IDEAS home Printed from https://ideas.repec.org/a/bla/bstrat/v29y2020i6p2310-2323.html
   My bibliography  Save this article

CEOs' reputation, quality management and environmental innovation: The roles of stakeholder pressure and resource commitment

Author

Listed:
  • Renata Konadu
  • Samuel Owusu‐Agyei
  • Theophilus A. Lartey
  • Albert Danso
  • Samuel Adomako
  • Joseph Amankwah‐Amoah

Abstract

In this paper, we examine how and when chief executive officers' (CEOs') reputation enhances environmental innovation by considering quality management as a mediating mechanism of this relationship. In addition, we introduce stakeholder pressures (primary and secondary stakeholder pressures) as important contingencies of the relationship between CEOs' reputation and quality management. Moreover, we test the moderating role of resource commitment on the quality management‐environmental innovation relationship. We test our research model using data from a manufacturing industry sample of 217 firms from Ghana. We find that quality management mediates the relationship between reputation and environmental innovation. Moreover, the relationship between CEOs' reputation and quality management is amplified when levels of both primary and secondary stakeholder pressures are greater. Finally, our findings show that the effect of quality management on environmental innovation is enhanced when resource commitment is greater. Implications for theory and practice are discussed.

Suggested Citation

  • Renata Konadu & Samuel Owusu‐Agyei & Theophilus A. Lartey & Albert Danso & Samuel Adomako & Joseph Amankwah‐Amoah, 2020. "CEOs' reputation, quality management and environmental innovation: The roles of stakeholder pressure and resource commitment," Business Strategy and the Environment, Wiley Blackwell, vol. 29(6), pages 2310-2323, September.
    • Handle: RePEc:bla:bstrat:v:29:y:2020:i:6:p:2310-2323
    DOI: 10.1002/bse.2504
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/bse.2504
    Download Restriction: no
    File URL: https://libkey.io/10.1002/bse.2504?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Paul Lanoie, 2008. "When And Why Does It Pay To Be Green?," CIRANO Papers 2008n-02a, CIRANO.
    2. Gregory G. Dess & Richard B. Robinson, 1984. "Measuring organizational performance in the absence of objective measures: The case of the privately‐held firm and conglomerate business unit," Strategic Management Journal, Wiley Blackwell, vol. 5(3), pages 265-273, July.
    3. Rennings, Klaus, 2000. "Redefining innovation -- eco-innovation research and the contribution from ecological economics," Ecological Economics, Elsevier, vol. 32(2), pages 319-332, February.
    4. Jaffe, Adam B. & Newell, Richard G. & Stavins, Robert N., 2005. "A tale of two market failures: Technology and environmental policy," Ecological Economics, Elsevier, vol. 54(2-3), pages 164-174, August.
    5. Shubham & Parikshit Charan & L.S. Murty, 2018. "Secondary stakeholder pressures and organizational adoption of sustainable operations practices: The mediating role of primary stakeholders," Business Strategy and the Environment, Wiley Blackwell, vol. 27(7), pages 910-923, November.
    6. Jeffrey S. Harrison & Douglas A. Bosse & Robert A. Phillips, 2010. "Managing for stakeholders, stakeholder utility functions, and competitive advantage," Strategic Management Journal, Wiley Blackwell, vol. 31(1), pages 58-74, January.
    7. Felipe Hernández-Perlines & Manuel Alejandro Ibarra Cisneros, 2018. "The Role of Environment in Sustainable Entrepreneurial Orientation. The Case of Family Firms," Sustainability, MDPI, vol. 10(6), pages 1-16, June.
    8. Raj Echambadi & James D. Hess, 2007. "Mean-Centering Does Not Alleviate Collinearity Problems in Moderated Multiple Regression Models," Marketing Science, INFORMS, vol. 26(3), pages 438-445, 05-06.
    9. Pursey P. M. A. R. Heugens & Cees B. M. Van Riel & Frans A. J. Van Den Bosch, 2004. "Reputation Management Capabilities as Decision Rules," Journal of Management Studies, Wiley Blackwell, vol. 41(8), pages 1349-1377, December.
    10. Engelen, Andreas & Kube, Harald & Schmidt, Susanne & Flatten, Tessa Christina, 2014. "Entrepreneurial orientation in turbulent environments: The moderating role of absorptive capacity," Research Policy, Elsevier, vol. 43(8), pages 1353-1369.
    11. Joseph Amankwah‐Amoah & Albert Danso & Samuel Adomako, 2019. "Entrepreneurial orientation, environmental sustainability and new venture performance: Does stakeholder integration matter?," Business Strategy and the Environment, Wiley Blackwell, vol. 28(1), pages 79-87, January.
    12. Birger Wernerfelt, 1984. "A resource‐based view of the firm," Strategic Management Journal, Wiley Blackwell, vol. 5(2), pages 171-180, April.
