Role Of Green Innovation Research Articles

Environment‐specific political risk mitigation: Political lobbying versus green innovation

AbstractGreater political pressure to improve corporate environmental performance and mitigate climate change impact leads firms to operate under greater political risk and uncertainty, affecting productivity and firm value. Using a panel of 3255 US firms from 2002 to 2020, this research tests the effectiveness of two environment‐specific political risk (EPR) mitigation approaches: political lobbying and green innovation. The results suggest that while both approaches mitigate EPR of the current year, only green innovation reduces future EPR. By mitigating EPR, green innovation increases firm value to a greater degree than political lobbying. This study also shows that political lobbying has a larger effect on EPR mitigation for the leaders than the laggards in green innovation. The results are robust to alternative specifications of green innovation, political lobbying and potential endogeneity concerns. Overall, this study supports the value‐enhancing role of green innovation as an effective political risk mitigation strategy.

Nexus between GHRM and organizational competitiveness: role of green innovation and organizational learning of MNEs

AbstractThe focus of this study was to assess the mediating effect of green innovation, in the relationship between green human resources management (GHRM) and organizational competitiveness of manufacturing multinational enterprises (MNEs). The study further looked at the moderating effect of organizational learning in the relationship between GHRM on organizational competitiveness of manufacturing MNEs. The population comprises manufacturing MNEs in Ghana. Through purposive and simple random sampling techniques, 231 manufacturing MNEs were selected for the study. Data was analyzed using frequencies, percentages, mean scores, and Structural Equation Modeling (SEM), using SPSS and SMART‐PLS (Partial Least Square) software. The study concludes that green innovation partially mediates the relationship between GHRM and organizational competitiveness. It was further concluded that organizational learning positively moderates the positive relationship between GHRM and organizational competitiveness. The study recommends that manufacturing MNEs should invest and improve the level of their organizational learning as it not only strengthens the effects of GHRM on organizational competitiveness, but it also directly improves competitiveness. Further, particular attention should also pay to green innovation, as it intervenes the relationship between GHRM and organizational competitiveness.

Role of green innovation, green internal, and external supply chain management practices: a gateway to environmental sustainability

Amid rising environmental woes, this study investigates the influence of green innovation, green supply chain management (GSCM), and total quality management (TQM) on ecological sustainability. It also inspects the moderating effect of internal environmental management using primary data collected from 358 respondents from China’s manufacturing industry. The findings exhibit that GSCM (cooperation with the customers and green procurement) significantly and positively influences ecological performance. Besides, green innovations reassure environmental practices, while TQM illustrates an insignificant impact on environmental performance. The outcomes strongly support that internal environmental management significantly moderates the connection between customer cooperation and environmental performance. It offers a valuable suggestion for firms and policymakers.

Financial inclusion and energy efficiency: role of green innovation and human capital for Malaysia

ABSTRACT One of the top priorities of most countries around the world is sustainable development, to achieve which financial inclusion is identified as one of the key elements. Thus, unlike previous studies, the current study aims to channel the impact of financial inclusion on energy efficiency by constructing a parametric-based index that covers availability, accessibility, and usage of the former. The index provides an overall picture of financial services in all the three covered aspects. The analysis based on novel econometric time-series approaches, the method of moment quantile regression and the robust least square approach, shows that financial inclusion increases energy efficiency. The impact is overall positive for each quantile, i.e. 25th–90th. The impact of green innovation, human capital, and political risk is also supportive for energy efficiency. However, the impact of political risk improvement exhibits negative in the initial stages and turns positive later. In terms of policy implications, broadening financial inclusion base with the promotion of green innovation and human capital is important to achieve higher energy efficiency. In the meantime, improvement in the political risk profile should also be considered for a stable financial system to pave the way for increasing energy efficiency.

Natural Resources Depletion, Financial Risk, and Human Well-Being: What is the Role of Green Innovation and Economic Globalization?

Natural Resources Depletion, Financial Risk, and Human Well-Being: What is the Role of Green Innovation and Economic Globalization?

The role of green innovation in achieving environmental sustainability in European Union countries: Testing the environmental Kuznets curve hypothesis

This study investigates the impact of renewable energy consumption, energy R&D investments, and green patents on the ecological footprint in European Union countries with the framework of the environmental Kuznets curve (EKC) hypothesis from 1990 to 2018. For this purpose, second-generation panel methods were used in the study. According to the results, the EKC hypothesis is valid only in Finland. On the other hand, renewable energy consumption reduces the ecological footprint in Austria and the Netherlands while it increases in Germany and Italy. Green patent reduces the ecological footprint in Italy while it increases in Finland, Germany, and the Netherlands, and energy R&D investments increase the ecological footprint in Austria, Denmark, Finland, and the Netherlands. The causality test results show unidirectional causality from renewable energy consumption, energy R&D investments, and green patents to ecological footprint. Overall, policymakers should support the green innovation process for a sustainable environment.

