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Book part
Publication date: 8 November 2021

Siti Aisjah and Sri Palupi Prabandari

Small and medium enterprises (SMEs) are expected to be more creative and innovative to survive in the business competition and to make their businesses environmentally…

Abstract

Small and medium enterprises (SMEs) are expected to be more creative and innovative to survive in the business competition and to make their businesses environmentally friendly, to develop global supply chain strategies, and to make innovations in products and business processes to become indispensable. This study discusses the effect of green supply chain integration (GSCI) and environmental uncertainty on performance through the moderation of green innovation. Structural equation modeling and maximum likelihood estimation were used to analyze a sample of 130 SMEs in East Java, Indonesia. The result shows that GSCI and environmental uncertainty significantly affect performance, and green innovation significantly moderates the effect. This research found that SME’s performance is influenced by GSCI concept and green innovation application as well as SME’s understanding about recent and future environmental uncertainties; this fits the market demand.

Details

Environmental, Social, and Governance Perspectives on Economic Development in Asia
Type: Book
ISBN: 978-1-80117-895-2

Keywords

Article
Publication date: 28 June 2022

Stefano Bresciani, Shafique Ur Rehman, Gazi Mahabubul Alam, Khurram Ashfaq and Muhammad Usman

The organizations focus on environmental factors as stakeholders exert pressure to reduce the environmental influence arising from production tasks. This study aims to see…

Abstract

Purpose

The organizations focus on environmental factors as stakeholders exert pressure to reduce the environmental influence arising from production tasks. This study aims to see the influence of the environmental management control system (MCS) package and perceived environmental uncertainty on green performance with the mediating role of green dynamic capabilities in Pakistani manufacturing organizations. Moreover, this study aims to see the moderating role of investment in environmental management between green dynamic capabilities and green performance.

Design/methodology/approach

The partial least square structural equation modeling technique is used to test hypotheses. The data was collected through questionnaires using simple random sampling, and a total of 404 questionnaires were used in the final analysis. The data was collected from September 2021 to November 2021. Multiple regression analysis followed to see the influence of environmental MCS package, perceived environmental uncertainty, green dynamic capabilities and investment in environmental management on green performance.

Findings

Environmental MCS package, green dynamic capabilities and investment in environmental management are positively related to green performance. Despite this, perceived environmental uncertainty is negatively related to green performance. Moreover, green dynamic capabilities significantly mediate between environmental MCS package, perceived environmental uncertainty and green performance. Finally, investment in environmental management significantly moderates between green dynamic capabilities and green performance.

Practical implications

This research covers vital issues that how top management uses the environmental MCS package, perceived environmental uncertainty, green dynamic capabilities and investment in environmental management in determining green performance.

Originality/value

This research adds value to the existing literature by focusing on predictors that determine green performance. This pioneering study observes the influence of environmental MCS package and perceived environmental uncertainty on green performance and green dynamic capabilities as mediators by applying natural resource-based view theory. Moreover, investment in environmental management is used as a moderator between green dynamic capabilities and green performance. Finally, this study can benefit management, industrial policymakers and academicians.

Details

Review of International Business and Strategy, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2059-6014

Keywords

Article
Publication date: 17 May 2022

Jinrong Huang, Zongjun Wang, Zhenyu Jiang and Qin Zhong

Previous studies have mostly discussed the impact of environmental policy on enterprise innovation, but the discussion on how turbulence in environmental policy may affect…

Abstract

Purpose

Previous studies have mostly discussed the impact of environmental policy on enterprise innovation, but the discussion on how turbulence in environmental policy may affect firms' green innovation has been insufficient. This paper explores the effect of environmental policy uncertainty on corporate green innovation in the turnover of environmental protection officials (EPOT) context.

Design/methodology/approach

The authors manually collected the data on the EPOT of 280 Chinese prefecture-level cities, and used the Poisson regression model to conduct empirical analyses based on the panel data of 1472 Chinese listed manufacturing firms from 2008 to 2017.

