Different Types Of Eco-innovations Research Articles

The ambiguous effects of eco-innovations: a systematic literature review

While eco-innovations can help organisations comply with external stakeholders' expectations, they can also lead to unwanted or unexpected effects. This paper aims to explore business management literature addressing the ambiguous effects of eco-innovation. The methods used included a systematic literature review (SLR) in the Scopus and WoS databases and bibliographic techniques. By critically analysing 53 papers, the study identifies four clusters where negative or ambiguous effects of eco-innovations appear: financial, environmental, social and operational performance. The results indicate that strategic eco‐innovation had a significantly adverse impact on corporate financing, caused a decrease in employment, and created tensions for employees. Moreover, the bearing of eco-managerial innovations (eco-design) on performance was not significant. We contribute to the literature by suggesting that eco-innovation does not always generate the expected benefits. What is more, different types of eco-innovation can generate contrasting effects for the organisation and may occur at different times.

Linking external collaborations, eco-innovation and sustainable growth. An empirical analysis on the Italian manufacturing firms

ABSTRACT This paper analyses the relationships between eco-innovation and business performance by exploring the role of external collaborations as a potential factor explaining the persisting heterogeneity of economic effects of eco-innovation. Basing on a large survey of 3,000 Italian manufacturing firms, the study investigates to what extent collaborations with supply chain and quadruple helix actors, including public institutions, universities and civil society, contribute in sustaining firm’s growth by improving the effectiveness of different types of eco-innovations. We find that the relationship between eco-innovation and business performance is moderated by both supply-chain and quadruple helix collaborations. However, external collaborations with actors of the quadruple helix show a pronounced heterogeneity. While process eco-innovation may in particular benefit from establishing collaborations with public institutions, product eco-innovation relies more on interactions with civil society suggesting that market-driven factors still exert a main role in influencing the market success of this type of eco-innovation.

Exports and outward FDI as drivers of eco-innovations. An analysis based on Spanish manufacturing firms

The literature about the drivers of eco-innovation has pointed out the importance of internationalization processes. This study explores the relationship between two international strategies -Exports and Outward Foreign Direct Investment (FDI)- over eco-innovations differentiating by type of innovation (product and process) and the degree of novelty (radical and incremental). We use a sample of Spanish Manufacturing firms, applying GMM estimations in the period 2008–2016. Results show different effects of learning by internationalization depending on the mode of internationalization and the type of eco-innovation. Specifically, effects of outward FDI for the different types of eco-innovations are lower and take longer to materialize in eco-innovations than exports effects.

Many or trusted partners for eco-innovation? The influence of breadth and depth of firms' knowledge network in the food sector

Although literature on open eco-innovation has recently increased, empirical research on this topic in traditional low-tech sectors is still relatively scarce. The present paper examines how open innovation activities can promote eco-innovations in the food industry, an industry that is sometimes considered a technological laggard with traditionally low cooperation. The paper focuses on the relationship between a firm's interactions with stakeholders, particularly the breadth and the depth of the firm's knowledge network and the firm's propensity to develop different types of eco-innovations. Using a novel and more accurate measure of breadth and depth and addressing endogeneity with instrumental variables, the paper studies their influence on technological eco-innovation in a random sample of 279 food firms in Spain. The results show that coordination difficulties and bounded rationality explain an inverted U shape in the relationship of breadth of external knowledge sources and the propensity to eco-innovate both in product and process eco-innovations. Additionally, our findings confirm that it is important to rely on deep, frequent and intense relationships with stakeholders in order to create the required atmosphere to foster fluent knowledge sharing among partners specially to develop eco-process innovations, but a learning effect appears. Future research should extend the analysis to other countries and sectors to address the limitations of this study.