E-commerce supply chain finance for SMEs: the role of green innovation

ABSTRACT This paper investigates the impacts of e-commerce supply chain finance (SCF) on small and medium enterprises’ (SMEs) financing performance. Using the 423 observations panel dataset of Chinese technology-based SMEs for the period from 2011 to 2020, the descriptive, correlation statistics and regression analysis are conducted. The findings indicate that e-commerce SCF platforms facilitate SME financing by increasing the coverage breadth and usage depth. Particularly, we found that comparing to e-commerce SCF usage depth, the coverage breadth has more positive impacts on SMEs’ financing performance. In addition, this research also reveals the positive moderating effects of green innovation on this relation. The results of the study empirically demonstrate how SCF platforms could better help SME satisfy their financing needs.

The role of green innovation on environmental and organizational performance: Moderation of human resource practices and management commitment

Green innovation is an essential and burning topic for environmental and organizational performance. Therefore, this research aims to examine the effect of green innovation on environmental performance, which leads to organizational performance. Another objective is to measure the impact of two dimensions of green innovation, such as green process & green product measures, on green innovation. The second prime aim of this research is to evaluate the moderation of management commitment & human resource practices in an association between green innovation and organizational & environmental performance. A total of 320 employees provided their perspectives on a self-administrated questionnaire from the textile industry of Pakistan. We have employed SEM-based multivariate modeling to examine the data. This research has measured the reflective indicators measurement model through confirmatory factor analysis, an obvious choice of structural equation modeling to examine observed and unobserved variables and indicators using PLS-SEM (partial least square-structural equation modeling). The research findings reveal a positive & significant effect of product & process innovation on green innovation. Further, green innovation significantly impacts environmental and organizational performance. A two-way interaction (moderation) of human resource practices & green innovation does not have a cogent moderating effect on organizational & environmental performance. However, management commitment has a significant moderation between green innovation & organizational performance. A three-way interaction (moderated moderation) model finds a substantial effect on organizational attainment but an insignificant impact on environmental performance. The research outcomes significantly contribute and suggest that practitioners and policymakers must institutionalize green innovation practices in their organizations to enhance their organizational and environmental performance. HR practitioners play a vibrant role in creating green norms and organizational culture. The study findings also suggest that management commitment to green innovation advocates organization-level transformations toward adopting green practices.

The Impact of Green Innovation on Enterprise Green Economic Efficiency.

In the process of China's transformation from high-speed to high-quality development, the role of green innovation has gradually begun to receive attention. Using 2163 observations of 687 listed companies from 2016 to 2020, this paper examined whether green innovation can improve green economic efficiency. The study found that green innovation significantly reduces the green economic efficiency of enterprises. In the case of insufficient protection of innovation achievements, limited knowledge and technology accumulation, and the absence of enterprise engagement in heavily polluting production and operation activities, the negative impact of green innovation on their green economic efficiency is more significant. Moreover, upgraded production processes, a high degree of freedom of technology selection and high market competition can help alleviate the negative impact of green innovation on enterprises' green economic efficiency, and when the above three conditions are simultaneously met, green innovation significantly promotes the green economic efficiency of enterprises. The above findings are contradictory to the assumption of most literature intuitively. However, after a series of tests, this paper found that green innovation can still stimulate overall environmental and economic performance in some conditions. Starting from the microenterprise level and based on actual emissions data, this paper examines whether and how green innovation affects high-quality development. The findings are of great significance to academic research, policy formulation, and enterprise production and operation.

The effect of Fintech adoption on green finance and environmental performance of banking institutions during the COVID-19 pandemic: the role of green innovation.

Despite the availability of substantial empirical evidence on the influence of green finance (GF) or green innovation (GI) on environmental performance (EP), only a few studies have attempted to examine the link between Fintech adoption (FA), GF, GI, and EP during the COVID-19 pandemic. Thus, by applying the structural equation modeling (SEM) approach to the data obtained from 302 banking staff in a developing economy (in this case, Bangladesh), this research work empirically examines the association between FA, GF, and EP, alongside the mediating role of GI. The empirical results indicated that FA significantly impacts GF, GI, and EP and that GF has a significant positive influence on GI and EP. Also, GI was observed to positively influence EP and partially mediate the relationship between FA, GF, and EP of banks. As one of the earliest studies to empirically investigate the relationships among these variables, these findings add to the existing scholarship on technological innovation, green finance, and environmental sustainability in the context of financial institutions in an emerging market during the pandemic. Moreover, the study demonstrates the significance of FA, GF, and GI in improving the EP of financial institutions and, ultimately, in ensuring the sustainable economic development of the country.