Findings

The results show that environmental policy uncertainty leads firms to reduce their green patent applications only for green invention patent applications. Such an effect is more pronounced in non-state-owned enterprises (non-SOEs). In addition, when the new directors of the Ecology and Environmental Bureau take office through promotions or are no more than 55 years old, the negative effect is more obvious, but there is no significant difference regardless of whether new directors have worked in environmental protection departments.

Originality/value

First, this paper supplements the research on the antecedents of corporate green innovation from the perspective of environmental policy uncertainty and extends the applications of real options theory. Second, this paper expands the research on the government–business relationship from the EPOT perspective.

Details

European Journal of Innovation Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1460-1060

Keywords

Article
Publication date: 2 February 2021

Xiaoyong Zheng

This paper aims to examine the relationships between the group affiliates’ dual legitimacy (membership legitimacy and societal legitimacy) and dual resource acquisition…

Abstract

Purpose

This paper aims to examine the relationships between the group affiliates’ dual legitimacy (membership legitimacy and societal legitimacy) and dual resource acquisition (intra-group and out-group), and the moderating roles of environmental uncertainty and munificence in the emerging economies.

Design/methodology/approach

This paper adopts hierarchical regression analysis to test the hypotheses based on the unique data of 251 group affiliated firms in China and applies the alternative measurements and alternative methodology of structural equation modeling into robustness check to confirm the results.

Findings

The results show as follows: the group affiliates can benefit from membership legitimacy for intra-group resource acquisition and out-group resource acquisition through the mediations of societal legitimacy and intra-group resource acquisition. However, in the linkage between affiliates’ membership legitimacy and intra-group resource acquisition and the linkage between societal legitimacy and out-group resource acquisition, environmental uncertainty plays the positive moderating roles while environmental munificence plays the negative moderating roles. Under the condition of high environmental uncertainty and low environmental munificence, the linkage between membership legitimacy and intra-group resource acquisition, and the linkage between societal legitimacy and out-group resource acquisition reach the strongest level.

Research limitations/implications

The findings highlight the importance of dual legitimacy building for group affiliates to acquire resources both inside and outside the business group when they operate in emerging economies characterized by high environmental uncertainty and low environmental munificence. However, it does not explore the contextual factors (e.g. institutional distance) affecting the relationship between the affiliate’s membership legitimacy and societal legitimacy. Then more group-level factors are expected to be included and explored with multi-level models in the future studies.

Originality/value

The findings reveal the mechanism of how group affiliates benefiting differently from dual legitimacy to acquire resources in the emerging economies, which also provide a new interpretation for the questions of who benefiting more from the group affiliation, how and why (Carney et al., 2009). This research also explores the moderating roles of task environmental characteristics (environmental uncertainty and environmental munificence) on the affiliate's dual legitimacy and dual resource acquisition, which helps understand why legitimacy building is more important in terms of resource acquisition in the emerging economy characterized by uncertainty and non-munificence.

Details

Chinese Management Studies, vol. 15 no. 3
Type: Research Article
ISSN: 1750-614X

Keywords

Article
Publication date: 1 February 1995

Alan S. Dunk

Responses to environmental uncertainty have included designating marketing units to interface with the environment to enable manufacturing units to operate in conditions…

Abstract

Responses to environmental uncertainty have included designating marketing units to interface with the environment to enable manufacturing units to operate in conditions approximating certainty. If buffering is effective, the impact of environmental uncertainty should be lower and conditions may be more suitable for a greater reliance on budgetary control in manufacturing than in marketing departments. The objectives of this study are to first, assess if there is a difference in the level of environmental uncertainty between these functions. Second, to evaluate if the relation between reliance on budgetary control and unit performance is influenced by departmental function. Third, since function and environmental uncertainty are unlikely to be perfectly correlated, if environmental uncertainty influences that relation. The results suggest that there is no difference in the level of environmental uncertainty or reliance on budgetary control between manufacturing and marketing departments. Furthermore, the findings suggest that reliance on budgetary control is no more effective in enhancing performance in either unit category. On relaxing the presumption that function proxied for environmental uncertainty, it was found that reliance on budgetary control is more effective in enhancing performance in conditions of low rather than high environmental uncertainty.

