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The tourism sector is facing significant challenges due to global climate change. The sector is a major contributor to carbon emissions while at the same time relied upon to drive regional development in Arctic Finland. This paradoxical situation highlights the urgent need for effective mitigation and adaptation policies and governance frameworks for both climate change and tourism. Finland has set one of the world’s most ambitious national climate mitigation targets into a legally binding framework. The state aims to be the first country in the global North to reach carbon neutrality by 2035. The new Climate Change Act 2022 outlines the key requirements for climate change policy planning and related monitoring and defines the national climate objectives. However, the tourism industry’s future growth potential in the Arctic Finland relies heavily on international tourism, which is largely based on the aviation sector. Tourism therefore faces a paradoxical situation for growth thinking in the current climate change policy context. Against this backdrop, this chapter aims to explore the complex issue of sustainable tourism development governance in the context of carbon neutrality policy in Arctic Finland. Specifically, it focusses on the potential contradictions between the role and needs of the tourism sector in regional development policies, and the responsibilities outlined in the Climate Change Act. This ‘wicked problem’ requires careful consideration and innovative solutions to ensure that tourism can continue to drive economic growth while also addressing the challenges of climate change.

There has been limited research that has explored the connection between digital supply chain (DSC) and SC innovation and SC dynamic capabilities. This paper aims to examine the mediating effect of SC innovation on the relationship between DSC and SC dynamic capabilities.

The research model and hypotheses were tested, employing (Statistical Package of Social Sciences) SPSS 25.0 and (Analysis of Moment Structures) AMOS 24.0 on data drawn from the Chinese manufacturing enterprises.

The study reveals that DSC has a significant positive effect on SC innovation and SC dynamic capabilities. SC innovation also has a significant positive effect on SC dynamic capabilities. Besides, the authors' research illustrates that SC innovation partially mediates the relationship between DSC and SC dynamic capabilities.

Since the results are derived from the data collected from China, it may not, therefore, be generalized to other settings. Moreover, future research could consider other contextual variables such as “environmental uncertainty” and “Government's Reward-Penalty Mechanism,” which may influence SC dynamic capabilities.

The study provides practical insights for senior executives and managers in the manufacturing industry. Managers should emphasize the investment of advanced digital technologies and tools (DTTs) and improvement of SC visibility and collaboration. In the digital age, companies should pay attention to the introduction of advanced technologies, tools and processes and focus on cultivating an innovative spirit to promote SC dynamic capabilities, thereby enhancing competitive advantages.

The paper illustrates that DSC is of great significance to improving SC dynamic capabilities. This study reveals compelling insights for firms to enhance SC innovation and dynamic capabilities by using DSC as an enabler.