The effect of environmental regulations, top management commitment, and organizational learning on green product innovation: Evidence from automobile industry

Manjot Singh Bhatia and Suresh Kumar Jakhar

Business Strategy and the Environment, 2021, vol. 30, issue 8, 3907-3918

Abstract: This paper proposes and empirically examines a model to investigate the effect of environmental regulations, top management commitment (TMCO) and organizational learning toward green product innovation (GPI). The proposed theoretical model, grounded in dynamic capabilities view (DCV) and upper echelons theory, is analyzed by Partial least squares (PLS) method using the data from Indian automotive manufacturing firms. The findings indicate the importance of TMCO and organizational learning for implementing GPI (in response to regulations), and achieve desired performance. Further, organizational learning fully mediates between commitment of top management and GPI. The findings can be useful for managers in automotive manufacturing firms who are interested toward implementing GPI. The paper contributes to green innovation literature by empirically examining the role of TMCO and organizational learning for GPI.

Date: 2021
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