| Title | Sustainability-oriented capabilities for eco-innovation: Meeting the regulatory, technology, and market demands |
|---|---|
| ID_Doc | 31851 |
| Authors | Demirel, P; Kesidou, E |
| Title | Sustainability-oriented capabilities for eco-innovation: Meeting the regulatory, technology, and market demands |
| Year | 2019 |
| Published | Business Strategy And The Environment, 28, 5 |
| Abstract | Despite consensus in the literature that regulation, technology push, and market pull drive eco-innovation (EI), evidence remains limited on the diverse firm capabilities needed to boost EI. Building on the natural-resource-based view of the firm and the EI literature, this paper posits that firms need to renew and realign their capabilities, and ultimately develop distinctive sustainability-oriented capabilities, in order to meet the rapidly changing regulatory, technology, and market demands. Results of the analysis, based on a survey of U.K. firms, reveal that EIs are more likely to arise when firms (a) build capabilities on voluntary self-regulation (i.e., executive driven environmental management system and corporate social responsibility) because such organizational capabilities allow them to address increasing regulatory pressures; (b) invest in environmental research and development (i.e., eco-R&D)-instead of generic research and development-because it provides them with the relevant and specific technological capabilities to tackle technology shifts towards sustainability; and (c) develop capabilities in green market sensing as such capabilities allow them to address green consumption needs. |
| https://eprints.whiterose.ac.uk/139556/3/Kesidou_Sustainability-oriented%20Capabilities%20for%20Eco-Innovation.pdf |
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