Pursuing green growth in technology firms through the connections between environmental innovation and sustainable business performance: Does service capability matter?

In response to greater environmental awareness among stakeholders, companies have become increasingly interested in practices such as eco-innovation. Despite the expanding literature on eco-innovation, scholars have so far paid little attention to the study of eco-innovation and its impact on busine...

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Main Authors: Fernando, Yudi, Jabbour, Charbel Jose Chiappetta, Wah, Wen Xin
Format: Article
Language:English
Published: Elsevier Ltd 2019
Subjects:
Online Access:http://umpir.ump.edu.my/id/eprint/24417/
http://umpir.ump.edu.my/id/eprint/24417/
http://umpir.ump.edu.my/id/eprint/24417/
http://umpir.ump.edu.my/id/eprint/24417/1/Pursuing%20green%20growth%20in%20technology%20firms%20through%20the%20connections%20between%20environmental%20innovation%20and%20sustainable%20business%20performance.pdf
id ump-24417
recordtype eprints
spelling ump-244172019-03-12T01:40:17Z http://umpir.ump.edu.my/id/eprint/24417/ Pursuing green growth in technology firms through the connections between environmental innovation and sustainable business performance: Does service capability matter? Fernando, Yudi Jabbour, Charbel Jose Chiappetta Wah, Wen Xin HD28 Management. Industrial Management In response to greater environmental awareness among stakeholders, companies have become increasingly interested in practices such as eco-innovation. Despite the expanding literature on eco-innovation, scholars have so far paid little attention to the study of eco-innovation and its impact on business sustainability, particularly considering the mediating effect of service innovation capability. To fill this research gap, this study extends the concepts of green business by investigating an original conceptual framework, which proposes that the capacity for service innovation has a mediating effect on the relationship between sustainable organizational performance and environmental innovation. This conceptual framework is subjected to empirical testing, implemented through a survey involving 95 Malaysian firms which use green technology. Data is collected through both postal and online questionnaires and analyzed through structural equation modeling using partial least squares. Respondents for this paper were identified using the directories of MyHijau (2013) and the Malaysia External Trade Development Corporation, 2014. The results suggest that: (1) eco-innovations unlock better sustainable performance; (2) service innovation capability has a partially significant positive mediating effect; (3) service innovation capability ultimately benefits companies by allowing them to differentiate through an emphasis on value creation; (4) service capability can also act as a business strategy to create barriers to new entry by competitors. Thus, eco-innovation and service innovation capability tend to represent significant intangible resources and enable an organization to achieve long-term objectives, competitive advantage and business sustainability. To date, this is the first study relating eco-innovation, service innovation capability and sustainability performance in the Malaysian corporate context and using a specific sample of companies that make use of green technologies. Elsevier Ltd 2019 Article PeerReviewed pdf en http://umpir.ump.edu.my/id/eprint/24417/1/Pursuing%20green%20growth%20in%20technology%20firms%20through%20the%20connections%20between%20environmental%20innovation%20and%20sustainable%20business%20performance.pdf Fernando, Yudi and Jabbour, Charbel Jose Chiappetta and Wah, Wen Xin (2019) Pursuing green growth in technology firms through the connections between environmental innovation and sustainable business performance: Does service capability matter? Resources, Conservation and Recycling, 141. pp. 8-20. ISSN 0921-3449 https://doi.org/10.1016/j.resconrec.2018.09.031 https://doi.org/10.1016/j.resconrec.2018.09.031
repository_type Digital Repository
institution_category Local University
institution Universiti Malaysia Pahang
building UMP Institutional Repository
collection Online Access
language English
topic HD28 Management. Industrial Management
spellingShingle HD28 Management. Industrial Management
Fernando, Yudi
Jabbour, Charbel Jose Chiappetta
Wah, Wen Xin
Pursuing green growth in technology firms through the connections between environmental innovation and sustainable business performance: Does service capability matter?
description In response to greater environmental awareness among stakeholders, companies have become increasingly interested in practices such as eco-innovation. Despite the expanding literature on eco-innovation, scholars have so far paid little attention to the study of eco-innovation and its impact on business sustainability, particularly considering the mediating effect of service innovation capability. To fill this research gap, this study extends the concepts of green business by investigating an original conceptual framework, which proposes that the capacity for service innovation has a mediating effect on the relationship between sustainable organizational performance and environmental innovation. This conceptual framework is subjected to empirical testing, implemented through a survey involving 95 Malaysian firms which use green technology. Data is collected through both postal and online questionnaires and analyzed through structural equation modeling using partial least squares. Respondents for this paper were identified using the directories of MyHijau (2013) and the Malaysia External Trade Development Corporation, 2014. The results suggest that: (1) eco-innovations unlock better sustainable performance; (2) service innovation capability has a partially significant positive mediating effect; (3) service innovation capability ultimately benefits companies by allowing them to differentiate through an emphasis on value creation; (4) service capability can also act as a business strategy to create barriers to new entry by competitors. Thus, eco-innovation and service innovation capability tend to represent significant intangible resources and enable an organization to achieve long-term objectives, competitive advantage and business sustainability. To date, this is the first study relating eco-innovation, service innovation capability and sustainability performance in the Malaysian corporate context and using a specific sample of companies that make use of green technologies.
format Article
author Fernando, Yudi
Jabbour, Charbel Jose Chiappetta
Wah, Wen Xin
author_facet Fernando, Yudi
Jabbour, Charbel Jose Chiappetta
Wah, Wen Xin
author_sort Fernando, Yudi
title Pursuing green growth in technology firms through the connections between environmental innovation and sustainable business performance: Does service capability matter?
title_short Pursuing green growth in technology firms through the connections between environmental innovation and sustainable business performance: Does service capability matter?
title_full Pursuing green growth in technology firms through the connections between environmental innovation and sustainable business performance: Does service capability matter?
title_fullStr Pursuing green growth in technology firms through the connections between environmental innovation and sustainable business performance: Does service capability matter?
title_full_unstemmed Pursuing green growth in technology firms through the connections between environmental innovation and sustainable business performance: Does service capability matter?
title_sort pursuing green growth in technology firms through the connections between environmental innovation and sustainable business performance: does service capability matter?
publisher Elsevier Ltd
publishDate 2019
url http://umpir.ump.edu.my/id/eprint/24417/
http://umpir.ump.edu.my/id/eprint/24417/
http://umpir.ump.edu.my/id/eprint/24417/
http://umpir.ump.edu.my/id/eprint/24417/1/Pursuing%20green%20growth%20in%20technology%20firms%20through%20the%20connections%20between%20environmental%20innovation%20and%20sustainable%20business%20performance.pdf
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last_indexed 2023-09-18T22:36:56Z
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