Details

Asian Review of Accounting, vol. 3 no. 2
Type: Research Article
ISSN: 1321-7348

Keywords

Article
Publication date: 25 February 2014

Yaqing Lin, Shuming Zhao and Na Li

The purpose of this study is to introduce strategic flexibility as an important dynamic capability into the field of strategic human resource management (SHRM) and explore…

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Abstract

Purpose

The purpose of this study is to introduce strategic flexibility as an important dynamic capability into the field of strategic human resource management (SHRM) and explore its mediating role between network-building HR practices for top management team (TMT) and firm performance. Moreover, based on the context of transition economy in China, the authors examine environmental uncertainty as a moderator in these relationships and empirically test the questions above.

Design/methodology/approach

The authors have conducted questionnaire surveys on 780 top managers in 390 companies mainly located in Beijing, Tianjin, Shanghai, Jiangsu and Zhejiang and finally received 241 valid samples.

Findings

The results show that network-building HR practices have positive effects on firm performance and strategic flexibility plays a fully mediating role between them. In addition, environmental uncertainty moderates the relationship between network-building HR practices for TMT and strategic flexibility, while it has no moderating effect in the relationship between strategic flexibility and firm performance.

Originality/value

These conclusions have important implications for the development and application of SHRM in dynamic environments. Theoretically, the authors enrich the functions of network-building HR practices for TMT and provide the evidence to advocate the development of the innovative HR practices in China. In terms of the practical implications of the study, it is argued that network-building HR practices for TMT and strategic flexibility can help firms to deal with uncertainty and achieve high performance, which provides constructive guidance in the development of enterprises in the China's transition economy.

Details

Nankai Business Review International, vol. 5 no. 1
Type: Research Article
ISSN: 2040-8749

Keywords

Article
Publication date: 29 July 2014

Yong Long, Peng Li and Bo You

The purpose of this paper is to identify the relationship between knowledge transfer characteristics in alliance and alliance governance mechanisms, the influence of…

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Abstract

Purpose

The purpose of this paper is to identify the relationship between knowledge transfer characteristics in alliance and alliance governance mechanisms, the influence of alliance governance mechanisms on knowledge transfer consequences and investigate the role of environmental uncertainty in knowledge transfer of alliance.

Design/methodology/approach

Survey data were collected mainly in high-tech industries of China, the firms in which often establish alliance for the purpose of learning and knowledge transfer often takes place in that alliance. Finally, 293 usable samples were included in subsequent analysis. Multiple regression analysis was used to examine the hypotheses.

Findings

The extent of relational (/formal) governance mechanism used in alliance has a stronger positive relationship with the extent of tacit (/explicit) knowledge transfer in alliance than with the extent of explicit (/tacit) knowledge transfer in alliance between them; environmental uncertainty impairs relational governance mechanisms and enhances formal governance mechanisms used in alliance; both relational and formal governance mechanisms could facilitate knowledge transfer in alliance; environmental uncertainty hinders knowledge transfer and negatively moderates the relationship between alliance governance mechanisms and knowledge transfer.

Originality/value

This paper finds the relationship between knowledge transfer in alliance and alliance governance mechanisms, and the role of environmental uncertainty, providing managers with direct implications about how to manage alliance with different knowledge transfer characteristics for the purpose of facilitating knowledge transfer in alliance; provides managers more details about the dark side of the environmental uncertainty in knowledge transfer, also reminds public policy-makers paying enough attention for the improvement of institutional environment to deal with uncertainty.

Details

Chinese Management Studies, vol. 8 no. 3
Type: Research Article
ISSN: 1750-614X

Keywords

Article
Publication date: 4 June 2020

Colin C.J. Cheng and Eric C. Shiu

Despite the rising interest in eco-innovation, few studies have examined how open innovation (OI) actually increases eco-innovation performance. Drawing on capabilities…

Abstract

Purpose

Despite the rising interest in eco-innovation, few studies have examined how open innovation (OI) actually increases eco-innovation performance. Drawing on capabilities theory, this study aims to investigate how two specific organizational capabilities (alliance management capability and absorptive capacity) individually complement OI strategies (inbound and outbound) to increase eco-innovation performance, while taking into consideration high and low levels of environmental uncertainty.

