This study aims to investigate the impact of eco-innovation such as eco-product innovation and eco-process innovation on sustainable manufacturing firm performance (SMFP) and further investigates green innovation as a mediator and digital innovation as a moderator among these relationship.
The hypotheses were tested using the partial least squares structural equation modeling (PLS-SEM-4) technique. Data were gathered through convenience sampling from 149 managers within the manufacturing industry.
The results reveal a significant positive relationship between eco-innovation and SMFP. Furthermore, green innovation fully mediates the relationship between eco-innovation and SMFP. Also, findings suggest that digital innovation plays a moderating role in the relationship between green innovation and SMFP, which implies that green innovation is more effective in determining SMFP under high environmental dynamism.
This study offers valuable insights for business owners and policymakers in the manufacturing industry.
This study contributes important insights to the literature on eco-innovation, green innovation and the manufacturing industry, enhancing the understanding of the drivers behind different types of eco-innovation. Additionally, the study’s exploration of the role of eco-innovation types in SMFP represents a significant contribution to the eco-innovation literature.
