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

Author

Listed:
  • Lara Bartocci Liboni

    (Western University, Ivey Business School, Canada; University of Sao Paulo)

  • Luciana Oranges Cezarino

    (Ca’ Foscari University of Venice)

  • Marlon Fernandes Rodrigues Alves

    (SKEMA Business School, Université Côte d’Azur (GREDEG))

  • Charbel José Chiappetta Jabbour

    (EMLYON Business School, France; Affiliate Professor at University of Lincoln, Lincoln International Business School)

  • V. G. Venkatesh

    (EM Normandie Business School, Metis Lab)

Abstract

Emerging social and environmental demands drive organisations to seek management capabilities to reach sustainability outcomes. Despite relative efforts, there is still a need for works that empirically address the main antecedents and outcomes of sustainable dynamic capabilities (SDC). Focusing on the case of Brazil, we examine the mediating effect of SDC between environmental orientation and firm performance related to green innovation, green competitive advantage and environmental adaptability and find that SDC significantly mediates the effect of environmental orientation on green innovation. However, mediation between environmental orientation and green competitive advantage only obtains partial support. SDC and environmental adaptability do not present significative correlation, opening new discussions about adaptability as a direct consequence of SDC. These results contribute to the design of green innovation and green competitive advantage strategies as positive drivers of sustainability outcomes.

Suggested Citation

  • Lara Bartocci Liboni & Luciana Oranges Cezarino & Marlon Fernandes Rodrigues Alves & Charbel José Chiappetta Jabbour & V. G. Venkatesh, 2023. "Translating the environmental orientation of firms into sustainable outcomes: the role of sustainable dynamic capability," Review of Managerial Science, Springer, vol. 17(4), pages 1125-1146, May.
    • Handle: RePEc:spr:rvmgts:v:17:y:2023:i:4:d:10.1007_s11846-022-00549-1
    DOI: 10.1007/s11846-022-00549-1
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    References listed on IDEAS

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    Cited by:

    1. Listowel Owusu Appiah, 2024. "Does proactive boundary‐spanning search drive green innovation? Exploring the significance of green dynamic capabilities and analytics capabilities," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(4), pages 2589-2599, July.
    2. Liu, Wei & Zhang, Jian & Ji, Ming & Luo, Yujia, 2024. "Investigating the link between green finance, environmental orientation, and carbon neutrality: A panel study of the metal extraction sector," Resources Policy, Elsevier, vol. 89(C).

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    More about this item

    Keywords

    Environmental adaptability; Green innovation; Green competitive advantage; Sustainable dynamic capability;
    All these keywords.

    JEL classification:

    • M1 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration
    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development

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