How Does Sustainable Leadership Promote the Willingness to Adopt an Environmental Innovation Strategy? The Key Mediating Role of Environmental Value

Ling Hu, Hung-Xin Li, Shih-Chin Lee (), Yue-Shi Lee and Show-Jane Yen
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Ling Hu: Department of Finance, Hsing Wu University, New Taipei City 224012 24452, Taiwan
Hung-Xin Li: Department of Logistics Management, National Defense University, Taipei City 112305, Taiwan
Shih-Chin Lee: Department of Finance, Chihlee University of Technology, New Taipei 220305, Taiwan
Yue-Shi Lee: Department of Computer Science and Information Engineering, Ming Chuan University, Taoyuan 333023, Taiwan
Show-Jane Yen: Department of Computer Science and Information Engineering, Ming Chuan University, Taoyuan 333023, Taiwan

Sustainability, 2024, vol. 16, issue 7, 1-12

Abstract: Sustainability has redefined corporate performance-oriented strategies, but research linking organizational leadership to sustainability strategies remains limited. Indeed, most past studies have employed the perspective of institutional pressure to explore why companies passively adopt environmental strategies. However, few studies have explored how to employ the internal management mechanisms of organizations to proactively promote companies to adopt environmental strategies. Therefore, the first purpose of this research is to explore how sustainable leadership promotes strategic adoption through environmental psychological ownership and environmental identity, based on the meaning management theory and upper echelons theory. The second purpose of this study is to address the new concepts of environmental psychological ownership and environmental identity through the social identity theory and psychological ownership theory. To validate the proposed model, this research collected responses from 101 chief executive officers and members of their senior management teams, and the results of the analysis supported all hypotheses. This research can not only provide academic literature with a cross-broad perspective on organizational leadership and sustainability but also provide an example for companies looking to implement sustainability strategies.

Keywords: environmental identity; environmental innovation strategy; environmental psychological ownership; sustainable development; sustainable leadership (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2024
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