Abstract
The main aim of this paper is to show the extent to which environmental proactivity is able to generate competitive advantages in a firm in order to improve their economic-financial performance by introducing the role of managerial perception into the analysis. This study focuses on Spanish wineries and their environmental practices and covers a total of 4598 wineries with a sample of 142 valid responses during the month of November 2015. The results can be summarized as follows. Firstly, there is positive environmental proactivity in terms of obtaining both cost-based and differentiation-based competitive advantages. Likewise, this proactivity has a positive impact on the manager’s perception of performance. Secondly, obtaining differentiation-based competitive advantages has a positive impact on the manager’s perception of performance although a negative impact on performance itself. There is, however, no significant evidence of the impact of cost-based competitive advantages on financial performance nor on the perception of performance itself, nor the impact of environmental proactivity on financial performance.
Highlights
Environmental management involves both technical and organizational actions which aim to reduce environmental impacts and minimize their consequences on the natural environment [1]
We examine the relationship between environmental proactivity and competitive advantaSgusetasin(aHbiliytyp2o01t8h, 1e0s, ex sFO1R).PEIEnRaRdEVdIEitWion, we analyze the influence of the environmental6pofr1o8activity on company performance (Hypotheses 2)
Given that the structural equation models comprise two submodels [75,85], we shall first describe the results for the measurement model, which specifies the relationships between constructs and their indicators, before those relating to the structural model, which contains the relationships between constructs
Summary
Environmental management involves both technical and organizational actions which aim to reduce environmental impacts and minimize their consequences on the natural environment [1]. Environmental management today must be considered from a strategic perspective so that it does have a positive effect on competitiveness [2]. In this context, environmental proactivity is defined as “the voluntary implementation of practices and initiatives to improve environmental performance” [3] Environmental proactivity is defined as “the voluntary implementation of practices and initiatives to improve environmental performance” [3] Market place differentiation can emerge through the commercialization of environmentally-friendly products or thanks to a firm’s green image [7,8]. Business opportunities arising from accepted environmental products offer useful tools to gain a competitive advantage linked to an environmental action [9,10]
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