Strategic Orientation, Environmental Management Systems, and Eco-Innovation: Investigating the Moderating Effects of Absorptive Capacity

Chin-Hung Tseng, Kuo-Hsiung Chang and Ho-Wen Chen
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Chin-Hung Tseng: Department of Environmental Science and Engineering, Tunghai University, No.1727, Sec.4, Taiwan Boulevard, Xitun District, Taichung 40704, Taiwan
Kuo-Hsiung Chang: Department of International Business, Tunghai University, No.1727, Sec.4, Taiwan Boulevard, Xitun District, Taichung 40704, Taiwan
Ho-Wen Chen: Department of Environmental Science and Engineering, Tunghai University, No.1727, Sec.4, Taiwan Boulevard, Xitun District, Taichung 40704, Taiwan

Sustainability, 2021, vol. 13, issue 21, 1-14

Abstract: Environmental management studies have proposed that firms can achieve substantial cost advantages over competitors and enhance their competitive positions by implementing an environmental management system (EMS). This study further investigates strategic orientation (customer, competitor, and innovation orientation) and focuses on the effect of strategic orientation on EMSs and eco-innovation; it also examines the mediating role of EMSs in the relationship between strategic orientation and eco-innovation. Furthermore, this study investigates the moderating role of absorptive capacity in the relationship between strategic orientation and EMSs. Reliability and validity analyses of a sample of 142 respondents indicated that the study design was effective, consistent, and reliable. The findings indicate that (1) strategic orientation (competitor and innovation orientation) positively influences EMSs, (2) EMSs positively influence eco-innovation, (3) absorptive capacity-enhancing strategic orientation positively influences EMSs, and (4) EMS intermediary strategic orientation positively influences eco-innovation. This study contributes to the theoretical understanding of why some firms exhibit greater proactivity in EMSs than others do.

Keywords: strategic orientation; customer orientation; competitor orientation; innovation orientation; environmental management system (EMS); eco-innovation; absorptive capacity (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (4)

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