Abstract
AbstractThe literature on stakeholder management suggests that involving stakeholders in the decision‐making process of firms is an ethical requirement and a valuable strategic resource for businesses to derive competitive advantage. However, the extent to which stakeholder pressure influences eco‐product innovation lacks theoretical clarity. This article extends the eco‐innovation literature by investigating the role of stakeholder pressure on eco‐innovation through the mediating mechanism of environmental commitment. In addition, it examines the moderating impact of international orientation on the environment commitment–eco‐innovation nexus. The results from a sample of 255 Vietnamese small and medium‐sized enterprises (SMEs) indicate that the influence of both primary and secondary stakeholder pressure on eco‐innovation is mediated by environmental commitment. In addition, the positive relationship between environmental commitment and eco‐innovation increases with a firm's level of international orientation. The findings provide a nuanced understanding of the role of stakeholder in eco‐innovation.
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