Page 274 - Hojnik, Jana. 2017. In Persuit of Eco-innovation. Drivers and Consequences of Eco-innovation at Firm Level. Koper: University of Primorska Press
P. 274
In Pursuit of Eco-innovation
vation was estimated at 0.79). When the eco-innovation construct was
linked in the model with its determinants (drivers) and outcomes (con-
sequences), the nomological validity of the eco-innovation construct was
also shown.
Second, we present findings pertaining to the product eco-innovation
model. On the one hand, the findings of our study revealed that all the
predicted determinants of eco-innovation (the command-and-control in-
strument, the economic incentive instrument, managerial environmental
concern, customer demand, expected benefits and competitive pressure)
exerted positive and significant effects (p < 0.05) on product eco-innova-
tion. Among the tested determinants of eco-innovation, we found that
competitive pressure works as the most effective driver of eco-innovation
– its effect on product eco-innovation was the greatest among the tested
274 determinants of eco-innovation, followed by customer demand, which
also exerted a large, positive and significant effect on product eco-innova-
tion. A moderate (but still positive and significant) influence on product
eco-innovation was also shown by other eco-innovation determinants,
which are, in descending order with regard to the size of standardized co-
efficients, as follows: the command-and-control instrument, the econom-
ic incentive instrument and expected benefits (the last two had the same
value of standardized coefficients, meaning that they both exert equal
influence). The least effective determinant of product eco-innovation
was found to be managerial environmental concern, which exerted the
weakest influence on product eco-innovation; nevertheless, its influence
was still positive and significant (p < 0.05). On the other hand, regard-
ing eco-innovation outcomes, we found empirical evidence to support
the hypotheses that predicted a positive and significant relationship be-
tween product eco-innovation and economic benefits, competitive bene-
fits and internationalization (in descending order of the size of the stand-
ardized coefficients; p < 0.05). We have not found empirical evidence to
support the hypotheses related to the objective measures of company per-
formance – company growth and company profitability. The hypothe-
ses can be partially supported in the sense that the relationship between
product eco-innovation and both company growth and company profit-
ability was direct and significant (p < 0.05); however, it was found to be
negative, which is the opposite of what we expected. In the case of prod-
uct eco-innovation’s effect on company profitability, the standardized co-
efficient is approximately zero and statistically significant, but it is also
negative and thus not consistent with the hypothesis. In sum, companies
reported the gain of competitive benefits and positive economic benefits
vation was estimated at 0.79). When the eco-innovation construct was
linked in the model with its determinants (drivers) and outcomes (con-
sequences), the nomological validity of the eco-innovation construct was
also shown.
Second, we present findings pertaining to the product eco-innovation
model. On the one hand, the findings of our study revealed that all the
predicted determinants of eco-innovation (the command-and-control in-
strument, the economic incentive instrument, managerial environmental
concern, customer demand, expected benefits and competitive pressure)
exerted positive and significant effects (p < 0.05) on product eco-innova-
tion. Among the tested determinants of eco-innovation, we found that
competitive pressure works as the most effective driver of eco-innovation
– its effect on product eco-innovation was the greatest among the tested
274 determinants of eco-innovation, followed by customer demand, which
also exerted a large, positive and significant effect on product eco-innova-
tion. A moderate (but still positive and significant) influence on product
eco-innovation was also shown by other eco-innovation determinants,
which are, in descending order with regard to the size of standardized co-
efficients, as follows: the command-and-control instrument, the econom-
ic incentive instrument and expected benefits (the last two had the same
value of standardized coefficients, meaning that they both exert equal
influence). The least effective determinant of product eco-innovation
was found to be managerial environmental concern, which exerted the
weakest influence on product eco-innovation; nevertheless, its influence
was still positive and significant (p < 0.05). On the other hand, regard-
ing eco-innovation outcomes, we found empirical evidence to support
the hypotheses that predicted a positive and significant relationship be-
tween product eco-innovation and economic benefits, competitive bene-
fits and internationalization (in descending order of the size of the stand-
ardized coefficients; p < 0.05). We have not found empirical evidence to
support the hypotheses related to the objective measures of company per-
formance – company growth and company profitability. The hypothe-
ses can be partially supported in the sense that the relationship between
product eco-innovation and both company growth and company profit-
ability was direct and significant (p < 0.05); however, it was found to be
negative, which is the opposite of what we expected. In the case of prod-
uct eco-innovation’s effect on company profitability, the standardized co-
efficient is approximately zero and statistically significant, but it is also
negative and thus not consistent with the hypothesis. In sum, companies
reported the gain of competitive benefits and positive economic benefits
