Environmental Innovations, Local Networks and Internationalization

Abstract

This paper investigates the forces correlated with environmental innovations (EIs) introduced by firms in local production systems (LPS). The role of inter-firm network relationships, agglomeration economies and internationalization strategies is jointly analysed for a sample of 555 firms in the EmiliaRomagna (ER) region (North-East Italy). Cooperating with a certain kind of local actors-i.e. suppliers and universities-is the most important EI driver for the investigated firms, along with their training coverage and their adoption of information and communication technologies. The role of agglomeration economies is instead less clear-cut. They spur EIs only in the presence of established LPS, with idiosyncratic sector specialization, while conversely they act as EI barriers. Networking effects and agglomeration economies are instead found to strongly promote the adoption of EIs by multinational firms, thus highlighting the importance of local -global interactions. Interesting specifications for these results are found for particular kinds of EIs, in such fields as CO 2 abatement and ISO labelling, generally extending the analysis of EI drivers by joining local and international factors. In addition, the role of regulatory sector factors confirms the induced innovation hypothesis and provides a robustness check to our results.

The missing links? The indirect impacts of drivers on eco‐innovation

“…EIs are more cooperation-intensive than general innovations, that is, eco-innovators rely more on the competences of external partners than other innovators (Cainelli et al, 2012;De Marchi, 2012;Del Río et al, 2015). Thus, collaboration between firms on environmental issues is likely to contribute to green the corporate strategies of firms.…”

Shedding light on the determinants of eco‐innovation: A meta‐analytic study

“…They found that firms' investments in greener technologies have positive economic results for companies and also for the sector as a whole. The works of Antonioli and Mazzanti (2009) and Cainelli, Mazzanti, and Montresor (2012) are similar. Others authors, using anecdotal evidence or case studies, have found that environmental regulation can motivate firms to innovate (Ghisetti & Rennings, 2014;Porter & Van der Linde, 1995).…”

Proactive Environmental Strategy, Technological Eco-Innovation and Firm Performance—Case of Poland

“…The surveyed firms were divided according to classification of sectors with respect to pollution intensity made by Demirel and Kesidou [57] into highly polluting sectors (food products and beverages, chemicals and chemical products, basic metals and metal products, non-metallic and mineral products, electricity production and supply and environmental protection) and moderately polluting sectors (wood and paper products, textiles, machinery and equipment, electrical machinery and apparatus, motor vehicles and transportation and others). In addition, since the export orientation might influence implementation of proactive environmental strategy [58,59] and eco-innovation [60], the performed analysis has taken into consideration geographical market reach of the surveyed firms-local, regional or national and international.…”