impact factor of 8.0, it has significant international influence in the field of environmental science and management.

07 Mar 2025