    13. Sefa Hayibor & Bradley Agle & Greg Sears & Jeffrey Sonnenfeld & Andrew Ward, 2011. "Value Congruence and Charismatic Leadership in CEO–Top Manager Relationships: An Empirical Investigation," Journal of Business Ethics, Springer, vol. 102(2), pages 237-254, August.
    14. Xuemei Xie & Jiuchang Lv, 2018. "Female technology entrepreneurs: resource shortages and reputation challenges – a view of institutional support," International Entrepreneurship and Management Journal, Springer, vol. 14(2), pages 379-403, June.
    15. Chandler, Gaylen N. & Hanks, Steven H., 1993. "Measuring the performance of emerging businesses: A validation study," Journal of Business Venturing, Elsevier, vol. 8(5), pages 391-408, September.
    16. Albert Danso & Samuel Adomako & Joseph Amankwah‐Amoah & Samuel Owusu‐Agyei & Renata Konadu, 2019. "Environmental sustainability orientation, competitive strategy and financial performance," Business Strategy and the Environment, Wiley Blackwell, vol. 28(5), pages 885-895, July.
    17. Jeffrey G. Covin & Dennis P. Slevin, 1991. "A Conceptual Model of Entrepreneurship as Firm Behavior," Entrepreneurship Theory and Practice, , vol. 16(1), pages 7-26, October.
    18. Qing Cao & Eric Gedajlovic & Hongping Zhang, 2009. "Unpacking Organizational Ambidexterity: Dimensions, Contingencies, and Synergistic Effects," Organization Science, INFORMS, vol. 20(4), pages 781-796, August.
    19. Jennifer Goodman & Angelina Korsunova & Minna Halme, 2017. "Our Collaborative Future: Activities and Roles of Stakeholders in Sustainability‐Oriented Innovation," Business Strategy and the Environment, Wiley Blackwell, vol. 26(6), pages 731-753, September.
    20. Agarwal, Renu & Green, Roy & Brown, Paul J. & Tan, Hao & Randhawa, Krithika, 2013. "Determinants of quality management practices: An empirical study of New Zealand manufacturing firms," International Journal of Production Economics, Elsevier, vol. 142(1), pages 130-145.
    21. Hayagreeva Rao, 1994. "The Social Construction of Reputation: Certification Contests, Legitimation, and the Survival of Organizations in the American Automobile Industry: 1895–1912," Strategic Management Journal, Wiley Blackwell, vol. 15(S1), pages 29-44, December.
    22. Scott Shane & Daniel Cable, 2002. "Network Ties, Reputation, and the Financing of New Ventures," Management Science, INFORMS, vol. 48(3), pages 364-381, March.
    23. Mark H. Hansen & Lee T. Perry & C. Shane Reese, 2004. "A Bayesian operationalization of the resource‐based view," Strategic Management Journal, Wiley Blackwell, vol. 25(13), pages 1279-1295, December.
    24. David J. Teece & Gary Pisano & Amy Shuen, 1997. "Dynamic capabilities and strategic management," Strategic Management Journal, Wiley Blackwell, vol. 18(7), pages 509-533, August.
    25. Aleda V. Roth & William E. Jackson, III, 1995. "Strategic Determinants of Service Quality and Performance: Evidence from the Banking Industry," Management Science, INFORMS, vol. 41(11), pages 1720-1733, November.
    26. Moses Acquaah, 2007. "Managerial social capital, strategic orientation, and organizational performance in an emerging economy," Strategic Management Journal, Wiley Blackwell, vol. 28(12), pages 1235-1255, December.
    27. Paul C. Godfrey & Craig B. Merrill & Jared M. Hansen, 2009. "The relationship between corporate social responsibility and shareholder value: an empirical test of the risk management hypothesis," Strategic Management Journal, Wiley Blackwell, vol. 30(4), pages 425-445, April.
    28. Joseph Amankwah‐Amoah & Johnny Syllias, 2020. "Can adopting ambitious environmental sustainability initiatives lead to business failures? An analytical framework," Business Strategy and the Environment, Wiley Blackwell, vol. 29(1), pages 240-249, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Samuel Adomako, 2018. "The Moderating Effects Of Adaptive And Intellectual Resource Capabilities On The Relationship Between Entrepreneurial Orientation And Financial Performance," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 22(03), pages 1-35, April.
    2. Tian Hongyun & William Adomako Kankam & Florence Appiah-Twum & Isaac Gumah Akolgo, 2019. "Effect of Social Capital on Firm Performance: The Role of Entrepreneurial Orientation and Dynamic Capability," International Review of Management and Marketing, Econjournals, vol. 9(4), pages 63-73.
    3. Samuel Adomako & Joseph Amankwah‐Amoah & Albert Danso & Renata Konadu & Samuel Owusu‐Agyei, 2019. "Environmental sustainability orientation and performance of family and nonfamily firms," Business Strategy and the Environment, Wiley Blackwell, vol. 28(6), pages 1250-1259, September.
