Adoption of green innovations by SMEs: an investigation about the influence of stakeholders

Abstract

PurposePursuing sustainable development has become a necessity for all types of businesses, owing to the increasing sensitivity of stakeholders towards pollution and environmental degradation related to economic activities. To sustain this approach, investments supporting green innovations (GIs) are required. The paper investigates how stakeholders affect the choices of companies to pursue sustainable development objectives through the use of GIs.Design/methodology/approachA sample of 222 innovative Italian SMEs was collected and analysed using the partial least squares structural equation modelling technique and the importance performance map analysis.FindingsThe authors found that the stakeholders with not-contractual ties with SMEs affect GIs. Among stakeholders with not-contractual ties only workforce represents a strong stimulus to eco-innovate. Anyway, contrary to expectations, public administrations exert a negative influence; that is, they appear to hinder SMEs approach towards GIs.Practical implicationsThis paper contributes to filling the knowledge gaps about the factors stimulating innovative SMEs' investments in GIs. Specifically, by analysing the stakeholders' influences, many policy indications emerge, such as extending facilities and regulations, encouraging partnerships and networking and attracting private and institutional investors.Originality/valueUntil now, the prominent interest of researchers and policymakers has been focused almost exclusively on large manufacturing corporations because of their higher ecological footprints and the belief that SMEs are supposed to be mainly followers rather than first adopters of innovations. But in many international areas, the role of SMEs is widely predominant, and these SMEs chiefly operate in the service sectors.

Exploring antecedents of innovations for small‐ and medium‐sized enterprises' environmental sustainability: An interpretative framework

“…On the other hand, consistent with the literature (e.g., Thomas et al, 2021), public administration does not influence the outcome variable. Unexpectedly, both determinants (internal resources and external context) of the antecedents do not have a significant relationship with the same LVs.…”

“…Any item below the established threshold value must be eliminated. In this study, we considered the value of .5 as a threshold, in line with the empirical literature specifically related to eco‐innovation (e.g., Mazzanti & Zoboli, 2009; Thomas et al, 2021). The model was iteratively estimated.…”

“…For several years, a debate has flourished on the determinants that encourage investments in GIs aimed at improving firms' environmental performances, although the outcomes of the surveys have often been contradictory and partial (Demirel & Danisman, 2019; Kiefer et al, 2018; Thomas et al, 2021). This is because there are multiple variables that are difficult to consider jointly, and even more so, they tend to influence each other.…”

How to Enhance the Green Innovation of Sports Goods? Micro- and Macro-Level Evidence From China’s Manufacturing Enterprises

“…Corporate innovation needs to be supported by a large number of internal resources and is a serious challenge for the long-term development of companies (Thomas et al, 2021). As a form of organizational resource management, the investment in green technology can improve the competitive advantages of enterprises, as well as their green images (Chen, 2008).…”

The impact of green innovation on manufacturing small and medium enterprises corporate social responsibility fulfillment: The moderating role of regional environmental regulation

“…Given that green innovation can offset the cost of environmental investments and improve the utilization of enterprise resources, many enterprises consider green innovation an important strategic initiative that can help improve the competitive advantage and pursue sustainable development (Huang et al, 2021; Rehman et al, 2021). Recently, many SMEs have actively participated in the green innovation practices (e.g., Ali et al, 2021; Geng et al, 2021; Thomas et al, 2021). However, few studies explore the effect of green innovation on CSR fulfillment, especially in the context of SMEs.…”