Building a taxonomy of eco-innovation types in firms. A quantitative perspective

Eco-innovations, or innovations that reduce the environmental impacts of production and consumption activities, are considered crucial for sustainability transitions and a key element of a Circular Economy. Although previous contributions have acknowledged the existence of different types of eco-innovations (e.g., product vs. service or incremental vs. radical), a precise conceptualization of eco-innovation types, which takes into account its multifaceted character, is missing. Yet such a conceptualization is crucial in order to understand how eco-innovations contribute to a sustainable transition, how policy makers can promote different eco-innovation types, and how business practitioners can develop eco-innovations. This article covers this gap in the literature. Its aim is twofold: 1) to develop a quantitative method to categorise different eco-innovation types in a particular setting, taking into account their distinct features and dimensions; 2) to apply this method in a given sector and country, building a taxonomy of eco-innovation types. It draws on a survey of 197 Spanish industrial small and medium size enterprises (SMEs) which developed or adopted an eco-innovation between 2012 and 2013. The statistical analyses reveal the existence of a taxonomy of five eco-innovation types: systemic, externally driven, continuous improvement, radical (technology-push initiated) and eco-efficient. They differ in their techno-economic configurations, contribution to environmental sustainability and corporate goals and required changes in the firms. Specific policy and managerial implications are deducted.

Making the world a better place by making better products

PurposeThis paper aims to examine whether consumers respond differently to different types of eco-innovations and to explore how and under what conditions eco-friendly consumer innovativeness (ECI) impacts consumers’ perception and adoption intentions.Design/methodology/approachTwo online experiments with real consumers in the USA were conducted to test the hypothesized relationships. Two eco-innovation products were examined: a connected vacuum cleaner (Study 1) and an innovative smartphone (Study 2).FindingsFirst, consumers tend to express more positive product beliefs, higher preferences and stronger adoption intentions toward resource use elimination innovations compared with the other types of eco-innovations across two product categories. Although consumers are not willing to pay more, they would adjust their payment equity by increasing consumption levels for resource use elimination innovations. Second, this research demonstrates ECI affects adoption intentions via formulating consumer perceptions of product eco-friendliness. Perceived trade-offs between eco-friendly benefits and product effectiveness strengthens the positive effect of ECI while weakening the impact of perceived product eco-friendliness on adoption intentions.Research limitations/implicationsFuture studies may validate and extend the results for marketing communication to different types of eco-friendly innovative consumers to determine which marketing messages best match the perceptions and preferences of certain eco-friendly innovative consumers.Practical implicationsThis study offers useful insights for strategic research-and-development investment and decision-making processes in selecting the best-suited approaches to developing eco-innovations and maximizing their success in the commercialization phase. Specifically, firms should place greater emphasis on resource use elimination innovation, which could evoke more positive consumer responses than resource use efficiency innovations and resource use substitution innovations. Moreover, it is important to improve the segmentation of the early adopters in the eco-innovation market with respect to specific types of eco-innovations so that marketers can distinctively address eco-friendly innovative consumers that best fit the potential user profile of their products.Originality/valueThe current research is novel as neither an empirically nor a theoretically founded framework has been suggested to examine how and why consumers respond differently to different types of eco-innovations. The findings shine new lights on eco-innovation research by providing useful insights into the underlying mechanisms and the conditions under which ECI affects consumers’ responses.

Eco-Innovation and Firm Efficiency: Empirical Evidence from Slovenia

Eco-innovation plays an increasingly important role for the competitiveness of companies. They open up new market opportunities due to the growing demand for eco-friendly products and can increase business efficiency. Using a dynamic capabilities lens, this article analyzes the relationships between various types of eco-innovation (product, process and organizational) and firm efficiency in the context of less innovative and more innovative companies. We use data from an online survey of Slovenian companies that have implemented eco-innovations as part of their operations. Statistical tests include an analysis of variance and a linear regression analysis.We find that organizational eco-innovation positively affects firm efficiency at all companies independent of their innovation potential, while process eco-innovation is positively associated with firm efficiency only among more innovative companies. In addition, at less innovative companies, firm age positively affects firm efficiency, suggesting that older and less innovative companies may enjoy learning curve benefits derived from experience. However, firm size has a positive effect on firm efficiency at more innovative companies, suggesting that more innovative companies may benefit from economies of scale. In general, more innovative companies are more likely to engage in eco-innovation and more likely to derive cost benefits (efficiency) from different types of eco-innovation.The main limitations of our analysis are the subjective data on the level of firms’ innovation and efficiency, the cross-sectional study design, and the single-country setting. Further in-depth longitudinal studies could better model the direction of causality between the implementation of eco-innovation and business efficiency, obtain objective data on business innovation, and ensure a more detailed and nuanced exploration of dynamic firm capabilities.

