Abstract

The existing literature on the uptake of eco-innovations has generally focused on analyzing the influence of business strategies and external drivers (public policy and stakeholder impacts) in innovation processes in firms. Internal factors to the firm, (i.e. in-house resources, firm characteristics and capabilities), which have been shown to be important drivers of business strategies and innovation performance, are seldom considered in the literature. This paper builds an integrated framework that incorporates the impact of firm’s internal factors and their interactions with external drivers on the development and adoption of eco-innovations. The relevance of these factors regarding several dimensions of eco-innovation is illustrated with case studies. It is shown that, while all capabilities are relevant for the development and uptake of eco-innovations, their relative relevance differs between different dimensions of eco-innovation.

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