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

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  • 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
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    References listed on IDEAS

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