Does Twin Transition Facilitate Exporting? The Case of Logistics Innovation

Abstract

ABSTRACT Firms need to overcome two hurdles to enter foreign markets: deciding whether to export and the intensity of their export sales. Although logistics plays a crucial role in exporting, the link between logistics innovation and exporting remains unexplored. However, logistics innovation is vital for firms to respond to the emergence of digital technologies and the urgency to make their global value chains more sustainable. To address this research gap, we investigate the impact of digital logistics innovation (DLI) and environmental logistics innovation (ELI)—core components of the ongoing ‘twin transition’—on exporting. Using data from the 2014–2016 Community Innovation Survey for 2171 Greek and 4779 Portuguese firms, we estimate a double hurdle model. Empirical results suggest that ELI primarily facilitates market entry, whereas DLI enhances export intensity, pointing to a substitution rather than a complementary relationship between them. Our findings highlight country‐specific patterns and the need for tailored twin transition policies.

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