Abstract
This study proposes and empirically tests a new model using data collected through a survey of the green businesses in Taiwan in order to investigate the relationship between the environmental strategy of a corporation and their environmental knowledge circulation process, and the influence of both on environmental innovation. Industries approved for International Organization for Standardization 14000 certification in Taiwan were investigated by questionnaire. From the results of this study, the author found that the environmental knowledge circulation process has a significant effect on environmental innovation, and positively proactive strategies have the most positive influence on environmental strategy. Therefore, companies should apply a positive environmental strategy to conduct their environmental knowledge circulation process, and so also promote environmental innovation.
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