Environmental sustainability with the role of green innovation and economic growth in India with bootstrap ARDL approach

This paper applies a novel Bootstrap Autoregressive Distributed Lag (BARDL) approach to investigate the relationship between green innovation (GI), economic growth (GDP), drama and film (D&F) industry, and environmental sustainability in India for the 1995 to 2020 period. The data has been checked for its stationarity by applying the Zivot and Andrews (ZA) unit root test, and the cointegration test results suggest a long-run equilibrium relationship between the variables. The empirical finding of long-run estimates reveals that 1% augments of GI, GDP, and D&F industry increase CO2 emissions by −0.079, 0.566%, and 0.143%, respectively. Furthermore, the main results indicate that GDP and the D&F industry have statistically significant positive effects on CO2 emissions, and GI has statistically significant negative effects on CO2 emissions. The GI leads to lower environmental damage by reducing carbon emissions. Regarding causal relationships, bidirectional causality is found between D&F and CO2 emissions, GI and CO2 emissions. In addition, a unidirectional causality is also revealed from GDP to CO2 emissions. Based on the finding of this study, policy implications are suggested for India.

Influence of renewable energy and natural resources on climate change: The role of green innovation in China

The economic progress of China cannot be denied; however, deteriorating environmental quality is the primary concern to be addressed. Since the last few years, China’s legislators have intended to facilitate green transformation by sustaining natural resources and ensuring renewable energy consumption. Therefore, this study explores the impact of renewable energy, natural resource green innovation, and economic growth on ecological footprints in China. The bootstrap autoregressive distributed lag (ARDL) model has been deployed by taking the quarterly data ranging between 1990Q1 and 2020Q4. The results reveal that by enhancing green innovation, China can transform its economy into a clean environment. Similarly, the effective utilization of renewable energy consumption is indispensable to reducing the ecological footprint in the long run. Moreover, the Error Correction Term (ECT) is significantly negative, confirming a stable long-run equilibrium relationship between model variables. Similar results are found in the short run; however, the marginal impact of all variables is stronger in the long run. It implies that long-term planning is imperative in China for optimal benefits from renewable energy and green technologies.

Tournament incentives and environmental performance: the role of green innovation.

Since sustainable development concerns emerged, researchers have studied which environmental regulations motivate companies to improve their environmental performance. Environmental goals are best achieved by either changing people's behavior or modifying technology. Thus, this study contributes to the existing literature on corporate governance and social and environmental accountability by examining the impact of CEO's tournament incentives (TI) on Chinese firms' environmental reporting and performance. Furthermore, the study consequently establishes how much tournament incentives and environmental practices connection are explained with green innovation. Using the panel data regression model, the study finds that CEOs' tournament incentives are favorably connected with Chinese enterprises' environmental performance and negatively with environmental reporting over 10 years (2010-2019). Furthermore, our findings suggest that green innovation positively mediates the TI environmental performance nexus. The study provided excellent implications for Chinese society, which can lead to achieving a "greener GDP" and a "harmonious society" for which China is dreaming and striving. The study findings have significant implications for stakeholders, including CEOs' policymakers, corporate regulators, environmentalists, and policymakers.

Role of green innovation and supply chain management in driving sustainable corporate performance

Amidst the current demand for sustainable development in the globalized world, a green-orientation emerges as a strategic direction for businesses that increasingly attracts stakeholders because of its significant value for the business viability and sustainable development. The extant literature shows that the studies on CSR's influence on corporate outcomes have diverse approaches. The study explored the link of corporate social responsibility (CSR) and sustainable corporate performance (SCP) of SMEs mediated by green innovation (GI) and green supply chain management (GSCM) in an emerging economy context. The extant literature lacks discussions around the above combined relationship and impact to the sustainability domain. Using the survey method and Partial Least Squared Structural Equation Modeling (PLS-SEM) using 486 primary responses covering middle and senior managers, the study supports role of CSR in driving the sustainable corporate performance (SCP) with the intervention of GI and GSCM. The deliberations advance the current CSR literature and its involvement in the value-creating activities that lead to business performance. Importantly, this study emphasizes the implications of a circular economy in GSCM towards sustainability. Accordingly, it motivates SMEs to make strategic, operational changes that lead to significant environmental, social, and economic impacts.

