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Purpose: This study aims to empirically analyze the effect of absorptive capacity, green dynamic capability, and green manufacturing practices (GMP) on green innovation performance (GIP).Design/methodology/approach: A quantitative approach was employed in this study, with data collected through a questionnaire and analyzed for hypothesis using the partial least squares structural equation model. In order to enhance the depth of the analysis, in-depth interviews were conducted with experienced practitioners from three selected companies implementing green innovations.Findings: Empirical findings showed that reconfiguring capabilities positively affects GIP. Realized absorptive capacity positively affects GMP but does not affect GIP. Then, realized absorptive capacity positively impacts sensing and reconfiguration capabilities. GMP mediates the relationship between realized absorptive capacity and GIP. This study reveals the two pathways through which green dynamic capabilities affect realized absorptive capacity and GIP.Research limitations/implications: This study has yet to consider potential variations in company ownership, applied technology, and industry type that could lead to differences in green innovation characteristics. This study employed a small sample size and a Likert-scale questionnaire, possibly leading to respondent perception bias (although this is unlikely).Practical implications: The results of this study offered valuable insights into how companies developed dynamic capabilities to address essential green requirements in their product and processes. Thus, companies can prepare all available resources to adapt to various environment-related changes.Social implications: Companies with high green innovation performance will produce environmentally friendly products, conduct industrial activities without damaging the environment, and ultimately create a sustainable industry.Originality/value: What distinguishes this study is the division of green dynamic capabilities into three independent capabilities: SenCap, SeiCap, and Reconf, which had been described as a single capacity in previous studies. Furthermore, this study emphasizes GMP's position between absorptive capacity and green dynamic capability with GIP.

PurposeThis study is the first to examine how big data analytics (BDA) capabilities affect green absorptive capacity (GAC) and green entrepreneurship orientation (GEO). It uses the dynamic capability view, BDA and knowledge-sharing literature. There is a lack of studies addressing the BDA–GAC and BDA–GEO relationships and their potential impact on green innovation. Continuing the ongoing research discussion, a few studies examined the vital implications of knowledge sharing (KS) on GAC, GEO and green innovation.Design/methodology/approachThe study used a cross-sectional and stratified random sampling technique to collect data through self-administered surveys among Chinese manufacturing firm employees. The study applied SmartPLS to analyze the obtained data.FindingsThe findings revealed that BDA capabilities positively influence GAC and GEO. In addition, GEO and KS positively impact green innovation. The KS recorded a positive impact on GAC and GEO. Furthermore, GAC and GEO recorded a partial mediating effect.Practical implicationsThe study acknowledges that GAC is the backbone of a firm green entrepreneurial orientation, which needs to be aligned with BDA capabilities to anticipate future green business trends. GAC's help drives GEO's green business agenda. KS plays a strategic role in developing GAC, fostering GEO and improving green innovation.Originality/valueThe study highlights the necessity of aligning BDA capabilities to fit firms' GEO green business agendas. This study focuses on the role of BDA capabilities in developing firms' green dynamics capabilities (e.g. GAC), which helps GEO drive superior green business growth. KS develops GAC and boosts GEO to enhance green innovation.

This study extends the foundations of the natural resource-based view (NRBV) by introducing a mediation-moderation framework by analyzing the influence of green intellectual capital (GIC) on both green innovation performance (GIP) and environmental performance (EP) while simultaneously considering the mediating role of green absorptive capacity (GAC) and the moderating influence of the green innovation climate (GICL). The data for this study was gathered from a sample of 575 participants employed within small and medium enterprises’ (SMEs’) manufacturing firms. This dataset was utilized to evaluate the proposed model; this study uses the PLS-SEM approach to comprehensively examine the complex interactions among these variables. This model adds to the theoretical understanding of NRBV and enhances its practical applicability. The findings of this study reveal a positive relationship between GIC, GAC, GIP, and EP within organizations. Furthermore, our investigation reveals a positive correlation between a GICL and the relationships involving GIC, GAC, GIP, and EP. Importantly, this research introduces a novel perspective by clarifying the complex relations among these variables and highlighting the positive correlation between a GICL and the relationships involving GIC, GAC, GIP, and EP. This novel approach enhances the theoretical understanding of NRBV and its practical applicability in fostering GIP and EP within manufacturing SMEs operating in Pakistan.

Although there has been much research into green innovation, limited studies focus on the influence of internal factors on green innovation. This paper investigates whether and how two internal factors, such as green market orientation and absorptive capacity, facilitate green innovation. By dividing green innovation into green product innovation and process innovation, we also test the differential effects of the two internal factors on green product innovation and process innovation. Using a survey of 262 manufacturing firms in China, our results show that green market orientation improves only green product innovation, not green process innovation, whereas green absorptive capacity improves green product innovation and process innovation simultaneously. Green market orientation (green absorptive capacity) has a stronger impact on green product (process) innovation than on green process (product) innovation. Further, we find that a positive interaction effect of green market orientation and absorptive capacity on green product innovation and process innovation is significant. The findings contribute to the green innovation literature by providing an integrated framework for exploring whether the pursuit of green market intelligence and technological knowledge improves green product innovation and process innovation.

