Factors associated with the adoption of eco-innovation and its effect on environmental performance in the US household cleaning sector

Keith Bothongo and Ali Kinyar

Technological Forecasting and Social Change, 2025, vol. 210, issue C

Abstract: This study investigates the influence of external and internal factors on eco-innovation and the impact of its adoption on firms' environmental performance. We mainly examined process eco-innovation, which provides eco-friendly alternatives to the raw materials, machines, and energy sources used in the firms' production processes that could harm the environment. Using a survey, we gathered data from 118 publicly listed household cleaning and personal care companies on the New York Stock Exchange (NYSE). Results of the structural equation model revealed that regulatory pressure, consumer demand, and green corporate image could induce the adoption of process eco-innovation, while environmental subsidies do not. In addition, our findings indicated that environmental management systems (EMS), technological capabilities, and managerial environmental concerns spur process eco-innovation adoption. We also found that process eco-innovation can significantly improve firms' environmental performance, indicating that cleaner production processes are important for pollution prevention. This work contributes to existing knowledge of eco-innovation, especially in terms of its regional and industry focus, and provides significant implications for policy and practice.

Keywords: Eco-innovation drivers; Environmental performance; Green corporate image; Sustainability; Environmental management systems; Environmental subsidies (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eee:tefoso:v:210:y:2025:i:c:s0040162524006966

DOI: 10.1016/j.techfore.2024.123898

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