Green human resource management and environmental performance: The role of green innovation and environmental strategy in a developing country

AbstractA vast literature supports the notion that green human resource management leads to superior environmental performance. This study argues that green innovation, environmental strategy and pro‐environmental behaviour facilitate the relationship between green human resource management and environmental performance in the manufacturing industry of developing countries. To test the mediating effect of green innovation and pro‐environmental behaviour alongside the moderating role of environmental strategy in the proposed model, we collected and analysed data from 410 manufacturing firm managers operating in Pakistan using partial least square structural equation modelling. The mediating and moderating results highlighted the significance of green innovation, environmental strategy and pro‐environmental behaviour to excel in environmental performance through operational efficiency, appropriate environmental strategy and human willingness to indulge in environmental activities. The findings also suggest implications for theory and practice in similar developing countries. The study offers generalisability in developing countries sharing the same economic and social structure.

Conceptualising the relationship between green dynamic capability and SME sustainability performance: the role of green innovation, organisational creativity and agility

PurposeThe purpose of this paper is to propose a conceptual framework that establishes the linkages among green dynamic capability (GDC), green innovation (GI), organisational creativity (OC) and organisational agility (OA), which influence small and medium enterprises (SMEs) sustainability performance (SP) in trade and service sectors in Thailand.Design/methodology/approachThis paper conducts a search of existing literature regarding SMEs SP. A conceptual framework is provided that can be used by SMEs to enhance their SP driving sustainable business growth.FindingsA framework for SMEs sustainability is proposed, which demonstrates the connection between GDC and SME SP, with GI and OC as mediators and OA as a moderator.Research limitations/implicationsThis paper is limited in terms of the scope of SME sustainability in the context of the trade and service sector. Future empirical study should be conducted to validate the proposed framework and hypotheses in this study.Practical implicationsThis study forms the basis for the enhancement of SMEs SP in relation to boosting their GDC, GI, creativity and agility.Originality/valueThis paper presents a comprehensive framework that leads to the conceptualisation of SME SP. It will help practitioners and academics to better understand the causes of SMEs SP.

The Role of Green Innovation in the Effect of Corporate Social Responsibility on Firm Performance

Indonesia’s government policy recommends that medium and large companies carry out corporate social responsibility programs. These programs provide sustainability for the company because they can involve community social relations, economic growth, and increasing environmental awareness. This study aimed to test corporate social responsibility on firm performance with green innovation as a mediation. This study used PROPER companies in 2015–2019, which were chosen using a purposive sampling method involving annual reports and financial reports, yielding 253 companies as a sample. Data were obtained from the Indonesia Stock Exchange and tested using STATA. This study indicates that corporate social responsibility can increase green innovation in companies with the stability of environmentally friendly materials, emission reductions for the surrounding community, and saving energy use. Corporate social responsibility has a positive effect on firm performance because the company has maintained the continuity of the process. After all, it has a harmonious relationship with the community. Furthermore, green innovation positively affects firm performance because the company can reduce energy use and utilize environmentally friendly resources. Therefore, green innovation can mediate the influence of corporate social responsibility and firm performance. This research contributes to senior managers who are part of their company’s top management to understand the critical role of corporate social responsibility in maintaining the company’s sustainability by paying attention to the part of the company’s environment and implementing government regulations. Corporate social responsibility can maintain good stakeholder relations and increase green innovation and firm performance. Theoretical contributions can enrich research related to the context of sustainable performance.

The role of green innovation and hope in employee retention

AbstractGreen innovation is increasingly receiving attention in organisational behaviour and strategic management literature. However, understanding employee's preferences for organisations that have adopted innovative environmental practices have received little attention. This study tests a framework that examines the relationship between employees' preferences for innovative green organisations, hope, and intentions to stay. Data were collected from 403 employees in Australia. Results show that employees' preferences for green innovation drive the emotional state of employee hope, which has a positive effect on employees' intentions to stay with the organisation. This study offers implications for academics and managers, advancing the literature on green innovation, recruitment, retention, and organisational behaviour.

Transitions to sustainable development: the role of green innovation and institutional quality

Transitions to sustainable development: the role of green innovation and institutional quality

The role of green innovation and green supply chain management on the sustainability of the performance of SMEs

The purpose of this study is to analyze the effect of green innovation (GI) on environmental performance (EI), the effect of green supply chain management (GSCM) on GI, and finally the effect of GI on environmental performance (EP) in the digital era. The study uses quantitative research methods and descriptive statistics. The sampling technique used is non-probability sampling with the type of purposive sampling. Respondents used in this study were 190 employees of small and medium enterprises (SMEs). Data was obtained by distributing online questionnaires through social media. The analytical technique used in this research is based on descriptive analysis and Structural Equation Model (SEM) using Partial Least Square (PLS). The results of this study indicate that GSCM practices have a significant positive effect on EI, GSCM practices have a significant positive effect on GI, GI has a significant positive effect on EP and, finally, GI mediates the relationship between GSCM and EP.