A taxonomy of green innovators: Empirical evidence from South Korea

This paper presents a new taxonomy of green innovators. Using firm-level data from the Korea Innovation Survey, this paper investigates different types of eco-innovations, how these relate to each other, and what their main determinants are. The empirical methodology builds on a combination of factor, cluster, and multinomial logit analysis. The taxonomy identifies four groups of green innovators: (1) carbon dioxide reducing; (2) waste-reducing; (3) recycling innovators; (4) and pollution-reducing. Research and development (R&D) policies emerge as relevant factors for enhancing innovation in waste-reducing firms, whereas environmental taxes and regulations are found to be more important drivers of technological change for pollution-reducing firms. The contribution of this paper is twofold. First, it points out the firm-specific characteristics and policy instruments that are more relevant for different types of green innovation. Second, it provides new firm-level evidence for South Korea, thus expanding the geographical scope of econometric research on green innovation, which has so far largely focused only on European countries.

How does the search for knowledge drive firms’ eco-innovation? Evidence from the wine industry

The importance of eco-innovations to food manufacturing has risen exponentially in recent years. In this paper we investigate the drivers of different types of eco-innovation in the Italian wine industry, a particularly relevant sector both in terms of its economic performance and its use of natural resources. We focus on the internal knowledge sourcing of firms and on the ‘breadth’ and ‘depth’ of their engagement with external agents when performing eco-innovation activity. We test our research hypotheses in the context of cleaner processes, end-of-pipe technologies and the use of organic input factors. The empirical evidence is based on a questionnaire survey administered to 334 Italian wine producers. The econometric exercise provides mixed results: both internal R&D and engagement with external agents have a significant effect on eco-innovations depending on the type of eco-innovation taken into account. Moreover, we find a non-linear relationship between external knowledge sourcing and eco-innovation activity.

Relationship between eco-innovations and the impact on business performance: an empirical survey research on the Brazilian textile industry

This study draws from the resource-based theory and investigates the interrelationships between three types of eco-innovation (process, product, organizational) and their impact on business performance. Using a structural equation design with 70 samples collected from textile industry, research results show that business performance is affected by product and organizational eco-innovations. The process and product eco-innovations significantly influence the effects of organizational eco-innovation, and there are connections between process and product eco-innovations. Research reveals that each type of eco-innovation has its own attributes, determinants, and contributions to business performance. Study on the textile sector broadens the discussion of interdependence and co-evolutionary relationships among different types of eco-innovation and demonstrates that the development of efficient innovation programs requires a holistic view and organizational and technological capabilities.

ANALYSING FIRM-SPECIFIC AND TYPE-SPECIFIC DETERMINANTS OF ECO-INNOVATION

This paper analyses the main determinants influencing different types of eco-innovations and eco-innovators in Spain. We differentiate between two types of eco-innovations (process vs. product and new-to-the-market (NTM) vs. new-to-the-firm (NTF)) and two different types of ecoinnovators (large vs. small and old vs. new firms). Our findings show that new firms are not more eco-innovative and that smaller firms are certainly less eco-innovative. Although the environmental regulation variable is generally a main driver of eco-innovation, there are specific drivers for some eco-innovator and eco-innovation types. This is the case with internal innovation capabilities, which clearly influence small and new firms to eco-innovate, in contrast to large and old firms. Those capabilities are also a driver of NTM eco-innovation versus NTF eco-innovation. Involvement in external knowledge flows and cooperation is also a crucial variable for small firms to eco-innovate and a main driver of NTM versus NTF eco-innovation. Contrary to expectations, there are a few differential drivers for products vs. process eco-innovations. Energy/material cost reductions and environmental regulation influence both eco-innovation types, whereas the demand-pull from the market is absent for both, probably due to a relatively low degree of environmental consciousness and/or willingness to pay for eco-products by its consumers.

