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Why green absorptive capacity and managerial environmental concerns matter for corporate environmental entrepreneurship?

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Abstract

Balancing environmental sustainability and green business growth is one of the primary goals of corporate environmental entrepreneurship, while green entrepreneurship orientation (GEO) represents balanced approaches to maximize green business value-added and maintain environmental performance (EP). Green innovation (GI) strengthens green business efficiencies and drives GEO achievements. Building on the natural resource-based view (NRBV) and dynamic capability view (DCV), this research addressed the critical role of GEO and GI on EP. In addition, the effect of green absorptive capacity (GAC) and managerial environmental concern (MEC) on EP is estimated. The results indicated that GEO significantly affects MEC and GI. While GI positively influences MEC, the relationship between GI and GAC was insignificant. Additionally, GAC and MEC positively and greatly influenced EP. As GAC partially mediates the effect of GEO and GI on EP, MEC also partly mediates the relationship between GI and EP. In the context of the environment, this study presents three quantitative achievements, namely (1) it confirms the vital role of green dynamic capabilities such as GAC to balance GEO’s green business agenda and maintain environmental performance, (2) GAC converts knowledge creation to knowledge applications focusing on the development of eco-friendly products and processes to reduce environmental pollution, and (3) MEC determine and focus on GI core competencies to support GEO strategies, (4) GAC level up firms green dynamic capabilities to the level of GEO, and thus maintaining ecosystem and eco-business sustainability. In light of the study outcomes, theoretical and managerial implications were highlighted.

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The datasets generated and analyzed during the current study are not publicly available because they constitute an excerpt of research in progress but are available from the corresponding author upon reasonable request.

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Authors and Affiliations

  1. School of Management, Mae Fah Luang University, 333 Moo 1 Tasood, Muang, Chiang Rai, 57100, Thailand

    Lahcene Makhloufi

  2. Guizhou Communications Polytechnic, Guiyang City, 551400, Guizhou Province, China

    Jing Zhou

  3. School of Economics and Management, Shaanxi University of Science and Technology, Xi’an, 710021, Shaanxi, China

    Abu Bakkar Siddik

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  1. Lahcene Makhloufi
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  2. Jing Zhou
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Conceptualization: Lahcene Makhloufi; Formal analysis: Lahcene Makhloufi and Jing Zhou; Investigation: Jing Zhou and Abu Bakkar Siddik; Methodology: Lahcene Makhloufi and Jing Zhou; Project administration: Lahcene Makhloufi; Resources: Jing Zhou and Abu Bakkar Siddik; Software: Lahcene Makhloufi and Abu Bakkar Siddik; Supervision: Lahcene Makhloufi; Validation: Lahcene Makhloufi, Abu Bakkar Siddik and Jing Zhou; Visualization: Abu Bakkar Siddik and Jing Zhou; Writing—original draft: Lahcene Makhloufi; Writing—review & editing: Lahcene Makhloufi and Abu Bakkar Siddik.

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Makhloufi, L., Zhou, J. & Siddik, A.B. Why green absorptive capacity and managerial environmental concerns matter for corporate environmental entrepreneurship?. Environ Sci Pollut Res 30, 102295–102312 (2023). https://doi.org/10.1007/s11356-023-29583-6

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