Corporate culture, environmental innovation and financial performance

Zhongju Liao

Business Strategy and the Environment, 2018, vol. 27, issue 8, 1368-1375

Abstract: Based on the logic of culture‐behaviour performance, this study constructs a theoretical model to examine the effect of four types of corporate culture (clan, adhocracy, hierarchy and market) on the three dimensions of a firm's environmental innovation (eco‐organizational, eco‐process and eco‐product) and whether environmental innovation affects a firm's financial performance. Three hundred and sixty‐six firms in the manufacturing and service industries are selected as a valid research sample, and a structural equation model is used for empirical analysis. The results show that adhocracy and market cultures are positively related to a firm's eco‐organizational, eco‐process and eco‐product innovation; clan culture has a positive effect, and hierarchy culture a negative effect, on eco‐organizational innovation; and the three dimensions of environmental innovation all promote a firm's financial performance. Based on these conclusions, this study discusses managerial implications and suggests future research directions.

Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (38)

Downloads: (external link)
https://doi.org/10.1002/bse.2186

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bla:bstrat:v:27:y:2018:i:8:p:1368-1375

Ordering information: This journal article can be ordered from
http://onlinelibrary ... 1002/(ISSN)1099-0836

Access Statistics for this article

Business Strategy and the Environment is currently edited by Richard Welford

More articles in Business Strategy and the Environment from Wiley Blackwell
Bibliographic data for series maintained by Wiley Content Delivery ().