Demirel, P and Kesidou, E orcid.org/0000-0002-5729-8624 (2019) Sustainability-oriented Capabilities for Eco-Innovation: Meeting the Regulatory, Technology and Market Demands. Business Strategy and the Environment, 28 (5). pp. 847-857. ISSN 0964-4733
Abstract
Despite consensus in the literature that regulation, technology push, and market pull drive eco‐innovation (EI), evidence remains limited on the diverse firm capabilities needed to boost EI. Building on the natural‐resource‐based view of the firm and the EI literature, this paper posits that firms need to renew and realign their capabilities, and ultimately develop distinctive sustainability‐oriented capabilities, in order to meet the rapidly changing regulatory, technology, and market demands. Results of the analysis, based on a survey of U.K. firms, reveal that EIs are more likely to arise when firms (a) build capabilities on voluntary self‐regulation (i.e., executive driven environmental management system and corporate social responsibility) because such organizational capabilities allow them to address increasing regulatory pressures; (b) invest in environmental research and development (i.e., eco‐R&D)—instead of generic research and development—because it provides them with the relevant and specific technological capabilities to tackle technology shifts towards sustainability; and (c) develop capabilities in green market sensing as such capabilities allow them to address green consumption needs.
Metadata
Item Type: | Article |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © 2019 John Wiley & Sons, Ltd and ERP Environment. This is the post-peer reviewed version of the following article: Demirel, P and Kesidou, E (2019) Sustainability-oriented Capabilities for Eco-Innovation: Meeting the Regulatory, Technology and Market Demands. Business Strategy and the Environment, 28 (5). pp. 847-857, which has been published in final form at https://doi.org/10.1002/bse.2286. This article may be used for non-commercial purposes in accordance with Wiley Terms and Conditions for Use of Self-Archived Versions. |
Keywords: | CSR eco‐innovation EMS environmental research and development sustainability‐oriented capabilities voluntary self‐regulation |
Dates: |
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Institution: | The University of Leeds |
Academic Units: | The University of Leeds > Faculty of Business (Leeds) > Economics Division (LUBS) (Leeds) |
Depositing User: | Symplectic Publications |
Date Deposited: | 05 Dec 2018 11:51 |
Last Modified: | 19 Feb 2021 01:38 |
Status: | Published |
Publisher: | Wiley |
Identification Number: | 10.1002/bse.2286 |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:139556 |