The influence of green innovation and political stability on e-commerce: evidence from Asian countries

In this new era of the digital revolution, the development of technology rapidly promotes the globalization of economic development, especially in the digital economy. E-commerce development has emerged as a critical component of any country's sustainable economic growth and development. In recent years, green technology innovation and political stability have gained increasing attention as key determinants of e-commerce development, particularly in Asian countries striving to achieve both digital transformation and sustainable economic progress. Although previous studies have examined the determinants of e-commerce growth, limited research has jointly explored the roles of green technology innovation and political stability in influencing e-commerce development. In addition, inconsistent findings on the impact of sustainability initiatives on E-commerce growth highlight an important research gap. This study contributes to the literature by shedding light on the intersection of green technology, governance, and E-commerce performance in Asian. These research studies empirically examine the effect of green technology innovation and political stability index factors that will impact e-commerce towards Asian countries. The data are collected based on 20 selected countries in Asian from secondary data for 2000 to 2020 and using panel data regression model methods to analyse the relationship between these variables. The results show that green technology innovation has a negative and insignificant relationship with e-commerce growth. In contrast, political stability has a positive and significant effect on e-commerce development. However, the relationship between green technology innovation and e-commerce becomes positive when the political stability index is included in the model. These findings suggest that while sustainability initiatives alone may have limited direct impact on digital economy expansion in Asian, strong political stability can enhance the effectiveness of green technology innovation. Overall, the results highlight the critical role of governance in shaping the digital economy, with political stability emerging as a stronger determinant of e-commerce success. Therefore, policy recommendations emphasize regional collaboration, sustainable innovation, and stronger governance policies to accelerate e-commerce growth.