    4. Albert Danso & Samuel Adomako & Joseph Amankwah‐Amoah & Samuel Owusu‐Agyei & Renata Konadu, 2019. "Environmental sustainability orientation, competitive strategy and financial performance," Business Strategy and the Environment, Wiley Blackwell, vol. 28(5), pages 885-895, July.
    5. Samuel Adomako & Ernestine Ning & Emmanuel Adu‐Ameyaw, 2021. "Proactive environmental strategy and firm performance at the bottom of the pyramid," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 422-431, January.
    6. Christoph P. Kiefer & Pablo Del Río González & Javier Carrillo‐Hermosilla, 2019. "Drivers and barriers of eco‐innovation types for sustainable transitions: A quantitative perspective," Business Strategy and the Environment, Wiley Blackwell, vol. 28(1), pages 155-172, January.
    7. Sungchang Lee & Young Jun Kim, 2024. "Analyzing Factors That Affect Korean B2B Companies’ Sustainable Performance," Sustainability, MDPI, vol. 16(5), pages 1-21, February.
    8. Adomako, Samuel & Amankwah-Amoah, Joseph & Donbesuur, Francis & Ahsan, Mujtaba & Danso, Albert & Uddin, Moshfique, 2022. "Strategic agility of SMEs in emerging economies: Antecedents, consequences and boundary conditions," International Business Review, Elsevier, vol. 31(6).
    9. Jeremy Galbreath & Chia‐Yang Chang & Daniel Tisch, 2023. "The impact of a proactive environmental strategy on environmentally sustainable practices in service firms: The moderating effect of information use value," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 5420-5434, December.
    10. Donghong Li & Yi‐Chuan Liao & Pengcheng Ma, 2022. "Contingent view on the relationship between proactive environmental strategy and corporate performance: Toward stakeholder engagement," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(5), pages 1605-1616, September.
    11. Lin Song & Li Jing, 0. "Strategic orientation and performance of new ventures: empirical studies based on entrepreneurial activities in China," International Entrepreneurship and Management Journal, Springer, vol. 0, pages 1-24.
    12. Christopher Durugbo & Joseph Amankwah‐Amoah, 2019. "Global sustainability under uncertainty: How do multinationals craft regulatory policies?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 26(6), pages 1500-1516, November.
    13. Nguyen Phong Nguyen & Samuel Adomako, 2021. "Environmental proactivity, competitive strategy, and market performance: The mediating role of environmental reputation," Business Strategy and the Environment, Wiley Blackwell, vol. 30(4), pages 2008-2020, May.
    14. Esthela Galván-Vela & Eduardo Arango Herrera & Deisy Milena Sorzano Rodríguez & Rafael Ravina-Ripoll, 2021. "State-of-the-Art Analysis of Intrapreneurship: A Review of the Theoretical Construct and Its Bibliometrics," JRFM, MDPI, vol. 14(4), pages 1-16, April.
    15. Samuel Adomako & Kwabena Frimpong & Joseph Amankwah-Amoah & Francis Donbesuur & Robert A. Opoku, 2021. "Strategic Decision Speed and International Performance: The Roles of Competitive Intensity, Resource Flexibility, and Structural Organicity," Management International Review, Springer, vol. 61(1), pages 27-55, March.
    16. Li Peng & Yuan Li & Marc Essen & Mike W. Peng, 2020. "Institutions, resources, and strategic orientations: A meta-analysis," Asia Pacific Journal of Management, Springer, vol. 37(2), pages 499-529, June.
    17. Patrizia Pastore & Antonio Ricciardi & Silvia Tommaso, 2020. "Contractual networks: an organizational model to reduce the competitive disadvantage of small and medium enterprises (SMEs) in Europe’s less developed regions. A survey in southern Italy," International Entrepreneurship and Management Journal, Springer, vol. 16(4), pages 1503-1535, December.
    18. Ahmed Agyapong & Kofi Amanor & Kofi Poku, 2016. "Antecedents To The Implementation Of Hybrid Strategy In A Dynamic Business Environment — An Econometric Analysis Of Business Decisions In Ghana," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 21(04), pages 1-24, December.
    19. Brice Foulon & Sylvain Marsat, 2023. "Does environmental footprint influence the resilience of firms facing environmental penalties?," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 6154-6168, December.
    20. Julen Castillo‐Apraiz & Jesus Matey, 2020. "Customizing competitive strategy to entry timing: Implications for firm performance in the pharmaceutical industry," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 41(6), pages 976-985, September.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:bstrat:v:29:y:2020:i:6:p:2310-2323. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1099-0836 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.