Influence of eco-innovation on Indian manufacturing sector sustainable performance

Manufacturing firms are striving to improve their sustainable performance in order to satisfy multiple stakeholders. Eco-innovation is a promising approach that decreases environmental impact and helps firms to increase their business value. There are several antecedents which help the firms to innovate and improve their triple bottom line performance. Among the antecedents, management and innovative practices are directly related to eco-innovation. It is not well known what practices and innovations help the firms to eco-innovate as well as to improve sustainable performance. Hence, the research objective of this paper is to identify the suitable combination of management and innovative practices that help firms to eco-innovate as well as to achieve overall sustainable performance. The paper develops an eco-innovation conceptual model which relates the management and innovative practices (antecedents) and overall sustainable performance (consequences) of eco-innovation using institutional theory. Using Indian manufacturing sector’s empirical data and Structural Equation Modelling (SEM) approach, this paper determines the effect of eco-innovation’s antecedents and consequences. In the Indian context, this study suggests that the role of management practice is more significant towards eco-innovation than innovative practices. The results reflect practitioners’ view on how to increase innovation rate and to focus more on social aspects. The finding suggests that training on environmental related practices could tackle innovation and social aspects in the Indian manufacturing sector context.     

Elicitation of willingness to pay for upgradeable products with calibrated auction-conjoint method

Understanding consumer preferences is a key element of new product development and sustainable consumption. Among sustainable products, we consider new products with upgradability properties. Upgradeability helps to prolong the lifespan of a product, satisfying changing consumer preferences and needs. This additional created value must be measured by willingness to pay premiums. This paper uses a method which valorizes each attribute of the product and analyzes the determinants of these premiums. A key advantage of the calibrated auction-conjoint method is the possibility of estimating numerous attributes with a large number of attribute levels. The results support the idea that consumers are willing to pay premiums for upgradeable, sustainable products, although these premiums are rather weak for some durable products in the study.     

Manufacturing SMEs doing it for themselves: developing,testing and piloting an online sustainability and eco-innovation toolkit for SMEs

ABSTRACT

Public discourse frequently cites the damaging activities of large organisations on global environmental issues, but smaller organisations are rarely, if ever, featured. Small and Medium Enterprises (SMEs) make up 99% of all businesses in the EU, cumulatively causing more industrial pollution and producing more waste than larger businesses. However, large companies are more likely to address sustainability issues than smaller ones. SMEs need help to change. In a collaborative approach, an online sustainability framework was developed to overcome the barriers contributing to the slow uptake in environmental management in SMEs. The views of owner-managers were incorporated throughout the development process. Best practice environmental tools and training were identified, which were designed in an SME-friendly way and made available online. This paper describes the development of the pilot Sustainability and Eco-Innovation (SEco) toolkit, followed by an analysis of its use. This research finds that a self-led toolkit was not enough to nudge SMEs to address environmental issues, despite being approved by owner-managers at each step.