Effects of eco-innovation typology on its performance: Empirical evidence from Chinese enterprises

The reason for the lack of consensus on correlations between environmental performance and competitiveness may lie in scholars neglecting eco-innovation typology. To fill this gap, this study conducted regression analysis on 245 Chinese enterprises. The survey indicates the organizational eco-innovation is the most common with a ratio of 38.3%, then followed by process eco-innovation with 32.7%, product eco-innovation with 16.3% and end-of-pipe eco-innovation with 12.7%. The findings demonstrate that different types of eco-innovation do have significant influences on environmental performance and competitiveness. Firm size has differing impacts on environmental performance and competitiveness, being significantly positively associated with the former and not with the latter. Environmental regulation creates a positive effect on both firms' environmental performance and competitiveness, while the implementation of environmental regulation only significantly affects a firm's environmental performance and not its competitiveness.

The link between eco-innovation and business performance: a Taiwanese industry context

Abstract In practice, there are various types of eco-innovation. While each type of innovation has its own attributes, determinants, and contribution to business performance, it is not effective to implement eco-innovation programs without a holistic view. This study draws from the resource-based view theory to investigate inter-relationships among three types of eco-innovation (process, product, organizational) and their relative impact on business performance. Using structural equation modeling with 121 samples collected from Taiwan Environmental Management Association, we find that eco-organizational innovation has the strongest effect on business performance. Additionally, eco-process and eco-product innovations partially mediate the effects of eco-organizational innovation, and eco-product innovation mediates eco-process innovations' effects on business performance. Business performance is directly and indirectly affected by eco-organizational, eco-process, and eco-product innovations. The findings suggest that, in order to develop effective eco-innovation programs, managers must understand the interdependence and co-evolutionary relationships between different types of eco-innovation. Overall, this study extends the discussion of innovation to the area of environmental innovation or eco-innovation.

Drivers of different types of eco-innovation in European SMEs

In this paper we explore the drivers of different types of eco-innovation in European SMEs. Drawing upon a database of 27 European countries, empirical evidence is found for the different roles of supply-side, demand-side and regulatory factors in encouraging the adoption of different types of eco-innovation. Our empirical strategy consists of the estimation of a trivariate probit model. Our results show that those entrepreneurs who give importance to collaboration with research institutes, agencies and universities, and to the increase of market demand for green products are more active in all types of eco-innovations. Supply-side factors seem to be a more important driver for environmental processes and organizational innovations than for environmental product innovations. The results also show that market share only has a significant positive influence on eco-product and eco-organizational innovations, while cost-savings are solely significant for eco-process innovations. Finally, prioritizing existing regulations shapes eco-product and eco-organizational innovations while expected regulations and access to subsidies and fiscal incentives do not have any significant effect on the decision to eco-innovate in Europe at the firm-level.

Determinants of eco-innovations by type of environmental impact — The role of regulatory push/pull, technology push and market pull

Empirical analyses of eco-innovation determinants have rarely been able to distinguish between different areas of environmental impact. The present paper tries to close this gap by employing a new and unique dataset based on the German Community Innovation Survey, conducted in 2009. The main purpose of this paper is to test whether different types of eco-innovation (according to their environmental impacts) are driven by different factors. Beside a complex set of different supply, firm-specific, and demand factors, the literature on determinants of eco-innovation accentuates the important role of regulation, cost savings and customer benefits. We find that current and expected government regulation is particularly important with regard to pushing firms to reduce air (e.g. CO2, SO2 or NOx) as well as water or noise emissions, avoid hazardous substances, and increase recyclability of products. Cost savings are an important motivation for reducing energy and material use, pointing to the role of energy and raw material prices as well as taxation as drivers for eco-innovation. Customer requirements are another important source of eco-innovations, particularly with regard to products with improved environmental performance and process innovations that increase material efficiency, and reduce energy consumption, waste and the use of dangerous substances. Firms confirm a high importance of expected future regulations for all environmental product innovations.

