On the drivers of eco-innovation: empirical evidence from China

• Published in: Journal of cleaner production 2014-09, Vol.79, p.239-248
• Main Authors: Cai, Wu-gan, Zhou, Xiao-liang
• Format: Article
• Language: English
• Subjects: Animal, plant and microbial ecology; Applied ecology; Applied sciences; Biological and medical sciences; Conservation, protection and management of environment and wildlife; Drivers; Eco-innovation; Environment and sustainable development; Exact sciences and technology; Fundamental and applied biological sciences. Psychology; Integrative capability; Pollution
• ISSN: 0959-6526; 1879-1786
• DOI: 10.1016/j.jclepro.2014.05.035

While identification of the drivers of eco-innovation in firms is a popular topic in the literature, many questions about these drivers in developing countries remain unanswered. The present study aims to determine empirically the primary factors that influence adoption of eco-innovation in Chinese firms. To achieve this, a conceptual model is developed and tested on a large database of firms from various industries, using hierarchical regression analysis. The study reveals that eco-innovation is triggered by a mixture of internal and external drivers. However, in China, the external pressures from environmental regulations, customers' green demands, and competitors affect eco-innovation partially through internal drivers. The analysis further shows that firms' integrative capability—the ability to adopt appropriate eco-innovative responses by combining internal and external capabilities—partially mediates the relationship between drivers and eco-innovation performance. Moreover, firms that have more efficient external networks tend to conduct more eco-innovative activities. This study contributes to a more detailed understanding of the factors that initiate and boost eco-innovation. •We develop a conceptual model of the introduction of eco-innovation.•We test the model using survey data for a large sample of firms in China.•Internal and external drivers positively affect eco-innovation.•Integrative capability partially mediates drivers and eco-innovation performance.•External network strength will increase eco-innovative activities.