PurposeThis research aims to examine the role of green intellectual capital (GIC) dimensions in promoting sustainable healthcare as reflected by sustainable performance. The mediating effect of green absorptive capacity (GAC) and moderating role of environmental turbulence were also explored.Design/methodology/approachStructural equation modeling was utilized for hypotheses testing of a survey data set of 387 at healthcare organizations operating in Iraq. The data were collected using purposive sampling with expert judgment from senior managers and professionals.FindingsContrary to previous studies, the findings showed that only green human and relational capitals predict green performance and only green human capital predicted economic performance. GAC was related to green human capital, green structural capital and performance, and played a significant mediating role on the relationships.Research limitations/implicationsEven though the research was limited to one region of a single country, Iraq, GAC can be modified by managers to enhance GIC for sustainable healthcare performance. This action must be viewed in terms of the future timing of the impact while managers display strong conviction for sustainability commitment. Managers will find GRC least associated with performance, but that GIC dimensions work best in unison.Originality/valueThe examination of GIC with GAC as moderated by environmental turbulence contributes nascent theoretical insights in sustainable healthcare.

PurposeThis study investigates the interaction between organizational strategic factors (Leadership and management support [LMS] and green learning orientation [GLO]) and green innovation performance (GIP), through the lens of resource-based view (RBV) theory. It examines both the direct and indirect impacts of these factors on GIP via green knowledge management (GKM), and explores how green absorptive capacity (GAC) enhances these relationships.Design/methodology/approachUsing Partial least squares structural equation modeling (PLS-SEM) and moderated mediation analysis, we analyzed responses from 419 individuals across 154 manufacturing firms in Pakistan to understand these dynamics.FindingsResults show that LMS and GLO significantly affect GIP, both directly and indirectly, through GKM. Furthermore, GAC intensifies the impact of GLO on GKM and the influence of GKM on GIP, indicating a moderated mediation effect.Practical implicationsHighlighting the importance of LMS, GLO, GKM, and GAC, the study suggests that focusing on these areas can help firms align their strategies with sustainability goals, enhancing their GIP. These insights can guide policymakers in creating supportive strategies for businesses to improve their GAC, facilitating better knowledge adoption and application.Originality/valueThe research contributes to the RBV theory by clarifying the role of strategic organizational factors in enhancing GIP within manufacturing firms, offering a clearer path to achieving sustainability goals.

This study proposes a new concept, green organisational ambidexterity, that integrates green exploration learning and green exploitation learning simultaneously. Besides, this study argues that the antecedents of green organisational ambidexterity are green shared vision and green absorptive capacity and its consequents are green radical innovation performance and green incremental innovation performance. The results demonstrate that green exploration learning partially mediates the positive relationships between green radical innovation performance and its two antecedents—green shared vision and green absorptive capacity. In addition, this study indicates that green exploitation learning partially mediates the positive relationships between green incremental innovation performance and its two antecedents—green shared vision and green absorptive capacity. Hence, firms have to increase their green shared vision, green absorptive capacity, and green organisational ambidexterity to raise their green radical innovation performance and green incremental innovation performance.

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.

PurposeDrawing upon the natural resource-based view (NRBV), green absorptive capacity (GAC) is the backbone of firm green dynamic capabilities. It converts the developed knowledge into knowledge application. Understanding how GAC could benefit corporation environmental performance (EP) is still ambiguous and debated. Hence, this study introduced three facilitator factors, namely, managerial environmental concern (MEC), green innovation performance (GIP) and green entrepreneurship orientation (GEO), in which GAC can improve EP. The study tested the moderation effect of GAC and GEO on the MEC-GEO and the MEC-EP relationships and predicted the mediation effect of MEC, GEO and GIP on the GAC-EP relationship.Design/methodology/approachThe quantitative study used a self-administered survey and cross-sectional research design; the study collected data from top management employees working in Chinese manufacturing firms.FindingsThe results indicated that GAC positively influences MEC, GEO and GIP, and these last three constructs influence EP. While MEC positively affects GIP, the MEC-GEO relationship was insignificant. The study found that GAC moderates the MEC-GEO relationship, whereas GEO failed to do so between MEC and EP. The results confirm a partial mediation effect between GAC-EP through the three intermediary constructs.Practical implicationsTo promote EP, firms GAC should prioritize developing MEC ad GIP. Firms' GEO can exploit eco-friendly opportunities enabled by GAC, a process that bridges the existing knowledge and skills gap between MEC and GEO. GAC is one of the leading green strategic capabilities that help GEO to achieve green business growth and better EP. MEC is the process of facilitating GIP to deliver eco-products and protect the external environment. When MEC failed to address GEO's green business agenda, GEO could not enhance EP.Originality/valueThe study highlights the necessity of GAC to develop firms' green dynamic capabilities to boost EP. The study confirms GAC's vital role in strengthening the manager's environmental awareness and bridging the knowledge gap between GEO and MEC. In addition, GIP can drive entrepreneurial green opportunities and enhance EP when GAC is involved and converts knowledge creation to knowledge applications. Strategically speaking, given the importance of the triple green pillars of the NRBV, GEO would not balance green business growth and EP unless GAC leveled up MEC to match GEO's green business agenda and drive EP.

This study discusses the influences of green absorptive capacity, green dynamic capacities, and green service innovation on firm performance. In order to fill the research gap, this study proposes the concept of green service innovation. The results are as follows: First, this study finds that green absorptive capacity has positive effects on green dynamic capacities, green service innovation, and firm performance. Second, this study points out that green dynamic capacities have positive effects on green service innovation and firm performance. Third, this study observes that green dynamic capacities and green service innovation intercede the positive connection between green absorptive capacity and firm performance.