Translating the environmental orientation of firms into sustainable outcomes: the role of sustainable dynamic capability

Sustaining the future: How green capabilities and digitalization drive sustainability in modern business

In recent years, the unprecedented growth in environmental vulnerabilities has made the firms realize the need for environmental protection. With this, the rapid surge for ecological preservation has made worldwide businesses divert their focus toward greener practices that ensure the firm's financial and environmental performance. This study examines the relationships between green management strategies (green dynamic capabilities, internal green supply chain management and green technology adoption), and organizational outcomes, specifically environmental and financial performance. The data was collected from the 471 employees working in the manufacturing firms. Utilizing the Structural Equation Modeling (SEM) method via Smart-PLS, our findings show the importance of integrating green practices in supply chain management, dynamic capabilities, and technology adoption to enhance both environmental and financial outcomes under the moderating role of industry dynamism and green knowledge acquisition.

Users’ perception for innovation and sustainability management: evidence from public transport

No one doubts the importance of public transport services in the economic backbone of any country. In recent decades, there has been a growing interest in the contribution to Sustainable Development Goals on the part of governments, companies, and stakeholders. In this sense, transport can contribute to the sustainability of cities and facilitate other social objectives, such as universal accessibility, with innovation being a key pillar for this. Thus, the main objective of this study is to analyze users’ perceptions of the innovation and sustainability of public transport in Spain.

To analyze the user’s perception of public transport, a questionnaire was developed following Bitner’s Servicescape Model. A total of 1,354 responses were collected in different Spanish cities. The main results show that the policies implemented in both innovation and sustainability are perceived positively but do not seem to have much impact on the service user. Public transport users prioritize the speed, frequency, and safety of the service received. In addition, it should be noted that the gender of the user influences the preferences of the objectives, i.e., men value technological development in public transport more. At the same time, women give higher priority to sustainability. The age of users is another variable that conditions public transport users’ perceptions of innovation and sustainability. The results also show users’ preferences for different types of public transport.

The study’s main contribution is that it shows to what extent the innovation and sustainability policies applied in the public transport service are valued and motivate citizens to use the service. The political and management decisions may be disconnected from the reality perceived by users. These decisions may be more linked to regulatory pressures and involve a high implementation cost, so it is necessary to consider the valuation of users’ service so that the benefit or social return of these investments is high, encouraging the use of the service.

Fostering Green Innovation Adoption through Green Dynamic Capability: The Moderating Role of Environmental Dynamism and Big Data Analytic Capability

Though the concept of green dynamic capability has been increasingly gaining traction among academics, practitioners, and policymakers, its association with green innovation adoption remains unclear. The present study addresses this gap and aims to provide clarity by distinguishing green innovation adoption in the context of developing countries. Drawing on dynamic capability and stakeholder theory, this research shed light on the significance of green dynamic capability for green innovation adoption. Additionally, this study examines the moderating role of environmental dynamism and big data analytics capability in the link between green dynamic capability and green innovation adoption. Adopting a two-wave research design, the sample for this study contained SMEs from Pakistan and Malaysia. Data was obtained from 220 SMEs (105 from Pakistan, 115 from Malaysia). To test the hypotheses, covariance-based structural equation modelling was performed to analyze causal relationships in the model, by using AMOS 23 software. The results showed that green dynamic capability positively impacts green innovation adoption, but environmental dynamism does not positively moderate between green dynamic capability and green innovation adoption. In addition, big data analytics capability positively moderates between green dynamic capability and green innovation adoption. We believe that this study opens a new avenue in the environmental literature under which green innovation adoption is useful for SMEs.