Being green and export intensity of SMEs: The moderating influence of perceived uncertainty

Abstract

Although the literature has already begun to look at the relationship between pursuing an environmental strategy and undertaking export activities, studies so far have focused on large multinationals rather than on small- and medium-sized enterprises (SMEs). Yet SMEs account for around half of the GDP in both the US and the EU, and are responsible worldwide for 60% of carbon emissions. Moreover, the literature until now has paid very little attention to the influence that uncertainty has on the relationship between international trade and environmental strategies. The authors tackle this relationship here. Using direct interviews with the CEOs of 145 export firms operating in Spain's food industry, the results show that a proactive environmental strategy is positively related to a company's export performance. In addition, the authors also find that general uncertainty imposes a moderating effect on the relationship between proactive environmental strategies and export intensity for SMEs. The final results suggest some appealing differences in the role of perceived uncertainty for SMEs and large firms.