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Purpose

Although environmental innovation currently occupies a central place in sustainability research, empirical studies analyzing its main drivers at the business level are still scarce. This study focuses on identifying the primary factors driving environmental innovation, particularly in the wine industry, by examining the impact of environmentally aware leaders on environmental innovation, alongside the intermediary roles of workforce engagement and employee ingenuity.

Design/methodology/approach

Primary data were obtained from a sample of 196 Spanish wine companies, out of a total population of 4,373 companies. The PLS-SEM technique was used to analyze the data, specifically SmartPLS software version 4.1.

Findings

The results reveal a positive and significant influence of environmentally aware leaders on environmental innovation of wine businesses, while workforce engagement and employee ingenuity were found to have a mediating effect in this relation.

Practical implications

Valuable ideas are provided to foster organizational environments that promote the growth of environmentally conscious leaders, as well as the commitment and ingenuity of workers, with the goal of driving business environmental innovation and addressing or reversing the adverse environmental effects generated by business activity.

Originality/value

This study introduces a novel perspective on the role of environmental management in influencing the capacity of firms to generate environmental innovations, advancing research on its main drivers in companies. Moreover, it focuses on the wine industry, which has unique characteristics, as it is a traditional sector that must face the challenge of finding innovative solutions to be environmentally sustainable.

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