Design/methodology/approach

To test the hypotheses, the authors used a primary survey and secondary proxy data sources from 232 Taiwan-based manufacturing firms. The authors collected survey data for measuring OI strategies, followed by secondary proxy data for measuring alliance management capability, absorptive capacity, environmental uncertainty and eco-innovation performance.

Findings

The results indicate that in highly dynamic environments, alliance management capability complements inbound/outbound strategies to increase eco-innovation performance. However, absorptive capacity complements only inbound strategies, not outbound strategies.

Practical implications

These findings have important implications for managers attempting to increase eco-innovation performance by using OI in dynamic environments.

Social implications

The findings provide new evidence that configurations of OI alone are not enough for increasing eco-innovation performance. Instead, firms’ eco-innovation benefits more when OI are complemented by alliance management capability.

Originality/value

This study makes an original contribution to the eco-innovation literature by demonstrating how organizational capabilities complement OI to increase eco-innovation performance in dynamic environments.

Details

Sustainability Accounting, Management and Policy Journal, vol. 11 no. 7
Type: Research Article
ISSN: 2040-8021

Keywords

Article
Publication date: 1 February 1996

Héctor R. Lozada and Roger J. Calantone

Reassesses the relationships between managerial perceptions of movement and discontinuities in the environment, and managers’ abilities and proneness toward engaging in…

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Abstract

Reassesses the relationships between managerial perceptions of movement and discontinuities in the environment, and managers’ abilities and proneness toward engaging in information‐gathering activities. Survey data from several organizations in different industries were collected to investigate the scanning behavior of managers. Finds empirical support for some of the relationships that were proposed. Explores possible explanations for the lack of support for several important relationships that have been advanced in the literature, and submits managerial implications and suggestions for future research based on the findings.

Details

Journal of Business & Industrial Marketing, vol. 11 no. 1
Type: Research Article
ISSN: 0885-8624

Keywords

Article
Publication date: 29 July 2013

Guo‐Ciang Wu

The purpose of this paper is to explore the relationship between green supply chain integration (GSCI) and green innovation and to analyze the moderating effects of…

6045

Abstract

Purpose

The purpose of this paper is to explore the relationship between green supply chain integration (GSCI) and green innovation and to analyze the moderating effects of environmental uncertainty.

Design/methodology/approach

A multi‐dimensional approach was employed to develop a comprehensive theoretical framework which encompasses various aspects of GSCI, green innovation and environmental uncertainty. To identify the effects of GSCI and environmental uncertainty on green innovation, hierarchical moderated regression analysis was applied using questionnaire data from 211 Taiwanese, information technology (IT) manufacturers.

Findings

Supplier, customer and internal integration enhance both green product and process innovations. Demand uncertainty positively moderates each GSCI‐green innovation link. However, the moderating effect of technological uncertainty is insignificant.

Research limitations/implications

This study conducted a cross‐sectional investigation of the Taiwanese IT industry. Therefore, it lacks the advantages of a longitudinal case study and its findings cannot be generalized to other industries.

Practical implications

This study argues that, to improve green innovation performance, managers should endeavor to integrate resources and capabilities within their organizations, suppliers and customers. It also suggests that managers should constantly follow demand trends in the market and maintain tight technological networks among supply chain partners.

Originality/value

This study provides new insights into green supply chain management (GSCM) knowledge: theoretically creating GSCI‐green innovation links with the natural‐resource‐based view, and empirically demonstrating that effective green innovation requires multi‐dimensional GSCI. Furthermore, it develops a valid and reliable scale of environmental uncertainty for future research in GSCM, and presents the characteristics of implementing GSCI in Taiwan's IT industry.

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