Stimulating different types of eco-innovation in the UK: Government policies and firm motivations

In this paper, we adopt a recent OECD framework and examine the role of external policy tools and internal firm specific factors for stimulating three different types of eco-innovations that range on a spectrum of lower to higher technological and environmental impacts: End-of-Pipeline Pollution Control Technologies, Integrated Cleaner Production Technologies and Environmental R&D. Using a novel firm-level dataset from a DEFRA survey, we estimate a Tobit model, which provides empirical evidence showing that these eco-innovations are motivated by different external policy tools and internal firm specific factors. Our findings indicate that End of Pipeline Technologies and Integrated Cleaner Production Technologies are mainly driven by equipment upgrade motives with a view of improving efficiency while environmental regulations are effective in stimulating the End-of-Pipeline technologies and Environmental R&D. Interestingly, alongside government induced regulations, we find that market factors, mainly motivated by cost savings, are effective in driving Environmental R&D. Finally, ISO14001 certification is effective in strengthening the positive impact of environmental management systems on both End-of-Pipeline technologies and Environmental R&D while CSR policies have no significant impact on motivating any of the eco-innovations.

Determinants of Eco-innovations by Type of Environmental Impact: The Role of Regulatory Push/Pull, Technology Push and Market Pull

Empirical analyses of the determinants of environmental innovations were rarely able to distinguish between different areas of environmental impacts. The paper tries to close this gap by employing a new and unique dataset based on the German Community Innovation Survey conducted in 2009. The main purpose of the paper is to test whether different types of eco-innovations (according to their environmental impacts) are driven by different factors. Besides a complex set of different supply, firm specific and demand factors, the literature on the determinants of environmental innovations accentuates the important role of regulation, cost savings and customer benefits. We find that current and expected government regulation is particularly important for pushing firms to reduce air (e.g. CO2, SO2 or NOx) as well as water or noise emissions, avoid hazardous substances and increase recyclability of products. Cost savings are an important motivation for reducing energy and material use, pointing to the role of energy and raw materials prices as well as taxation as drivers for eco-innovation. Customer requirements are another important source for eco-innovations, particularly with regard to products with improved environmental performance and process innovations that increase material efficiency, reduce energy consumption and waste and the use of dangerous substances. Firms confirm a high importance of expected future regulations for all environmental product innovations.

Stimulating Different Types of Eco-Innovation in the UK: Government Policies and Firm Motivations

In this paper, we adopt a recent OECD framework and examine the role of external policy tools and internal firm specific factors for stimulating three different types of eco-innovations that range on a spectrum of lower to higher technological and environmental impact: End-of-Pipeline Pollution Control Technologies, Integrated Cleaner Production Technologies and Environmental R&D. Using a novel firm-level dataset from a DEFRA survey, we estimate a Tobit model, which provides empirical evidence showing that these eco-innovations are motivated by different external policy tools and internal firm specific factors. Our findings indicate that End of Pipeline Technologies and Integrated Cleaner Production Technologies are mainly driven by equipment upgrade motives with a view of improving efficiency while environmental regulations are effective in stimulating the End-of-Pipeline technologies and Environmental R&D. Interestingly, alongside government induced regulations, we find that market factors, mainly motivated by cost savings, are effective in driving Environmental R&D. Finally, ISO14001 certification is effective in strengthening the positive impact of environmental management systems on both End-of-Pipeline technologies and Environmental R&D while CSR policies have no significant impact on motivating any of the eco-innovations.