Why do services and manufacturing firms envision environmental innovation differently? A path-model comparison

Abstract

[EN] Innovation and environmental awareness are crucial issues that actually build a firms competitive advantages. In terms of manufacturing industries, several studies have been carried out to disentangle the variables that help companies to orientate more effectively their innovations towards sustainability. In comparison, although the service industry is increasing its economic weight, little research has been carried out in this domain. In the present paper, we analyse the differences of eco-innovative behaviour between Service and Manufacturing industries. We retrieved 6253 firms¿ data from the Spanish panel of innovative activities (PITEC database) and deployed a structured equations model (EQS) for each group to compare what variables are influencing the willingness to be eco-innovative for each type of industry. Results show the differences in impact that product orientation has on eco-orientation. The relation between product-orientation and eco-orientation in service firms is significantly different to that in manufacturing firms. In fact, product-orientation impact is lower in service firms. Thus, while manufacturing firms show a similar impact of product and process orientation on eco-orientation, process-orientation in service firms almost doubled the relative impact of product-orientation on eco-innovation. These results may allow both policy makers and managers to make the correct decisions regarding national, industry and company strategy.