Incentives and inhibiting factors of eco-innovation in the Spanish firms

Abstract

This paper investigates the incentives and inhibiting factors of eco-innovation capacities in the firm. Firms materialize the objectives of eco-innovation from a reactive attitude to external pressures, to a more proactive attitude that implies the voluntary incorporation of eco-innovation activities. This variability in the behaviour of companies with respect to the level of eco-innovation development has been a motivator for the research. However, despite the importance of this research question, this has been approached in a dispersed way from multiple approaches. From a dynamic capabilities perspective, we assume that the innovation capacity of the firm encourages eco-innovations. Our paper is focused on the process of ecoinnovation, identifying the elements that facilitate or hinder the eco-innovation in the firm. We study the Spanish case, using a panel from the Spanish Innovation Survey, with a sample of 5,461 Spanish firms. The results highlight that the complexity of the eco-innovation process negatively affects the decision to develop eco-innovations. However, our results suggest that institutions and organizations of the Spanish environment are making efforts to compensate these obstacles and provide incentives to develop eco-innovations.

Impact of Advanced Manufacturing Technologies on Green Innovation

“…Our final results confirm research by Łaszkiewicz [32], who states that firms eco-innovate for corporate image, but with a huge balance between costs and benefits, unlike research by Arranz et al [33] and Colombelli et al [34], who state that firms will enter into green innovations only if the government subsidizes them or imposes restrictions.…”

“…Common points of both these areas, which are in some contradiction, are green innovations or broadly understood innovations supporting sustainable development. Arranz et al [33] show a negative decision to eco-innovate in Spain, unless the government helps with incentives. Colombelli et al [34] claim that stringent regulation influences the demand for eco-innovations.…”

The effect of regional factors in the development of eco‐innovations in the firm

“…The eco‐innovations are rated on a scale of 1 to 4: A value of 1 is assigned if the eco‐innovation activities are high, 2 if it is intermediate, 3 if it is low, and 4 if it is null. Based on these four categories, following Arranz et al (), we generate one variable, eco‐innovation , as a sum of the four previous variables. This new variable measures whether the company has successfully engaged in any of the four types of eco‐innovation and therefore gathers the diversity of eco‐innovations developed by the company.…”

“…Doran and Ryan () affirm that eco‐innovation is the development of a product, process, service, or organizational innovation and that the final objectives are the narrowing of pollution and the sustainability of the economy. In general terms, eco‐innovation refers to innovation in new products, services, or new business practices, necessary to create new business opportunities and benefits to the environment (Arranz, Arroyabe, Molina‐García, & de Arroyabe, ; Dangelico, ; Jové‐Llopis & Segarra‐Blasco, ;. In fact, Horbach et al () and Peiró‐Signes and Segarra‐Oña () conclude that eco‐innovation can be defined as a typology of innovation, which provides environmental benefits.…”

Eco-innovation practices’ adoption in the automotive industry

“…Under this perspective and given that the adoption of eco-innovation practices is a global phenomenon, researchers and academics need to direct their studies to offer solid and robust empirical evidence that provides an initial overview, generalize significant inferences, and guide further and more detailed research. Thus, this study contributes to the literature of eco-innovation with the generation of new knowledge as it complements other papers published in the literature (Doran & Ryan, 2016;Da Silva et al, 2017;Arranz et al, 2019) and highlights the adoption of eco-innovation practices in companies in the automotive industry.…”